If embracing change and continually pursuing business transformation is key to maintaining success over the long-run (read more about why it is here) then it is paramount that organizations have the ability to explore and launch new business ideas.
Exploring and launching new business ideas is about identifying, evaluating, and prioritizing new opportunities. It is also about developing plans to bring the most promising opportunities to life.
We find that for this to work, organizations must focus on making this an “always on,” cyclical process. Having the right capabilities and skillset are important, but so too is having the right mindset and approach.
For example, it is useful to categorize new opportunities by level of ambition and think of the collection of opportunities as a portfolio of foundational, evolutionary and revolutionary ideas. Doing so puts new opportunities into perspective for evaluation and prioritization. It gives permission for visionaries on the team to push boundaries with out-of-the box thinking while keeping them grounded and focused on what is possible today. On the flipside, this framing encourages individuals stuck in the day-to-day to think about what the future could look like, and what it may need to look like to achieve additional growth capabilities.
From our experience, a 70:20:10 mix of foundational, evolutionary, and revolutionary ideas is healthy. When it comes to evaluating opportunities, this framing allows teams to consider both risk and reward, and it introduces an important time-horizon perspective. Finally, it challenges teams to think about what is required to communicate new ideas and obtain buy-in.
The right mindset is imperative, as is communicating expectations about how this process best works. While constant change means uncertainty exists, it does not mean that organizations must go it alone. Organizations can - and should - tap into their customer, partners, and employees across the organization when it comes to developing new ideas, evaluating and prioritizing them, and selecting opportunities to pilot their innovations. The journey is more attainable as a team and accountability continues to be in check throughout the process.