Knowledge Creation for Breakthrough Innovation: 2013 UPDATE

1. Knowledge Creation for Breakthrough Innovation: 2013 UPDATE Phoenix Chapter February 26, 2013 Karen A. Kreutz, Retired P&G 2012 Karen.iluminov@gmail.com ILUMINOV LLC

2. Karen Kreutz Product Design Technical Marketing Innovation Capability ILUMINOV LLC www.iluminov.com June 2012

3. Table Talk Discover something NEW that YOU have in common with 2 of your table neighbors …… then Find one thing in common for a group of 4 or more!

4. The Challenge: Innovate Productively Effectiveness of Output to Create Value P = Efficient Use of Input Resources (People, Money, Time)

5. PDMA Toolbook 2 (2004)

6. Summary Organizational Knowledge Creation For Breakthrough Innovation (2004) Conclusion Breakthrough Innovation requires Tacit Knowledge Exchange. The sharing of tacit knowledge is an ‘extremely fragile process’. The speed of tacit knowledge exchange depends on the degree to which the environment is collaborative Tools & Capabilities Organizational Factors Knowledge Creation • Competency Mapping • Communities of Practice • Intranet • Vision • Culture of Collaboration

7. PDMA Toolbook 3 (2007)

8. PDMA Toolbook 3: Ch. 13 Recap 2007

9. Knowledge and its Creation Knowledge is information combined with experience, context and reflections that may be used to make decisions and take actions. Its creation is a human act and for an individual it is the interpretation of the information based on their mental models. From Peter Senge, The Fifth Discipline 2 TYPES of KNOWLEDGE Explicit knowledge: can be transferred through language(speech, writing and graphics). It is codified, structured, accessible to peopleother than the creator of that knowledge. Tacit knowledge:lies beneath the surface of conscious thought and is derived from a lifetime of experience, practice, perception and learning. It is context-specific, personal, hard to formalize and stored semi-consciously and consciously in peoples’ heads. Aka it is ‘second nature’ to each.

10. 2013 Update: Boost the Robustness of Tacit Knowledge Exchange Transformed Into EXPLICIT Representations of the Team’s Collective TACIT Knowledge Relevant TACIT Knowledge from the Individuals’ MENTAL MODELS Visual Thinking Techniques Facilitated Group Process Knowledge Modeling

11. Facilitated Group Processes

12. Strategic Visioning-Future Culture for Winning Graphic History of P&G New Story for 2015 May 2012 Action Planning Spirited Family Smart Risk Takers Open-minded & agile - curious Passionately Purposeful V I S I O N ACTION Timeless Courageous with humility B O L D S T E P S SUPPORTS CHALLENGES FIVE BOLD STEPS VALUES

13. SM The Process Knowledge Modeling Process ? Team’s Collective Tacit Knowledge Represented Explicitly Interview Subject Matter Experts Share Map …….MODEL Relevant Tacit Knowledge + Causal Linkages + Common Language Created Knowledge Empowering Decision Making & Aligned Action Elucidated Context Framework(s)

14. P&G Knowledge Modeling Case Decision Sequence Product Test Formulations Considerations Q1 Respected Subject Matter Experts Complex Technology/ Biology Interactions Different degrees of familiarity In the product category Frequent VP run meetings Not getting nearer to answers Knowledge Modeling Target Consumer Brand Context Q2 Project Dilemma Breakthrough Technology Strategic Decisions: 1) When ready to place clinical? 2) Which formula to place to win? Feasibility Aspects Data Integration GO

15. Knowledge Creation for Breakthrough Innovation: 2013 Update • Breakthrough Innovation requires effective Tacit Knowledge Exchange • Organizational vision, collaborative culture and tools / team start-up techniques • taught by PDMA Tool books are supportive for the knowledge creation process. • Newer-- yet vetted-- methods of proactive Visual Thinking approaches bring • the potential to further augment productivity despite innovation’s complexity. Thank YOU! Phoenix Chapter February 26, 2013