Egg credit card woes - no creativity present

This is just to alert people to a new blog for individuals who might be having issues with their Egg credit card in the current economic climate.

If you wish to have a wry smile at a frustrating and futile interaction with Egg customer services then click here. Please feel free to add comments if you wish. Factual rather than libelous comments would be more welcome.

Ten ways to Innovate

Many people are stuck when it comes to thinking about why or where you can innovate. You do not have to limit yourself to Marketing or R&D, anyone can get involved. Here are some hints as to where you can get started.

1. Take a look at your business model i.e. How do you go about making money? Dell attempted to turn the turn the personal computer production business model on its head by collecting money before the customer’s PC was assembled and shipped. This greatly improved the cashflow of the business by holding funds for around seven to eight days.
   


2. Organise your business networks and alliances i.e. Do you join forces with other businesses for mutual benefit? Many supermarket chains have ceased to run their own logistics and concentrated on their core businesses of selling goods. Wal-Mart suppliers have also joined forces (normally competitors) to ensure that small 'just in time' deliveries are aggregated to become cost effective.
   


3. Do your processes and procedures support your core processes? i.e. How do you support the company's core processes and workers? Starbucks has delivered its profitable coffee experience to customers because it offered good wages and employment benefits to workers. These were often part time, well educated individuals or students who were motivated and proactive.
   


4. Take a look at your core processes i.e. How do you create and add value to your offerings. Wal-Mart continues to grow profitably through real-time inventory management systems, aggressive contracts with merchandise suppliers, and feedback systems that give store managers the ability to identify changing buyer behaviours and respond rapidly.
   


5. Product performance i.e. How do you design your core offerings The VW Beetle (in both its original and its newest form) took the market by storm, as did the Apple iPod and iPhone. These have performance designed in and can be spun out into multiple offerings.
   


6. Product system i.e. How do you link and provide a platform for multiple products. Microsoft Office "bundles a variety of specific products (Word, Excel, PowerPoint, etc.) into a system designed to deliver productivity in the workplace whilst the iPhone now delivers pretty much the same on the move (plus a phone and entertainment). The system serves a number basic needs and solves consumer problems.
   


7. Service i.e. How do you provide value to customers and consumers that goes beyond the norm? An international flight on a low cost airline will get you to your intended destination. A flight on say Emirates or Thai International will leave you wondering whether you have been flying at all. Do your customers want to just get there or get there refreshed and ready to clinch a big business deal?
   


8. Channel i.e. How do you get your offerings to market? In the US Martha Stewart has developed a deep understanding of her customers so that she knows just which channels to use (stores, TV shows, magazines, online) to obtain huge sales volumes from a relatively small set of "home living" educational and product offerings. This is prety much the same technique as that used by shopping channels such as QVC.
   


9. Brand i.e. How do you communicate your offerings. In the UK, the cute Meerkats employed by CompareTheMarket.com/CompareTheMeerkat.com told us exactly what the online insurance seller did and did not do. The spin off was of course the hugely successful viral marketing campaign that accompanied it.
   


10. Customer experience i.e. How do your customers feel when they interact with your company and its offerings? Harley Davidson has created a worldwide community of millions of customers, many of whom would describe "being a Harley Davidson owner" as a part of their identity. This also extends to some quaint British sports cars such as Morgan for instance.

These are only suggestions, there are probably many more places that you can innnovate. Good luck!

Entering the Age of Unreason

If you have not read Charles Handy’s book ‘The Age of Unreason’ then I heavily recommend it. In a nutshell it turns things upside down and tries to change our perspective on situations. One situation that Handy writes about is the issue of Consultants in our National Health Service. As most people realise, these are the most skilled and highly paid professionals. They often like to have time away from work, sometimes on holiday, sometimes playing golf and sometimes in lucrative private practice. Problems arise with their ever rising salaries. Handy’s solution is to keep paying them the same salary but allow them to work less time for the NHS. Their hourly or daily rate thus rises but the cost to the taxpayer does not. This leaves our consultants free to play golf (not earning any further money) or work in private practice and earn even more money.

Now this solution may not be ideal but it is a possible solution and it comes about by turning the situation upside down i.e. by not sticking to reason, hence the idea of Unreason. In the current world economic situation many rules have been discarded and hence reason has gone or been suspended. There is a new world order (possibly devoid of bankers) where new rules apply, or possibly where no rules apply. The situation is ripe for people with a fertile imagination and brimming with confidence to make an impact.

This course of action builds upon our banana observations and tries to examine the boundaries of a problem. First of all let us ask some questions:

• Is the aim to increase the cost of consultants to the NHS?
• Do we actually have to pay them more?
• How might consultants like to spend their time?
• Are there other ways for consultants to earn more?
• Can we still make use of consultants for teaching training purposes?

Probing of the boundaries of the problem often reveals previously hidden courses of action. Some of these may be conditional e.g we can have consultants working less time but only if we safeguard some teaching time. OK, so lets do that.

A company supplying parts to the automotive industry was having a tough time. They did not like spending money on repairing equipment but needed to do something. Faults were usually reported to the factory manager who either did something about it or not (the more likely scenario). Control was taken away from the production line workers.

Luckily Unreason prevailed and the workers were empowered (grudgingly at first). So what happened?

• Leaks were fixed in air hoses
• Less leaks meant not running all of the air compressors
• Air compressor running could be alternated this decreasing service bills
• A total annual saving in running costs of £10,000 per annum

An the improvements did not stop there. Their colleagues who worked on an electro plating line began experimenting and found ways to double the throughput of the plating process simply by reorganising the positioning of components on the hangers that immersed them in the plating baths.

This is not quite so dramatic as Handy’s NHS solution but is a practical illustration of a burst of Unreason helping. Next time you get stuck, try asking ‘why do we have to do it this way?’ or ‘can we try doing it this way?’ and see what happens. You’ll be surprised.

Which way does your banana bend?

I often ask this question (even in polite conversation) and receive a blank stare from the recipient. The inference is, of course, that bananas do not bend in any particular direction. They are neither left nor right handed, erect or droopy, they just bend. Try grabbing a banana and placing it in front of you on table. Does it bend to the left or the right? Now turn it over, you should find that it now bends in the opposite direction.

Alas you do not have magic powers of banana bend reversal, but you have just demonstrated one of the most important characteristics of solving problems. You sometimes need the ability to look at a problem from a new perspective or just turn it on its head. I recently painted the outside walls of my house and was not looking forward to balancing precariously at the top of a ladder. It would have taken a long time to paint such a large area. But why not stay on the ground and take the paint roller up to the top of the walls? After a search in my local DIY store I found a suitable extending 5m pole and attachments that fitted to the top. I reckon that it took half the time it would have taken at the top of the ladder.

So next time you are faced with an issue, avoid rushing into the task (unless it really is that simple) and think about what you really want. In my case putting paint (relatively neatly) onto the walls of my house. I could stand anywhere as long as I could control paint delivery. Turn the problem on its head or try looking at it from a different (or different person’s) point of view.

A new building in France has a steep sloping roof covered in grass. The problem? How on earth to cut it. You could imagine all sorts of elegant engineering or bio engineering solutions but the solution used was to use hover mowers suspended on ropes from above.

Then of course, we also have that wonderful story of writing in space. The American solution? Develop a hugely expensive zero gravity biro. The Russian solution? Use a pencil!

So the next time you have a problem banana, try taking a look at it from all possible angles.

Removing blocks to Creativity

As if dealing with emotional and perceptual blocks isn't enough, we also need to overcome our cultural conditioning. Cultural blocks are created by attitudes in society and among our peers which have the effect of inhibiting creative thinking. Sometimes these cultural blocks are so much a part of our upbringing that we're practically blind to them.

Here are some of the most common cultural blocks:

"We must be logical about this"

Why is this so? You might need to specify your desired outcome but not the journey. Once in a awhile you might like to ban logic altogether and see what happens. Remember these three things:

• Logic can solve problems, but creativity often requires a leap of the imagination
• Creative ideas often don't make any sense at first
• Just because an idea is illogical doesn't mean its 'bad'

Role stereotyping

Our inherently conservative culture sees to it that most of us grow up with the idea that creativity is not possible without advanced training, higher education, superior intelligence, etc. This is simply nonsense. Also creativity is often seen as the preserve of a particular function within a business.

"Playing is for kids"

Being creative means being willing and able to play with ideas, materials, and even your most basic ideas about reality. Creative thinking is a form of mental play. Relax your grown-up inhibitions and let your mind out to play more often. Also, many of us already work with prototypes which is simply a slightly restricted form of play.

"Fantasy and daydreams are useless distractions"

Early in life, we're taught that fantasy and daydreaming are unproductive and even dangerous to our health. Creative thinking requires that you be able to daydream and fantasize without feeling guilty for doing so. Strive to recognize and get past your conditioning. Those daydreams can also be useful as part of a futures programme where we predict the future many years in advance.

"Though shalt try nothing new"

This is the great unspoken commandment that directs many of our thoughts and actions. While change for its own sake is rarely creative, creativity requires openness to challenging the status quo. Ideas such as the wheel and space travel must have been as a result of trying something new. Just think what you could do!

"Creativity is too abstract"

Well yes and no. The techniques that we use to help generate and explore ideas can be a little strange but we can calibrate creative processes so we know how much return we get for a particular amount of time and effort. Those who like to plan and budget have no excuse for not joining in.

"I don't like to ask questions or criticise"

In many cultures it is not natural to openly question or comment on the ideas of others or examine the status quo. This can prevent progress so you can try and gently nudge people and show that questioning is ok but also we can use techniques with the 'challenging' built in or which concentrate on building ideas. There is no excuse not to embrace creative thinking.

Outcome Driven Innovation - problem or not?

Outcome Driven Innovation (ODI) clearly works for a number of organisations (usually larger organisations) and not for others. Why could this be? Personally I also have a number of issues with the methodology but this is not an attempt to pull ODI apart, rather to simply point out some issues and let others make up their minds as to what is best for them.

Innovation is, or should be, a hugely flexible process that works within a comprehensive framework but which is not overly specified. It may be further complicated by the (necessary) requirement that all areas of a business (and hence all of the people) become involved. If this does not happen then all we have is a glorified R&D department.

The specification of ODI seems to me at first sight to be very prescriptive but that is just an opinion. There is however, a danger that any business embracing ODI which has not fully bought into the philosophy of Innovation, could still be governed by left brained groupthink and could embark on a process of specifying and documenting everything. This could result in a) no action at all and the incorrect conclusion that Innovation does not work b) a rigid process that is in fact more akin to something resulting from Business Process Reengineering (BPR).

Another possible issue is the fact that one of the initial steps if to formulate an Innovation strategy when in fact the process will normally help create the strategy. Also, capturing customer inputs and looking at the broader marketplace will also help formulate the Innovation strategy.

From the outside, ODI looks like a tool driven methodology where you simply turn the handle on the sausage machine and things pop out. This is not Innovation, it is more like Taylor's scientific management. And another claim is that it has been developed over time, not a crime in itself but where is the (double loop) learning that means the methodology itself can be updated and grow as needs (and the market) change.

Finally, everything appears Marketing driven which is why many of us embraced Innovation in the first place. As they say, the devil is in the detail so readers should research ODI and then draw their own conclusions. After all, you should use the methodology/framework that is right for you, not just use something that is popular or recommended by a friend because it uses the word 'Innovation'.

Creative Leadership For Tough Times

Surely we just need good strong Leadership in tough times not 'airy fairy' Creative Leadership? If you share this view then I think we have our wires crossed already. Let me explain.

In the current economic climate we do need strong (or should I say bold) Leaders but traditional Leaders (and I include those who are up to date with such concepts as transformational and situational leadership here) often have a Leadership toolbox that is comprehensive but perhaps identical to those carried around by other Leaders. So if we all have the same tools and we all operate in the same marketplace then we still have a stalemate.

And now for the Creativity bit. I am not suggesting that our bold Leaders walk around with an armful of creative techniques and nothing else, just that they should supplement their Leadership toolbox with a selection of techniques that provide alternative ways of analysing and solving problems, decision making, planning and communicating. Leaders then have a larger repertoire of business tools at their disposal from which they can select the most appropriate and most effective.

But why are Creative techniques particularly good for the tough economic climate that we are now faced with? In short they can:

• Provide competitive advantage as their usage often relies on tacit knowledge
• Are more likely to unearth solutions that no one else has thought of or tried
• Allow Leaders more time to focus on real business issues - these techniques can save time
• Permit greater buy in from colleagues and employees and thus less resistance to change
• Build intrinsic motivation amongst the workforce

Even in highly regulated industries such as Financial Services, Leaders can enhance their capability in this way. Remember it is only the outputs of your processes that may be regulated. Internally there are usually alternative ways of doing things!

The Magic Of Metaphor

First of all what is a metaphor? Here I use the term metaphor and simile interchangeably but technically a simile is simply saying that one thing is like something else and a metaphor is saying that one thing is something else. A simile is thus a metaphor but a metaphor is not necessarily a simile. Enough of the terminology! Roll your mouse over the picture to the right to find a metaphor.

Sometimes exaggeration or humour might be involved to help make the point. Many men might use the metaphor of their mother-in-law being a dragon. They are not saying that she literally breathes fire and flies but that she might be a little fierce and protective of her daughter (or dominating her husband!!). You get the point.

Metaphor can help us all in a number of ways. For instance I am a very visual person so when people insist on describing things to me using just words I have to try very hard to take in all of the information. If, however, someone says that the situation is like say, finding a needle in a haystack then I comprehend the situation quite quickly i.e. I know the amount of effort required and the likely outcome. To reach a wider audience you might need to try using metaphors that rely on different language for those people who respond to audio or kinesthetic stimuli.

I often use a particular type of metaphor when explaining the usefulness of using creative or alternative techniques to examine a problem situation. I'm sure that many readers will have experienced the horrors of hunting for a house or flat. You have a look at the particulars and one person focuses on the kitchen, another on the garden and another on the bedrooms or garage. All of these individuals are seeing the same situation but from different viewpoints. So just like viewing a property we can examine other scenarios (physical or otherwise) from different perspectives. One or more of these might even provide a solution (in the case of a problem) or suggest a course of action.

Keen followers of Agatha Christie's fictional character Miss Marple will be familiar with her technique of mapping happenings of the wider world with things she could understand that occurred in her own village of St Mary Mead. So already we have a list of things that metaphors can help us with:

• Giving explanations to those unfamiliar with a concept
• Examining problem situations from an alternative perspective
• Reframing situations
• Communicating concepts to a wider audience
• Learning or making sense of a concept that we are not currently familiar with

Another interesting use for metaphor is within stories and for use as a more sophisticated business tool but that is an article all of its own. But how about the application of metaphor, will it work for everyone and will it work everywhere?

We can use metaphor directly in:

• Business
• Politics
• Creative Industries and the media
• Any other areas that rely on human interaction

Metaphor works best when individuals can 'connect' easily with metaphors i.e. they are used to metaphor or storytelling and their lives are not littered with distractions. In developed countries we are buried underneath mountains of gadgets which we either rely on to automate our lives or which we take great delight in exploring in detail - we either want it to work or we want to read the instructions in detail. We do not wish to know that our new MP3 player is like a pepperoni pizza (or perhaps a more appropriate metaphor). I am speaking generally here, those who are emotionally intelligent will be using metaphor regularly.

In developing countries there is less technology and less complexity in life generally (but life is often very hard) and so people are often closer to their emotions. Storytelling and metaphors will work well here and have a very powerful effect. Rather like the argument that I put forward in a previous article regarding creativity in developed and developing countries, education also plays a part. So once again, who is best placed to take advantage of techniques such as this? Developed countries have a head start in the race to develop and are thus nearer the finishing line, but developing countries have the potential to be the faster runners!!!

Innovation - There's a head in my shed, starting out from scratch

Many fledgling businesses do actually start out from a shed at the bottom of the garden. Hewlett Packard started this way and many other technological breakthroughs too (remember Marconi?). The shed is, however, just a metaphor for that inappropriate and often cluttered place that we find ourselves in with our good ideas. We are simply a 'head in a shed'!

It does not matter whether you are a lone inventor who really does have a shed at the bottom of their garden or you work for a large organisation and your 'shed' is your office or laboratory. You have the same problems either way.

Take a look at this news article. The student in question is obviously talented but so what? She has very neatly illustrated our problem but in reverse. We are so familiar with the appearance of our shed, its contents and immediate surroundings that we see nothing else. We need a fresh perspective, new glasses (ditch the rose tinted ones) and a new mode of thinking. To go back to the first article in this newsletter and the concept of putting animals in places where they are not supposed to go - we have an elephant in our shed with us. It is an idea that has barged in and seems too big and well formed to be moved. We must replace it with a giraffe, something more suited to the marketplace, but how? And why a giraffe?

To continue using metaphors for a moment, the elephant is the easy option. Our minds often conjure up ideas that our egos build up into great and unbeatable business opportunities. These then take over our lives and we try to turn them into reality at all costs. These have barged into our lives like a stampeding elephant into our shed. In the world of inventors, elephants are ten a penny and we find them difficult to shake off. The giraffe is altogether more elegant and not so common, but how do we replace one by the other?

Here is a list of questions that we might ask ourselves:

1. Do I really want to do this or am I just running away from something else?
2. Is my idea well formed?
3. Is this really different, does it solve a problem, has it been done before?
4. Do I know what I am talking about, do others get it when I tell them about my idea(s)?
5. Do I really understand the target environment/marketplace?
6. Do I wish to retain ownership, am I willing to share?
7. Have I sought views/opinions from others?
8. How will I put this into practice/production?
9. Have I got the right skills?
10. Have I/we got the right environment?

Unlike the case of the disappearing car in the news article, you should now be more aware of what you are trying to do. Your grey elephant should have turned into something more elegant and more well formed. Why not take a look at some past newsletters and use some creative techniques to help investigate your new ideas in case you have missed something?

Good luck with your transformation!

Creative thoughts from under African skies

During my recent visit to Malawi I had the pleasure of speaking at seminars and workshops to a large number of charming and very interesting people. My aim was to try and provide some of the latest thinking on Creativity and Innovation in an organisational context and to try and encourage the people I met to use alternative modes of thinking.

Keen readers will remember the 'How do you get a giraffe into a fridge' test that I used last year (click on the giraffe to the right to revisit it). I used this on my audiences and was pleasantly surprised to find that answers were richer and more numerous than elsewhere. It is not right to say that Managers get the answers wrong but their responses are generally poorer than young children. My African friends did very well indeed so I began to wonder why this was. Was it a coincidence?

One of the central themes of Creativity is play, and education systems are designed to help us pass exams and be less creative. We then have to undergo a degree of 'unlearning' to be playful in the workplace. Keen followers of TED (see www.TED.com) may be familiar with the thoughts of Sir Ken Robinson. Click here to view his moving and entertaining talk, but only if you have 20 minutes to spare!

In our so called developed countries we have extensive educational systems, whilst in developing countries the systems are often constrained to keeping young people in school and teaching basic skills well. Yet there has been an explosion in many developing nations within Africa, Asia, Latin America and the Middle East. In Cuba, trade embargoes have meant that motor engineers have created substitute brake fluid from shampoo and sugar whilst I have seen young boys in Africa change tractor tyres with only a few levers, a hand pump and some soapy water (no mean feat).

This natural creativity is present in us all when we are born but seems to remain only in countries where there are 'light touch' education systems. You may be thinking 'what about the effect of culture?' This is where things get a little complicated. In young people the two main drivers of Creativity are:

1. An education system that does not stifle or judge
2. A culture that allows play and lets 'children be children'

As we grow up, different factors come into play which are mainly cultural. This often means that:

• In developed countries we are keen to be creative and innovative but we have lost the tools to work this way - our solution is to undertake even more training
• In developing countries, people have the natural tools but social pressures sometimes inhibit the ability to be critical or express radical thoughts openly - some people are just too polite. The solution may just be to overcome these personal barriers

In my view, the developing countries could have the edge but it will be a close run thing. The situation is obviously more complicated but these points should give us all food for thought. Any feedback is always welcome!