Financial Daily from THE HINDU group of publications
Thursday, Apr 01, 2004

Catalyst
Features
Stocks
Port Info
Archives

Group Sites

Catalyst - Strategy
Columns - Idea Break


Barriers to innovation

R. Sridhar

In many cases it is the CEO who is the biggest barrier to innovation; in some others he alone has the power and influence to make things happen.

HOW do we create a creative climate? How do we foster a climate for innovation? How can my whole organisation be creative? Not just the R&D or marketing? In everything we do?"

This is a question that CEOs often ask. Several HR professionals are equally concerned about this. There are several reasons why this question seems to come up. Here are a few:

  • Top management seems to be bearing the entire load on innovation and new ideas. Others seem interested only in executing ideas. There is no evidence of their initiative or thinking.

  • Pressures for growth and margins are high. Old ways of thinking are not adequate to meet the challenges of a fast changing market place.

  • Need to break complacency and bureaucracy creeping into a highly successful organisation.

  • Competition stealing a march.

  • Losing valuable talent. Constant pressure on numbers alone has led to a feeling that "I and my ideas are not valued. They only want my hands. Not the head and the heart."

    There are no easy answers or formulae for creating a creative or innovative climate. Nor are there standard prescriptions. I see companies rushing into idea schemes and reward systems without thinking. It only leaves employees feeling more frustrated and cynical because they do not know what happened to their ideas.

    There are two ways to approach this issue. One is to understand `barriers' to innovation and look for solutions. Another is to look at `best practice' - what other companies have done successfully.

    Let us look at the barriers to fostering innovation and creativity.

    Fear. Fear is the number one enemy identified by most CEOs and managers I have talked to. Fear of failure. Fear of ridicule. Fear of decision-making. Fear of making mistakes. Fear of taking risks. Fear about job security. Fear of change. As one of them said, "Fear freezes". Interestingly in many cases `fear' may not be real and it could be the employee's lack of ownership and courage.

    Bureaucracy and policies. Needless Red Tape. This stifles new thinking and fresh approaches. Even in the best of companies `red tape' lurks around in some form or shape.

    Silos and Turfs. Individual fiefdoms prevent collaboration and experimentation. Especially if it involves new ways of working; unwillingness to share power, responsibility and reward. Empowerment is more a lip service and there is no intellectual acceptance of the benefits of innovation. Inherently, the top man does not trust whether it will help the company or if it is really needed. Therefore he could say all the politically right things about need for innovation at all the right fora but doesn't do anything about it.

    Unrelenting pressure to produce results today, as if there is no tomorrow. This has often led to the tyranny of the either or. Either you can be innovative or you produce results. Innovation is not relevant unless you can summon it on demand and produce short-term results.

    Right hand does not know what the left hand is doing. As a result an idea that worked in area is seldom replicated across the company. NIH - Not Invented Here Syndrome is another tough enemy here. Size breeds distance. As companies grow they lose touch with customers, employees and people who can give them ideas. They lose the ability to listen.

    Poor leadership and commitment to innovation. If the CEO does not have time for innovation, you can be sure that nothing will happen. Much depends on how the CEO demonstrates his commitment to innovation. What he says and does in this context will be more powerful than the speeches he makes. How does he respond to new ideas? How does react to ideas that may not have occurred to him? Is he willing to let other people get the recognition and reward for innovation? Is he really passionate about it? Is he willing to change personally to make this happen? Is he willing to put his neck on the block, put his money where his mouth is, to support innovation? What does his daily conversation cover?

    If the CEO is driven, passionate and committed, all the other issues are easily solved because he will create the way. In many cases it is the CEO who is the biggest barrier to innovation. In some others he is the only one who has the power and the influence to change things and make things happen.

    Breaking the barriers to innovation is really about changing "what we believe and how we behave". It is not about a few fancy creativity workshops or employee suggestion systems.

    It requires a band of believers, and evangelists who are determined to make the shift no matter what. People who are willing to challenge old ways and break a few rules in the bargain.

    How difficult is it really, to do all this? I recommend one book to every one interested in Innovation, Creativity and Change. It is called To the Desert and Back - a story of transformation and change in one of the Unilever companies. I see it as a book on the innovation movement starting with a personal example right at the top. The reason I am referring to this book is because instituting an innovation culture is as tough as any change management initiative you can look at. What is refreshing is the completely new way in which the CEO has gone about it.

    If you are a CEO, an HR chief or a consultant do read the book. You will get plenty of ideas to break the barriers to innovation.

    (The writer, a creativity and innovation consultant, is partner, IDEAS-RS.)

    Article E-Mail :: Comment :: Syndication

  • Stories in this Section
    Barriers to innovation


    Marriages made on the Net
    Branded healthcare
    Mumbai Mosaic
    It's the feel good factor
    High tech will change advertising
    The strains of music
    Electrolux's new gambit
    First-hand insights for managing brands
    Electrolux's single brand strategy
    A book on media lingo
    Hardsell
    Twister lamps
    Smooth writing
    Flawless skin
    French perfume
    Swiss timepiece
    Rust-free
    Wider view
    Be a topper!


    The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription
    Group Sites: The Hindu | Business Line | The Sportstar | Frontline | The Hindu eBooks | Home |

    Copyright © 2004, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line