Innovation or Lean?

Innovation or Lean? An article published on the Knowledge@Wharton website suggested that the philosophy of Lean could exist along with Innovation. After reading the article I have two questions:

  1. Why would you want them to?
  2. Why put Innovation into a box (like Lean or BPR) when an Innovation system has the ability to change and respond to its surroundings?

The article states “Lean has come to mean an integrated, end-to-end process viewpoint that combines the concepts of waste elimination, just-in time inventory management, built-in quality, and worker involvement — supported by a cultural focus on problem solving. Can such practical principles be applied to innovation, or would lean’s structure and discipline snuff out the creative spark that underlies the birth and development of great ideas? Can lean co-exist with innovation?”

The article suggests that Lean brings structure and predictability to Innovation without sufficiently defining Innovation. Innovation requires a framework within which we generate ideas, experiment and develop new products, services and processes. Such frameworks exist and also provide ways of measuring and monitoring Innovation. In that sense we have structure and predictability within Innovation so we do not need Lean also. The very definition of Lean also implies that the flexibility and adaptability required to change, either in times of crisis or to seize opportunities, may have been engineered out of an organisation.

Those who fully embrace Innovation will understand that Innovation systems evolve and fully embrace such aspects as new ideas of collaborative working, new leadership and organisational models, empowerment and customer engagement. These attributes are not specific to Innovation systems nor are they specific characteristics of Lean.

An Innovation system can exhibit Lean characteristics if necessary, but a Lean system cannot be truly Innovative since there is always be an intellectual overhead in an Innovation system and so the Lean system will become ‘non Lean’.

Another contentious topic is that of separating idea from development. It is true that the mix of people that are required during the many phases of Innovation may change, but once more this is a characteristic of Innovation, that things change. In fact, idea and development must be connected. What if the technology to implement an idea does not exist and ideas must be generated in order to put an idea into production? Imagine the first time Silicon wafers were used to produce chips in large numbers. I cannot imagine that those who developed the chips were completely separated from those who developed production processes.

So if Innovation is an end to end process which provides a framework, is adaptable to changing conditions and which can be measured, why would we wish to consider Lean? One possible (and perhaps cynical) answer is that those who promote Lean would lose a possible source of revenue or that they simply do not understand Innovation – after all, it does have ambiguity built in!

Is it good to be lean?

Many people believe that lean ‘everything’ is good without knowing what it really means. Even the term ‘Lean Innovation’ has been used. How can a process that can potentially generate hundreds or thousands of new ideas by described as, or made lean? Could it be that we do not know what lean actually is?

I started thinking about ‘lean’ whilst on holiday. I booked a last minute break to Greece and was expecting the worst, only the sun could make up for the horrendous time I was expecting to have. Nothing could have been further from the truth. We did not have to pick up our tickets at the airport, we had brilliant transfers, we picked up our hire car in the middle of nowhere without signing any paperwork …. Hang on, you said ….Yes I know it sounds odd but it was just symptomatic of the way in which the holiday company, car hire company and all of the rest of the components were plugged together.

On our Greek island it would be impossible for a coach to visit all of the accommodation but we all had hire cars. The solution was to leave a line of hire cars by the side of the road, drop people off and let them drive to their villa and fill in the paperwork later and let the car hire company collect it in the evening. This was heaven compared to waiting for 2 hours in blazing sun in Majorca before picking up a car. Their answer was cold drinks but it still took 2 hours.

We still do not know how the excellent welcome hampers got from the local town to the holiday properties, everything seemed invisible and it worked like a dream. Creative it certainly was, lean it almost certainly was not. Other tour operators are lean – I know which I would prefer.

I also read a good book whilst in Greece, ‘Stuart a life backwards’ by Alistair Masters. The subject is fascinating but I was intrigued by the style. The book started in the present and then went backwards in time. This gave me an interesting thought. Many things work well forwards and in reverse, a bit like the Greek holiday machine but some things do not (remember your worn bicycle sprocket and chain from childhood). Even if your business process is not meant to work in reverse, try thinking about it in that way and any deficiencies will leap out at you. Fixing this will leave your process well oiled and maybe leaner.