The power of small ideas exploits the "third way" of innovation

What is innovation? If you ask people, they will refer to the latest startup or gadget. The Power of Small Ideas: A Low-Risk, High-Reward Approach to Innovation asks us to consider another approach. As the book points out, innovation does not have to involve startups, techies geniuses who have made the next Facebook in their garage, or abandon your business to build the next robot. This can involve a highly profitable and consistent process of steps that ensures the survival of your business now and in the future.

What is the power of small ideas?

The Basic Concept of The Power of Small Ideas is what the book calls a "third way" to innovate. Companies have been accustomed to the idea that innovation involves sophisticated technology that completely disrupts the market. When companies discuss innovation, they talk about Uber, Airbnb or Netflix.

They do not talk about Gatorade, Lego or Novo Nordisk.

These companies also innovated, making a lot of money in the process. They have also managed this innovation without spending millions of dollars (in most cases) or completely overhauled their business model to do it. They made small, low-risk changes.

The kind of "little change" that talks about The Power of Little Ideas is not a new popular feature on an application or a new development process designed to improve a product. The kind of "little change" discussed in this book is designed to improve the customer, not the product.

Another unique feature of the "small change" discussed in this book is the market. As shown in the Gatorade and Novo Nordisk case study, innovation does not require a new or underserved market. This can involve the customers you already have.

Thus, the innovation in this book is inexpensive, low risk and focused on current customers.

If you are still scratching your head at this concept of innovation, The Power of Small Ideas will show you why and how it works. It offers case studies and strategies for starting this "third path of innovation". In this model of innovation, companies take a balanced approach. They do not exhaust their resources in search of the next gadget. They do not overload their products with new features and add-ons. They take small risks that offer immense value so that the company and its customers can make a profit.

Author David Robertson is a lecturer, professor at the Wharton School, and host of the "Innovation Navigation" podcast. Robertson is a former faculty member and professor of innovation and LEGO technology at the Swiss Institute of Management and Development.

Co-author Kent Lineback is a former manager turned executive coach who has collaborated on many business books.

What's better about the power of small ideas?

The Power of Small Ideas offers a practical alternative to companies that are unable (or unwilling) to engage in an expensive and risky innovation. The book speaks to business leaders and managers who face the pressure of being innovative while saving money and maintaining the current business.

It is difficult. It can also be daunting if you do not have an innovative work culture around you.

This book helps you understand how to navigate this obstacle. It provides case studies that do not focus on the "flashy" appearance of innovation, but on the practical aspect that can apply immediately to a business.

What could have been done differently?

The Power of Small Ideas clearly shows in several areas that this book is not for everyone. The authors remind readers that their "third way of innovation" is not the only one. This is a possible option if you fall into a certain category. (For example, the book claims that this method would not have saved Blockbuster.) This is clearly described in the first part of the book. The ideal business for this book has an existing market and wants to improve its value with this market through innovation. It does not provide advice on how to make the next Facebook or Uber.

Why read the power of small ideas?

As detailed above, this book is designed for the company that wants to innovate but without the resources (money, time, risk tolerance or work culture) to make a great effort of innovation. ladder. That said, the book does not focus on companies that just want to improve their product to get new customers. The book's contribution to innovation is more nuanced than that. The Power of Small Ideas focuses on improving value for your customers through a "little idea". This "small idea" involves a series of decisions and actions that enhance the overall value of a company in its existing market. This is the "third way" of innovation. A small idea leads to small, consistent changes for an important product in an established market.

This specific path to innovation can be very useful to companies seeking a low-risk, high value-added innovation effort.