Culture for innovation and disruption

In my last blog I wrote about the company culture that I believe in – and its critical importance. Perhaps nothing can be properly executed – no strategy and no grand plan – if we do not have the right culture at the very foundation.

 But today, let me offer you my reflection on some other aspect of every successful organization – culture for innovation and disruption.

 The clock is ticking

 I will be harsh on this – every day that we do not innovate, we gradually lose relevance. The clock is ticking on every company that does not disrupt and just “milks its cash cows”, to use the age old expression of the Boston Consulting Group. Every market position is being eroded as we speak – the iron law of creative destruction is relentlessly at work.

 Embed innovation into processes

 Talk is easy and forgettable. To ingrain the culture of innovation into an organization, we need to embed it into working procedures and structures. That means including the issue of innovation into every staff meeting and strategy session and – have it as an integrated part in every budgeting and financial planning routine.

 It also means having the idea of market disruption as part of every teamwork and individual appraisal. We simply need to go to work knowing that part of my job – and the job of every team member – is to innovate something every day. It sounds odd – but our procedures must reflect the idea that we destruct ourselves a bit by bit every day – and we do that to emerge as an organization that constantly reinvents.

 Have a structured approach to innovation

 They say there is a beauty to madness and that creativity thrives in chaos. It very well may, but that will be difficult to manage in a corporate setting where we need measurable returns. We must, of course, encourage creativity and have courage to try and lose if something does not work, but I have always believed that there is a structure to innovation, and it helps to drive it as a purposeful process.

 That structure always rests on customer insight – we must be passionate about our consumers – who are they, how do they live, what do they need, how do they use our product, what do they not know? The consumer insight is he bedrock of any innovation. After that we must research the market and the existing technology – what can it do and what is lacking? What must be invented? After that, we must have the financial and production structures in place to actually innovate at a practical level. Then we prototype and pilot – or in other words – try. After that we again gather consumer insight and reinvent and improve. And only then it is time for market entry. And what happens the day after market entry? Exactly – we start reinventing again.

 Staying “young” and agile means learning

 What characterized the time when we were youngsters and ready to take on the world? It was the learning – going to some school or university was the key part of youth – and that was the institutionalized learning experience. But why stop there and then?

 If we want to disrupt, we must cultivate a mindset of agility and flexibility, ready to pivot and evolve in response to shifting circumstances. This means encouraging a culture of continuous learning and innovation, where experimentation is not only tolerated but celebrated as a means of driving progress.

 We must cultivate a growth mindset and embrace lifelong learning and – lead by example. In today's rapidly evolving world, adaptability and continuous self-improvement are essential for staying relevant and thriving in your career. Be open to new experiences, seek out opportunities for growth, and never stop expanding your knowledge and skills.

 As ever, let me know your thoughts and feedback. What is your take on innovation and culture of disruption? We as people seek stability and change often does not comes easy – but it is the only way to thrive.