Innovation at the Speed of Thought!


Innovation Definition

Few expert quotes to kick off:

There’s a way to do it better – find it. — Thomas Edison

Innovation is seeing what everybody has seen and thinking what nobody has thought.  — Dr. Albert Szent-Gyorgyi, Discovered Vitamin C

According to a 2016 survey on innovation, it’s only 20% who perceive the definition to be concrete.

Survey

Innovation is one of the most misconstrued terms in modern day information technology (IT) industry, a truly confusing buzzword yet many people love to use it.

Let’s take a step back and approach it bottom-up. The word innovation comes from the Latin root innovatus, which means ‘to renew or to change’. In general, innovation refers to the creation of better and more effective ideas, products, and processes that solve problems and/or enrich people’s lives, and accepted by members of a social system.

Why Innovate?

Innovation distinguishes between a leader and a follower. — Steve Jobs, Apple

The day I took on my new role I said that our industry does not respect tradition, it only respects innovation. — Satya Nadella, CEO, Microsoft

Why Innovate

The underlying message is that businesses have to innovate more often to consistently delight their customers and be relevant to them, make it part of their culture, else companies and brands will become obsolete and irrelevant to their target customers

It’s a challenge to both businesses and individuals, and that leads to the next section which is about achieving faster product-market fit.

Being First To Market Is Not Important, Achieving Faster Product-Market Fit Is

Remember, it’s not innovation until it gets built. — Garry Tan, co-founder Posterous

Jump, and you will find out how to unfold your wings as you fall. — Ray Bradbury, American author and screenwriter

Waiting for perfect is never as smart as making progress. — Seth Godin, author and former dot com business executive

If you are not embarrassed by the first version of your product, you’ve launched too late. — Reid Hoffman, LinkedIn co-founder and venture capitalist

The way to get started is to quit talking and start doing. — Walt Disney, Disney co-founder

I have not failed. I’ve just found 10,000 ways that won’t work. — Thomas Edison, GE

Failure is an option here. If things are not failing, you are not innovating enough. — Elon Musk, CEO Tesla

Why Innovate2

 

In today’s highly competitive world, especially in the IT industry, being first to market is not important at all, competition will catch up fast and we will become irrelevant if we are not innovating.

Instead, being first in achieving product-market fit is supremely important. A faster fit means the product will enjoy maximum differentiation for long and that is the key to long-term business success and market leadership.

There is no dearth of ideas. Ideas are everywhere. Ideas are useless if they are not useful and are not usable. For a faster product-market fit, Execution Loop and its velocity are of paramount significance.

Execution Loop is about doing whatever it takes to win and doing it fast, really fast, at the speed of thought. Typically, it is about:

  • Defining your hypotheses
  • Validating each of them
  • Favoring decisions today over tomorrow
  • Iterating based on learning and decisions

Execution Loop.png

Innovation Myths

Whilst there are many myths on innovation, a few important ones are worth discussing here:

Myth 1: Innovation is about building new products

New products are important, but it’s not all about new products alone. Innovation can beArrow with word  Fact breaks word Myth. Concept 3D illustration. in functions, business models, and processes. Some examples include Toyota’s Global Production System, Dell’s SCM, and even Starbucks’ perception of the coffee shop.

Myth 2: Innovation is for geniuses

The very essence of innovation gets defeated with this myth, especially in the IT industry. Companies waiting for ‘eureka’ moments from geniuses may well die waiting. It is worth that founders of WhatsApp, Facebook, and Twitter were not geniuses prior to their respective innovations.

Myth 3: Innovations happen in R&D labs

Well, not exactly true, Anyone can contribute to solving problems in new ways.

Hope you enjoyed the read!

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Synopsis: The Art of Product Management


I was fortunate enough to bump into a presentation from Sachin Rekhi (@sachinrekhi) called The Art of Product Management.

VSDE

It was an excellent read. Here’s a synopsis from it, for my product management friends.

Product managers drive the Vision, Strategy, Design, and Execution of their product.

Vision – articulates how the world will be a better place when you succeed

  • A compelling vision articulates how the world will be a better place when you succeed
  • Get excited about being at least one step forward, one step closer to it
  • Best format: write a customer oriented vision narrative. Jeff Bezos expects a 6-page narrative!!
  • A vision is valuable only if it inspires the entire team
  • Communicate the vision — the power of repetition — just as it takes 7 impressions to garner a response to a marketing message, you need to constantly repeat your vision. Ask your team about what they’re doing and gauge if they are communicating along the lines of the vision, using words & phrases from the vision.

Strategy – iterate & refine until you find product-market fit and you are dominant in your market

  • It’s about how are you going to win
  • A vision should be stable, but your strategy needs to be iterated on and refined until you find product-market fit and until you are dominant in your target markets. Again refine to expand to new markets and find product-market fit there.
  • A better fit leads to a more appealing product for the target market
  • A faster fit means the product will enjoy maximum differentiation for a longer period of time
  • Best format: Product-Market Fit Hypotheses
    1. Target Audience — bulls eye of your very best potential customers
    2. Problem You’re Solving — it’s important to articulate the problem independent of the solution, get to the root of the problem than scratching the symptoms, fall in love with the problem you’re solving for your customers and not with the solution
    3. Value Propositions — not the feature list, but the promise to your customers on the value you will deliver for them
    4. Strategic Differentiation — why is your solution 10x better than the leading alternatives
    5. Competition — how will your solution win against direct competitors and indirect alternatives
    6. Acquisition Strategy — how will you find & attract your potential customers in a cost-effective way
    7. Monetization Strategy — what are your primary and secondary ways to make money, is there strong willingness to pay
    8. KPIs — what are the right metrics for you to know if you are headed in the right direction. Spend time frequently (almost everyday) reviewing critical metrics & dashboards.
  • Minimize your dimensions of innovation. Don’t innovate on all aforementioned dimensions, instead innovate on few and use best practices for the rest.

Design – keep it simple and bring emotional intelligence

  • Work hard and iterate to keep it simple
  • A compelling design delivers a useful, usable, and delightful experience to your customers, by bringing emotional intelligence to your design
  • Develop personas – a persona typically describes the goals, pain points, behaviors, and psychology associated with members of a particular segment. Give them a name, a profile image, and sometimes associate a background history with them. A team usually develops one or more personas to represent the core audience of users they are optimizing their product/experience.
  • Increase Exposure Hours — it is the amount of time your team spends with observing customers
  • Delight through attention to detail and by making people feel accomplished
  • Measure delight through NPS

Execution – it’s not about project management it’s doing whatever it takes to win

  • Be relentless, it determines whether you’ll make your vision a reality
  • You must spend about 60% of your time in execution, else it will go wrong
  • Execution is not about project management, but doing whatever it takes to win
  • Ensure you’re pointing the team in the right direction. Reward engineering velocity.
  • Execution Loop: Define >> Validate >> Iterate
  • #1 Goal: Increase execution loop velocity
  • Establish yourself as the curator, not the creator of great ideas. Everyone contributes great ideas.
  • First nail it, then scale it — first build software quickly (no elegance required in architecture, etc.), validate it, and then scale it with elegant architecture.
  • Invest in retrospectives

Hope you found this blog post useful. Thanks to Sachin Rekhi @sachinrekhi. Cheers!