Creative Construction: The DNA of Sustained Innovation

Pisano, senior associate dean for faculty development at Harvard Business School, convincingly argues that startups don’t have a stranglehold on innovation. Large companies, contrary to the view of some, can innovate, he writes, but they must approach doing so differently. Pisano asserts that “through systematically creating an innovation strategy, designing an innovation system, and building an innovation culture,” large organizations can spark the creativity they seek. He cites numerous instances of successful and innovative transformation by corporate behemoths, namely Amazon, Apple, Bell Labs, IBM, and Monsanto. While these examples, he states, prove that innovation is not incompatible with size, it doesn’t mean that it is easily achieved. Pisano explores how to go about creating an innovation strategy, emphasizing the organizational discipline needed to develop a plan and map opportunities. He also offers strategies for staving off competitors—such as by focusing on ideas that aren’t easily imitated—and stresses the importance of finding new opportunities outside of a company’s core business. Pisano is particularly insightful on dealing with the uncertain initial stage of selecting one particular project to pursue from among different options. He concludes with possibly the trickiest task: creating the right culture for nurturing innovation. Incisive and relevant, Pisano’s primer will give executives much to consider. [em]Agent: Danny Stern, Stern Assoc. (Jan.) [/em]