Top Banner
Applying Innovation Eindhoven, September 2006 Clive Harris IBM Distinguished Engineer [email protected]
54

Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Aug 01, 2018

Download

Documents

lamlien
Welcome message from author
This document is posted to help you gain knowledge. Please leave a comment to let me know what you think about it! Share it to your friends and learn new things together.
Transcript
Page 1: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Applying InnovationEindhoven, September 2006

Clive HarrisIBM Distinguished Engineer

[email protected]

Page 2: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

"There is nothing more difficult to take in hand, more perilous to conduct, or more uncertain of success than to take the lead in the introduction of a new order of things, because the Innovation has for enemies all those who have done well under the old conditions and lukewarm defenders in those who may do well in the new"

Machiavelli The Prince Machiavelli The Prince

We all need to Innovate !!

Written in 1513

Page 3: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Two Questions for you …What is your favourite invention or innovation ?

Where do the best innovations come from ?

http://www.ideafinder.comCelebrating the Spirit of Innovation

Page 4: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Agenda

What is Innovation ?

Looking Back at Innovation

Who Needs Innovation ?

Successful Innovation

The Process of Innovation

Innovation within IBM

Summary

Page 5: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

IBM Annual Report 2003

Page 6: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Innovation

Linear innovation model Dynamic innovation mode

Build to forecasted demand Sense and respond to demand

Independent Interdependent

Single discipline Multiple Discipline

Product functions Value to customer

Local R&D teams Globalized 24x7 R&D teams

The nature of Innovation is changing

From To

Invention

Page 7: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Agenda

What is Innovation ?

Looking Back at Innovation

Who Needs Innovation ?

Successful Innovation

The Process of Innovation

Innovation within IBM

Summary

Page 8: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

YEAR (BC)Milestone

2737 Tea invented by Emperor Shen Nung in China.

1550 Earliest surviving medical textbook written in Egypt.

1100 Iron Age starts.

700 First purpose-made sundials appear.

650 Standardized coins used by Greeks.

512 Chinese produce cast iron from blast furnaces.

510 Greeks produce the earliest surviving world map.

400 Two Greeks invent the catapult, the first artillery weapon.

312 Work begins on the Appian Way, the first great Roman road.

210 Archimedes, the Greek scientist, invents the Archimedean screw, for raising water, and works out the theory of levers.

100 Glassblowing invented in Syria.

YEAR (BC) Milestone

500,000 Fire tamed by Homo erectus.

50,000 Homo sapiens (modern man) appears.

20,000 Invention of the bow and arrow.

12,000 Domestication of animals begins.

8000 Agriculture invented.

7000 Pottery.

6000 Weaving.

5000Irrigation systems developed in the Middle East.

4000 First use of metals - copper for making tools.

3500 Bronze used for making weapons and tools.

3500 Wheel appears in Mesopotamia and writing invented in Sumeria.

3000 Abacus invented by the Chinese.

2800 Egyptians devise the 12-month, 365-day calendar.

Innovation is not new !!

Page 9: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

The modern can opener was invented by William Lyman of the United States in 1870. The only change from the original patent was the introduction of a serrated rotation wheel by the Star Can Company of San Francisco in 1925. The basic principle continues to be used on the modern can openers, and it was the basis of the first electric can opener, introduced in December 1931. Pull-open cans, patented by Ermal Fraze of Ohio, debuted in 1966.

Can Opener

The first practical can opener was developed 50 years after the birth of the metal can. Canned food was invented for the British Navy in 1813. Made of solid iron, the cans usually weighed more than the foodthey held! The inventor, Peter Durand, was guilty of an incredible oversight. Though he figured out how to seal food into cans, he gave little thought to how to get it out again. Instructions read: "Cut round the top near the outer edge with a chisel and hammer." Only when thinner steel cans came into use in the 1860s could the can opener be invented. The first (patented in 1858), devised by Ezra Warner of Waterbury, Connecticut, looked like a bent bayonet. Its large curved blade was driven into a can’s rim, then forcibly worked around its edge. Stranger yet, this first type of can opener never left the grocery store. A clerk had to open each can before it was taken away!

Page 10: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Everyone knows what Post-it notes are: They are those great little self-stick notepapers. Most people have Post-it Notes. Most people use them. Most people love them. But Post-it Notes were not a planned product.

3M began distributing Post-it Notes nationwide in 1980 -ten years after Spencer Silver accidentally developed a super weak adhesive. Today they are one of the most popular office products available. Post-it®

Post-it Notes

No one got the idea and then stayed up nights to invent it. A man named Spencer Silver was working in the 3M research laboratories in 1970 trying to find a strong adhesive. Silver developed a new adhesive, but it was even weaker than what 3M already manufactured. It stuck to objects, but could easily be lifted off. It was super weak instead of super strong.No one knew what to do with the stuff, but Silver didn't discard it. Then one Sunday four years later, another 3M scientist named Arthur Fry was singing in the church's choir. He used markers to keep his place in the hymnal, but they kept falling out of the book. Remembering Silver's adhesive, Fry used some to coat his markers. Success! With the weak adhesive, the markers stayed in place, yet lifted off without damaging the pages.

Page 11: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Improved process

Technology leap-frog

Radical strategy

Reaction to marketplace dynamics

Application of cross discipline practices

Triggers for Innovation can be:

Page 12: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Going to the Moon: Triggers for Innovation

The Apollo Programme cost $24 Billion (in the 1960’s !!)More than 400 people have been into spaceOnly 27 people have been outside low earth orbitOnly 12 men landed on the moonIt is 240,000 miles to the moonIn contrast, the space shuttle orbits at just 200 miles up

All landings on the moon were between 1969 and 1972No-one has been back sinceThere were 6 million parts on a Saturn V Space RocketThey had a 99.9% reliability targetOn a good day, 6,000 parts are expected to fail !!There are no pictures of Neil Armstrong !!

Page 13: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Going to the Moon: Triggers for Innovation

The Apollo Programme cost $24 Billion (in the 1960’s !!)More than 400 people have been into spaceOnly 27 people have been outside low earth orbitOnly 12 men landed on the moonIt is 240,000 miles to the moonIn contrast, the space shuttle orbits at just 200 miles up

All landings on the moon were between 1969 and 1972No-one has been back sinceThere were 6 million parts on a Saturn V Space RocketThey had a 99.9% reliability targetOn a good day, 6,000 parts are expected to fail !!There are no pictures of Neil Armstrong !!

Miniaturised computersCordless drillsWater cooled suitsMedical sensorsPowdered drinks & freeze dried foodsSmoke alarmsFire-retardant clothingFisher Space Pen !!But … not Teflon non-stick materials !!

1,000+ inventive spin-offs

Page 14: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Agenda

What is Innovation ?

Looking Back at Innovation

Who Needs Innovation ?

Successful Innovation

The Process of Innovation

Innovation within IBM

Summary

Page 15: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

The Three Horizons

Page 16: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Business Investment Alternatives

0

10

20

30

40

50

problems from the pasttoday's challenges

1-2 years focus3+ years focus

fuel for growthprofit

drag

0

20

40

60

80

100

Living dead

0

20

40

60

80

100

Dinosaur

0

20

40

60

80

100

.com

0

20

40

60

80

100

New kid on the block

0

20

40

60

80

100

Company of the future

Page 17: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

0

20

40

60

80

100

0

20

40

60

80

100

0

20

40

60

80

100

1-2 years 1-2 years

DinosaurEndangered species

0

20

40

60

80

100

Dying species

Company of the past

0

20

40

60

80

100Healthy Growth

H3

H2

H1

Pipeline of Innovation

1-2 years

Importance of a Balanced Portfolio

Page 18: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Which are the best sources for innovation and new ideas ?

Best sources for innovation and new ideas %

Page 19: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Which are the best sources for innovation and new ideas ?

Best sources for innovation and new ideas %

Employees 41

Business Partners 38

Customers 37

Consultants 22

Competitors 20

Trade Shows, conferences 18

Page 20: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

What are the obstacles to innovation ?

Obstacles to innovation %

Page 21: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

What are the obstacles to innovation ?

Obstacles to innovation %

Unsupportive culture and climate 35

Limited funding for investment 34

Government and other legal restrictions 32

Internal workforce issues 27

Process immaturity 24

Economic uncertainty 19

Page 22: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Agenda

What is Innovation ?

Looking Back at Innovation

Who Needs Innovation ?

Successful Innovation

The Process of Innovation

Innovation within IBM

Summary

Page 23: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

The 10 fundamental characteristics that determine innovation success

Source: IBM Research

Top 10 Fundamental characteristics of innovative companies

1. More active flow of ideas2. Well defined processes for realising

commercial success at any level3. Higher degree of management trust4. Explicit idea management processes

that people adhere to5. People take responsibility for

implementing their own ideas6. Take a balanced view of risk taking 7. Managers have adequate time to

explore and test new ideas8. Have managers who involve others

in developing ideas into actions9. Routinely envision the future based

on an intimate market knowledge10. Do not rely on the board alone for

significant new ideas

These account for 80% of the difference

between a low and high performer

Page 24: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Value Creation Centre (VCC)

Identification InvestigationFormulation

and Prioritization

Proof –of-Concept Pilot Production

VCC Activities Transition to BAU

VCC works withthe client to conduct research and shape

propositions

A B C D

VCC

IBM ResearchCentres

IBM Industryand technology

expertise

Through the VCC, IBM can share the technology vision,

knowledge, best practices, and solutions gained from IBM’s research, development and

worldwide customer experience

Example VCC Innovation Initiatives

Regular VCC Activities

VCC Reactive Responsibilities

Typical VCCActivities

IBM Leader: Clive HarrisAAB Leader: Ben Schreiner

Client Business / CIO Teams

Client Strategy & Global / Regional Teams

Other IBMInnovationSources

A business-led governance process sets Strategic Direction &Priorities

•Global ATM Project•Infrastructure Strategic Planning•Innovation Culture and Climate•Thinkplace & Jams•Communities and Global Collaboration•World Community Grid•Extreme Blue•Business Service Management

Some Examples:•Technology Briefings•Global Technology Outlook (IBM Research)•Regular Briefings for client teams •Global Innovation Outlook (IBM Research)•IBM Institute for Business Value (industry)

Examples:•Requests for information from the VCC•Responses to specific business issues•Requests for briefings•Locate specific IBM expertise and skills

The VCC is a joint IBM / client Team

Page 25: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Strategic AlignmentBusiness “Push” versus Technology “Pull”

TechnologyTechnologyEnablingEnabling

PULLPULL

Technology enabled Technology enabled ““Change driversChange drivers””

• Emerging Technologies• Pervasive computing• Integrated Supply chain Management• Advanced Planning • CRM• Data Warehousing/ Business Intelligence

Business Issues & Business Issues & StrategiesStrategies

BusinessBusinessRequirements Requirements

PUSHPUSH• Globalisation• Market trends (opport. & threats)• Mergers & Acquisitions• Business-transformation • …

Page 26: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Agenda

What is Innovation ?

Looking Back at Innovation

Who Needs Innovation ?

Successful Innovation

The Process of Innovation

Innovation within IBM

Summary

Page 27: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Value Creation Centre ProcessIBM’s model for sustained infusion of innovation – sharing the breadth of IBM’s extended value proposition with select clients

Executive SponsorsClient Senior Executive(s) IBM Senior Executive(s)

Value Creation Center( VCC Core Team)

Client• Co-Leader

Program Mgmt•

IBM • Co-Leader

Research AdvocatesIndustry Consultants

••

VCC Steering Committee (VSC)

Strategic DirectionInitiatives Prioritization Review and transition proj.

Lines of Business(LOB)

Project

ImplementationResources

• IBM• Client• Business partners

Project definition & Statement of WorkIdentify Resources and SourceLOB Business and IT ChampionIP Rights DefinedGuide ProjectsAssess and Report Milestones

Client Operating Environment

Key

Initiatives

Traditional Business RequirementsNominations

Project

StudiesStudies StudiesStudies

Page 28: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Scoring the Innovation IdeasVCC Themes with Scores and Priorities

Version 2, (October 2005)Criteria for Selection / Prioritisation of Themes

Directly Increases Client Revenue

Directly Reduces Costs

Enhances Clients Customer

Relationship

Develops Client Brand

Recognition

Fits / Supports Client strategy

(Global)

Develops / Levers Strategic

Capabilities Across Client

Uses IBM capabilities that

complement Client's

Weighting for Each of these Criteria (Total = 100%)

10 15 5 5 5 15 10

VCC Opportunities OverallTheme Score Scores for Each Criteria (0-5)

Innovation Theme 1 3 3.60 3 3 5 1 5 3 5Innovation Theme 2 1 4.00 3 5 3 3 3 5 5Innovation Theme 3 2 3.65 3 3 1 1 5 5 5Innovation Theme 4 5 3.40 3 5 1 1 3 3 5Innoavtion Theme 5 4 3.50 3 3 3 1 5 5 5Innovation Theme 6 6 3.30 3 3 5 3 3 3 5

0=no effect1=some effect3=more effect5=lots of effect

Page 29: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Agenda

What is Innovation ?

Looking Back at Innovation

Who Needs Innovation ?

Successful Innovation

The Process of Innovation

Innovation within IBM

Summary

Page 30: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

How IBM has embedded innovation into the businessAn innovation process

Governance– Innovation Council & Technical Experts Council– Innovation Catalysts– Joint Innovation Teams

Mechanisms– WorldJam– ThinkPlace– Extreme Blue– Center for Advanced Studies– Emerging Business Opportunities

Thought Leadership– Global Technology Outlook & Global Innovation Outlook– Institute for Business Value

Page 31: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

There are many existing IBM innovation initiatives that are available to IBM Clients … Some examples …

Focussing on emerging technologies and solutions – e.g. Grid, Linux, Digital Media …Emerging Business Organisation (EBO)

A new model, using the ITSO, to bring together our clients and researchers to jointly work on new problems

Research to the Streets

GTO Presentation TodayGlobal Innovation Outlook

Internal and external projects that focus senior IBMers and College students on new areas.

Extreme Blue

Global coordinated events across all IBM Research Labs to share and exploreResearch's Innovation Days

BCS and Research now offer consulting services based on the deep experience of IBM in numerous innovation processes, including Research and emerging business opportunities.

BCS - Innovation Management Practice

Helping IBM clients explore current business issues and gain an understanding of how to leverage technology through courses, conferences, and customized events.

IBM's innovation education – such as the Advanced Business Institute

A large multi-company investigation of the attributes and attributes of the future of national economies.

National Innovation Initiative

A workshop based class to help clients explore the future of their organization and marketplace

Enterprise of the Future - Customer Class

The study of and the principles that underline service systems. Almaden's Services Science

Joins practitioners and clients to create fact-based thought leadership that helps companies realize business value.

Institute for Business Value

Innovation Sourcing - developing Keystone Strategies to Drive Innovation & Build Market Opportunity

Innovation market spaces - external Innovation process - currently focused on Venture Capital relations

Brief DescriptionNameLinking Researchers directly with our clients to solve leading edge problems.On Demand Innovation Services

(ODIS)

Focussing on emerging technologies and solutions – e.g. Grid, Linux, Digital Media …Emerging Business Organisation (EBO)

A new model, using the ITSO, to bring together our clients and researchers to jointly work on new problems

Research to the Streets

GTO Presentation TodayGlobal Innovation Outlook

Internal and external projects that focus senior IBMers and College students on new areas.

Extreme Blue

Global coordinated events across all IBM Research Labs to share and exploreResearch's Innovation Days

BCS and Research now offer consulting services based on the deep experience of IBM in numerous innovation processes, including Research and emerging business opportunities.

BCS - Innovation Management Practice

Helping IBM clients explore current business issues and gain an understanding of how to leverage technology through courses, conferences, and customized events.

IBM's innovation education – such as the Advanced Business Institute

A large multi-company investigation of the attributes and attributes of the future of national economies.

National Innovation Initiative

A workshop based class to help clients explore the future of their organization and marketplace

Enterprise of the Future - Customer Class

The study of and the principles that underline service systems. Almaden's Services Science

Joins practitioners and clients to create fact-based thought leadership that helps companies realize business value.

Institute for Business Value

Innovation Sourcing - developing Keystone Strategies to Drive Innovation & Build Market Opportunity

Innovation market spaces - external Innovation process - currently focused on Venture Capital relations

Brief DescriptionNameLinking Researchers directly with our clients to solve leading edge problems.On Demand Innovation Services

(ODIS)

Page 32: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Types of Innovation where IBM can add value

IBM Innovation Sources(innovation “content”)

IBM iTeam Experience(best practice)

IBM Innovation Support(e.g. Research & ODIS)

e.g. CEO Study, GTO e.g. Thinkplace, Jams

IBM Innovation Methods & Approaches(best practice)

Innovation Maturity Models& Assessments

IBM Innovation Information(not content specific)

IBM “Enabling” Innovation(experience & best practice)

Business (Banking)

Ideas & Solutions

Technology

Ideas & Solutions

IBM Internal

Solutions (IGA)

Page 33: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

The Institute for Business Value is IBM’s global research group focused on issues critical to business executives

Part of IBM’s Global Business Services division

Focused on vertical industries and horizontal processes

Over 60 dedicated, experienced consultants

Primary offices in Boston, Amsterdam and Beijing

Page 34: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

IBM Assets (IGA) Adding Client Business Value (some examples)

Leverages investment in Tivoli, to rapidly deploy server refresh.Server Provisioning Platform (SPP)

Infrastructure Infrastructure ManagementManagement

Major telecommunications cost reduction for conference calls and internal voice communication.Rendezvous

On-line community collaboration tool. Steady state environment to keep Jam alive.ThinkPlace

Collaboration on a corporate scale for timely input to products, services, culture and strategy.Jam Event

Finding expertise and skilled resource globally that is open to all resource levelsBluepages (IBM Enterprise Expertise Directory)

Collaboration Collaboration ToolsTools

Single repository of content for distribution regardless of data format and mediaDigital Content Distribution

Enables fast publishing on intranet while managing adherence to standards without review councils .

WebComposer (Updating Web Sites on Demand)

Internal capital access to meet resource support requirements and customer information requirements with out costly publishing of static information and contact centers.On Demand Workplace Enterprise Enterprise

Information Information ManagementManagement

Payment compliance for employee expenses eliminating dedicated management centers and manual entry to General Ledger.

Global Expense Reporting System

Company-wide print driver manager including printer IP address. No field office or user deskside support required for access to any printer, any location.Global Print Web Solution

On-going non-intrusive inventory management, automated business control monitoring and configuration including software release.

IBM Software Asset Management (ISAM)

Compliance with software licensing agreements, eliminates deskside support for software installation, interfaces to financial systems for special buys.

IBM Software Systems Installer (ISSI)

SelfSelf--Service Service &&

Business Business ControlsControls

Value DescriptionIGA AssetValue Category

Leverages investment in Tivoli, to rapidly deploy server refresh.Server Provisioning Platform (SPP)

Infrastructure Infrastructure ManagementManagement

Major telecommunications cost reduction for conference calls and internal voice communication.Rendezvous

On-line community collaboration tool. Steady state environment to keep Jam alive.ThinkPlace

Collaboration on a corporate scale for timely input to products, services, culture and strategy.Jam Event

Finding expertise and skilled resource globally that is open to all resource levelsBluepages (IBM Enterprise Expertise Directory)

Collaboration Collaboration ToolsTools

Single repository of content for distribution regardless of data format and mediaDigital Content Distribution

Enables fast publishing on intranet while managing adherence to standards without review councils .

WebComposer (Updating Web Sites on Demand)

Internal capital access to meet resource support requirements and customer information requirements with out costly publishing of static information and contact centers.On Demand Workplace Enterprise Enterprise

Information Information ManagementManagement

Payment compliance for employee expenses eliminating dedicated management centers and manual entry to General Ledger.

Global Expense Reporting System

Company-wide print driver manager including printer IP address. No field office or user deskside support required for access to any printer, any location.Global Print Web Solution

On-going non-intrusive inventory management, automated business control monitoring and configuration including software release.

IBM Software Asset Management (ISAM)

Compliance with software licensing agreements, eliminates deskside support for software installation, interfaces to financial systems for special buys.

IBM Software Systems Installer (ISSI)

SelfSelf--Service Service &&

Business Business ControlsControls

Value DescriptionIGA AssetValue Category

Page 35: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

IGA Asset CharacteristicsAssets built by IBM to operate IBM’s business

Built on IBM branded software and hardware products

Highly scalable, supporting 400,000 employees and contractors

Diversity in Business Functions

Enabled for clients through multiple delivery models

Hardened under Intellectual Property Services Catalogue (IPSC) Process and priced with IBM standard tool.

Mix of stable production environment and new technology adoption

Page 36: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry
Page 37: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Open, collaborative global forum

Combines best practices of jams, online communities and marketplaces

Surfaces innovative solutions to specific challenges

Recognizes best ideas through incentives, recognition, time & resources

Facilitates exchange of both “large”and "small" ideas

Thinkplace

Page 38: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

General flow of an idea through ThinkPlace

Initialidea

Electedidea

Directedidea

Selectedidea

Individual submits idea. Idea is circulated on ThinkPlace home page. Collaborationis “free form” in nature—exploratory. Once enough comments and/or ranking havebeen applied the idea is deemed to have been “elected” by peers as worth investigating

Idea is automatically promoted to catalyst watch lists, based on category. Catalyst weighs in to either suggest more general collaboration is needed or “adopts” the idea

Catalyst helps focus the collaboration on key issues to address before mgmt acceptance. Catalyst acts as coach encouraging others to participate

Idea accepted by group to own “implementation” and approved by mgmt.

ExploratoryCollaboration

Focused Collaboration

Page 39: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

IBM JamsIBM has run a series of Jams on a range of subjects over a number of years – clients also took part in the most recent “innovation Jam”

Access to IBM’s Global Account team, through the VCC, allows clients to run their own Jam.

Page 40: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Jam - How do they work

Jams in IBM are online events spanning a defined period of time (usually 48 – 72 hours)

Topics defined in advance

Each major topic in a jam has its own forum, in which participants can read, post a comment or reply to other comments in a threaded discussion.

During or after the jam, participants may vote on the best ideas generated.

Text analysis tools are used to mine the content for significant themes and other information.

Page 41: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

6,046 posts

9,337 posts

32,662 posts

How has IBM used Jams?

WorldJam2001 ValuesJam WorldJam2004a new collaborative medium to capture best practices on 10 urgent IBM issues.

an in-depth exploration of IBM’s values and beliefs by employees

focused on pragmatic solutions around growth, innovation and bringing the company’s values to life

96 hrs

72 hrs54 hrs

268,233 views

1,016,763 views

2,378,992 views

Page 42: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

IBM’s Recent Innovation Jam

Page 43: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Enabling Innovation

A range of discussions initially looked at the ways in which IBMsupports innovation, collaboration and communities internally, and following this a series of more in-depth workshops have been held with the following being the main themes:

Thinkplace & Jams (see separate slides)Communities and IBM’s Community model and tools (including the IBM community “maturity model”, and IBM Community Map)Collaboration Techniques and Tools (IBM Collaboration Central)Innovation Culture & ClimateIBM Innovation Assessments, Innovation Maturity Model, and Innovation ManagementSocial Network Analysis Many Others …

Page 44: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

IBM Community Maturity Model Adaptive The community is demonstrating optimal value to its current and potential members and to the business. The community provides highly evolved sense and respond capabilities. It is now focused on specializing or subdividing to address more granular goals

Operationalized/Active The community is well established and is a part of the organization design. It is a legitimized body within the organization.

Building/ Evolving The community has begun to stabilize around formal processes, policies and norms. Additional roles may be sought out.

Formation Members discover the community and join because they have identified value or members are invited and SMEs are sought out.

Potential The group begins to emerge around the SMEs or a sponsor and leader is selected to direct and engage a core team and SMEs.

The Five Levels of Community MaturityThe Five Levels of Community Maturity

Adaptive(5)

Adaptive(5)

Building/Evolving(3)

Building/Evolving(3)

Formation(2)

Formation(2)

Potential(1)

Potential(1)

Sense & RespondCapabilities

High Performing

StandardConsistent

Operationalized/Active

(4)

Subject Matter ExpertsConnect to CreateValue

Page 45: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Using the Community Maturity Model to help communities move forward

Funding

Sponsorship

Community Roles and Responsibilities

Measures

Incentives

Technology

Activities and Processes

Strategy, Vision, and Value Proposition

Tacit Knowledge and Expertise

Membership, Meaning & Mastery

We can use the Community Maturity Model to assess communities and make development recommendationsWithin the Community Maturity Model are ten key areas of focus which work together as a system and upon which communities are developed and assessed

Page 46: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry
Page 47: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry
Page 48: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Innovation from IBM Research

Page 49: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Country= Angola= Brazil= Canada= Nigeria= Saudi Arabia= UK= USA (GOM)

SNA Example: Although there was a high level of information sharing within each country there was very little sharing between countries

Responses of “Frequently and very frequently”

How often has each person provided you with information you use to accomplish your work?

The Cost of Poor Quality (COPQ) from these countries represents 84% of the totalGulf of Mexico had a 52% reduction in COPQThe sum of the other countries’ COPQ increased by 13% during the same period

Page 50: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Agenda

What is Innovation ?

Looking Back at Innovation

Who Needs Innovation ?

Successful Innovation

The Process of Innovation

Innovation within IBM

Summary

Page 51: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Innovation Opportunities

Product, Service &

MarketInnovation

Operations Innovation

Business Model

Innovation InnovationAgenda

3. Underlying Enablers• Building the underlying

capabilities that support innovation – across all innovation types

2. Types of Innovation• Broad set of innovation types

that require different capabilities, processes and measurements to succeed

1. Innovation Agenda• Leveraging Insight to set the

strategic innovation agenda• Leading and managing the

innovation mix

Page 52: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

Create a flexible, modular technology environment that supports innovation in the businessBuild technology platforms that support incubation and collaboration

Build a balanced innovation portfolioLeverage business model innovation to gain differentiation

Leverage a network of players to achieve more dramatic innovation at greater speedsLook for tactical and strategic alliancesImprove internal collaboration

Build structures that better manage the idea capture, investigate, prioritize, fund, go to market, measure and reward processes

The Global CEO Study 2006 identifies four critical areas of focus

Product & Service

Innovation

Operations Innovation

Business Model

Innovation InnovationAgenda

Business & Technology Integration

Collaboration & Partnering

Innovation Management

Innovation Agenda

Page 53: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

In each area, CEOs need to address key questions

Key Qualifying Questions

•Has your innovation agenda expanded beyond products and services and operational innovation to business models?

•Do you know which innovation you are investing in? With what success?•How much of your innovation is routine? How much is bold and differentiating?

•Is there a formal way to surface, select and implement innovative ideas, including different structures, processes and mechanisms?

•To what extent do you encourage controlled risk-taking and experimentation within the enterprise?

•Do you have processes and incentives that encourage a climate for creativity?

•Internally, how effectively do different product, geography and functional teams collaborate in your organization? Do you achieve the results you expect?

•Externally, how often – and to what effect – do you turn outside your organization?

•Do you have the right tools, structures and processes to supportcollaboration?

•Do you continuously explore new technologies that could change your business?

Recommendations

Innovation Managemen

t

Innovation Agenda

Collaboration &

Partnering

Business & Technology

Integration

Page 54: Clive Harris IBM Distinguished Engineer clive … · Machiavelli The Prince ... 1550 Earliest surviving medical textbook written in Egypt. ... another 3M scientist named Arthur Fry

So if everyone can be innovative, maybe we just need the practice

"There is no use trying," said Alice. "One can't believe impossible things.“

"I daresay you haven't had much practice," said the Queen.

"When I was your age, I always did it for half an hour a day. Why, sometimes I've believed as many as six impossible things before breakfast."

Through the Looking-Glass

Lewis Carroll, 1872