Dan Sullivan and Peter Diamandis discuss 8 key points to triggering innovation in an organization.
- We used to live in a material economy. I trade my one thing, you trade your one thing, and we walk away. Relative value doesn’t grow.
- BUT in the idea economy, we each walk away with two ideas, not just one thing. Trading our ideas just lead to exponential growth.
- Skyrocketing innovation of the last two hundred years is because of this idea trade.
- Value of ideas is far greater than material resources.
- In 1950’s, 7% of people lived in cities. Today, over 38%.
- By 2050, 70% projected.
- Concentration or conversations like on cities causes explosions of new ideas.
- All 8 billion people will soon be connected to 1mbps internet.
- Going into the web is the new exploration. You enter into the environment, and don’t know what you will get until you find it.
- How do you use these ideas to trigger innovation?
- Open office space triggers encounters. Give them a reason to run into each other.
- How do you create mashups at events?
- Unconference – create a themed room, and let whoever wants present for ten minutes on the topic of the room.
- “allow creative chaos.”
- A random agenda populates. How do you create an organization where the mailroom person can present a great idea?
- Cities are a place to exchange and generate ideas.
- Peter Diamandis, “don’t think out of the box, think in a really small box… When you force a team to solve a problem with massive constraints, it really forces a team to think Innovatively.”
- Giving too many resources delivers slow, expensive and inefficient results.
- When delivering a challenge with massive constraints, one portion of the people will say, “that’s impossible” and give up.
- Another group will say, “sure, but there’s no way we can do that using the old methods. Let’s start completely from scratch and look at the problem differently.”
- This is what Elon Musk did with Tesla – he started a car company with no legacy. No unions, no old limitations.
- “When failure is not an option, success gets really expensive.”
- With something like X prize, even the teams that don’t win, wind up making huge innovations in different key mechanisms to the process.
- Why do people fear failure? Sunk cost fallacy, fear of reputation loss.