On October 29, 2009 Katy Simon, County Manager, Washoe County, Nevada shared with Alliance members her thoughts and ideas on encouraging innovation in local government.  During this 60-minute webinar she defined innovation, discussed the manager’s role in innovation, identified successful leadership characteristics, debunked myths surrounding innovation, and summarized results from a  recent Alliance for Innovation survey on innovation.   Below are excerpts from the webinar.  

Defining Innovation:  
In The Medici Effect Frans Johansson defines innovation as, “the creative idea become realized.”  An innovation is something that is new and unusual.  It is something that is a breakthrough but it also needs to be relevant and applied.  Frans Johansson gives the example is 2 + 2 + 5 = 4.  This example is unusual but it cannot be applied in order to advance our understanding, effectiveness, service or product.  An innovation can also be incremental, something that makes a small movement forward.  We know that incremental change can be revolutionary.  It can change a process or product.   

Government is Changing:
The economic crisis has changed things for local government.  Many of us are facing new citizen expectations.  In Washoe County there is a lot of tension and stress with citizens. The unemployment rate in Washoe County is 13.3%.  Additionally, the regulatory environment has put many forces into play to change what we do.  Employees are nervous about the uncertainty.  We laid off 100 employees this year and are down 500 jobs.  Part of the changing landscape is global competiveness, jobs are being exported.  Washoe County looked at economic development within our community to retain our edge.  With everything going on innovation and continuous improvement became critical to our survival.  We all have heard the phrase, “never waste a good crisis.”

What is the manager’s role in leading change?  
Some of the challenges we face as managers have a very high execution challenge.  This means the complexity of implementing change have to deal with technical, processes, or geographical systems.   On the other axis of the execution challenge is people challenge.  This is the challenge of relationships, trust, dynamics, and community organizations.   

When there is a low challenge on the execution side and a low challenge on the people side, the manager’s job is to manage the process.  Let people do what they do well and make sure the process continues.  When there is a high execution challenge and a low challenge on the people side the manager might serve as the catalyst, triggering change to occur by helping solve the execution problems.  
Whether it is technology or equipment, the manager can help get problems out of way.  When the execution challenge is low but the people challenge is high the manager’s role is to bring people together.  To make sure people are talking to each other and working on relationship building.  Finally, when there is a high execution challenge and a high people challenge, the manager serves as the champion, leading the change.  

Characteristics of Successful Leadership for Innovation:  
Colin Powell quotes, “Leadership is the art of accomplishing more than the science of management says is possible.”  One thing we know in research on innovation is the leader demonstrates a bias for action. It is important that the environment allow for mistakes and risk taking.  We don’t have to be certain.  Innovation means we try different things but we have to be strong and decisive as the leader and manager.  We also need to demonstrate self-confidence and self esteem.  Self-confidence doesn’t mean arrogant pursuit of one’s own agenda.  It means confidence that should we detour or have failures the leader can provide focus, support and confidence.  Demonstrate that the project is worthwhile and that there is an important job to accomplish.   

Resilience is the second leadership characteristic. We know that there will be failures and that there will be criticism.  Persistence and discipline are very important.  One example is Washoe County’s 800 MHz radio system that has 17 public/private partners, including state and several local governments.  It only took us two years to build the system but six years to get a signed agreement to operate the system.  Also adaptability and tolerance for criticism are important.  Remember the term “Semper Gumby” which means always flexible.  

Another important characteristic is integrity. We know that honesty, transparency, and accountability for results are extremely important.  People’s willingness to follow the leader of innovation is also crucial.  People need to know that someone will be accountable and that they will see the process along the way.  Other key characteristics include collaborative, facilitative problem solving that is not driven by ego but inclusiveness and demonstrating a willingness to share power.  Some of the things we are seeing with local government innovation are related to regionalism.  We have to be willing to change our frame of thinking of who is in charge.  We don’t have enough resources to do it the way it has always been done and we need to be able to share power.

Finally, passion is what separates successful innovation.  Innovation means that we have the will, the drive, the ability to create the vision other people can see.  The passion that is infectious to create enthusiasm around us.  

Key Principles for Successful Innovation:  
1. Build from Vision and Values.  Jim Collins talks about the importance of piercing clarity of mission.  In the Harvard Kennedy School of Government Innovation Awards there is a high correlation with passion and successful innovation, less correlation with technical expertise.  

2. Create and Sustain a Culture of Innovation.  Encourage a quantity of ideas, bring people together, embrace diversity and reward the generation of ideas.  Exposure to different perspectives creates innovative ways to look at problems.  

3. Use a Significant Crisis or Opportunity to Innovate.  Two thirds of Harvard Kennedy School of Government Innovation in Government award winners report that a problem or crisis preceded their innovation.  Use this quote as a catalyst, “we develop bad habits in good times, and good habits in bad times.”  

4. Create Collaborations.  Yuma, AZ has trained hundreds of citizens on how to use Edward De Bono’s Six Thinking Hats program.  Let citizens be collaborators in decision making.

5. Identify and Nurture a Champion. 90% of Harvard innovation award winners had a high profile champion but it is not always the manager.  It may be an elected official, manager, key department head, or citizen leader.
 
6. Seek out Innovation at the Intersection of Seemingly Unrelated Fields or Concepts. Frans Johansson’s The Medici Effect describes explosive growth in the number of opportunities for unique combinations, which create innovation when you intersect things that are different.  An example is the combination of opera and pop such as we hear in Josh Groban’s music.  The classical music genre reports sale declines of more than 20% when Josh Groban does not produce a CD.

7. Demonstrate Courage: Innovation will require boldness.  Demonstrate and model that courage.  Also, support the courage of employees.    

8. Execute Past Failure. 30% of Harvard award winners use pilot programs to support and improve their ideas before broad implementation.  We can learn from early failures and keep driving past them.

9. Cultivate the Credibility of the Leader.  Support the leader.  If we support the innovation important to cultivate people’s faith in the leader, it will attract innovators and inspire others.   

10. Share the Gift.  We have to create systems that nurture and cultivate innovation around the innovation.  A great example is the light bulb.  The light bulb was invented in 1879, but required decades to produce transformation; buildings needed to be redesigned, retraining, work flows changed for after dark, etc.  Empower people to apply the innovation and to be the innovation (i.e., Southwest Airlines)

Lessons Learned from Washoe County, NV:
It is important to tie to organization’s mission, vision and values.  Great organizations live and breathe their core values.  Beyond that remember innovation is everyone’s job.  Make sure your performance expectations and rewards system reflect that innovation is everyone’s responsibility.  Additionally, use objective data and external feedback to validate the importance of innovation and risk-taking.  The Center for Performance Measurement at ICMA is a great example of how to use objective data.  Often as a part of looking at “what works” we learn innovative techniques that people use to get better measure performance.  It is essential to make the business case and ask “would you do this if it were your money?”  We want our innovations to be focused.  We want to take risk but smart risk.  Remember, we are stewards of the public money.  Also, remember to have a bias toward action.  

Being open and transparent are crucial.  Engaging all key stakeholders leads to better results.  It also leads to results that are implemented as envisioned.   Teams produce better results. In order to build trust and relationships in teams we must be open and transparent.  Provide adequate resources and partner if needed.  This doesn’t necessarily mean more resources but requires focusing resources.  Be customer-focused and drive for improvements that citizens and elected leaders can see.  A great example from our region is our Regional Animal Services Center between the humane society and three local governments.  We had separate shelters and animal control systems.  We brought everyone together to create a public/private partnership and built a new shelter.  

It is also imperative to report progress using defined success metrics.  Beyond reporting, celebrate the success along with the journey.  It’s all about relationships and trust. Work on these relationships every day, in every action and decision.  True leadership is less about what you do and more about who you are.  Innovation alone doesn’t transform.  People with passion transform.

The Paradoxical Commandments of Government
by Ken Miller, 2009

The reward for doing good work is more work.  
                Do good work anyway.

All the money you save being more efficient will get cut from your budget now and forever.
                Find efficiencies anyway.

All the bold reforms you make will be undone by the next administration.  
                Make bold reforms anyway.

Employees may fight the change every step of the way.
                Involve them anyway.

 The future is unpredictable and largely out of your hands.  
                Plan anyway.

 The press only cares when something goes wrong.  
            Share your success stories anyway.

 Legal will never let you do it.  
                Simplify it anyway.

 If you develop your people they will move on to better jobs.  
                Train them anyway.
 
Your ideas will at best make someone else look good and at worst get you ostracized by your co-workers.  
                Share your ideas anyway

Myths of Innovation

Myth:  You need more new ideas
Reality:  You need more homes for ideas

Myth:  Innovation is a department
Reality:  Innovation is an organization-wide competency

Myth:  Let people loose to innovate
Reality:  Enable people through structure and process

Myth:  Innovation is a radical departure from the past
Reality:  Innovation often creatively combines pieces of the past

Myth:  Mistakes are costly
Reality:  Early mistakes are profitable

Myth:  Avoid the detours
Reality:  Detours may be the destination

Myth:  Innovation is about creating new things
Reality:  There are many paths to innovation

Source:  Mohanbir Sawhney & Robert C. Wolcott,  
Northwestern University from Financial Times