Various Existing Approaches

Fostering Innovation Companies

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Contents
1- Diversity & Inclusion 2- ERGs 6- Intels LSS & Systemic Innovation

3- Intels Systemic Innovation

4- Lean Six Sigma (LSS)

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1 - Diversity & Inclusion

DIVERSITY + INCLUSION = INNOVATION & SUCCESS (LOral - USA)
Harnessing Employees Diverse Perspectives for Innovation

Example:
Stimulate a passionate point (telenovelas) in one of its Core Customer Groups (Hispanic community) by creating an innovating program (Club de Noveleras or CDN) in partnership with Telemundo

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2 - Employee Resource Groups (ERGs)

Employee Resource Groups drive Innovation (Mattel, AT&T, Intel- USA)
Providing specific advices & guidance for Marketing & Product Development teams through the launch of new products Example:
Before launching a new line of dolls addressed to African-American girls, senior management requested help from MAAF (Mattels African-American Employee Resource Group) to advise Mattels Marketing team

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3 - Intels Systemic Innovation (Early Life)

The systemic innovation initiative allows us to manage innovation as a culture in the same way that we manage quality and safety.

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3 - Intels Systemic Innovation (Early Life)

Innovation Intranet Site Rewards and Recognition Program Innovation Self-Assessment

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3 - Intels Systemic Innovation (Early Life)

Innovation Toolkit
Innovation training class Innovation engine Innovation assignments and ventures

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3 - Intels Systemic Innovation (Early Life)

Number of innovation related rewards and recognitions Numbers from various feedback mechanisms, showing employee acceptance and understanding of the initiative Results from the innovation self assessment capability maturity framework (survey measuring five levels of maturity related to innovation behavior) Number of ideas generated in specific innovation harvesting campaigns Number of white papers published Percentage of budget dedicated to innovation, research, and exploration of emerging technologies

Measuring Evidence of Innovation by:

Shareholder value created from innovation activities.

Shareholder Value =
IT Efficiencies + Business Value provided to the IT customers Number of ideas harvested from the campaigns and turned into implementable projects Number of Intel patent submissions

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4 - Lean Six Sigma (LSS) for Innovation

2006 - IBM Global CEO Study on 765 corporate and government leaders worldwide
Biggest identified obstacle for innovation success = an unsupportive culture and climate

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4 - Lean Six Sigma (LSS) for Innovation

Used in the past primarily for operational improvement, Lean Six Sigma aims effectiveness, not just efficiency.

Companies must innovate, not just improve!

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4 - Lean Six Sigma (LSS) for Innovation

Lean = focus on reducing cost through process optimization Six Sigma = meeting customer requirements and stakeholder expectations, and improving quality by measuring and eliminating defects
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Companies must innovate, not just improve!

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5- LSS gave legs to Innovation at Caterpillar

27 Business Units > 72,000 employees 6 continents Plan 3: 2013 - 2018

Apply LSS
Vision of Cat for 2020
Customers Data Market Data CATs Capabilities

Vision subdivided in 3 five-year plans

Plan 1: 2001 - 2006

Plan 2: 2007 - 2012

Projects >1100 spawned

Flat Revenues

GOAL: Continuous, Customer-driven Innovation

Initially

Develop

New

Mining Truck

Customer for more Interaction

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1997

2000

JAN 2001

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Change R&D

6 - Intels LSS & Systemic Innovation

LSS = a five-step process that narrows the field of inputs down to the few key process input variables (KPIVs) SIfT = multi-step process designed to help understand the What, Why & How of a problem and then develop an innovative solution.
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Thank you!

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