“Design Thinking” has gone beyond fashionable in the design industry, but now quickly getting into management circles and even boardrooms. B-schools are tapping into this new trend and but many are yet to understand what it means and its applications. The idea of management that we teach in B-schools was originally designed for a set of very different kind of needs – managing repetitive tasks, improving economic efficiency and labor productivity and maximizing scale. Today the needs expand to managing complexity and extreme uncertainty that is part of our everyday environment and this is where “Design Thinking” can change management forever.
I was having a casual dialogue with a friend/client in London about strategy making and paradox of resources management between investing in today’s business vs. tomorrow’s business. As usual I went into explaining the 50 reasons why innovation is so hard for larger organizations (and the 50 tactics to deal with each of them). There is no simple and quick answer to that question; it is like asking how a company can become more profitable. The answer is growing your top-line and control your bottom-line. That doesn’t help. The same for innovation, the quick answer from consultants is separate the business and treat it like a new venture. Well yes and no. If only if it is…
I’ve a stack of books sitting on my coffee table waiting for me to write a review. I am reading less and less lately, from a historically high of 4 books a month to now 15 books a year. But I am buying more art books. And I review 2 dozen of books a year. My magazine subscriptions have been cut down from 40+ magazines to less than 10. Many including Wired and Forbes have dropped off from my list and I stop many of the journals, many are just repeating old things. It is like digging out bones from one graveyard and put them in another one. I’ve picked three books to review and share with you this week:
Most people think they know what a business model is. But when you ask them about the "strategy' then they wondered what they're talking about. Most of the time they mean business strategy (what a company does and how to make money) and use the words interchangeably. That’s fine. Then some people even get more confused when they apply that in innovation context. They mean changing or rethinking the business itself, including its core, boundaries, activities and capabilities. That’s strategic innovation. Business model innovation could be part of the outcome. But let’s face it, how many companies out there need to (and can afford to) rethink their business models?
A company can innovate…