new ideas

Whose role is it to seek new ideas? One answer is that every person should be looking for new ideas in the way he or she carries out his or her job. Looking for better, simpler, faster or cheaper ways to do something is everyone's business all the time. That also applies to heads of departments and divisions. This is all part of the search for 'improvement' ideas.

But what about really new ideas that might affect the whole company? Whose role is it to look for such ideas? It could be the role of the research department to come up with new product ideas. Yet the training of scientists and engineers is not towards value creation. Technical excellence and technical achievement do not automatically translate into a value product.

Value design and traditional R&D do have to be separated conceptually. They are not the same thing at all. In the case of particular individuals, the two may overlap, but this depends on the individual, not on the structure.

The truth is that most organisations do not have anyone whose business it is to consider the possibility of new ideas. In one of my books I talk about the importance of a 'Concept R&D Department'. Such a department would deal in value concepts. The department would pinpoint needs, opportunities, market development, etc. The department would seek to generate its own ideas or could obtain them from outside sources.

Corporations have suppliers. Corporations do not pretend to provide all the material they need in-house. Car makers buy steel. They also buy electrical fittings and tyres. Should ideas be treated so very differently? Because ideas only need brains for their production, there is a belief that having some brains around will produce all the ideas that are needed. Unfortunately this is not so. Creativity and value sensitivity are skills that need to be developed. As with any skill, some people are better than others.

Ideas need to be treated as seriously as finance and raw materials. Once ideas come to be treated seriously, the need for them and their potential value become apparent. What also becomes apparent is that the usual way of just waiting for ideas to happen is not that efficient. Where else in business do you just wait for things to happen?

The technical feasibility of an idea may prove more difficult and costly than first imagined. There are many uncertainties and risks attached to new ideas. Many fail. Yet the history of any industry is a history of ideas and innovation. The market leaders are often those who came up with the next step forward.

The full version of this article is published in Letter To Thinking Managers - available with a two-month free trial. subscription.