BSBINN502 Learning Resource Handout

Handout
BSBINN502 Build and sustain an innovative

work environment
Lonsdale Institute PTY LTD
Learning Resource
BSB51415 Diploma of Project Management
BSB51915 Diploma of Leadership and Management
BSBINN502 Build and sustain an innovative work environment
Disclaimer:
Lonsdale Institute PTY LTD does not own the rights to the resources below. Any resources provided in this
document are to be used for study/research purposes only, as per Section 40 of the Australian Copyright Act 1968.
Citations attributing works to the copyright owner have been provided for all resources used.
CONTENTS
Lead Innovation by example ..........................................................................................................................................2

Leadership .................................................................................................................................................................2
Leadership and Innovation ........................................................................................................................................4
Establish work practices that support innovation and promote innovation .................................................................4
Promote innovation .......................................................................................................................................................8
Physical environment that supports innovation .........................................................................................................10
Provide learning opportunities ....................................................................................................................................12
Learning Resource Page 1 of 15

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Lonsdale Institute Pty Ltd
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Learning Resource
LEAD INNOVATION BY EXAMPLE
LEADERSHIP
Leadership is the process by which one individual influences the behaviours, attitudes and thoughts of others. Leaders set
the direction by helping others see what lies ahead and rising to the challenges. They see everyone’s potential and
encourage and inspire those around them. Leading by example is a trait of a true leader. A group of individuals with poor
leadership will quickly degenerate into conflict, because everyone sees things differently and will naturally lean toward
different solutions.
Ethics
Leaders can guide nations or businesses in either a positive or negative direction. For example, Adolf Hitler had strong
leadership skills but put them to horrible uses. By contrast, the head of a charitable organization can use the same type of
leadership skills to guide the group to help others. Ethics are a key element of leadership. They are the inner compass that
motivates and directs a leader toward what is good and fair, and ethics help guide leaders in using their skills for noble
purposes.
Leading By Action
Leaders must lead with their actions as well as their words. Leaders can effectively translate intention into reality by acting
on the concepts and messages they teach and the things they say to those around them. Leadership is the act of setting
the right example for those who follow. Leadership is about actively demonstrating your belief, not just talking about it.
People who say one thing but do another eventually lose credibility.
Standard by Example
Leaders' actions set an unspoken standard about what is appropriate and what is not. Followers learn about acceptable
behaviors through observation. For example, a leader can consciously or unconsciously set the dress code for an office by
wearing a certain style of clothing to work. That's why it is important for leaders to check their own behaviors and lifestyles;
followers will watch, learn and imitate what leaders do.
Higher Standard
For an organization to grow, the people within it also must grow. The way for leaders to bring a team to a higher standard
is by committing to a greater challenge themselves. The abilities, talents and characteristics of leaders provide a larger
foundation on which those around them can grow, both as individuals and as a group. By being the example of greater
discipline and greater drive, a leader encourages those who follow him to adopt a higher standard as well.
(source: http://smallbusiness.chron.com/importance-leading-example-31860.html )

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Leaders are those who make good things happen. One of the best ways they do it is by giving people a reason to believe
and to follow. That’s simple and easy to say, but it takes a lifetime of trying to put into practice. There are no shortcuts, but
there are signposts. The job of a manager is to get the system running; it is the job of the leader to turn on the system,
and, more especially, to get others to turn it on. There are four ways to do this:
1. Set the right example. Our concept of a leader may be shaped in part by the nineteenth century model of a cavalry
officer. This person earned his position because he could outride, outshoot, and outdrink every man in his regiment, not
to mention outcharm all the ladies. There is a germ of truth in the cavalry officer’s approach to leadership, and that is
capability to do the job and do it well. Employees have to know that their leader has what it takes to do the job. Today’s
executive jobs are less physical (save for global travel), but they do demand critical thinking skills. Leaders need to
communicate by example that they have the smarts to handle the job.
2. Act the part. A mantra of the entertainment industry is that it is show business. (Not the accent on show.) For
producers, this means they must provide some sizzle with their ideas; for actors, it means they must put their heart into
their roles. The same sense of show applies to leadership. You have to demonstrate that you are in charge and that
you have what it takes. And better yet, you love it. Look at videos of Ronald Reagan as president; from his radiant smile
to his confident step it was clear that he loved his job, every minute of it. And as a trained actor, he knew how to project
that confidence. Acting the part of a leader requires a willingness to get out of your skin and connect with others. It’s not
dissembling; it is authenticcommunications when it comes from your heart and is rooted in your values as a leader.
3. Handle the tough stuff. Few people in high places get there without being knocked over a few times. Being flattened is
nothing to be ashamed of; how you rise to your feet is what counts. If you do it by acknowledging your shortcomings
and then set about remedying it through further education, training, or even experience, you demonstrate that you have
resilience. Employees deserve leaders who know how to bend, but not break. Such leaders handle the issues that
make everyone else weak in the knees—a fierce new competitor, a pending merger, or conflict in the workplace. They
need to know that their leader has the heart to embrace a challenge and the guts not to break down in the face of
adversity. They also need to know that their leader has brains enough to back off from the impossible so as not to break
the organization. Savvy leaders pick their moments carefully; tough leaders persevere.
4. Put the team first. Leadership is not a solo act; leaders point the way, but others carry the load. Therefore, the person
in charge earns credibility by working collaboratively with the team as well as sharing credit for any success. More
especially, leaders who stand in the spotlight when things go poorly earn more than respect; they gain the hearts and
minds of their followers. Such commitment, nurtured by respect for individual and collective abilities, will prepare leader
and team to accomplish more in the future.
Command is granted; leadership is earned. That’s an adage that governs our military. People are put into positions of
authority, but it is up to the individual to earn the respect and trust of his followers. The chief coin of such earning is
example. When followers see the leader doing what is right for the team; that is, supporting, developing, nurturing, and
defending in good times and bad, they grant their trust. The same trust-building revenue applies to individuals. Managers
who put the interests of their people first by finding ways to help them grow, develop, and take on more responsibilities
cease to be mere managers; they are leaders of men and women who have earned their rank by giving their people a
reason to believe.

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Top 15 Things Leaders Need to Know to Inspire Results

1. Demonstrate character. It forms the foundation of everything a leader says and does.
2. Be accountable for your actions and responsible for the actions of others.
3. Check your ego at the door (and keep it there).
4. Promote resilience. There is no shame in getting knocked down; it’s getting back up that matters.
5. Get in the habit of asking questions but do not expect easy answers. Make it safe for people to ask you questions, too.
6. Manage around obstacles. The path to fulfilled goals is seldom straight.
7. Management is the discipline of detail. Leadership is the art of thinking beyond details in order to make things better.
8. Drive innovation by encouraging everyone on the team to think and act creatively. Good ideas can come from anyone
at anytime.
9. Encourage dissent about issues but promote civility around people.
10. Create a winning culture so that people feel confident about themselves and their work.
11. Change always happens. Learn to anticipate, embrace, and adapt to it and teach others to do the same.
12. Teach others “the how” —then get out of the way and let people do their jobs.
13. Honor tradition but seek to do things that benefit people today and for tomorrow.
14. Get off the pedestal. Leadership is less about who you are than what you do!
15. Lighten up. Take the work (but not yourself) seriously!
(source: http://www.amanet.org/training/articles/Leading-by-Example.aspx )
LEADERSHIP AND INNOV ATION
See ‘Innovation leadership’, handout pdf from http://insights.ccl.org/wp-

content/uploads/2015/04/InnovationLeadership.pdf
ESTABLISH WORK PRACTICES THAT SUPPORT INNOVATION AND PROMOTE INNOVATION
Times are dangerous. Many companies are thinking about cutting their costs, however this can also send a message that
staff should maintain the status quo and that new ideas are not welcome.
The last recession taught smart companies a valuable lesson – while poorly-managed companies bunkered down in
survival mode, innovative companies snuck up and took the hibernating companies’ market share.
Consumers, starved for new products and services that are cheaper, better and more exciting, supported these innovators.
As the cycle turned, poorly-managed companies hit the mid 1990s with diminishing revenue and market share, and
nothing in the product pipeline.
So as times get tough, it is imperative that companies foster a culture of innovation. But how? RMIT University recently
studied 92 fast growing companies to look at how these entrepreneurs develop a sustainable culture of innovation.

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Here are the top 10 ways they foster an innovative culture.

1 Vision and core business values sets the tone
Innovation starts with the leadership qualities of the founder or CEO. The research found that nearly all the entrepreneurs
had similar qualities – they were passionate about their work, had a positive and optimistic outlook, do not allow setbacks
to hinder their drive and vision, are forward thinkers, determined, thrive on difference and change; surround themselves
with like-minded individuals, concentrate on team culture, learn from their mistakes, and aim to resolve problems quickly.
The entrepreneurs make sure they share the long term vision with everyone in the company and that they have a clear
business mission that is innovative, such as “to revolutionise the marketplace globally”.
This is the mission statement at Service Central, but the online service company also has another saying, says founder
Daniel Ahchow. “Create, then recreate. This highlights to staff that nothing is ever set in stone, and that the organisation is
always on the lookout to find more efficient and effective systems and processes,” he says.
2 Organisational culture is key
The entrepreneurs have distinctive cultures that are reflected in their recruitment practices, an emphasis on training and
learning, and an astute awareness of the importance of a functional working environment.
By creating a strong organisational culture, they devolve power down to employees to innovate.
Employees are encouraged to think outside the box. Moreover, employees help to chart the direction of the firm, business
units have a well-defined vision, and staff are empowered and rewarded for their performance.
They do this in several ways.
First, the founders create relaxed, fun, and open plan environments – nurturing and growing an internal culture that is
young, dynamic, fresh, and continually striving to achieve.
Second, they try to keep staff motivated, productive, and happy.
Third, they empower staff through confidence building, and provision of autonomy and necessary resources, including
opportunities for staff to develop.
Fourth, they give staff the freedom to think outside of the box without fear of critical review. They let staff experiment with
new processes and procedures and encourage them to be on the look out for improvements and opportunities.
Anthony Russo, founder of Pizza Capers, says: “We love new ideas. Our staff are encouraged to come up with new ideas,
including menu items, IT or marketing. Some of the best ideas have come from a staff member picking up the smallest
thing.”

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These entrepreneurs come up with smart, simple ideas that grab the attention of their employees, such as an “ideas bank”
where ideas are stored for future use.
Wholesale trader LaRoo has an ideas book for people to write things in when they come up.
Anthony Nicholls, founder of finance and insurance company Carlingford Fleet, says: “We have a saying; ‘shake the tree,
and see what falls out’."
3 Take a team approach
Once they have the vision set and the organisational culture in place, they establish a team approach to innovation.
Entrepreneurs report that they are establishing teams as a platform to share information and provide members with a
sense of ownership and camaraderie.
The teams are encouraged to have regular team meetings for reviewing processes and projects. They are encouraged to
question traditional methods and embrace new technologies and marketing initiatives.
The teams can breach borders. The entrepreneurs encourage teams to involve international networks and invite people
from overseas (for example, for conferences) to expand the innovative capacity of their staff.
Hezi Leibovich, from retailer Catchoftheday, says: “We foster a culture of innovation by creating a very innovative working
environment. Unlike the majority of other businesses, our team members all have the power to change anything they want
in the business.”
4 Encourage open communication
The entrepreneurs ensure that there is communication, both top-down and bottom-up.They encourage informal feedback
during projects and formal feedback at the completion of assignments. They also seek views and feedback on new ideas,
and work towards implementing sound ideas.
They welcome free speech, debate, and open contribution about any subject from team members.
They also encourage regular brainstorming sessions between different business units (for example, sales and production,
and members of the supply chain).
Some use business coaches to assist with creative thinking and product development. Others say they offer regular
training programs, which exposes staff to new ideas and knowledge and encourages innovation.
The communication is not just focused on creating new products and services but also on building the business. IT
company Revolution IT, for example, says it encourages staff to giver feedback to senior management “on things we could
do better, things we are doing well, and ideas they have for either improving the company or improving products and
services we offer clients.”

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5 Recruit and reward innovative people
The entrepreneurs spent time in the recruiting process looking for innovators and lateral thinkers. Some run scenarios by
interviewees to work out whether the potential staff member is an innovative thinker.
They also employ people from other industries that can bring new ways of thinking to their business.
Entrepreneurs also reward initiative and creativity by creating specific and measurable
ways for innovators to benefit from their work.
Some have a quarterly bonus structure incorporating a “matrix” that measures staff participation/contribution to business
innovation. Other companies reward staff financially when a product gets to market.
Education firm Brightstars pays its staff on KPIs linked to innovation. “This means that our team are looking for ways to get
paid more,” says founder Ben Macpherson.
IT company Intellitrac says that all staff are given incentives and two annual bonuses based on their performance and
creativity.
6 Take a customer focus/orientation
Where do many ideas come from? The entrepreneurs encourage their staff to understand customer requirements and wish
lists. They create opportunities to listen closely to clients, identifying the new products they want. Advertising agency The
Faith Agency, for example, conducts workshops with clients at least once a year to go back to basics and to examine if it
can develop new ways to meet objectives.
The entrepreneurs also encourage staff to take ownership of problems presented by clients. “It is my belief that the sales
team are in the field and have the access, through listening to clients’ needs, to identify what new products they want,”
says founder David Trussler.
7 Benchmark to encourage further innovation
How do the entrepreneurs know they are innovative?
First, they do not create in a vacuum. Many of the entrepreneurs report that they know what their competitors are doing.
They are avid scanners of the marketplace and also travel regularly to trade fairs.
They also benchmark their products and processes against global best practice.
The Chefs Toolbox, for example, says that every new product, service or process is benchmarked against global (not
Australian) best practice. 2easy Telecom says it learns from the strategies and tactics of its competitors.
8 Investing in and adopting state-of-the-art technology

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Many of the entrepreneurs are early adapters. They have a genuine interest in new technology. They also encourage
employees to review and report on new technologies as a way of educating staff on innovation.
9 Flat management structure
The management structure of these innovative companies tends to be flat, enabling opportunities for open communication
and encouraging confidence. In fact the entrepreneurs talk a lot about fostering a no-blame culture and encouraging all
staff to contribute ideas.
Wholesaler STAR Safety Traders and Resellers says that by giving staff autonomy and resources, and having a flat
structure where everyone can talk to everyone, encourages innovation. “We have an open style of management where
everyone feels they can speak up,” says principal David Pope.
The Faith Agency’s Trussler says: “We believe no one has a mortgage on good ideas, and our brainstorming sessions
within the agency encourage as wide a cross-section of staff as is reasonably possible.”
10 Involve others outside the business in their vision and innovation
Some of the entrepreneurs work hard to make sure all stakeholders, from suppliers to bankers, understand their need to
lead the market and constantly change. One company, manufacturer DKM, says even its supply chain understands the
company’s constant need to differentiate itself.
(source: http://www.smartcompany.com.au/people/recruitment/1867-10-ways-to-foster-innovation-in-your-company.html)
PROMOTE INNOVATION
What is innovation? What is creativity? What is the difference between innovation and creativity? But most importantly,
which is more important to your organization?
When it comes to innovation vs. creativity, opinions diverge. One of the definitions out there relates to the practicality of
these terms. Some say that creativity refers to the ability to come up with new ideas or new ways to approach old
problems, whereas innovation is the ability to confine these creative ideas and make them turn into reality. In other words,
creative ideas are thought experiments within one person’s mind. Innovation, on the other hand, is concerned with the
actual implementation of an idea. An organization can use innovation to convert its creative resources into appropriate
solutions and reap a return on its investment.
Because people are often unclear about the exact meanings of these two terms, organizations often chase creativity, but
what they really need to pursue is innovation. This month, Bayt.com conducted a poll to measure the extent to which
organizations in the Middle East and North Africa (MENA) region are perceived to be innovative. This Bayt.com poll,
entitled “Innovation in the MENA Workplace”, January 2014, uncovered some very interesting insights into the world of

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innovation in the region. For example, 83% of respondents claim their organizations have long-term innovation strategies,
while 85% state that they enjoy enough slack time at work to explore new ideas.
In light of the above, organizations need innovation on all fronts, not just in new products, services, or technologies.
Unfortunately, many managers don’t innovate because they don’t think it’s their job to do so. Well, we say that innovation
is everyone’s job. Great organizations don’t depend on a small number of exclusive people to come up with innovations.
Instead they create a culture in which every employee is encouraged and empowered to innovate – whether it’s in
processes, products, or services. This leads not only to new customer offerings but also better margins, stickier customer
relationships, and stronger partnerships with other firms. In fact, 62% of those who took part in the Bayt.com “Innovation in
the MENA Workplace” poll say that innovation has led to improved financial performance for their company, while 64%
agree that their organization is more innovative compared to competition.
Here are 10 ways to encourage innovation at your workplace:
1. Give employees a reason to care. The fact is, if people aren’t feeling connected to your company, there’s little
incentive for them to be innovative. Make sure your employees are in the loop on your firm’s strategies and challenges,
and invite their input. Employees who are involved early on in processes and plans will be motivated to see them through
to completion. Their active participation will fuel more ideas than if they learn of initiatives firsthand.
2. Stress the importance of innovation. Ensure all your employees know that you want to hear their ideas. Unless they
understand how innovating your business processes can keep your firm competitive, your efforts at encouraging creative
thinking risk falling flat.
3. Schedule time for brainstorming. Allocate time for new ideas to emerge. For example, set aside time for
brainstorming, hold regular group workshops and arrange team days out. A team involved in a brainstorming session is
likely to be more effective than the sum of its parts. You can also place suggestion boxes around the workplace, appeal for
new ideas to solve particular problems and always keep your door open to new ideas.
4. Train staff in innovation techniques. Your staff may be able to bounce an idea around, but be unfamiliar with the skills
involved in creative problem-solving. You may find training sessions in formal techniques such as lateral thinking and
mind-mapping worthwhile.
5. Encourage change. Broadening people’s experiences can be a great way to spark ideas. Short-term job swaps can
introduce a fresh perspective to job roles. Encourage people to look at how other businesses do things, even those in
other sectors, and consider how they can be adapted or improved. According to the Bayt.com “Innovation in the MENA

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Workplace” poll, 69% state that their companies keep up-to-date with other organizations in their field and adopt best
practices.
6. Challenge the way staff work. Encourage employees to keep looking anew at the way they approach their work. Ask
people whether they have considered alternative ways of working and what might be achieved by doing things differently.
78% of respondents in the Bayt.com “Innovation in the MENA Workplace” poll say that new ideas are encouraged and
tried out.
7. Be supportive. Respond enthusiastically to all ideas and never make someone offering an idea feel foolish. Give even
the most apparently eccentric of ideas a chance to be aired.
8. Tolerate mistakes. A certain amount of risk-taking is inevitable with innovation. Allow people to learn from their
mistakes. Never put off the creative flow by penalizing those whose ideas don’t work out.
9. Reward creativity. Be among the 44% of companies that reward their employees’ creativity (according to the Bayt.com
“Innovation in the MENA Workplace” poll). Motivate individuals or teams who come up with winning ideas by actively
recognizing innovation, for example through an awards scheme. You could even demonstrate your recognition that not all
ideas work out by rewarding those who just have a rich flow of suggestions, regardless of whether they are put into action
at work.
10. Act on ideas. Remember, innovation is only worthwhile if it results in action. Provide the time and resources to
develop and implement those ideas worth acting upon. Failure to do so not only means your firm will fail to benefit from
innovation, but flow of ideas may well dry up if employees feel the process is pointless.
(source: http://blog.bayt.com/2014/01/10-ways-to-promote-innovation-at-your-workplace/ )
PHYSICAL ENVIRONMENT THAT SUPPORTS INNOVATION
Environment has several meanings. The first is obvious, the environment in which you work. Is the physical environment
conducive to innovation? The second context is the intangible environment erected by your corporate culture. This
creates barriers and limits to thinking, to risk and uncertainty. Does your intangible environment block innovation? The
third context is an internal/external environment. How "far" does your environment reach? Do you have extensive
interactions and networks with external partners, customers and prospects? The fourth context examines the fluidity of
your environment. Does your organization have porous borders? Can you find a good idea or technology outside the
boundaries of your organization and bring in "inside"?

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Physical Environment
If physical environments didn't matter to the human condition then we'd all live in the most simple, unadorned
caves. Designers, architects and people concerned with interior design, spaces and human interaction understand that
spaces and environments impact the thinking and behavior of the people in the environment. A dull gray regimented
environment leads, more often than not, to dull gray regimented thinking. I had the chance to lead an innovation session
with a client this week in a space purpose built for creativity and innovation. Several of the people commented as they
entered the space "I feel more comfortable and creative already". Their work environment (where the environment is built
for efficiency) doesn't support or sustain creativity. Space, environment, design of the physical meeting and idea
generation space matters. Every firm that seeks to create more innovation ought to either create a more creative space in
which its innovation teams can work, or find local partners who offer such spaces. Some we've worked with
include Catalyst Ranch and theMagellan Idea Center.
Intangible Environment
While we interact with the physical environment - walls, floors, halls and cubes - we also interact with the intangible
environment. By intangible environment I mean the attitudes, perspectives and organizational thinking and history formed
by corporate culture. These create intangible "walls" as rigid and unyielding as physical walls. A risk averse, highly
efficient firm can create an interesting new physical space, but it must also change its intangible environment - its
culture. Any sufficiently powerful culture can impact how people think, the depth and breadth of their ideas, the amount of
creativity they are willing to embrace and the kinds of ideas they can create. The intangible environment must be
addressed at least as much as the tangible environment.
Reach of your networks
In the book the Innovator's DNA the authors describe five qualities that many innovators share. One of them is the breadth
and diversity of the individual's network. Your corporate environment impacts the breadth and depth of your network, and
by extension your ability to generate interesting ideas. It's been demonstrated that good innovators have larger, more
extensive and more diverse networks. They are influenced by ideas and technologies within their industry or geography,
and by ideas that exist outside their industry or geography. These insights are refreshed by conferences, trade shows,
customer interactions and their personal and professional networks. When companies limit travel or restrict access to
trade shows or conferences, or provide marketing information on paper rather than as an engagement with live prospects,
they limit the experience and the external environment, which limits the range and depth of insights and ideas.
How porous is your boundary?
Henry Chesbrough popularized the idea of "open" innovation, and it continues to be a source of great discussion. The real
question for your organization and its "environment" is - how porous is your corporate boundary? Has your executive team
come "on board" to the idea of open innovation? What types or approaches are acceptable? What potential partners or
customers can contribute ideas, technology or intellectual property? What happens to the ideas as they cross the

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organizational threshold? Good ideas exist outside your organization, and may be within your innovation "environment"
but your organization and its leadership must define the best partners and approved approaches, and must demonstrate
that the origin of an idea is less important than its potential.
Environment matters
We live and work in a petri dish of physical walls and intangible expectations. Beyond our regular petri dish are other
teams in other dishes working on similar and wildly different ideas and technologies. Realizing that the environment
matters, adjusting both the internal and external environments to achieve more innovation, and integrating both
environments for greater innovation exchange will drive far more innovation in your business.
(source: http://innovateonpurpose.blogspot.com.au/2012/10/why-environment-matters-to-innovation.html)
PROVIDE LEARNING OPPORTUNITIES
Companies now realize that they simply cannot find the skills they need in the workforce and have to reinvest heavily in
corporate training.
But how and where should this money go? Should companies go back to the 1980s and build a corporate university
again?
The answer is no. Today the world of corporate training has been revolutionized, and here are five keys to success in
building a learning organization.
1. Remember that corporate learning is “informal” and HR doesn’t own it.
If you ask any business leader “how people learn,” their most common answer is “on the job.” And this is correct – sales
people learn by making sales calls, engineers learn by doing design, customer service people learn by solving problems.
The key to success then is not to provide a lot of formal training, but rather create an environment that supports rapid on-
the-job learning.
Research shows that companies which adopt “formalized informal learning” programs (like coaching, on-demand training,
and performance support tools) outperform those that focus on formal training by 3 to 1. In these companies the corporate

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training team doesn’t just train people, it puts in place content and programs to help employees quickly learn on the job.
This means developing training in small, easy-to-use chunks of content and making it easy to find as needed.
2. Promote and reward expertise.
Today’s workforce is more specialized than ever. Your most talented people in sales, manufacturing, engineering, and
design are not in management – they are doing their jobs. High-impact learning organizations unleash these experts and
put in place programs to promote and reward even greater levels of expertise.
You should also reward such expertise. Give engineers career progression in their discipline; give people time to study and
improve their own skills; publicize and promote the success of experts. Such programs tell the organization that “expertise
matters” and “we are willing to invest in your own skills.”
The Federal Reserve Bank of Cleveland gives its bank examiners a 7-year apprenticeship program to help them develop
into senior bank examiners. During this period of time they are continuously trained through apprenticeship and presenting
the results of their work to more senior practitioners.
3. Unleash the power of experts.
Since you know these experts are there, let them share information and make them available to others. Do you have an
internal directory of experts which enables them to promote their own skills and experience? Easy to build and something
every company should have.
And remember that experts are everywhere, so let people share what they’ve learned easily.
A great example of such knowledge sharing is the Cheesecake Factory’s video learning portal. The head of corporate
training for this fast-growing food chain put in place a YouTube-like learning portal which lets any employee upload a video
of themselves doing their job well. Employees can share “how to make a hamburger” or “how to best clean the floor” and
share it in any way they wish. Within only a few weeks of building this system people rapidly started using their cell phones
to create instructional videos and share hilarious stories about how they solve problems on the job. The system went viral
in a few weeks.

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4. Demonstrate the value of formal training.
Formal training has not gone away, and it still plays a huge role in career development and professional networking. If you
have lots of formal training available, managers should be incented to promote such opportunities and help people make
time to learn. Yes, it might take them away from their jobs for a few days, but ultimately the return is much greater
productivity and satisfaction.
As one high-performing healthcare executive put it: “We are paying our managers to develop people for the entire
organization. If I find them hoarding talent or preventing people from improving their own skills, they won’t be in
management any longer.”
5. Allow people to make mistakes.
The best organizational learning (and individual learning) occurs right after you make a huge mistake. These are the most
important learning opportunities your company has.
Take a lesson from the military, the largest learning organization on the planet (they only do two things: fight and train –
and most of the time it’s the latter). Whenever a maneuver is completed, there is always an “after-action review.” This is a
formal process which forces the team to socialize what worked, what didn’t, and what processes will be changed to improve
the outcome next time.
What happens in your organization when someone fails or makes a mistake? Do you punish the participants? Or do you
take the time to diagnose what happened and put formal programs in place to improve? One of the tenets of six-sigma is
continuous improvement – and the foundation of continuous improvement is a culture of “learning from mistakes.”
There are lots of ways to build a learning organization, and they all get back to management. If you build a culture which
gives people time to reflect, develop and share expertise, stay close to customers, and learn from mistakes you will
outdistance your competition and thrive in the face of huge market change. Take a lesson from companies like Apple, IBM,
andGoogle: build expertise and promote organizational learning, it will pay off big time.

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(source: http://www.forbes.com/sites/joshbersin/2012/01/18/5-keys-to-building-a-learning-organization/)

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BSBINN502 Build and sustain an innovative

Lead Innovation by example ..........................................................................................................................................2

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LEAD INNOVATION BY EXAMPLE

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Top 15 Things Leaders Need to Know to Inspire Results

See ‘Innovation leadership’, handout pdf from http://insights.ccl.org/wp-

ESTABLISH WORK PRACTICES THAT SUPPORT INNOVATION AND PROMOTE INNOVATION

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Here are the top 10 ways they foster an innovative culture.

They do this in several ways.

Second, they try to keep staff motivated, productive, and happy.

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5 Recruit and reward innovative people

ways for innovators to benefit from their work.

How do the entrepreneurs know they are innovative?

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Here are 10 ways to encourage innovation at your workplace:

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PHYSICAL ENVIRONMENT THAT SUPPORTS INNOVATION

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Reach of your networks

How porous is your boundary?

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PROVIDE LEARNING OPPORTUNITIES

1. Remember that corporate learning is “informal” and HR doesn’t own it.

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2. Promote and reward expertise.

3. Unleash the power of experts.

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4. Demonstrate the value of formal training.

5. Allow people to make mistakes.

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