“Coping with the Innovation Paradoxes : The challenge for a New Game Leadership”

1. “Coping with the Innovation Paradoxes: The challenge for a New Game Leadership” Wim Buekens Lecturer of Strategy, Entrepreneurship and International Business, Faculty of Applied Business – University College Ghent, Belgium Senior Staff Member, CC Strategy, Entrepreneurship and Governance – Vlerick Business School, Belgium

2. Contents • Dealingwithparadoxes • Restoring the vitality in organizations • Towards a new style of leadership to restore the vitality and cope with the innovation paradoxes

3. Dealingwithparadoxes • The paradox of flexibility • The paradox of failure • The paradox of business success • The paradox of knowledge • The paradox of strategic alignment

4. The paradox of flexibility • Structures, maps, models, guidelines, and systems … that is all about reducing variability • Innovation is about increasingit- and that often means allowing the kind of “fuzziness"

5. The paradox of failure We learn by our failures. Our errors are the "whacks" that lead us to “think something different.”

6. “newer” technology discontinuity mature “older” technology Performance key pacing emerging Time / Cumulative R&D Investment The paradox of business success

7. The paradox of knowledge • Having too much knowledge often locks you inside a perceptual tunnel (''expert syndrome'') that prevents you from gaining novel insights • Group think… • Not invented here syndrome… Unlearning is particularly difficult for successful organisations.

8. Institutional Blindness… The barrier to radical innovation Video by Patrick Dixon

9. The paradox of strategic alignment

10. In an innovation project, the aim is to stretch the boundaries of your market offerings by finding uncontested new market space.

11. “Incrementalism is innovation’s worst enemy.” Nicholas Negroponte

13. Entrepreneurship and Management

14. Restoring the vitality in organizations • Vision • Talent • Commitment

15. Vision • Still too often strategy is considered to be a privilege for top management • The process of co-creation where not only people at different levels but also customer groups give their input. The strategy will much faster and much stronger be engrained in the DNA of the organization

16. Talent • Everyone has talent but the question is if people are invited to use it • Very much linked to the organization culture and to the issue of trust. • So-called learned helplessness which leads to situations where nothing is questioned anymore

17. Commitment Low involvement leads to a low change potential at the level of the individual which leads to a lack of innovation and flexibility at the organization level.

18. ENTREPRENEURSHIP ENTREPRENEURSHIP MANAGEMENT MANAGEMENT Co Co - - ordination ordination Initial Initial Opportunity Opportunity Market Market Resource Resource (New) co (New) co - - of old of old discovery discovery refinement refinement making making acquisition acquisition ordination of ordination of resources/on resources/on - - (new) resources (new) resources going activity going activity Discovery process Discovery process Exploitation process Exploitation process Managerial Leaders • Primarily occupied by the day-to-day activities • Lack an appropriate long-term vision for growth and change. • They need order and stability and want to control the details • Create stability in their working environment

19. ENTREPRENEURSHIP ENTREPRENEURSHIP MANAGEMENT MANAGEMENT Co Co - - ordination ordination Initial Initial Opportunity Opportunity Market Market Resource Resource (New) co (New) co - - of old of old discovery discovery refinement refinement making making acquisition acquisition ordination of ordination of resources/on resources/on - - (new) resources (new) resources going activity going activity Discovery process Discovery process Exploitation process Exploitation process Visionary Leaders • Primarily future-oriented, proactive and risk-taking • Tendency to neglect the day-to-day operations • Ability to inspire followers

20. Strategic leaders can combine best of both of the leaderships • dual focus on exploitation and exploration • dual focus on short and long term • dual focus on developing and attracting talent Strategic leaders are able to see the broader picture but also are interested in the details of the daily operations