managing innovation – submarine projects

Download Managing Innovation – Submarine Projects

Post on 24-Apr-2015




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Submarine Projects are VERY effective to foster innovation in an organizations. Here are our two cents on this subject. We presented this in a distinguished community on business management in Germany. Author:Thomas Vetter (Senior Vice President and Head of Retail Development at SAP) and Puru Govind.


  • 1. Managing Innovation Submarine Projects - Dr. Thomas Vetter Senior Vice President and Head of Retail Development, SAP AG - Puru Govind Director and Chief Operating Officer, Retail Product Management, SAP AG
  • 2. Disclaimer These are our personal thoughts and doesntnecessarily represents our employers thoughts.
  • 3. Why Managing Innovation ?
  • 4. And Some Thoughtful Quotes Its tough when markets change and your people within the company dont. (Harvard Business Review). What we have done to encourage innovation is make it ordinary. (C. Wynett, Procter & Gamble). Small opportunities are often the beginning of great enterprises. (Demosthenes).
  • 5. So, How ? Submarine Projects What is a submarine project ? Project that employees do against the acceptance of management or without the knowledge of management. Example: One of the business programming languages. Project that employees do out of curiousity. Example: Google Mail; Google Talk; Orkut
  • 6. How Other companies do it ? do it by 80-20 rule(or rather 70- 20-10 rule). has it in its culture. Does employee Manuals read like this ?. has a Garage.
  • 7. How does it Grassroot Innovation TGIF (Technology Group Innovation Friday) Example: Big Iron Management DemoJam Example: TwoGo SAPs carpooling software. Idea Management Example: Efficient Lunch Serving in SAP Labs, Bangalore. InnoJam Check winning idea of Innojam, Vegas Ties with Academia Stanford; Hasso Plattner Institute etc SAP Research Example: Current project: Internet of things; Business Web
  • 8. : :A perfect example Carpooling! : Video First showcased in DemoJam by two employees. They WON. Developed more. Reached state of art. Now being widely used in SAP: saved 210,000 miles of driving in just an year. Btw follow @sustainableSAP
  • 9. SWOT of Submarine ProjectsStrength Weaknesses Employee Engagement Might not be feasible for a company that Bottom up Insights to Senior Management. isnt running on high margins and isnt sitting on cash pool. You solve the REAL problems that the end user is facing. Easy fanfare.Opportunities Threats Creative potential of whole employee base. Employees diverting away from companys Adding different feathers to companys strategy. offerings. WATCH your Operating Margin! Targets various aspects: Check your Real-attrition. They might end Products, Process, Services, Value and up in a Garage in Bay Area. Market.
  • 10. Recommendation Engage Employees in Submarine projects. However, there should be a balance between anarchy and democracy(or creativity and discpline) Establish a process of Innovation Governance. Introduce programs such as TGIF. Guide the employees and not manage them on Innovation.
  • 11. The Balance
  • 12. Guiding
  • 13. Instruments of Guiding Give them opportunity and space to THINK. Introduce methods to employees Design thinking. We do this at SAP. Triz methodology de Bonos Six Thinking hats model etc .
  • 14. Thank You.For questions, feedback etc write to us on OR
  • 15. APPENDIX
  • 16. Design Thinking: From Problem to Solution Reframe of Design No touch Challenge solution Validation with 17 travelers Design Principles Trust Card 42 interview partner Program Travel Personas Prioritized ideas & Mobile ReceiptDesign Challenge 2 peers Run Better design concepts Capture 2 service provider