Blog: Innovation Lab and then what? When the rubber meets the road

Innovation Lab and then what? When the rubber meets the road

Sometime during the nineteen eighties at Philips R&D in Copenhagen a large development project had just been cancelled and the organisation subsequently had surplus of capacity – to put it nicely. There was an atmosphere of anxiety, while the upper management was trying negotiating new assignments for the skilled and experienced team.

Out of the blue a hardware engineer approached the R&D manager and gave him a presentation of a HW device from his desk drawer he had been working on during his ‘spare time’ while discussing details with colleagues ‘during coffee-breaks’. The product proposal was brilliant, the market was not saturated by such solutions back then, and the conclusion was that it was worth a try. Philips Marketing and Sales played along advertising the product sold through the existing channels. Incidentally the innovation by happen-stance ended up forming a new product line for years to come.

Fast-forward 30 years: Several large corporations have launched and touted “Innovation Labs” but many of them have since returned only meagre results of value to the mothership and even some have been terminated.

Few companies allow 10-20% of the work week spent on free innovation best illustrated by the now vacant Since then, even the praised 20% has been disputed; was it rather 120%?

Other corporations suggest a “5-5-5 Program” approach: bring up an idea to be evaluated by a steering group and if seem valuable, subsequently a grant for 5 weeks of 5 people supported by 5 thousand Euros/Dollars is allocated for further elaboration.

Still innovation comes in many shapes and forms: Most staff today are working long hours at challenging time schedules, yet they still hatch ideas which do not fit into the stressed workflow. Clever employees are – if allowed – a key source to innovative improvements or inspiration to future offerings; they are deeply knowledgeable of the products and services their company currently masters.

Whether ideas are internally bred or output from a semi-detached Innovation Lab they nevertheless require a range of tasks associated with bridging domain knowledge for maturing and back-porting the idea to the organisation to conclude a genuine change.

Innovation labs feed new innovative ideas. The challenge is now to adapt organisation and operationalise.

Make it stick: operational & organisational adaptation

In fact, many companies struggle to find the recipe for how the rubber meets the road: From sketches and mood boards into building a ‘Minimal Viable Product’ to letting select customers proving the commercial assumptions valid, the new product idea, possibly including digital services, should flow back to the organisation.

In Kotter’s change model, ‘making the change stick’ requires lasting adaptation to business processes and organisations to support the new value proposition and product. A sales force optimised to handling boxes with physical products will naturally perceive customer calls for how to manage internet settings as a huge distraction from earlier straightforward sales target.

Capture findings from innovative experiments to motivate the organisation. Apply structural changes in product architecture to support faster implementation cycles and likewise for business processes to accommodate new revenue streams. Eventually it should become an everyday task to trust technology developers to work with business developers and channel customer feedback from Sales directly into the next customer-centric iteration.

The age of coincidental innovation from a desk drawer may be over; especially when the innovation implies a change such as software based services supplementing a physical product. Isolated Innovation Labs lacking expertise in back-porting and internalising the change may have disappointed more than a few corporations. Without sustainable innovation the future of any company is dull: Find ways to bring back the outcome to the company operations and organisation and into the market.

More information:

Senior Advisor Jesper Meulengracht,, +45 70 23 50 05

Positioning technologies currently applied across industries:

Global Navigational Satellite System: Outdoor positioning requires line-of-sight to satellites, e.g. GPS: the tracking device calculates its position from 4 satellites’ timing signals then transmits to receiving network
–    via local data network, e.g. wifi, proprietary Wide Area Network
–    via public/global data network, e.g. 3G/4G

Active RFID: A local wireless positioning infrastructure built on premises indoor or outdoor calculates the position based on Time of Flight from emitted signal & ID from the tracking device to at least 3 receivers or when passing through a portal. The network is operating in frequency areas such as 2.4 GHz WiFi, 868 MHz, 3.7 GHz (UWB – Ultra Wide Band), the former integrating with existing data network, the latter promising an impressive 0.3 m accuracy. Tracking devices are battery powered.

Passive RFID: Proximity tracking devices are passive tags detected and identified by a reader within close range. Example: Price tags with built-in RFID will set off an alarm if leaving the store. Numerous proprietary systems are on the market. NFC (Near Field Communications) signifies a system where the reader performs the identification by almost touching the tag.

Beacons: Bluetooth Low Energy (BLE) signals sent from a fixed position to a mobile device, which then roughly calculates its proximity based on the fading of the signal strength. For robotic vacuum cleaners an infrared light beacon can be used to guide the vehicle towards the charging station.

Dead Reckoning: Measure via incremental counting of driving wheels’ rotation and steering wheel’s angle. Small variations in sizes of wheel or slip of the surface may introduce an accumulated error, hence this method is often combined with other systems for obtaining an exact re-positioning reset.

Scan and draw map: Laser beam reflections are measured and used for calculating the perimeter of a room and objects. Used for instance when positioning fork-lifts in storage facilities.

Visual recognition: The most advanced degree of vision is required in fully autonomous vehicles using Laser/Radar (Lidar) for recognition of all kinds of object and obstructions. A much simpler method can be used for calculating a position indoor tracking printed 2D barcodes placed at regular intervals in a matrix across the ceiling. An upwards facing camera identifies each pattern and the skewed projection of the viewed angle.

Inertia: A relative movement detection likewise classical gyroscopes in aircrafts now miniaturised to be contained on a chip. From a known starting position and velocity this method measures acceleration as well as rotation in all 3 dimensions which describes any change in movement.

Magnetic field: a digital compass (on chip) can identify the orientation provided no other magnetic signals are causing distortion.

Mix and Improve: Multiple of the listed technologies supplement each other, well-proven or novel, each contributing to precision and robustness of the system. Set a fixpoint via portals or a visual reference to reset dead reckoning & relative movement; supplement satellite signal with known fixpoint: “real time kinematics” refines GPS accuracy to mere centimetres; combine Dead Reckoning and visual recognition of 2D barcodes in the ceiling.

LoRaWAN: A low power wide area network with wide reach. An open standard that runs at unlicensed frequencies, where you establish a network with gateways.

Sigfox: A low power wide area network reminiscent of LoRa. Offered in Denmark by IoT Danmark, which operates the nationwide network that integrates seamlessly to other national Sigfox networks in the world.

NFC: Used especially for wireless cash payments.

Zigbee: Used especially for home automation in smart homes, for example. lighting control.

NB-IoT: Telecommunications companies’ IoT standard. A low-frequency version of the LTE network.

2-3-4G Network: Millions of devices are connected to a small SIM card, which runs primarily over 2G, but also 3G and 4G.

Wifi: The most established standard, especially used for short-range networks, for example. in production facilities.

CATM1: A low power wide area network, especially used in the United States.