What Groundhog Day Teaches Us About Developing New Products in Existing Firms

Chris Flook, CC BY-SA 4.0 https://creativecommons.org/licenses/by-sa/4.0, via Wikimedia Commons

The cycle usually begins with the best of intentions.  

There is a need for a new product, with the team being asked to explore a new market or job to be done. Initially, there is a release of energy and new thinking, which is documented in flip charts, PowerPoints and (eventually) phase zero specs. Once the “creative” work has been completed, the quiet, unseen forces begin, which leads us to map this “new” work to the existing work teams, subject matter experts and sales leaders in our firm.  This triggers stakeholders to draw the new work back towards the status quo. Before you know it, our “new” product looks just like the old one…with some minor new features.

In the movie Groundhog Day, Bill Murray finds that the only way out of reliving the same day is to develop a completely different mindset about the town and the people he’s been stuck with throughout his infinite loop adventure.  I’m reminded of this when I talk with leaders in complex firms. I often find that even with their best efforts, they feel like they are destined to produce incremental innovation. Just like Bill Murray, they need a mindset change to break the cycle and produce real results.

Those who have done new-to-the-world work in existing firms (or have worked with those who have) have seen this play out repeatedly. The cause is deeply rooted in our approach and is very hard to self diagnose, though Conway’s law gives us a reason why: it states that any organization that designs a system will inevitably produce a design with a structure that is a copy of the organization’s communication structure (over and over again).

In working with Growth Leaders, as well as their teams and sponsors, we take this issue on directly in our diagnostic work to help firms break out of the cycle.  We talk candidly about techniques to bring in external viewpoints that allow incumbents to create investable learning that will shape and improve their perspective.

Have you been stuck in a Groundhog Day loop? Here are three ways to help set you free:

#1: Individually

Without introspective work, it’s very hard for individuals to break out of deep patterns of mindset, expectation and tactical execution.  To move to the next level, you need someone who can help you get clear by helping you see your main repeating patterns.

Diagnosis: A place to start is by using one of the personality profiling tools (MBTI, DISC, Hogan) that are available today. In addition, I have authored the Complete Growth Leader (CGL) model to allow leaders to zero in on their strengths, preferences and built-in blind spots when leading or participating in cross-functional teams.  

Application: Once you have gained insight, you then can being to unpack who you will work easily with, who you will have productive (but contentious) relationships with and who you will have a struggle working with productively.  Many have found it very useful to have some objective coaching here to unpack these results and develop insight into applications.

#2: Teams

Action teams in firms tend to be built from the same players, with the same playbook and data set.  The truth is that teams deliver what their members are built to deliver, just as a carpenter will use wood to solve a problem, whereas a mason might use stone.  

Diagnosis: By working with a program like CGL to unpack the skills and predisposition of the team members, you can build cross-functional teams that have the capacity to deliver something new.  Tensions in a team occur along several main themes including communication style, point of view, expectations and other built-in biases.

Application: Step one is getting the mix right, so that you have a fully voiced team.  Secondly, it’s about coaching the team to interact in ways that bring the best out of each member. For high stakes work, having a skilled coach/facilitator can help the group avoid potholes and get the most efficient return for its efforts.

#3: Project Org Structure

This is where Conway’s law comes in, as firms get locked into a set of process tools, and frequently those tools have very similar destinations.   

Diagnosis: In my work with groups and firms, we usually take a look at a meaningful sample size of the group’s work (typically 6 to 18 months) then use or develop metrics around cycle time, decision quality, client loyalty and how well the end product met the intent via a jobs-to-be-done approach.

Application: This leads us to insights regarding how best to incubate growth in a given firm.  Table stakes are to commit to using fully voiced cross-functional teams to deliver products and services that are new to the firm (and perhaps new to the world).  Typically firms have robust systems of optimization and much weaker approaches to product and insight creation.

I have built the STRIDE model to allow teams to utilize the full strength of their parent firm while being in a highly-functional structure that senior leadership can relate to. For some resources in organizational approaches see the articles here.

Our work focuses on helping teams in complicated firms to choose great projects and develop both the individual leadership and team structure needed to be genuinely impactful.  If you’d like to talk, you can either reach us at (847) 651-1014 or by scheduling a short (no-strings-attached) call using this link.

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