Transforming Innovation at Lockheed Martin
John D. Evans, PhD, Vice President, International Engineering & Technology, Lockheed Martin
We at Lockheed Martin are experimenting with a new framework for innovation that breaks the idea development into three phases: ideation, investigation, and implementation. During ideation, standard ideation methodologies are utilized. Similarly, Project Management and NPV are employed during implementation, once risk has been largely eliminated. However, in the middle, during investigation, where key elements of the proposed business model are in question, and where project abandonment is a distinct possibility, new processes and tools are required. We have identified the need for and begun to develop Innovation Management and Expectation Value Analysis as tools to drive innovation in the crucial Investigation phase.
EVA and Innovation management provide a methodology to understand how to differentiate between development plans that will create and destroy value, and thus have the potential to demystify innovation, transforming it from an art to a repeatable set of processes that leaders can leverage to drive value creation.