*****************************
** Add a dynamic presentation on innovation to your annual conference or meeting. To talk about your specific needs, staff@thinksmart.com.

** If you want your employees to think smarter in these challenging times, the InnovationWizard may be just what you're looking for. For more info go to: http://www.thinksmart.com/lead/wizard.html or email staff@thinksmart.com.
*****************************

Reminder: All weekly messages are archived at:
http://www.thinksmart.com/library/library.html

'The main ingredient of stardom is the rest of the team.'
--John Wooden

During economic times such as these, people often put innovation on the back burner, thinking innovation is only about new products and services. However, innovation is a capacity that can help organizations cut costs as well ... and do it in a way that develops important capabilities for the future (rather than crippling the organization through layoffs.)

We have asked Tom Drucker and Alain Rostain to provide some tips for using innovation in the realm of cost-cutting. This is the third installment in their series. We hope you enjoy, and profit from, this series.

Joyce Wycoff

Cost Reduction: Innovation Team Sport

by Tom Drucker and Alain Rostain

Cost cutting is a team sport. Your immediate colleagues are your primary players, but there are many individuals throughout your company who can play an important and periodic part-time role. Their involvement isn‚t a one-time event. Through a simple process of communication using email and phone calls, you can increase the number of ideas while receiving the visibility and the ongoing support your organization deserves.

Our clients find they can energize their team to be more creative around cost cutting when they are able to provide input from other parts of the company.

Three techniques that have worked to produce rapid response and sustain support are:

-- Write, listen and communicate with a wide range of people who could potentially be helpful. Ask your team to invite the participation of people who they believe could contribute fresh cost-cutting ideas. These can be internal customers or functional specialists. Don‚t forget to include people in human resources, finance and information technology. By having your group invite their participants, your message will have more impact and be more likely to be acted upon.

-- Make a request of them, which is simple and not very time intensive. For example: 'We are starting the process of looking for ways to help cut costs in 2003 without seriously impacting our objectives and our level of service. We ask that you give us 2 ideas of areas we might consider. We are gathering as many ideas as we can over the next two weeks. Please email us at_____________or call ___________________to leave a voicemail. We appreciate your willingness to help us and our company achieve all of our goals and objectives in the months ahead.'

-- Keep the group informed and involved. Once your team has sifted and refined down the list to a few possibilities, use your extended group to elicit specific information to help strengthen your plans through individual emails or conversations. Provide the entire list with periodic updates on your progress and inform them of actual plans being implemented and the results being achieved. When specific cost saving goals are achieved, send acknowledgements to all the people thanking them for their support.

In summary, reach out beyond the boundaries of your team. It pays dividends in both idea generation and support for idea implementation.

*** Tom and Alain partner to deliver innovation coaching, consulting and training across the globe. Tom Drucker can be reached at tom@corporateinnovation.com. Alain Rostain can be reached at arostain@creativeadvantage.com.