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Integrating Innovation Strategy & Project
Portfolio Management
Paul R. Williams, PMPThink For A Change, LLC.
©Think For A Change, LLC.
What Is The Difference Between Creativity & Innovation?
What Is The Difference Between Creativity & Innovation?
Creativity: The purposeful and organized pursuit of new ideas
Innovation: Acting on ideas to develop new products, services, processes and/or business models
Creativity: The purposeful and organized pursuit of new ideas
Innovation: Acting on ideas to develop new products, services, processes and/or business models
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Innovation – The RealityInnovation – The Reality
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What Is The Difference Between Project and Portfolio Management?
What Is The Difference Between Project and Portfolio Management?
Project Management: The discipline of planning, organizing, and managing resources to bring about the successful completion of specific project goals and objectives.
Portfolio Management: The method of organizing similar projects as part of an overall investment or strategic portfolio.
Project Management: The discipline of planning, organizing, and managing resources to bring about the successful completion of specific project goals and objectives.
Portfolio Management: The method of organizing similar projects as part of an overall investment or strategic portfolio.
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Portfolio Management – The RealityPortfolio Management – The Reality
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20 Years???20 Years???
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Nine Basic Steps of InnovationNine Basic Steps of Innovation
Problem Identification:1. Root Cause Analysis & Definition2. Applying Existing Knowledge to the Problem
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Problem Identification (Panic)Problem Identification (Panic)
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Nine Basic Steps of InnovationNine Basic Steps of Innovation
Problem Identification:1. Root Cause Analysis & Definition2. Applying Existing Knowledge to the Problem
Idea Generation:
3. Applying Idea Generation Techniques
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Idea Generation (Killing)Idea Generation (Killing)
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Nine Basic Steps of InnovationNine Basic Steps of Innovation
Idea Management System:4. Idea Input5. Idea Feasibility Analysis6. Idea Selection
Problem Identification:1. Root Cause Analysis & Definition2. Applying Existing Knowledge to the Problem
Idea Generation:
3. Applying Idea Generation Techniques
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Idea Selection (Cobbling)Idea Selection (Cobbling)
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Nine Basic Steps of InnovationNine Basic Steps of Innovation
Idea Management System:4. Idea Input5. Idea Feasibility Analysis6. Idea Selection
Problem Identification:1. Root Cause Analysis & Definition2. Applying Existing Knowledge to the Problem
Prototype & Implement:7. Idea Implementation8. Idea Feedback9. Idea Changes
Idea Generation:
3. Applying Idea Generation Techniques
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Implementation (Sort of…)Implementation (Sort of…)
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The Innovation Project Portfolio Concept
The Innovation Project Portfolio Concept
APPROACHAPPROACH STRATEGYSTRATEGY BLENDBLEND COMMITMENTCOMMITMENT ENGAGEMENTENGAGEMENT BALANCEBALANCE EXTRAORDINARYEXTRAORDINARY
APPROACHAPPROACH STRATEGYSTRATEGY BLENDBLEND COMMITMENTCOMMITMENT ENGAGEMENTENGAGEMENT BALANCEBALANCE EXTRAORDINARYEXTRAORDINARY
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The Innovation Project Portfolio Concept
The Innovation Project Portfolio Concept
STEP 1: Define your portfolio
APPROACHAPPROACH A portfolio is nothing
more than a logical collection of strategically similar projects
An innovation project is simply the management of an idea as defined above in the nine step process
STEP 1: Define your portfolio
APPROACHAPPROACH A portfolio is nothing
more than a logical collection of strategically similar projects
An innovation project is simply the management of an idea as defined above in the nine step process
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The Innovation Project Portfolio Concept
The Innovation Project Portfolio Concept
STEP 2: Develop a
STRATEGYSTRATEGY or risk profile on “incremental vs. breakthrough” and “sustaining vs. disruptive” innovation initiatives
STEP 2: Develop a
STRATEGYSTRATEGY or risk profile on “incremental vs. breakthrough” and “sustaining vs. disruptive” innovation initiatives
Sustaining Breakthrough
IncrementalE
XIS
TIN
G
EX
IST
ING
vs.
NE
W
Disruptive
HIGH RISK
NE
W
LOW RISK
RISK
Sustaining Breakthrough
IncrementalE
XIS
TIN
G
EX
IST
ING
vs.
NE
W
Disruptive
HIGH RISK
NE
W
LOW RISK
RISK
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The Innovation Project Portfolio Concept
The Innovation Project Portfolio Concept
STEP 3: Ensure the innovation
portfolio matches the incremental vs. breakthrough strategic BLENDBLEND
For example, if you decide that your organization should devote 70% of the time to product extensions and 30% of the time on new-to-market products, your innovation portfolio would have a 70/30 mix of these types of new idea projects
STEP 3: Ensure the innovation
portfolio matches the incremental vs. breakthrough strategic BLENDBLEND
For example, if you decide that your organization should devote 70% of the time to product extensions and 30% of the time on new-to-market products, your innovation portfolio would have a 70/30 mix of these types of new idea projects
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The Innovation Project Portfolio Concept
The Innovation Project Portfolio Concept
STEP 4: Ensure that you have a broad range of
COMMITMENT COMMITMENT on the Innovation Portfolio Management Team from across your organization.
STEP 4: Ensure that you have a broad range of
COMMITMENT COMMITMENT on the Innovation Portfolio Management Team from across your organization.
INNOVATIONPORTFOLIO
MANAGEMENTTEAM
PROJECTMANAGEMENT
OFFICE
INFORMATIONTECHNOLOGY
MARKETING FINANCE LEGALHUMAN
RESOURCES
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The Innovation Project Portfolio Concept
The Innovation Project Portfolio Concept
STEP 5: Ensure that you
have Senior Leadership ENGAGEMENTENGAGEMENT
Preferably a strong decision maker with authority
STEP 5: Ensure that you
have Senior Leadership ENGAGEMENTENGAGEMENT
Preferably a strong decision maker with authority
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The Innovation Project Portfolio Concept
The Innovation Project Portfolio Concept
STEP 6: Ensure that you
constantly BALANCEBALANCE the innovation management portfolio against the overall organizational strategy
STEP 6: Ensure that you
constantly BALANCEBALANCE the innovation management portfolio against the overall organizational strategy
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The Innovation Project Portfolio Concept
The Innovation Project Portfolio Concept
STEP 7: Hire and retain
EXTRAORDINARYEXTRAORDINARY project, program and portfolio managers!!!
STEP 7: Hire and retain
EXTRAORDINARYEXTRAORDINARY project, program and portfolio managers!!!
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Innovation Needs Project Management
Innovation Needs Project Management
KEY POINTS: Each step along the overall organizational creativity and
innovation process requires management of a set of tasks, resource availability/time, issues and risks, decision points, etc.
In essence, project/program/portfolio management skillsIn essence, project/program/portfolio management skills By combining the skills of a project manager with the
skills of an idea generator, we have the ingredients for successful innovation
A dreamer...matched with a doer A dreamer...matched with a doer By combining the discipline of project management with
the free-wheeling excitement of idea generation, we have increased the odds of innovative success
Unbridled enthusiasm...matched with a set of tasks leading Unbridled enthusiasm...matched with a set of tasks leading to an endto an end
KEY POINTS: Each step along the overall organizational creativity and
innovation process requires management of a set of tasks, resource availability/time, issues and risks, decision points, etc.
In essence, project/program/portfolio management skillsIn essence, project/program/portfolio management skills By combining the skills of a project manager with the
skills of an idea generator, we have the ingredients for successful innovation
A dreamer...matched with a doer A dreamer...matched with a doer By combining the discipline of project management with
the free-wheeling excitement of idea generation, we have increased the odds of innovative success
Unbridled enthusiasm...matched with a set of tasks leading Unbridled enthusiasm...matched with a set of tasks leading to an endto an end
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Project Management Needs Innovation
Project Management Needs Innovation
“The real source of wealth and capital in this new era is not material things.. it is the human mind, the human spirit, the human imagination, and our faith in the future.” -Steve Forbes
"Innovation distinguishes between a leader and a follower."-Steve Jobs
"The winner is the chef who takes the same ingredients as everyone else and produces the best results."-Edward de Bono
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Fight The “Antibodies”Fight The “Antibodies”
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Prepare for the Next Revolution!Prepare for the Next Revolution!
“Sometimes…corporate culture change happens via revolution…
…The coming revolution will be fought over ideas and the desire of people to be free to bring new ideas to light (true innovation) versus the pursuit of following the processes of others (best practices)”
Tom Peters
“Sometimes…corporate culture change happens via revolution…
…The coming revolution will be fought over ideas and the desire of people to be free to bring new ideas to light (true innovation) versus the pursuit of following the processes of others (best practices)”
Tom Peters
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Use of BrandCamp cartoon images courtesy of Tom Fishburne and SkyDeckCartoons.com. Check out his new book “This One Time At Brand Camp” on Amazon.com!