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The Principles of Sustained Innovation
A former Apple leader who was instrumental in developing the strategies that laid the groundwork for iTunes and Apple Music shared crucial lessons on fostering innovation within a corporate structure. Drawing from over a decade of experience and the work of colleague Dave Ulmer, these insights emphasize the need for a culture that trusts its innovators.
Here are three lessons from that time that remain highly relevant for any organization seeking to develop and sustain a culture of innovation.
1. Avoid the Consensus Trap
Waiting for universal agreement is one of the most significant barriers to progress. At Apple, team leaders were given wide latitude and the autonomy to manage relationships and projects at their discretion. Superiors trusted the expertise of their leaders to navigate complex situations without needing to build consensus on methods or seek constant input.
To foster innovation, organizations must first grant team leaders a high degree of independence, budget, and authority. In turn, those leaders must use that freedom to act. True innovation requires mutual respect for expertise. Just as creative artists do not ask for permission to create, innovators should be empowered to move forward without waiting for committee approval.
2. Don't Require Interim Approval
Breakthroughs cannot happen in a culture that requires constant progress reports and interim approval. These processes encourage second-guessing and stifle the creative process. While a completely hands-off approach isn't the answer, a culture of trust is essential, allowing innovators to see their work through to completion.
This approach still allows for robust collaboration. During complex cross-functional marketing campaigns at Apple, the practice of consulting with colleagues across different divisions was not standard, but taking the initiative to do so proved invaluable. Looping in marketing and engineering teams gave them a stake in the outcome and their feedback improved the campaigns. This was done without seeking management approval beforehand, demonstrating that proactive collaboration driven by the innovator is more effective than top-down review processes.
3. Be Wary of Received Wisdom
History is filled with companies that failed because they were unwilling to challenge their own success. Kodak, for instance, invented the digital camera but failed to adapt, ultimately losing the market it created. If a team is unwilling to question the internal status quo, it is the leader's job to push them.
Fighting institutional inertia can be difficult. If you encounter resistance when pushing for innovation, consider these strategies:
- Create a risk profile for the current strategy. Analyze how maintaining the status quo increases risk when facing known and unknown market trends.
- Demonstrate the return on investment (ROI). Show how the recommended innovative steps can lead to a positive return, defined in terms that resonate with upper management.
- Highlight the cost of indecision. Encourage teams to get comfortable taking action with incomplete information by asking, "How much do we really need to know before making a decision?"
- Resolve internal turf wars. When new products risk cannibalizing existing business lines, emotions can run high. Make it clear that it is better for an internal team to innovate than for an external competitor to seize the advantage.
Organizations cannot afford to remain stagnant. Lasting success requires a commitment to recognizing, practicing, and cultivating innovation. '''