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the innovative LEDGER
An e-Newsletter from The Innovative Edge™ Inc.

  Vol. 10, No. 10 - October 2010

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Some Bull About Bears

By Jeff Govendo

Despite the iconic beasts in the title, this piece is not about Wall Street. In fact, it's not about the stock, commodities or any other type of market.

It is, however, about investments of a sort: in time, energy, prestige and human capital.

It's my response to an article that appeared in BusinessWeek -- excuse me...Bloomberg BusinessWeek; let's give the mayor his proper due -- last month by G. Michael Maddock and Raphael Louis Viton, called The CEO's Innovation Nightmare. Maddock and Viton are principals at Maddock Douglas, an innovation consultancy based outside of Chicago.

In the article, the authors paint what they see as an all-too-familiar picture when a CEO attempts to institute a more innovative culture within a company to gain competitive advantage. The CEO, who's bullish on shaking things up, announces with great fanfare that "Innovation will be the cornerstone on which we build our future." Speeches are made, memos sent out, and posters sporting slogans like "Core Value No. 1: Innovation" are displayed prominently for employees and customers alike to gaze upon.

"And then," say the authors, "something unfortunate happens. Nothing. Nothing happens. Nothing at all."

It's a case of the bull -- the CEO -- coming face-to-face with the bears, those legions of mid-level managers who, according to Maddock and Viton, "tend to nod a lot in meetings and then passive aggressively do everything in their power to keep any significant change from happening." Innovation simply can't take root because "The pure-of-heart CEO is hopelessly outnumbered" by those brutish bears, who conspire to maintain the status quo.

So what's a poor, outnumbered, CEO who just wants what's best for his company to do? The authors make a number of recommendations. Among them are: Recruit believers -- people who believe change is actually possible (apparently existing middle managers don't). Also, Hire objective senior managers -- people from outside the industry who are not jaded by preconceived notions of what can or cannot be done (apparently existing senior managers are).

But here's one recommendation I didn't see: the CEO can lead!

What does that mean? Well, for one, it means it's a lot of bull to simply blame the bears. Instead of deciding to rid the company of the collective talent, know-how and wisdom residing within middle management, the CEO might wish to consider the clarity and persuasiveness of his message, and what it means for everyone involved. What's the plan? How does he intend to proceed? Is there a budget for making this happen? Beyond the words, how does the CEO actually plan to move on this?

It's easy to make a pronouncement about moving to a more innovative culture, however heartfelt it might be. It's another thing to be able to shepherd people along to align them with your vision; particularly those who may have a tough time with change.

But it can be done. It's what leaders do.

Perhaps the most important part of exercising that leadership is recognizing that the main reason many do resist change is that they instinctively begin to envision what they will lose: authority, prestige, the security of established routine; the list goes on. More difficult is to envision what they will gain, because these are things they haven't yet seen. It is up to the CEO, by virtue of his/her leadership, to instill that vision in a way that's inspiring yet believable. Not an easy task by any means, but preferable, in my opinion, to simply assuming your middle managers are a lost cause and declaring open season on the bear population.

Mssrs. Maddock and Viton would probably disagree. Apparently they've had their problems with middle managers ("...we're pretty sick of working with bears.").

Too bad. Some bears live well over 30 years. Even in captivity.

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Names We Like

We're always on the lookout for creative product or business names!.

  • Nin Com Soup (soup & sandwich shop) - the cooking here is not too swift!
  • Combing Attractions (hair salon) - a name with lots of permanence!
  • Stuff a Sock in It (laundromat) - featuring some very tiny washers!
  • Bait's Motel (fishermen's lodge) - nothing like a hot shower after a day on the lake!


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    Innovation Quotation

    "Hell, there are no rules here -- we're trying to accomplish something.."
    - Thomas Edison



Copyright © 2010 The Innovative Edge, Inc.