Ambiguity is an inevitable part of the innovation journey. The path, outcome, and timeline of the innovation process are often unclear. However, as humans, we crave certainty. We prefer plans and we love people with a plan. So how can we balance our need for predictability with the uncertainty inherent in innovation?
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Here is my 5 step approach
Stay True to First Principles: Keep your focus laser-sharp on the customer and their needs. By understanding what success looks like from their perspective, you remain committed to your vision and the ultimate goal.
Example Vision: Authentic and exceptional world cuisine at your doorstep
Be Rigorous and Evaluate All Options: Take a step back and examine all possible paths forward. This requires challenging assumptions and considering alternative approaches. Evaluating all options can reveal potential pitfalls, areas for improvement, and even new and unexpected opportunities. Failure to evaluate all options can result in costly mistakes, missed opportunities, or even failure.
Example: There are several facets to consider when diving deep into the vision and business plan, such as target customers, delivery logistics, revenue models and more. Let's take a closer look at one such example: how to source the food. Few options are: 1. Curate your menu by having local restaurants prepare and deliver the food. 2. Own your kitchen and prepare and ship meals to customers. 3. Find chefs (gig workers) who would cook part-time for your business. 4. Ship meal kits that are easy to prepare to your customers. Pressure test each option. Each will result in a different customer experience, opportunity, challenges, and an entirely different business model. As you delve deeper into each option, such as selecting option #1, it's crucial to revisit all possible paths forward again at that level.
Have A Plan for What You Know: Create a clear plan with well-defined priorities, milestones, and deliverables/outcomes. Having a plan inspires confidence, gives structure, and sets the team up for success.
Example: Since we decided to go with option #1 (curating the menu by having local restaurants prepare and deliver the food), we can confidently plan few building blocks to shape early MVP and tests, such as 1. Buyer research and market analysis 2. High level buyer experience 3. Process and toolset to curate cuisines 4. Delivery partnerships conversations ...
And Have A Plan for What You Don’t Know: Acknowledge what you know and what you don't know. Then, create a plan for gathering information, exploring options, and making decisions. Communicate openly, be receptive to feedback, and adjust the plan as necessary based on new information. By taking a proactive and transparent approach to problem-solving, you can inspire trust and confidence in your team.
Example: Even with option #1, there are still several unknowns that require further research and information gathering. Create a plan to get these answered. For instance, 1. Is this a subscription-based business? 2. How frequently should customers purchase to form habits? 3. What motivates restaurants to participate and remain engaged? 4. How can the right incentive structure be created to drive restaurant success and customer happiness?
Learn, React and Course Correct: Continuously learn and gather feedback, allowing you to react quickly to changes and course-correct as needed. Embrace a culture of experimentation, willingness to learn, and adaptability. This approach helps build a culture of agility and resilience, critical in the fast-changing landscape.
Example: Iterate on the buyer experience, personalization algorithms, price points and order values. Run tests to learn what motivates right customer behavior to create habits. Iterate cost structure to support overall unit economics, etc.