Disruptive innovation is the kind that
unhinges old ways of operating, juices competition and creates new growth.
One of the
world's leading experts on the subject is Regina Dugan, Motorola Mobility's SVP
in charge of Advanced Technology and Projects, a skunkworks-inspired unit
devoted to delivering breakthrough innovations. Dugan joined Motorola Mobility,
part of Google (GOOG), last year after heading the Defense Advanced Research
Projects Agency (DARPA), the Pentagon's R&D unit where scientific
inflection points and critical applications--the essence of disruptive innovation,
she says--have often intersected. DARPA's legacy of radical innovation includes
RISC computing, the Internet, miniaturized GPS, and those unmanned aerial
vehicles popularly known as drones.
I saw Dugan
speak on a panel about Interactive Technology at Ernst & Young's recent
Strategic Growth Forum. Her advice about organizing for innovation success in
an environment swirling with change was smart and practical. So I asked her to
share it here. Dugan's Rx for disruptive innovation:
1. Get
uncomfortable.
Make a list of
the biggest and boldest projects in your company. Ask yourself how many make
you deeply uncomfortable because they could change your fundamental business
model. If a project has disruptive potential, it should make you uncomfortable.
2. Create a
small, agile team.
While you can
organize a large company to support evolutionary R&D, that doesn't work
with disruptive innovation. You need a small and agile organization. If you
have fewer than 200 people, you don't need a lot of process and you can talk to
almost anyone by stepping out of your office and talking a little loud. (I'm
Italian.)
3. Refresh
the team constantly.
Ask yourself how
many people on your innovation team have been there more than five years. If
the answer is "a lot," you're in trouble. Then ask yourself how many
people on your team are from outside the organization. If the answer is
"almost none," more trouble. You need fresh thinking from people on
the outside as well as the inside. Short tenures create necessary urgency.
4. Restrict
decision-making to no more than two people.
If you have more
than two people making decisions about strategy and execution, it's too many.
Disruptive innovation is not about consensus. The CEO or the team leader should
have strong and ultimate authority.
5. Create
tension.
A
disruptive innovation group exists, in part, to create tension. So don't be
surprised when that happens. Disruptive innovation will challenge processes,
challenge HR, and challenge your perspective on IP—while it upsets your ideas
about who gets to be involved in the development process. The result: the speed
and flexibility you need for effective disruptive innovation.
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