An innovator provides the customers with products and services that are more valuable than the other alternatives. In other words, the combination must be “better” than other solutions (in the customer’s point of view), in terms of benefit versus cost.
Benefit: What you get. Higher performance, faster, more features.
Cost: What you give up to get it. Money paid. Fear of it not working as promised (yes, it’s emotional), easy to get (nearby or delivered), other forms of convenient.
When they say, “Too expensive” they mean not beneficial enough.
Think Big to Attract Resources and Capabilities
If people are willing to give you resources or dedicate their capabilities, you are getting confirmation that you are probably doing something worthwhile. The idea is somewhat similar to chicken and egg. More customers lead to more resources and capabilities and more resources and capabilities lead to more customers.
Entrepreneurs bring together different types of people and ideas to create innovations. Entrepreneurs work from the small power perspective. They don’t just start companies, but can be found in many organizations, so we call them Change Makers.
What do we need to do as a Change Maker?
- Create innovations (easy to say! harder to do?)
- Solve customers’ problems.
- Link different types of people, with different ideas.
- In short, get out of the office, from time-to-time!
How to we begin as a Change Maker?
- Start with the right customers, those who need you the most => innovators (Fear the Known).
- Solve big problems.
- Build your innovation on a combination of capabilities (Entrepreneurs and being the people in the middle).
- Be willing to do it, and willing to learn.
- Experiment: fail quickly and cheaply to learn and succeed (IDEO).
- Develop a mindset, don’t seek out a recipe.
- There isn’t a recipe for doing research;
- There isn’t a recipe for doing marketing.
- Seek to understand how customers work, just like you seek to understand how the physical world works.
- Develop customers, while we develop products.
- Solve customers problems: no one will pay you to solve a “non-problem”.
- Find big problems, then solve them.
Remember: Innovation is a Social Activity
- An opportunity can come when The Change Maker links between different networks (not just closed networks.
- Inside an existing company, or when starting a new company…
- Ideas need to get nurtured; developed and tested, before there will be “formal” approval.
- Change Makers must rely on charm, inspiration, and persistence.