Rate of Innovation
πππ
No not ROI- Return on Investment
ROI - πππ©π π€π ππ£π£π€π«ππ©ππ€π£.
Return on investment, is an important metric when creating a product, app, web presence, or capability. Corporate table stakes. Whatever you build is being built for some measurable reason: making money, deepening loyalty, expanding market share, etc. You make an investment for an outcome.
πππ©π π€π ππ£π£π€π«ππ©ππ€π£, is a key factor to long term company survival.
Laurence Haughton says "Itβs not the Big that eat the Small.. it is the fast that eats the slow" (itβs the title of his book)
Having a high ROI, allows a company both speed and maneuverability.
Reflecting on corporate technology transformations, creating a digital capability often becomes the main driver for an org to move to agile practices, from project to product, projected fixed funding to a checkbook, into design thinking, adopting a different talent lens, using iteration etc. The org adopts these practices tactically as a means to an end.
Often it is thought the capability or app they are building is what is important; the real value is not the app, but the practices they are exercising. These practices dramatically increase a company's Rate Of Innovation.
During the pandemic being nimble, taking risks, and generally leaning in when others contract showed dramatic results. A companies Rate of Innovation became is a determining factor to succeed during the dramatic shift. Targetβs significant technology transformation in 2014 built institutional muscle and practices (a higher ROI) that allowed it to adopt dramatically more flexible approaches in guest service and supply chain, in 2020, as did BestBuy.
While many companies changed to rally to the 2020 shift (like Banks doing PPP loans etc) companies with higher ROIβs reacted less with a rally and more with an agile reprioritization, a shift and scale that is more sustainable over a long haul.
A high ROI (Rate Of Innovation) will bring high ROIβs (Returns Of Investment) .
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I thought I better get back to my knitting, with my last few posts you might wonder why an artist or poet, (a bad one at that) claims to be a strategist and digital/tech engineering leader. π€£
Link to orginal Linkedin Post: https://bit.ly/3JwdVcd
(worth clicking on the original linkedin Post, because the comments are amazing and often the conversation is better than the original post)