The Power of Little Ideas

What is The Power of Little Ideas by David C. Robertson about?

• Third Way innovation approach: The book introduces a "Third Way" to innovation, focusing on creating multiple complementary innovations around a key product rather than pursuing radical or incremental innovation alone.
• Low-risk, high-reward strategy: It advocates for a system of innovations that enhance existing products, offering sustainable growth without the high risks of disruptive innovation.
• Case studies and practical examples: Robertson uses real-world examples from companies like LEGO, Apple, Gatorade, and Disney to illustrate how this approach works in practice.

Why should I read The Power of Little Ideas by David C. Robertson?

• Fills an innovation gap: The book addresses a common gap in innovation literature by providing a practical framework for innovating in existing markets with existing products.
• Actionable and low-risk: It offers a clear, actionable process for achieving significant growth and competitive advantage without the high failure rates of radical innovation.
• Leadership and management insights: The book provides guidance on overcoming organizational challenges and managing innovation portfolios, making it valuable for managers and business leaders.

What are the key takeaways from The Power of Little Ideas by David C. Robertson?

• Four-decision framework: The book outlines four critical decisions—choosing a key product, defining a business promise, selecting complementary innovations, and delivering those innovations.
• Customer-centric innovation: Emphasizes deeply understanding customer needs and contexts to uncover unmet needs and guide innovation.
• Organizational alignment: Stresses the importance of cross-functional collaboration and new management roles to coordinate and deliver complementary innovations effectively.

What is the "Third Way" innovation approach described in The Power of Little Ideas by David C. Robertson?

• Definition and focus: The Third Way is about creating a system of diverse, complementary innovations around a stable, key product to fulfill a compelling customer promise.
• Distinct from other methods: Unlike disruptive or blue ocean strategies, it focuses on existing products and markets, reducing risk and internal disruption.
• Systematic and managed: Innovations are centrally managed and designed to work together, making the core product more attractive and valuable.

How does the "Third Way" in The Power of Little Ideas differ from disruptive innovation or blue ocean strategy?

• Existing products and markets: The Third Way innovates around established products in current markets, rather than creating new markets or technologies.
• Lower risk, high reward: It avoids the high failure rates and costs of radical innovation while still delivering significant value.
• Complementary, not competitive: The approach can be used alongside other innovation strategies, serving as a foundation for future disruptive moves.

What are the four key decisions in the Third Way innovation process in The Power of Little Ideas by David C. Robertson?

• Decision 1: Key product selection: Identify a stable, strategically important product central to your business and customer relationships.
• Decision 2: Business promise definition: Develop a clear, compelling promise that the product and its complements will deliver to customers.
• Decision 3: Complementary innovation selection: Generate and filter a portfolio of complementary innovations that fulfill the business promise.
• Decision 4: Delivery and management: Assign leadership to a solution integrator, coordinate cross-functional teams, and ensure effective delivery of innovations.

How does The Power of Little Ideas by David C. Robertson define and use the concept of a "business promise"?

• Clear customer commitment: A business promise is a specific, compelling statement of the value the key product and its complements will deliver to customers.
• Guides innovation efforts: It acts as the glue aligning all complementary innovations, ensuring they work together to fulfill a specific customer need.
• Differentiation and focus: A strong promise differentiates the product from competitors and focuses innovation on what matters most to customers.

What methods does The Power of Little Ideas by David C. Robertson recommend for understanding customer needs and contexts?

• Follow the customer: Map the customer activity chain to identify pain points and unmet needs throughout the product experience.
• Follow the money: Analyze the consumption chain to see where value is recognized and where innovation opportunities exist beyond the product itself.
• Follow the product: Examine your company’s value chain to find areas where complementary innovations can improve the customer experience.

How does The Power of Little Ideas by David C. Robertson suggest generating and selecting complementary innovations?

• Idea generation techniques: Use customer insights, brainstorming, innovation tournaments, and external partners to generate a wide range of complementary innovations.
• Filtering process: Apply four filters—constrain, connect, control, and complete—to select innovations that best deliver the business promise.
• Experimentation and validation: Use pretotyping and early market tests to validate ideas before full development, reducing risk and improving selection accuracy.

What is the role of the "solution integrator" in delivering innovations according to The Power of Little Ideas by David C. Robertson?

• Expanded leadership role: The solution integrator manages the entire portfolio of complementary innovations, both inside and outside the company.
• Cross-functional coordination: This leader assembles and leads cross-organizational teams, manages partnerships, and ensures alignment with the business promise.
• Discipline and risk management: The solution integrator imposes discipline on innovation processes, manages risk, and communicates progress using tools like the innovation matrix.

What is the innovation matrix and how is it used in The Power of Little Ideas by David C. Robertson?

• Project management tool: The innovation matrix maps all complementary innovations by business category and risk level on a single page.
• Communication and coordination: It helps the solution integrator communicate the scope and complexity of the innovation project to the organization.
• Risk and resource assessment: The matrix allows teams to assess where to focus management attention, resources, and identify skill gaps or partnership needs.

What are some real-world examples of companies successfully using the Third Way approach from The Power of Little Ideas by David C. Robertson?

• LEGO: Revitalized its brand by building complementary innovations like Bionicle, TV shows, and video games around its core product, LEGO bricks.
• Gatorade: Focused on serious athletes and added nutrition products and services around its core sports drink, boosting sales without changing the drink itself.
• Disney and GoPro: Disney built an ecosystem around animated films with theme parks and merchandise, while GoPro created an integrated system of products, accessories, and software to support adventure video creation and sharing.