The Problem

Why do hidden opportunities for innovation exist within organizations?

Innovation often happens when we are faced with a problem. In many organizations, teams tend to use deductive/inductive approaches as a standard when solving problems. Examples of these approaches are Lean, root-cause analysis, issue trees etc.

Although these approaches can solve many problems, the so-called “wicked” problems, ie. complex multi-stakeholder problems with a strong human component, cannot be solved with a traditional deductive or inductive approach.

If teams are unaware of the limitations of deductive/inductive approaches they will tend to repeat the problem-solving process using tools that may be different in appearance, but that are still deductive/inductive in nature. Unless the team comes across the solution by change, the result is that the problem is not solved or only solved partially. This creates frustration. And when the process has been repeated a few times, the end result is often an acceptance of the status quo.

Why does it matter?

When problems are only solved partially or not at all, frustration can result. If the process is repeated, resignation and an acceptance of the status quo tend to follow. But more importantly, a significant opportunity for innovation has been missed.

This is so because the problems that are “wicked” and have a strong human component often require us to explore the assumptions and values that the relevant stakeholders bring to the problem. A solution will often start to appear once we realize that some of our basic assumptions need to be adjusted. Adjusting these assumptions will create new solution opportunities that will allow the interested parties to work together in new ways without compromising their values.

This is why identifying such problems and approaching them in the right way hold the potential for transformative innovation: They will often lead to aha-moments and will allow the organization to correct fundamental assumptions about the organization and its role in the ecosystem.

Click here for examples of how hidden opportunities can unlock innovation.