Imagine looking at a building made entirely of clear glass and watching what employees do in real time for an entire day. You might see them typing, talking on a phone, meeting, performing, presenting, building, moving supplies, designing with technology, operating machinery, completing sales, supporting customers, practicing, or interacting globally. Each of these activities happens simultaneously in real-time coordinating hundreds or even thousands of people to keep an organization running smoothly. People are the organization. If we focus on the individuals in an organization of people and discover the whole creative person in a role, it can illuminate how truly innovative that organization can be.
An innovation is a new idea or an idea perceived as new that creates progressive change. Innovation leadership involves synthesizing different leadership styles in organizations to influence employees to produce creative ideas, products, services and solutions. It is a practice and an approach to change management (Gliddon, 2009). Groups, teams, organizations, and governments can implement innovation leadership to support the development of innovations (Gliddon, 2012). There are many leadership, management, change, communication, and educational theories commonly used in innovation leadership and many will be explored throughout this book.
Description
Leaders inspire their followers to achieve a shared goal (Garrett, 2014). The key role in the practice of innovation leadership is that of the innovation leader. Within an organization, people develop creative ideas that can become innovations. Creativity is a common human inspiration and innovation leaders can inspire their followers by encouraging creativity. An innovation leader collaboratively develops a new idea with creative employees and key stakeholders and makes it real (Gliddon, 2013).
The CREATE Model is a model of innovation leadership that includes a set of steps that innovation leaders can use to develop and diffuse an innovation and create progressive change. It is synthesized from a triangulated set of theories including the action research model, path-goal theory, and leader member exchange theory. There are six steps in The CREATE Model of innovation leadership (see Figure 1.1).
The CREATE Model can be used by an innovation leader with a group, team, or organization whose goal is to innovate. In the following paragraphs, each step of The CREATE Model will be described.
Capture Data: Capture applicable organizational data sources and/or conduct data gathering activities. Data is at the heart of an innovation since the new ideas are inspired greatly by a vision for the future using a clear assessment of the past and present. Analyzing both quantitative data and qualitative data sheds light on the scale of innovation and also the potential for consumers of the innovation. The variety and type of analyses is commonly dependent on the nature of the innovation. However, some common methods of data analysis such as surveys, focus groups, observations, interviews, needs analysis, emergent group behavior analysis, quality assessments, performance measurements, and customer service data can help support a strong foundation of data for the development of an innovation.
Review Best Practices: Review applicable best practices that exist within the organization or in the external organizational, market, or customer environment. Best practices in organizations are valued much like experience is valued in employees. The step of reviewing best practices helps innovation leaders to avoid developing innovations that fundamentally may take an organization in the wrong direction. Likewise, the best practices help to build a foundation for new ideas. Knowing what works can help to drive variations on or a synthesis of good ideas.
Evaluate the Choices: Evaluate the choices using the information gathered as well as any inspired ideas when capturing data and reviewing best practices. Knowing what is helps to drive knowing what can be. Knowing the choices can help innovation leaders to determine how the innovation might work, what the innovation might do, and how ideas can be combined to develop an innovation. This stage can include a wide variety of interactions including: planning/strategy meetings, brainstorming sessions, collaboration using technologies, and discussions. Key stakeholders, creative employees, and innovation leaders build innovations as they thoroughly evaluate the choices and develop a goal for the innovation.
Apply the Innovation: Apply the innovation in a test environment. In this step, the innovation is engineered or created and rigorously tested to ensure that it meets its intended goal. This may include developing multiple prototypes for the innovation to discover which may be most feasible, efficient, or productive. During this period, the innovation may be refined or tweaked depending upon the changing nature of the organization, regulatory approval, or its business environment. Again, it is critical that the innovation leader involve key stakeholders and creative employees in a collaborative discussion regarding the innovation to gain approval for the larger scale implementation of an innovation.
Train the Team: Once the innovation has passed the test environment and is approved, it is now ready for broader implementation. The production team (anyone needed to produce, diffuse, and implement the innovation on its full scale) should be trained on the innovation and how it is to be produced, used, and managed. Educating people using effective training methods on the innovation is critical to building a positive reception. Since innovations are new ideas, they may not initially be easily understood. To help people understand the nature of an innovation, it is important to relate it to concepts that exist and then explain how the innovation differs in nature.
Establish the Trend: Establish the trend to support the diffusion of the innovation. Launch, communicate, and market the innovation to users. Effectively marketing an innovation provides users with the knowledge they need to choose to adopt the innovation. Getting innovators, early adopters, opinion leaders, and change agents initially on board with the innovation plays a critical part in the diffusion process. Since diffusion is a social process, preparing a strong communication plan between the organization and the community of users including support for feedback, user support, building continued excitement and continuous quality improvement for the innovation can greatly enhance the reception of the innovation.
Research foundations
The CREATE Model of innovation leadership, when used by an innovation leader and applied in a group, team, or organization can support the development of innovations. To understand why organizations may choose to develop innovations we will explore the types of innovations, the sources of innovations, levels of innovations, and the purposes of innovations. There are two types of innovations. Exploratory innovation involves generating brand new ideas, Value-added innovation involves modifying and improving ideas that already exist (Adjei, 2013). There is a conceptual relationship between the sources, levels, and purposes of innovations (see Figure 1.2).
The creative minds behind the most significant innovations in our society are influenced by many different sources. Creative ideas are mental constructs that have been experienced by an individual. By using analytical thinking and inspiration, our minds combine the useful attributes from these constructs and create an innovation. The innovation can then be shared as a group level innovation or for development as an organization level or market level innovation. If the innovation is widely diffused it becomes a societal level innovation. However, the innovation can typically be traced to an individual level or group level innovation (Gliddon, 2013). An innovation at the group or individual level can be characterized as stemming from the following sources.
Commerce: Businesses, financial trends, and economic performance provide influences by which the generation of innovations is necessary. Although focus is usually placed upon market and organization level innovations, these influences have profound impact on the individual, their inspiration, and career. In this light, commerce creates and atmosphere of competition in the market for organizations, and in obtaining jobs for individuals. Commercial sales are driven by advertising which heavily influences our society using a variety of forms of media as a primary vehicle for their message. Within an organization, the focus of a performance management or evaluation system is to use financial rewards, such as bonuses and raises, or intrinsic rewards such as promotions with better pay to motivate groups and individuals. In striving for these rewards, individuals and groups generate innovations to stay competitive (Hirshleifer, 1994).
Coalitions: Coalitions are groups or organizations that are formed to promote or discourage an ideal or practice. They are active participants in political discussion and can have much power to make political decisions. With this power comes a significant voice in the decision to adopt innovations. Likewise, because coalitions typically have competitive coalitions that oppose an ideal or practice, they compete for the power to make decisions. The choice for individuals, groups, or organizations to align with a coalition is influenced by their values and attitudes shaping their perspectives and creative thoughts (Barrett, 2000).
Science: Scientific discoveries have profoundly shaped the lives of our global community. With each new discovery comes more knowledge about our world, our health, and our universe. As discoveries are made, they shape our creative thinking and allow scientists to develop medical treatments, environmental safeguards, and new technologies. The impact of these discoveries is profound from the life-saving power of pharmaceuticals to the exploratory power of space probes. The innovations generated though the foundations of science may lay a groundwork for commercial market success for the organizations that support their development. Many coalitions have arisen because of the agreement or disagreement with the ethics of developing and commercializing scientific discoveries (Westwood, 1988).
Technology: A technology is a tool that can be used to assist an individual or group of individuals with a task. The simple technologies of our ancestors such as wheels and stone carved knives have developed into the highly intricate and complex devices that have combined significant scientific discoveries with practical use to create societal level innovations. Innovations using new technologies have changed our society and made our lives, in many cases, safer, more secure, and have provided an adequate level of convenience. Technology has a profound impact on commerce and the innovations in technology have both driven our economy and allowed businesses to be carried out much more efficiently (Damanpour, 1996).
Education: We seek education to learn something new about a topic of our interest. Learning is a constant human activity and is not merely confined to lectures, reading, or classrooms. We learn to keep abreast of the news, to find a time to go to the movies, discover new philosophies, to support the lives of our friends and family, capitalize on a great sale, and efficiently complete tasks on the job. Learning is a significant precursor to innovation, and the institutions that complete research and provide education impact our perspectives in a profound way. Likewise, our own individual learning pursuits in libraries, the internet, and in communities support the generation of innovations. As each person is unique, they provide a unique perspective on the knowledge they have gained and through analytical thinking or discussions with those in their social network can support the diffusion of innovations. In order for an innovation to make an impact, we must first learn or be educated about it in some way (Buckler, 1996).
Media: To communicate an innovation, it must be placed in some form of media. There are many useful forms of media such as books, magazines, journals, emails, web sites, television, movies, apps, and text messages. The message that is conveyed and the form by which it is conveyed in media can influence an individual’s creative thoughts and assist in generating innovations. The term ‘the media’ refers to those who report and discuss the news or current issues. However, not all forms of media are highly credible and some can be severely biased by commercial and political coalitions. When viewing media, a cautious sense of objectivity should be maintained. A critical problem with the diffusion of innovations in the media is the evaluation of the innovation’s usefulness in concert with the forces that may be promoting it for solely commercial or political purposes (Gazi, 2014).
Aesthetics: The artistic, musical, literary, theatrical, and motion picture works of individuals within our society provide inspiration for innovation. When we experience the aesthetic, it can impact our thoughts, feelings, and provide unconscious answers to questions that we may not be able to understand consciously. In many pieces of literature, we relate our lives or situations to stories, poetry, or writings that can provide guidance or help us to think creatively. In art, we see expressions that can encourage our imaginative abilities or develop a connection to a culture. In music, we find energy, solace, imagination or motivation that provides a sense of synergistic creativity. In motion pictures and theatrical experiences, we find a recreation of a fictional or non-fictional reality. Our society is greatly impacted by the aesthetic; it serves as a cultural symbol of our creativity (George, 2016b).
Diversity: In our world, there are countless cultures, subcultures, and religions that have developed through various points in history. The culture or religion that an individual or group of individuals belongs to has a significant impact on their values, attitudes, and expressions. Unfortunately, much of the conflict that we see in the world today is based upon an ignorance of or rejection of the practices and beliefs of different cultural or religious groups. What is missed in this conflict is the impact that understanding and appreciating these cultures and religions can have on the generation of innovations. Sharing and celebrating our cultures and religions can promote the generation of innovations and peace (King, 1999).
Government: The method by which a nation of people is governed can greatly impact their society, market, organizations, groups, and individuals. As government is closely linked with political coalitions, many of the decisions made to adopt innovations are ultimately decided in public discussion. Similarly, once an innovation has been discussed, government funding and support can provide much motivation to diffuse the innovation throughout our society. The military and police forces of many governments support the research and development of innovations for the security and protection of its people and resources (Pellerin, 2017). In a global context, leaders and diplomats representing governments can discuss and diffuse innovations generated in their country for the use of other world populations.
There are five levels of innovations: (a) the societal level, (b) the market level, (c) organization level, (d) the group level, and (e) the individual level. At the societal level, innovations have a profound impact. The innovation can reach the societal level if it has been widely diffused and adopted. Innovations can influence the thoughts and opinions of masses of people and can cause those masses to mobilize around the idea to create change. A market level innovation is primarily focused on increasing the market share of a company though increased sales of a product or service. Market level innovations are the focus of many businesses in their quest to stay competitive or increase profit. However, as not all innovations are viewed positively by consumers, innovations can backfire and reduce market share, profit, and an organization’s competitiveness. This highlights the great risk involved in generating and promoting market level innovations and the need for thorough evaluation and discussion of the potential of an innovation (Pisano, 2015).
An organization level innovation aims to improve an organization’s overall performance. This can be accomplished as employees generate innovations to improve processes, develop management practices, fine-tune fiscal strategies, generate new business models, or implement new technologies. Many of an organization’s best practices are produced by organization level innovations. Once adopted, these innovations may provide the organization with a greater level of performance which can potentially translate into growth or higher profit (Damanpour, 1991).
Group level innovations are much like a seed pod. It is in groups that many individuals feel comfortable generating innovations by brainstorming or piggy-backing ideas together. Once the innovation has been recognized by the group, it can be discussed, evaluated, and developed for use at the organization level or market level. A common example of group level innovation is the work of a new product team. A new product team is typically cross functional with members from many different departments. This kind of team is tasked with using group level innovations to create a market level innovation that can potentially increase market share. Another example of group level innovation is a process improvement team. This group is tasked with using group level innovations to create an organization level innovation that can improve the productivity of the organization’s employees (Gardner, 2002).
It is from our own minds that innovations flow. The focus at the individual level is thinking creatively. The most useful innovations in an organization can be generated by any employee at any moment for any reason. However, it is important to understand what has influenced the creative thoughts of that employee in order to be able to understand their innovation. As an innovation leader, it is also useful to explore the influences on creative employees in order to help develop the creative thinking skills of other employees (Oliver, 2015).
In order to be useful, an innovation needs a purpose. Generating innovations without predefined purpose can be a fruitful raw experience of creativity, but a purpose at some point should emerge from the creative minds of those generating the innovation. It should have practical significance at one of the levels of innovation discussed above. More clearly, an innovation has to do something realistically progressive for a group of people and change some aspect of their life or work practices (Tucker, 2017).
Changing: Innovations are commonly linked with change in organizations. Although organizational change can be challenging because of strong resistance to change, it is a reality that many organizations must face to stay competitive. Evolutionary change occurs incrementally over time and is focused narrowly on some distinct aspect of the organization. For example, many organizations strive to make their customer service practices more user-friendly for consumers. Over time, a company may implement innovations that can improve the quality, efficiency and friendliness of their customer service department. Revolutionary change occurs when an organization wants to entirely change its business practices, technology, or processes. The revolution in this change is broad in focus and its innovations are a radical departure from its previous state (Lewis, 1993).
Sustaining: Many times, maintaining competitiveness in a market or within an organization means keeping pace with competitors. Innovations may be directed toward sustaining the organization’s status in the market, its processes, or some other aspect that has historically been a standard. When sustaining, innovations are used to augment what already exists in the organization to improve it in some way or to update a current practice, process, or product that has deteriorated. The improvements made by sustaining innovations provide an organization with a clear path for progress that builds on established products, practices, and processes (Quinn, 2016).
Disrupting: In order to provide a competitive advantage, an organization or group may want to use innovations to challenge the success of a current competitive product or service in order to focus consumers on a new product or service. This represents a radical departure from preexisting products, services, or products, and is designed to bring attention to a new market level innovation. The term ‘disruptive innovation’ has been used to characterize this function of an innovation. Disruptive innovations are commonly associated with technological products and can replace current technologies with new technologies that are more efficient or provide more value to customers (Spahr, 2015).
Performance Improvement: In order for an organization, group, or individual to raise performance it may require a performance improvement innovation. Performance is characterized in organizations as completing tasks with more efficiency based upon an increased level of job knowledge or helpful technology. Performance, however is also linked to athletic, musical, and theatrical improvement. A performance improvement innovation for a sports team may be a new play or technique. In musical and theatrical productions, a performance improvement innovation may be new methods of practice or technologies such as lighting and sound that create a significant impact upon an audience (George, 2016a).
Growing: Innovations can also be used for supporting the growth of an organization. Many organizations who are not focused on profit may find that growth is a mission in order to enhance the organization’s offerings for all members. Growth also can mean an increased level of impact upon a societal issue, learning community, or social activity. At the individual level, growth innovations may be associated with the development of an individual’s knowledge, skills, abilities, or competencies. In science, growth innovations can be used to develop new ways of exploring the galaxy (Kuczmarski, 1996).
Application and implementation strategies
There are three perspectives that are useful when exploring innovation leadership: (a) the interactive process, (b) the individual, and (c) the structural phenomenon (Slappendel, 1996). The interactive process perspective, as characterized by Roger’s (1995) diffusion of innovations theory, describes diffusion as a means to communicate an innovation among others within a social system. Although this can be done using a wide variety of media ranging from a global marketing campaign to word of mouth conversations, many technologies such as email, video, and social and professional networking platforms or a combination of these methods are commonly used to diffuse innovations.
The individualist perspective focuses on the characteristics of innovation leaders. One practical way to explore the characteristics of innovation leaders is to understand an innovation leader’s competencies. A competency is a common measure used in organizations to ensure that an employee has both the knowledge and knowhow to do their job (Rothwell, 2011). A competency model is used as part of a job description to select, train, and evaluate the performance of an innovation leader. Many organizations have developed the role of an innovation leader as a unique job or have incorporated portions of the role of an innovation leader in various jobs. Thus, applying the competency model of innovation leaders in these key strategic roles in an organization is a critical part of using innovation leadership in organizations (Gliddon, 2006). In Chapter 2 of this book, the competency model of innovation leaders will be presented.
The structural phenomenon perspective focuses on how an organization’s structure can be adapted to be suitable to develop innovations. Some examples include process reengineering, policy development, strategic partnerships, mergers/acquisitions, and building a culture of innovation. A cross functional innovation network team can be developed to support creating new products, processes, programs, or to do pure research and development. In many organizations, common innovation leadership networks include teams or groups in business development, sales, marketing, human resources, research, product development, information technology, design, communications, and finance. Likewise, cross-functional or product development teams are common innovation leadership networks. These teams or groups are commonly tasked with discovery, creativity, and producing innovations (Roffe, 1999).
Discussion
Innovation leadership using the CREATE Model provides a method by which innovation can be coordinated and led within and between groups and organizations to focus their efforts and increase their ability to innovate. An innovation leader, using the CREATE Model applies their competence to develop a culture of innovation within an organization. What is highly advantageous about the model of innovation leadership is that it is applicable to many organizations, not merely for-profit corporations. Non-profit, community, athletic, religious, artistic, musical, or political organizations can derive much benefit from incorporating the model of innovation leadership. Likewise, it is broadly applicable to many industries and institutions. In Part II of the book, innovation leadership success stories will be presented that describe how innovation leaders have successfully used innovations to drive success, growth, and progress in many different types of instances.
The book primarily focuses on the individual perspective of innovation leadership. However, there are currently multiple perspectives on the definition of what an innovation leader truly is. An individual in an organization, a group within an organization, the organization itself, and even a community, state, or nation can be considered an innovation leader. Although there are differing perspectives on how to frame innovation leaders in this fashion, within each frame is the individual in an organization responsible for the development and diffusion of innovations (Massar, 2017). Therefore, even though we may call nations, states, organizations, or groups innovation leaders, it is still most critical to assess the individual innovation leader or innovation leaders that are driving innovation leadership within each frame.
Summary
Leaders inspire their followers to achieve a shared goal. The key role in the practice of innovation leadership is that of the innovation leader. Within an organization, people develop creative ideas that can become innovations. Creativity is a common human inspiration and innovation leaders can inspire their followers by encouraging creativity. An innovation leader collaboratively develops a new idea with creative employees and key stakeholders and makes it real. The CREATE Model is a model of innovation leadership that includes a set of steps that innovation leaders can use to develop and diffuse an innovation and create progressive change. There are six steps in The CREATE Model of innovation leadership including: Capture Data, Review Best Practices, Evaluate the Choices, Apply the Innovation, Train the Team, and Establish the Trend. There are two types of innovations: exploratory and value-added. There are five levels by which to understand innovations including: the societal level, the market level, the organization level, the group level, and the individual level. The sources of innovation include: commerce, coalitions, science, technology, education, media, aesthetics, diversity, government. Innovations have a purpose or function including: changing, sustaining, disrupting, performance improvement and growing. There are three perspectives that are useful when ensuring innovation leadership is applied in an organization: the interactive process, the individual, and the structural phenomenon. What is highly advantageous about the model of innovation leadership is that it is applicable to many organizations, industries, and institutions.
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