05/03/2024
Quote of the day: âInnovate or Die - Peter F. Druckerâ
Many organizations have been adopting the word âInnovationâ in their vision and mission statements, one way or another, without actually promoting a culture for innovation. One scholar uses the quote âOrganization culture eats Strategy for breakfast, innovation for lunch, and transformation for dinnerâ (Sanja Mestrovic).
Why is organizational culture so important? Because many individuals in leadership roles are working hard to improve efficiency in their organizations. But what does efficiency actually accomplish? I will use another quote from Peter Drucker, âEfficiency is doing the thing right. Effectiveness is doing the right thing.â That is one of the key differences between âOutput-based Leadership vs Outcome-based Leadershipâ. Skillful leaders care for the outcomes while management-minded people are chasing outputs. Leaders encourage criticism for better innovation while managers suppress it. Leaders accept their failure for improvement while managers deny and hide it.
Therefore, for an organization of any type and size, developing a culture to foster leadership skills and an outcome-based leadership mindset is critical to achieving innovation. Without those skills and mindset, organizations risk being left behind in the industry.
As mentioned in below HBR article, innovation comes not from the superiority of any particular invention but from the ability of leaders to âfoster an organization that can learn from mistakes faster, more efficiently, and more consistently than competitors do.â
The origin of the phrase âinnovate or dieâ is a matter of some dispute. Peter Drucker famously declared it, though others may have shared in its coinage. But whatever its genesis, the sentiment is now widespread: Stay ahead of the pace of change or youâre toast. Of course, not every company ha...