The previous posting mentioned NESTA's reports on Hidden Innovation. I was at an event this morning with Digby, Lord Jones, the former UK Minister for Trade & Investment. When I mentioned the study, he remarked that even with the report it is difficult to ferret out these non-traditional innovations. He gave the example of the supplier of aggregate (sand, gravel) to the construction of London Olympic facilities. There is a motorway that runs from the quarry to the construction site. So, the standard way to haul the stone would be by truck (in part right through London). But since the construction site is on the Thames, the contractor decided to ship the stone by rail from the quarry to the river and then take in by barge to the site. This was better from both an environmental point of view and for traffic safety and congestion. Apparently the contractor won the bid based on this innovative idea. Yet, Lord Jones noted that when the company filled out the innovation survey, they checked the box on "no innovations."
Of course the company didn't think it was being innovative - since our mindset still equates "innovation" with "technology." They are still blasting and crushing rock the same way. The innovation was much more subtle. But for all the people who won't be trapped behind a large number of stone carriers on the motorway, it has a profound impact on their lives.
Therein lies the other problem with these hidden innovations: they can be invisible because of what they don't do. How do we measure innovations that prevent a negative, and how does the policy (and political) system reward these innovations? The market can reward them through acknowledging the cost savings/expense reduction. For policy makers it is much more difficult. But that is the challenge of getting the innovation system right.
Of course the company didn't think it was being innovative - since our mindset still equates "innovation" with "technology." They are still blasting and crushing rock the same way. The innovation was much more subtle. But for all the people who won't be trapped behind a large number of stone carriers on the motorway, it has a profound impact on their lives.
Therein lies the other problem with these hidden innovations: they can be invisible because of what they don't do. How do we measure innovations that prevent a negative, and how does the policy (and political) system reward these innovations? The market can reward them through acknowledging the cost savings/expense reduction. For policy makers it is much more difficult. But that is the challenge of getting the innovation system right.



Leave a comment