SERVICES
Whether you have mature systems or have just started your journey, Innovation and Risk LLC offers a variety of services to help you take innovation to the next level.
Let us help you accelerate and grow - while you learn to manage and mitigate risk.
Innovation Maturity
Assessment
The most mature innovation systems fully integrate all aspects of the enterprise. They consider uniquely valuable elements across the business functions and seamlessly integrate them into a cohesive business strategy. Expected project costs are understood and controlled; the path to anticipated returns is well-defined. Launch strategy is Risks are well understood and processes are in place to mitigate them. Those who are early in the journey may see innovation as the purview of a particular department or a single function. Innovation is treated as a tactical activity, rather than a strategic pillar. Risks may not be recognized or assessed. Allow us to come to spend time with your team and help you understand your innovation strengths and opportunities.
Risk Assessment
Workshop
What are the risks you face? How likely is each risk? How severe are the consequences if the risk occurs? These are the fundamental questions that we ask when assessing risk. They are the same for enterprise risk, innovation risk, supply chain risk, travel risk, or any other business (or personal!) risk. Using the Innovation and Risk framework, we will help you capture and understand the risks you face in your current and future product and service portfolio. Using a cross-functional approach, the risks will be prioritized for mitigation. Mitigation planning facilitation is also available.
Portfolio Horizon and Risk Assessment
Innovation activities are often categorized using the 3-horizon model, originally developed by McKinsey. Investing exclusively in Horizon 1 innovation (improvement and incremental innovation, “extend and defend”) makes it difficult to grow faster than the market – clawing for market share in a crowded space. Over-investing in Horizon 3 (disruptive innovation) risks continual failure without payback and loss of core business from inattention. Investing in Horizon 2 (new innovation and new business models) is not the sweet spot this would imply. Horizon 2, when successful, will allow you to out-grow your competition, but at the risk of losing current business and/or being disrupted from an unanticipated entrant. What balance of these risks best reflects your unique business? This engagement will help to articulate the organization’s risk tolerance profile, adding depth and color that will drive alignment of the entire team. We will then assess the innovation portfolio with respect to the consensus on risk. We will identify areas and horizons that may be over-invested and discover which areas and horizons deserve additional attention.
Megatrends and Future Consequences Workshop
Changes in policy, practice, law, regulations, and the like can have profound effects on businesses. The first order effects are straightforward and easily understood. When asbestos was identified as a substantial health risk it led directly to product reformulation. Second order effects are also relatively easy to predict: asbestos related lawsuits have been ongoing for decades and will continue for another 20-30 years at least as asbestos bans in the US will not be fully in effect until 2036. But what about higher order effects? What industries will suffer as a result of these bans? Which industries will benefit? What product and service spaces will open and which will close? In this workshop we will take a top-level trend and break it down. The potential ramifications will be examined with respect to the business. We will identify potential risks to the current portfolio and uncover development opportunities. This workshop is a great way to stay well ahead of your competition. Expect to find 2 or 3 potential risks and 2-3 Horizon 3 opportunities.
Design of
Experiments
Many experimental plans use a linear approach that changes just one variable at a time. This approach, while common, risks missing interactions among variables and makes it especially difficult to test the effect of many variables. Single variable experimentation can prove to be inefficient in the long run. Using statistically sound approaches, one can simultaneously test numerous variables across the range of interest. Relative error is also built into the analysis, so you can set process tolerances directly from your development work. This workshop teaches the fundamentals of factorial design and fractional factorial design through an interactive approach either in person or virtually. Take advantage of the opportunity to plan, execute, and analyze.
Multiple Regression and Hypothesis Testing
Your organization undoubtedly has massive amounts of data. And likely has very little information from that data. Multiple regression is a statistical approach to find out what variables matter from the data that you already have about your processes and products. The technique leverages large quantities of data to make up for correlated data (more on that when we talk!) Using this method, you will learn to identify which input variables matter so that you can focus your continuous improvement efforts on the things that matter. We will use real-life data from your organization as part of our training. This session can also include hypothesis testing. This is a statistical method helps answer questions like, “Is my product really better than the competitors?” “Does our longer video drive more web traffic than the shorter video?” “Are Shakira’s sales calls more profitable than Josh’s? Learn how to make these comparisons, and how to use them correctly, to ensure that your innovations are truly bringing the value you invested for.
Phase Gate Process - Development or Upgrade
Phase Gate models (Stage-Gate is a registered trademark) are among the most fundamental of innovation planning processes. Properly implemented it is a complete business process that touches essentially every functional area of the company. The goal is to mitigate risk by ensuring that additional funds are not committed until agreed upon benchmarks are achieved. When structured as a business process, rather than an R&D or engineering process, helps to ensure that there is a clearly defined market target and value proposition before scale-up, minimizing risk of launch failure. Phase Gate models can be scaled and adapted to meet the demands (and process maturity) of your organization. We will work together to assess current state and then build a model that fits the business. Each function will be part of the development, and each function will understand their responsibilities at each stage and why they matter. Together we will move the portfolio into the Phase Gate system and support the transition so that value is realized quickly. Already have a Phase Gate system? Together we can evaluate the strengths and weaknesses, making if both more robust and more streamlined. In either case, your business will benefit from a system that is right-sized for you.
Introduction to
Futurecasting
Do you want to learn how to predict the future? If so, you’ve come to the wrong place! Futurecasting methods help identify possible futures and prepare for them – maybe even influence them. We approach the problem through empathy, considering “a person in a place with a problem.” Now consider this ten years in the future. Why ten years? It is conceivable and liberating. You can imagine that far in the future but it’s well outside your strategic plan. The process is also inclusive and fun. Expect several outcomes from this workshop. - Clear targets for your innovation efforts – things to act on tomorrow and things to do when a “gate” is triggered - A compilation of “gates” and “flags” that will help you to understand which future is most likely and guide future actions - A highly engaged team, motivated to succeed as a result of their deep engagement in the process
Capacity Analysis and Growth Planning
Successful innovation requires the ability to provide new products and services with high reliability. The ability to do so is dependent on both equipment and staffing. Working together we will ensure that your production capability is prepared to be successful.
Unlock Innovation,
Minimize Risk—Schedule Your
Strategy Session Today!
Transform your business with expert innovation strategies and proactive risk management. From data insights to future casting, we help you stay ahead of the curve. Let’s chart a course for your success.