Innovation Failure & Ownership: What happens when we own our successes and abdicate our failures
July 23, 2010 by Andrew (Drew) · 1 Comment
It is possible to fail in many ways…while to succeed is possible only in one way.
- Aristotle
Innovation is a high-stakes endeavor. Much may be risked on the hoped-for chance of reward. The success or failure of a single innovation may win or lose reputations and careers. In some organizations, the retribution for failure may be swift and harsh, while the rewards for success may be just as fickle. An innovation approach that drives toward internal winners and losers in an organization is not built for long-term success. The trouble with that binary perspective—one in which innovation is a zero sum game—is that it negates the true value of the innovation process. That value resides in the opportunity to rapidly learn and adapt.
Learning as a means of advancing an organization’s strategic intent is nothing new. Peter Senge captured an incredibly useful model for the “learning organization” in his book The Fifth Discipline. He proposed that learning organizations are those in which members continually expand their capacity to create new solutions and obtain the results they desire. Senge saw that by expanding patterns of thinking, where people were able to see the systems in which they were operating from a holistic perspective, organizations could set their collective aspirations free. This required that organizations focus not on individuals but on the larger range of interactions within the organization and between affiliated organizations.
Which sounds like an easy prospect, but is in practice quite difficult. Without care and attention, the learning organization runs hard into the Darwinian determinism of the present-day competitive organization—the kind where only the successful survive and the less than successful are afforded “opportunities for personal growth outside the organization.”
Where has the love gone?
If at first you don’t succeed, failure may be your style.
- Quentin Crisp
Given that we have been exploring cognitive biases, mental models, and the social psychology influences on innovation, it’s fitting that we should leave this subject area with a look at the impacts of success and failure on both individual behavior and organization performance. Organizations, with their competitive pay structures and performance measures, make membership and participation a high-risk game. Those who know how to play the game, sometimes in spite of their relative productivity and output, succeed, while those who struggle to position themselves strategically, or who perceive that “playing” is beneath them, are left wondering “what happened?” as they observe less-deserving peers receive recognition, rewards, and advancement.
What we observe in these circumstances are the results of “adaptive bias.” Adaptive bias is the notion that the human brain has evolved to reason adaptively, rather than truthfully or even rationally, as a mechanism to reduce the overall cost of cognitive errors (misunderstandings derived from faulty perception.) Consider it a higher level of self-preservation. As with many biases, it addresses uncertainty by driving the subject (or subjects) to more concrete action.
Perhaps Oscar Wilde assessed the situation correctly when he offered that, “It’s not whether you win or lose, it’s how you place the blame.” For regardless of the effort expended, if you cannot align yourself with success in a highly competitive environment, you will not receive personal recognition. For some, an organization with this kind of scorekeeping causes them to go to extraordinary lengths to claim ownership of successful endeavors while distancing themselves from failures.
Captain of your own destiny or cruise director on the Ship of Fools?
A man may fall many times, but he won’t be a failure until he says that someone pushed him.
- Elmer G. Letterman
For our organizations to be more successfully innovative, it is necessary to elevate the competition from the individual play level to the market performance level. If competitive performance systems remain intact inside organizations, then the scramble to claim ownership for innovations will continue. The net effect of that jockeying for position is short-term, escalating, divisive conflict (as opposed to generative conflict) and a long-term erosion of organization trust. Not only are these both an impediment to innovation, they are hazardous to an organization’s health and viability.
An organization that gears itself for driving and supporting competitive internal systems will nullify the collaboration necessary for large-scale and system-wide innovation by fostering another bias in the member population. Known as the “self-serving bias,” its presence means that individuals perceive themselves as responsible for desirable outcomes but not responsible for undesirable outcomes. However, the act of failure avoidance denies us the opportunity to learn, and in attempting to position our failure as someone else’s, we perhaps doom ourselves to repeating it.
A global high-technology company, which shall remain nameless to protect the guilty, would be considered highly successful by most measures. It is big, powerful, and has played a significant role in creating and moving markets. Unfortunately, today that company is beginning to reap the rewards of the competitive culture it has sown. In this organization, ideas must “fight for survival” and only those people who can passionately, loudly, and often angrily argue their case prevail. Those who fail are derided, while those who appear to succeed move into management roles, only to perpetuate this pattern.
The resulting organization is one that is driven by fear and conflict, moving from market misstep to market misstep with little to signal that it can recapture its earlier flair for innovation and success.
The leadership of many an organization falls into this pattern of internal competition without questioning its role in the success of their organization. They repeat what they have observed, learned, and actively supported in their past roles—because if it worked in the past, it must surely work in the present. Their inability to question the value of internal competition results not in a learning organization but one that survives by paying lip-service to collaboration and cooperation, while leaving carnage in its wake as the assignment of blame continues apace.
Failure in innovation is not to be avoided, it is to be embraced.
Success is the ability to go from one failure to another with no loss of enthusiasm.
- Winston Churchill
What we actually need to practice is the art of failure ownership. Unlike the pain of an internally competitive landscape, the process of failure ownership requires that an organization support intellectual curiosity and an inquiry into the nature of how systems operate and interrelate. Innovation thrives on the ever-engaging quest for discovery that often meets with failure along the way. But failure is not an end-point, it is merely a way station. We need to enthusiastically own failures to the extent that we can unpack them, observe their genesis, and understand their triggers. With that learning in hand, we can then advance our innovation intent further by “failing forward fast.”
Filed under Innovation, Organization Culture, Social Psychology · Tagged with behaviors, communication, concentration, creativity, failure, focus, Innovation, insight, learning, meaning, organization, systems
Innovation Beyond the Average: the challenges of delusions of grandeur and the Dunning-Kruger effect
July 19, 2010 by Andrew (Drew) · 6 Comments
Ignorance more frequently begets confidence than does knowledge.
- Charles Darwin
Innovation is not necessarily a size game. Bigger is not necessarily better. Large organizations keenly focused on innovation benefit from being able to exploit resources, processes, systems, and human intellect in a way that’s beyond the scope of a smaller enterprise or sole entrepreneur.
Access to a breadth of elements means the possibility of widely divergent outcomes. Unfortunately, with size comes inertia, and one of its causes is the degree to which stable systems create immovable patterns and a certainty that comes with having “seen it all before.”
This kind of organization knows itself. It has a pool of clients it knows well and for whom it meets well-defined, long-term needs. It has access to resources via supply chains it has developed over time, offering little in the way of surprises. You could call this organization “fat, dumb, and happy.” And you would be right. The truth is that it has created a cultural delusion of grandeur, which makes it struggle to innovate.
Dangerous self-satisfaction
There is nothing more frightful than ignorance in action.
- Johann Wolfgang von Goethe
Howard Johnson’s, MCI, Enron, Pan American World Airways, Digital Equipment Corporation, Marshall Field’s, and the litany of the half-forgotten could continue. Whether willful victims of their own misbehavior or ignorance of the changing needs of their customers and markets, these former market leaders have died the most tragic of unnecessary deaths. They thought they were at the far right of their market’s respective performance bell curves, living in gloriously smug self-satisfaction, and they were punished for it.
The problem with that kind of delusion is that the most obvious contrary data will be ignored until it is too late. I’ve seen clients, thinking that they were indestructible, behave in ways that were completely contrary to their best interests because they refused to believe their previously unassailable market position was not only in jeopardy, it had evaporated. They stuck to their old product lines, offering the same levels of distracted customer service, while their industry competitors passed them by, embracing innovations at all levels of their organizations.
There are some in venture capital circles who will tell you, “If you are not growing, you are dying.” They refer specifically to revenues more often than not. For the adage to be true, a more expansive view of growth is required. Growth need not only be found in revenues, it may also manifest in broader service sets, expanded ranges of customers, and wider social impact, among other factors. The self-satisfaction that comes from past success gets in the way of this pursuit because it usually means we don’t seek out those innovations we need to survive and thrive.
Applied ignorance
No one is satisfied with his fortune, nor dissatisfied with his intellect.
- Antoinette Deshoulieres
Self-satisfaction is not the only path to innovation entropy. Success also reinforces a mindset of superiority. Each success reinforces a belief across an organization that the collective choices made and actions taken are the result of superior intellect and application. Which is fine, except the psychological tendency is to ascribe all success to our direct efforts, regardless of actual impact. We all think we’re above average and smarter than the next person in the room, or our competitors, or worse yet, our customers. (Good grief.)
There is a great saying in the USA: “Even the blind squirrel will eventually find a nut,” which highlights how arbitrary and capricious success may sometimes be. Especially if we are not vigilantly seeking ways to improve and extend our success through innovation.
Proctor and Gamble, under its previous CEO A.G. Laffley, recognized the flaw in perceiving that all success could be derived from within the company. P&G had, for many years, actively practiced ignoring ideas from outside the company, literally living the phrase “not invented here.” They refused to consider the possibility of good ideas existing elsewhere. Under Laffley they defeated this mindset by embracing the idea of “proudly found elsewhere,” which meant that they were willing to use the best ideas no matter where they came from.
The self-awareness of the limits existing within a company were neatly expressed by a CEO who, when talking to his staff, said, “The smartest people in the world are not working for us.” The implication being that if you want smart, look beyond the limits implied by the company’s legal and operational boundaries and the intellect it contains. To innovate at home, look elsewhere. (Open innovation, anyone?)
Certain incompetence
One of the painful things about our time is that those who feel certainty are stupid, and those with any imagination and understanding are filled with doubt and indecision.
- Bertrand Russell
Perhaps the most brutal self-deception that undercuts our ability to innovate both at an individual and collaborative level is represented in the Dunning-Kruger Effect. Justin Kruger and David Dunning proposed that, for a given skill, incompetent people will see themselves as heroes in their own story. They tend to overestimate their own level of skill while failing to recognize genuine skill in others. When faced with the extremity of their inadequacy, they also fail to recognize it, often explaining it away due to circumstances beyond their control.
There is relief from this delusion. If a person is able to recognize and acknowledge their own previous lack of skill, they can be trained to substantially improve, provided they have the will to address their shortcomings. This is hard work. Faced with this level of effort, is it any wonder that most people prefer to not change, instead continuing their certain incompetence by ignoring it altogether? At this point a passing reference to the Peter Principle might be warranted, but a trip down that path will only lead us to despair.
Don’t despair. Andy Grove popularized one approach to the vigilance necessary to maintain a posture of innovation-driven success. His book Only the Paranoid Survive offers a reminder of what it takes to be successful. To overcome self-satisfaction, and the over-estimation of our abilities, keep striving to be better, to improve, to transform. In the application of consistent efforts toward renewal, not only might you beat your averages, but you might find that innovation becomes the foundation for your enduring success.
How do you prevent yourself or your organization from becoming too self-satisfied?
Filed under Innovation, Organization Culture, Social Psychology · Tagged with behaviors, community, concentration, creativity, experience, focus, Innovation, insight, leadership, meaning, organization, primed, priming, shared learning, thinking
Innovation in the Rear View Mirror – The challenge of revisionist history and hindsight bias
July 9, 2010 by Andrew (Drew) · 3 Comments
I always avoid prophesying beforehand, because it is a much better policy to prophesy after the event has already taken place.
- Winston Churchill
Raise your hands if you have ever met someone who has a tendency to relive their glory days. You know, that one person in a group who fondly remembers better times, or who always finds the present lacking because “the last time this same thing happened, there was a much better result”? We are not talking about the story teller, who fires up those around them with their passionate recounting of a victory or a discovery, nor even someone who occasionally reminisces. We’re talking about the person with a pathological need to live in the past, who might be physically in the present but whose mind is a year or ten in the past. Strangely enough, they keep visiting the present, trying to capture us and cart us back there with them.
We’re going to do what we’ve always done (and wonder why we always get what we’ve always got)
May you have the hindsight to know where you’ve been, the foresight to know where you are going, and the insight to know when you have gone too far.
- Irish Saying
As we noted in a previous post, storytelling has a vital role in a healthy and vibrant organization. This type of storyteller is not the same. The resident revisionist historian simply cannot let go of the past. With perfect hindsight they see how things were so much better before, and that when change occurred, it put us on the road to ruin. The revisionist doesn’t seek to use their past experience to inform their present-day actions. They would rather live in the past. Over and over and over again.
What students in the United States knew of George Washington’s youth was that he apparently chopped down a cherry tree on the family property. Unfortunately, this is a blatant piece of revisionist history. An archaeological dig at the Washington family home found no such cherry trees. In fact, additional research uncovered that the original biographer of Washington, Mason Locke Weems, fabricated the story in order to make the general, first president, founding father, and all-round statesman “more honest”! Strange to think that aggressively pruning a prunus avium and not lying about it would be considered a honest act.
This fabrication and the apocryphal story built upon it lend little to Washington’s character, and revisionist history lends little to the life of an organization. Sorting the truth from fact can be a running battle that can exhaust an organization, leaving fewer resources for creative endeavors, and drain the will of the organization.
A friend of mine, Sam, used to tag people as “radiators” and “drains.” Which I believe he picked up elsewhere (perhaps here?) Now, I’m not one for labels. They’re inflexible and terribly difficult to remove once in place. But his notion that people either radiate energy to those around them or they drain it from them — like so many dim-witted psychic vampires — rings appallingly true.
How do you think this plays in an organization attempting to embrace and extend its ability to innovate? Not well at all.
Looking forward but only seeing the rear view mirror
In today’s complex and fast-moving world, what we need even more than foresight or hindsight is insight.
- Anonymous
Another powerful, distorting perspective present in the psychology of organizations is hindsight bias. This is the inclination to see past events as being more predictable than they in fact were before they took place. Hindsight bias has been observed experimentally in a variety of settings, often where defined levels of expertise are expected, including politics, sports, games, and medicine. In psychological experiments of hindsight bias, subjects tend to remember their predictions of future events as having been stronger than they actually were, in those cases where those predictions turn out to be correct. This inaccurate assessment of reality after it has occurred is also referred to as “creeping determinism.”
How does hindsight bias impact an organization’s ability to innovate?
By disguising past performance, hindsight bias makes it difficult to determine how original actions may have resulted in a specific outcome. The memory of events may become so distorted that it bears little resemblance to the reality of what occurred; that makes any potential lesson learned not only poor but potentially hazardous.
Learn from your mistakes – don’t relive them
Traditional scientific method has always been at the very best, 20 – 20 hindsight. It’s good for seeing where you’ve been. It’s good for testing the truth of what you think you know, but it can’t tell you where you ought to go.
- Robert M. Pirsig
Frank and honest sharing of information is for a wider benefit. It creates a mental space for new ideas to crop up or flood in. This differentiates it from the dynamic surrounding those who are “revisionistas” and “hindsighteers.” (There should be a club for this which involves hats with rearview mirrors attached, I’m sure.) In this dynamic, any benefit, if it can be called that, is derived primarily for themselves. Their approaches leave little room for learning, positive affirmation of true success, or the opportunity for discovering a more holistic solution to the pressing challenges being addressed.
Mistakes and missteps for anyone interested in innovation are a gift. They help define more clearly “where you ought to go.” In being honest about our challenges and the qualities of our successes, and not disguising them or explaining them away through false tales, we will build towards innovations that are truly extraordinary.
Filed under Innovation, Organization Culture, Social Psychology · Tagged with collaboration, communication, confusion, experience, focus, Innovation, insight, learning, meaning, observation, primed, priming, self-awareness, storytelling, thinking, understanding
Innovation Folklore & Fairytales – Self deception and the stories we tell
July 6, 2010 by Andrew (Drew) · 1 Comment
The most erroneous stories are those we think we know best – and therefore never scrutinize or question.
- Stephen Jay Gould
As a process to connect people and transmit ideas within organizations, effective communication is essential for fostering innovation.
Aristotle told us, nearly two and a half thousand years ago, that if communication is to change behavior, it must be grounded in the desires and interests of the receivers. Organizational life relies on folklore and myth to create a connection between its members that influences their behavior, including the creation of innovation.
Folklore serves as mental scaffolding to help us gather, sort, organize, and support our thinking about the world around us. From an organizational standpoint, folklore provides what Ronald A. Heifetz termed in Leadership Without Easy Answers a “holding environment.” A holding environment enables a witness to the folk tale to distance her or himself from present reality. It enables the conception of possibility, and is a key ingredient in sense-making. To understand how it can inform, or impede, innovation, it’s necessary to explore folkloric communication and the way it helps define boundaries for action and dialogue in the life of organizations.
A billion little pieces
The universe is made of stories, not atoms.
- Muriel Rukeyser
Storytelling reveals and explores the potential of individuals and the social context in which they find themselves. Stories open the organization to the power and relevance of innovation as the organization members seek to grow and evolve it over time. Folkloric communication helps to define organizational reality, providing deeper levels of meaning. By capturing reflections of the past and displaying them in ways that are engaging to the present, it brings to light the fundamental building blocks of the organization which can then be used for creative ends.
In their reflective work on the possibility of a more holistic model of organizational life, A Simpler Way, Rogers and Wheatley note that “most people have a desire to love their organizations.” This notion drives much of the latent, often unexamined, innovation in organizations. It also means that organizations embrace stories about themselves that may not be factually accurate.
From the big reveal to the big conceal
Storytelling reveals meaning without committing the error of defining it.
- Hannah Arendt
The identity of the organization as it is expressed–its potential–speaks to participants’ own potential. Participants, through folklore and stories, envision places for themselves in the organizational whole. They see ways they might add to, or live out, a part of organizational history. Organizational folktales become ways for building shared coherence, defining the “fundamental integrity about who we are.” The key is shared commitment to the intent behind a story. Regardless of whether it’s a tall tale or true account, if enough people in the organization recognize its validity, it will have enough weight to influence practices.
The boundary-making qualities of folklore show organizational participants how to transgress, to reach beyond them, and build new tales. The dual nature of folklore is its ability to define both the boundaries of organizations and the people within it. Folklore in this manner is fundamental to the culture of an organization through its constant interaction with the organization’s own social dynamics.
Culture is both a product and a process. As a product, it embodies accumulated wisdom from those who came before us. As a process, it is continually renewed and re-created as newcomers learn the old ways and eventually become teachers themselves.
– Bolman & Deal (1997, p. 217)
At its root, folklore in organizations is a metaphoric framing device, providing a context in which newcomers to organizations see ways they might engage with the organizational whole and leave their own mark. For this reason, the guardians of organizational folklore have significant power within it. They set the tone by determining when and where folklore may be revealed. They choose the focus of the delivery. Their opinions and attitudes directly color the way in which others may view the organization. Stories are a filter through which others catch glimpses of past organizational life. For any person new to an organization, this may be intimidating or welcoming, depending upon the manner with which the mythology is engaged.
It is vital, however, for people to feel at ease with an organization’s folklore if they are to become an engaged component of the systemic whole and add their own creative spark. Avoiding folktales, or denying their power within the organization, is the denial of an elemental part of how the organization operates. Folktales exist for numerous reasons, and each serves a unique purpose for the organization, be it framing patterns of behavior, orienting newcomers, or galvanizing the weary. For many organizations, however, the concept of a place for myth and folklore is not only foreign to them, it is anathema to their technical and rationalistic worldview. What need do they have for stories when there is a budget to be balanced and a headcount to be reduced?
There are a thousand stories in the naked city
To be a person is to have a story to tell.
- Isak Dinesen
The dark side of organization myths and folklore is that they may be the result of confabulation or impression management. They are tales told with willful, ill intent, and can play havoc with an organization’s success. Sometimes these tales may be used to create distractions, or to hide the true intent of storytellers.
In the case of confabulation, the reporting of events that never happened, it creates confusion and distraction. Rather than reinforcing a deep-seated truth about the organization which all may tap into as a source of inspiration, like the most powerful folktales, it causes chaos and distraction. Think of this factitious behavior as a mild version of Münchausen’s Syndrome, without the tendency to invent illness.
That and four bucks will get you a cup of Starbucks
Stories are the creative conversion of life itself into a more powerful, clearer, more meaningful experience. They are the currency of human contact.
- Robert McKee
A more hazardous practice is that of impression management. In both sociology and social psychology, impression management is a goal-directed conscious or unconscious process in which people attempt to influence the perceptions of others about a person, object, or event. Usually this practice is adopted for the improvement of their own standing within a given social context, and is accomplished by regulating and controlling information in social interactions: access to information, the way that information is presented, and the rules by which it might be shared are controlled.
The resulting distractions, as people seek to sort fact from fiction, cause confusion and frustration. One other victim in this process is the truth, without which clear thinking about innovation is sacrificed.
Impression management is usually synonymous with self-presentation, in which a person tries to influence the perception of their image. Impression management also refers to practices in professional communication and public relations, where the term is used to describe the process of forming a company’s or organization’s public image.
An organization that embraces its mythic traditions and openly embraces its folkloric symbols is one that is living with rare vigor. If the folklore and myth resident in an organization are used to galvanize and energize existing members, and create engagement points at which new members can find a way to contribute and belong, the resulting creativity and innovation will be remarkable.
A good story cannot be devised; it has to be distilled.
- Raymond Chandler
Filed under Innovation, Organization Culture, Social Psychology · Tagged with behaviors, communication, creativity, focus, goals, Innovation, insight, leadership, learning, meaning, organization, priming, product development, shared learning, storytelling, understanding
Garage Based Innovation – Presentation by Phil McKinney – HP’s CTO
June 21, 2010 by Andrew (Drew) · Leave a Comment
Phil McKinney, the Chief technology Officer at HP, delivered a presentation recently on “Garage Based Innovation” at one of the Stanford Breakfast Briefings. In McKinney’s words, “the emphasis being on the personal ability to innovate. ” Although I believe he is speaking directly at the heart of what it takes to foster a culture of innovation and it has a wider applicability than the personal.
Some of the topics he covered included:
* The Rules Of The Garage
* The Challenges Of Innovation (Innovation Gap and the Innovate Delay)
* Knowledge Is A Commodity
* Creativity Is Not A “Gift” But A Skill (and it is one that he believes can be taught / learned)
* Everyone Is Creative (yes, everyone!)
* Skills Of Creativity
I like the way McKinney thinks. He is a true advocate for whole-organization innovation and seeks to debunk the idea that it is the domain of a select few.
The presentation is here at SlideShare
Filed under Innovation, Organization Culture, Social Psychology · Tagged with communication, Innovation, insight, learning, presentation, primed, priming, product development, self-awareness, thinking, training
Recap of Day 1 at the World Innovation Forum June 8-9, 2010 – OnInnovation
June 20, 2010 by Andrew (Drew) · Leave a Comment
The World Innovation Forum 2010, the fifth such conference, was held at the Nokia Theatre on Times Square in Manhattan this week. For over 900 attendees, presenters and organizers it was an opportunity to explore several innovation themes over the course of two days. The interesting thing was that much of the value of the event wasn’t necessarily to be had in the room at the venue. There were smaller luncheons, after-hours gatherings over food and drinks, and even an “unconference” event during which people capitalized on the opportunity to meet and learn from each other. [The complete post is here.]
Look for a Day 2 recap to follow shortly.
Filed under Innovation, OnInnovation, Organization Culture, Social Psychology · Tagged with conference, event, Innovation, insight, leadership, presentation, training
Using Stories for Design Ideas – new from Johnny Holland Magazine
June 15, 2010 by Andrew (Drew) · Leave a Comment
In a new post at Johnny Holland Magazine, Whitney Quesenbery and Kevin Brooks share insights from Rosenfeld Media’s book ‘Storytelling For User Experience’. From the perspective of innovation, which is increasingly wedded to the concepts of design and design thinking both conceptually and in practice, storytelling is a powerful discovery and generative tool. This post offers great perspectives on the use of story to capture current state challenges, and future state possibilities.
“When we say that the design must “tell a story,” we are not just talking about games or interactive fiction, or even about turning a work application into an adventure (“Conquer the benefits allocation maze…”). Instead, we mean the kind of stories that help you create new designs. These stories are used to make you think of new possibilities, give you the tools to encourage a self-reflective kind of thinking—design thinking—or so you can imagine designs that will improve the lives of other people. Stories explore ideas from user research.” More here..
Filed under Innovation, Organization Culture · Tagged with communication, creativity, experience, focus, Innovation, insight, learning, meaning, observation, primed, priming, shared learning, story, storytelling, understanding
Innovation & Memory – Recollection plays havoc with our innovation efforts
May 28, 2010 by Andrew (Drew) · Leave a Comment
The true art of memory is the art of attention.
- Samuel Johnson
The news is shocking, but true. Memories are fictitious! And it seems the more we call on them the more likely they are to bend and shift over time. Most of us have snapshot memories – those memories formed by extraordinary events. For some it might be their wedding day, or birth of a child, or a hole-in-one while playing golf. Unfortunately, for most of us, the most commonly shared snapshot memories are usually formed by catastrophe and disasters widely reported in the media.
As clear and detailed as these memories seem to us, as we reflect on them and share them with others psychologists find they are surprisingly inaccurate. Our inaccurate recall influences how we respond when facing similar circumstances; which means our memories can be quite detrimental to our ability to effectively innovate.
Hand me my rose-colored glasses
Memory is deceptive because it is colored by today’s events.
- Albert Einstein
When bringing new products to market the stories of success told within an organization often fail to capture the impediments to success along the way. Our tendency is to believe that the decision making processes in organizations are robust and analytical enough to prevent biases. We gather data from a variety of sources and build our product portfolios based on “the facts”. However, even if someone has sought and assessed the alternatives for investment in a neutral manner, they may still remember data selectively to reinforce their expectations. This effect is called selective recall, confirmatory memory or access-biased memory.
There are conflicting psychological theories about selective recall. Schema theory predicts that information matching prior expectations will be more easily stored and recalled. Some alternative approaches say that surprising information stands out more and so is more memorable. Predictions from both these theories have been confirmed in different experimental contexts, with no theory winning outright. What is more interesting is the influence our remembering of past success holds over our current choices.
In remembering our previous successes Karim Nader, a neuroscientist at McGill University in Montreal, has established a theory stating that the very act of remembering can change our memories. This theory runs counter to the established perspective that once a memory is formed it remains largely intact. Even more challenging is his statement that our most vivid memories are actually prone to the most change over time. He believes that it may be impossible for humans or any other animal to bring a memory to mind without altering it in some way. Like an old magnetic audio tape (remember those?!), the more times it is replayed the more degraded the sound becomes, our recollections are “rewritten” back to memory in a different part of the brain and somewhat altered by the way our recollection was triggered.
When we remember the successful delivery of a new product or service to market, we may be miss-remembering the circumstances around that release. Our memories, influencing our present choices about innovation opportunities selected for funding and development, may actually be leading us astray. How we fondly remember our past success may reinforce our positive attention towards products or services we think are similar our past successes. This blinds us to present risks and may jeopardize our intended outcomes.
Refusing to make the mistakes of the past
Many a man fails as an original thinker simply because his memory is too good.
- Frederick Nietzsche
This unwittingly biased view of the world cuts both ways. Where our remembered successes might trigger us to attempt to repeat them, by neglecting the hazards we had to overcome, our remembered failures might steer us away from what might conceivably be future successes. Hindsight bias comes into play and each recall of our failed efforts not only reinforces their impact, and our desire to avoid repeating them, it serves as the basis for predicting future failure. In addition, when we set aside our memories as they are re-written back into our synapses the new research suggested that they are changed. That change is often an amplification of the extent of the remembered failed attempt.
The pattern of confirmation bias is our tendency to prefer information that confirms our preconceived notions of how circumstances might play out, regardless of whether they are true. It may sometimes be used to encapsulate the following three cognitive biases by which people can reinforce their existing attitudes toward their innovation efforts: by selectively collecting new evidence that highlights or exaggerates the risk involved with a new endeavor, by interpreting evidence in a way that is biased towards finding hazards in the attempt, or by selectively recalling information from memory about our past failures and applying that to the present situation.
Where sometimes our memories influence us to see the world as full of possibilities, they can also hinder our ability to take the appropriate risks that are necessary for all innovation. Our fear failure, influenced by our remembered failure can prove just as detrimental to our mistaken memories of success.
Memories are additional data – treat them as such
We cannot change our memories, but we can change their meaning and the power they have over us.
- David Seamands
If the process of creating memories and remembering is so fallible, how can we minimize its impact?
One method is to be clear about the data being used to influence decision making. Make your thinking visible so that inherent biases may be called to account. When conducting an assessment of alternatives, be sure to seek counsel that is external to the decision making team especially if that team is long-term and has a wealth of shared experience. To avoid the undue influence of memory biases seek people who have different perspectives and experience. That experience will be rooted in different memories and may help mitigate over-reliance on our personal and collected recollection of what we think may have occurred.
Another method for combating our fallible memories is to directly address the amount of risk involved in the innovations we choose to pursue; our memories provide context for the risks we perceive in the present. We can address that risk by using short interval delivery strategies. This approach creates milestones that are much closer together (rather than months, usually weeks, or even days in high risk scenarios) and the scope of work being completed is usually more contained. This enables us to keep our focus on the present performance of our innovation efforts
As a practice in innovation, rather than relying on our memories to influence our choices, perhaps it is best to focus on making new memories. What do you think? How do your memories influence how you innovate?
Filed under Innovation, Organization Culture, Social Psychology · Tagged with behaviors, communication, concentration, confusion, focus, Innovation, insight, meaning, primed, thinking, understanding
Innovation Perception – the joys and disappointments of expectations
May 19, 2010 by Andrew (Drew) · Leave a Comment
It is one of the commonest of mistakes to consider that the limit of our power of perception is also the limit of all there is to perceive.
- C.W. Leadbetter
The best phrase to capture the spirit of innovation is not, “Eureka!” as some would have us believe. That is more appropriate for the instant of invention. Rather the most fitting phrase for innovation is, “that’s interesting…”
This fits because it is through the discovery of the unexpected while we work toward solutions addressing our most wicked problems that we begin to tease out the most robust ideas. The willful focus on meeting our expectations is the next cognitive bias that we must address as we seek to build a culture that supports innovation. We are prisoners to perception when we must strive to be open to the possibility of surprise.
Punished for trying
Blessed are they who see beautiful things in humble places where other people see nothing.
- Camille Pissarro
Perceptions are often erroneous. Yet, we base much of our decision making on our perceptions of circumstances. Those perceptions are driven by our expectations. The errors of our perception may be systematically related to interpersonal expectations (what we want from each other or anticipate from each other), our in-the-moment motives (our expectation of need fulfillment), value patterns (what we expect to attract us, repel us, what we prize or disregard), and our personal defense mechanisms (our emotional defenses triggered by our previous experiences brought to bear on current circumstances by our present expectations.) With all this going on, all the time, how the heck do we even get out of bed in the morning?
We psych ourselves up to it. This is a true challenge especially when we expect to be punished for our failures.
In a recent Q&A session conducted by the good folks at 800-CEO-READ, Mark Frauenfelder the Editor in Chief of Make Magazine talked about how the current education system is designed to prevent discovery through failure. His approach is to throw oneself directly into the path of failure, as often as possible in order to be “effective.” Frauenfelder sees that the inability to make mistakes is tied directly to the expectation of poor marks unless perfection is attained…
Students are afraid to make mistakes in class because errors result in bad grades. Striving for a “perfect score” takes your mind off the real goal, which is to learn and to be effective. In organizations we are afraid to make mistakes because a mistake is a convenient way for others assign blame. A fear-based workplace discourages risk-taking and experimentation. The worst mistake is to punish people for making mistakes in the pursuit of doing something in better way.
In innovation, if we tie our efforts only to an expectation of success, then our efforts will become smaller over time. Each attempt will have less at stake. We will risk less, because the anticipated blame associated with any failure is too much to bear. And who likes to be punished for trying?
Say…what’s a mountain goat doing way up here in a cloud bank?
People only see what they are prepared to see.
- Ralph Waldo Emerson
Our perception can also make it difficult to see the circumstances around us. There is a classic Gary Larson cartoon drawn from the perspective of looking over the shoulders of two pilots out the cockpit window. The caption reads: “Say…what’s a mountain goat doing way up here in a cloud bank?” Funny and frightening. But this is also emblematic of how our expectations can cause us to miss large perceptional indicators. Our minds are unable to wrap themselves around such a disconnection between what we expected to see and what we actually see.
Rather than seeing that something is different to what we expect, we develop a blind spot to it. This perception bias has been identified for many years. One of the earliest examples was in research conducted by Seymour Smith, an advertising researcher from the 1960’s who saw that people were screening in and out what they were seeing and hearing based on what their expectations were. He noted that,
“They do so because of their attitudes, beliefs, usage preferences and habits, conditioning, etc.” People who like, buy, or are considering buying a brand are more likely to notice advertising than are those who are neutral toward the brand. (Source)
More recently this research was bolstered by the work of doctoral student Alison Jing Xu and her research partner Robert Wyer of the University of Illinois, College of Business. Their research focused on the examination of the power of puffery. Scott Berinato brought this to light in his recent post at Harvard Business Review, The Power and Perils of Puffery, in which he described their experiments in assessing the influence of the perception of their subjects in relation to subjects about which they were familiar or not. As cliché as it might seem, they structured their questions for men around beer and for women they focused on a personal care product, a cleansing gel.
In both situations where the subjects felt they were familiar with a particular product, they were less likely to be influenced by puffery in support of that product. Unsubstantiated claims were a turn-off. But when they were unfamiliar, they were more accepting of the unverifiable claims. It seems expectation, derived from past knowledge and experience, determined what was acceptable or not. When there were greater unknowns, puffery won the day.
How is this reflected in innovation?
Innovation is the attempt to create a new solution where none are known. It seems that when we are faced with the unknown we are more inclined to rely on our unquestioned perceptions, which rest on our expectations, rather than seek to push and explore to seek a deeper understanding. Unquestioned perception is an impediment to innovation because it limits possibilities.
It seems, as with so many other cognitive biases forewarned is forearmed. If we know we are predisposed to perceptional bias that is half the battle. Our awareness of that bias is a signal to dig a little deeper, question a little harder, and fail a little more a little more often. After all innovation is not about any single eureka moment, it’s about the next interesting discovery just beyond the horizon.
If the doors of perception were cleansed, everything would appear as it is – infinite.
- William Blake
Filed under Innovation, Organization Culture, Social Psychology · Tagged with collaboration, communication, concentration, creativity, focus, Innovation, insight, leadership, learning, meaning, primed, priming, self-awareness, systems, understanding
FastCompany: The Most Important Leadership Quality for CEOs? Creativity
May 18, 2010 by Andrew (Drew) · Leave a Comment
Austin Carr has presented highlights from a new study by IBM focused on the most important leadership quality for success in business. And creativity comes up the winning trait. Good news for those of us in the innovation space.
He writes:
Steven Tomasco, a manager at IBM Global Business Services, expressed surprise at this key finding, saying that it is “very interesting that coming off the worst economic conditions they’d ever seen, [CEOs] didn’t fall back on management discipline, existing best practices, rigor or operations. In fact, they [did] just the opposite.”
For one, I’m not surprised. When forced to do more with less, address the tide of employee dissatisfaction, and reach beyond a pallid market recovery, I think the best senior leaders understand that they need to reach beyond what they know and create something new.
For more on the survey results see here.
Filed under Innovation, Organization Culture · Tagged with behaviors, creativity, insight, leadership
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Twitter: DrewCM- Last few days in Australia before returning to the USA. Great trip. 12:17:38 AM September 03, 2010 from HootSuite
- Greetings from Uluru / Ayers Rock! Where it is raining but the views and surroundings are spectacular. (And the internet access is spotty!) 06:50:20 AM August 24, 2010 from HootSuite
- Better late than never: #innochat Transcript – 19 August – Innovation Backwards? With thanks to @CASUDI & @Renee_Hopkins http://ht.ly/2tOe3 06:48:43 AM August 24, 2010 from HootSuite
- For those looking for #innochat transcript this weekend - it is coming - just a little slowly due to the time difference! (mine, that is) 10:12:01 PM August 21, 2010 from HootSuite
- Thanks for #FF and RTs @innovatorsmix @MeghanMBiro @Jabaldaia @CreativeSage @FHInnovation @Renee_Hopkins @Gwen_Ishmael and #innochat gang 10:10:31 PM August 21, 2010 from HootSuite
