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Should Failure Be Rewarded To Spur Innovation?

Lucas123 writes "Paper products maker Kimberly-Clark drove the morale of its IT infrastructure group into the ground after massive firings and outsourcing. When they hired a new VP of Infrastructure four years later to turn things around, he implemented a program to spur innovation. The VP took a venture capitalist approach where any employee could submit an idea and if accepted, make a pitch in 30 minutes or less. If the idea had merit, it received first, then second rounds of funding. If not, the employee's idea still got lauded on the company's internal Sharepoint site. As he puts it, 'Failure is simply the opportunity to begin again, this time more intelligently. It's about what we learn from the failure. Not the failure itself. We celebrate that learning.'"

37 of 146 comments (clear)

  1. The Beatings Will Continue... by Anonymous Coward · · Score: 5, Insightful

    Until Morale Improves.

    1. Re:The Beatings Will Continue... by ObsessiveMathsFreak · · Score: 2

      Meanwhile in the banks....

      The Bonuses Will Continue Until Morals Improve.

      --
      May the Maths Be with you!
  2. Is this a joke? by Anonymous Coward · · Score: 4, Interesting

    If not, the employee's idea still got lauded on the company's internal Sharepoint site. As he puts it, 'Failure is simply the opportunity to begin again, this time more intelligently. It's about what we learn from the failure. Not the failure itself. We celebrate that learning.

    Really? Seriously?

    I'm supposed to be motivated by a mention on a sharepoint site?

    1. Re:Is this a joke? by discord5 · · Score: 4, Insightful

      I'm supposed to be motivated by a mention on a sharepoint site?

      Hey, it takes hard work to get into the Hall Of Shame page on the company sharepoint. Not only do you need to shoot yourself in the foot, but you need to do so in public for everyone to see.

      That moment you go for a cup of coffee and all the people around the watercooler stop talking, that's the moment you know they've seen the Hall Of Shame page. You should bask in the glory of your achievement at that moment.

    2. Re:Is this a joke? by Nos9 · · Score: 2

      You might be surprised at how being mocked by your peers is a motivational factor.

      I see the sharing in either case to be a tricky way of publicly shaming really stupid ideas, and a good way to show off those decent ideas.

    3. Re:Is this a joke? by realityimpaired · · Score: 4, Insightful

      I'm supposed to be motivated by a mention on a sharepoint site?

      Actually, yeah. Think of it this way: by sharing the idea publicly, there's opportunity to improve it. Just because it's not being developed now does not mean that there's no chance of it being developed tomorrow.

    4. Re:Is this a joke? by tixxit · · Score: 4, Insightful

      No, you are supposed to feel confident that the higher-ups like someone who takes a risk and pitches an idea, even if it doesn't pan out. That they'd rather someone take the risk and pitch their idea, rather than sit on it, thinking they would get laughed out of there and lose the respect of their bosses. The main goal is to remove the self-doubt.

    5. Re:Is this a joke? by discord5 · · Score: 3, Informative

      The fact that this is modded Insightful makes it that much better.

      I guess it's time for me to fetch that cup of coffee and test my theory. ;)

      In all honesty, I think it's okay to fail every now and then when testing and experimenting with things. We learn mostly by doing, and the most valuable experiences are always the ones where we fail and learned something in the process. There are scenarios where failure is not an option, and at those times it's for the best to have the experience of knowing what won't work. The thing is, it's part of the "creative/innovative process", and I don't believe your employer should pay special attention to it other than giving you the opportunity to do so every now and then where it doesn't really impact anything critical.

      The whole sharepoint thing seems like one of those management decisions in a company where "innovation" has become a buzzword. A few months ago I attended a meeting where management had suggested that we should make room for innovative projects. They decided that people were free to come up with ideas and suggest them to management, providing there would be an acceptable planning and feasibility study, etc etc. Sounds like common sense right?

      The whole thing got bogged down in red tape of course. The few ideas that bubbled up in "creativity workshops" have become so twisted and bloated in scope that they would require several manyears to achieve, which is impossible on the shoestring budget they set aside for it. I'm not lamenting the whole budget thing, nor the fact that management kind of wants to track the process itself, it's just the way they're doing it.

      They've got the sharepoint thing, and they've added tons of overhead, including documenting and reporting your progress in a fashion that would make bureaucrats roll their eyes (similar to ECSS standards for those familiar, which is way overkill for the whole thing anyway). For every hour you're spending on trying something you're faced with at least an hour of paperwork. So most people who had this small interesting idea, are now saddled with a full blown project that exceeds the scope of "scratching an itch" and working from there, up to a point where it's interfering with actually getting stuff done.

      So the end result will most likely be (fairly costly) failure. It's more than okay to shoot yourself in the foot sometimes when trying out something in an environment where you can't do any harm. But people are going to be far less inclined to pull the trigger if everyone sees it giving opportunity for people to use it against you with an extremely well documented failure. I hope that explains why my previous post was rather cynical.

      I personally tend to experiment a lot in the early stages of projects where we are considering various solutions to a problem. And I do so most of the times by breaking the stuff I've built several times, fixing it and in the end picking the solution I feel most confident with. While I'm experimenting I just take short notes, instead of documenting everything. Fully document the solution you pick and the reasons why you feel it's the best solution, not the minute details of the process of experimenting itself. So far that approach has worked for me and I don't think adding more oversight or overhead to that initial process contributes anything useful.

    6. Re:Is this a joke? by sg_oneill · · Score: 2

      Its self filtering though. If your THAT guy who every week fronts the bosses with your new idea like "attach golf clubs to the water cooler with a robot arm so people could have their refreshments putted over to their cubical", you'll eventually just become a source of amusement to your co-workers , and that'll either shut you up, or you'll keep going knowing that its all just a bit of fun. Either way , win-win.

      --
      Excuse the Unicode crap in my posts. That's an apostrophe, and slashdot is busted.
  3. Better phrasing by mseeger · · Score: 5, Insightful

    What they don't do is "rewarding failure". They hand out incentives for trying. Subtle differences between those two....

    1. Re:Better phrasing by Anonymous Coward · · Score: 2, Informative

      Absolutely spot on. Rewarding failure doesn't encourage innovation. Not punishing failure does to some extent. Acknowledging taking initiative does so even more.

    2. Re:Better phrasing by smpoole7 · · Score: 5, Interesting

      > They hand out incentives for trying. Subtle differences ...

      Correct. Good point.

      If you want to find a miserable employee, just look for the guy or gal who's working for a moron who thinks everything can be accomplished with a bullwhip. Anyone who's a decent manager knows that it's stick ... AND carrot. And it has to be sincere, too. I appreciate my assistants and try to tell them that on a regular basis. And yeah (answering someone else's post here), they DO appreciate mentions and little letters from the company president. If it's a larger company, a little recognition goes a long way.

      I encourage my guys to be creative. And here's the most important thing: I have a rock-solid rule that I beat into their heads. "If you screw up, if you break something or make a mistake, as long as it's an honest mistake, come admit it and we'll fix it." Now, if you're horsing around or slacking off an break something, I'm gonna hammer you. But if it's an honest screw-up, we'll fix it and move on.

      My brother used to do food industry, and he told me the best story I've ever heard about that: fast food joint. Busy, busy, employees scrambling behind the counter. An employee drops a couple of burgers and the manager screams at her. A few minutes later, she drops something else, he threatens to fire her.

      So ... sure enough, it's crazy, everyone is scrambling ... she drops something else. Some fries go on the floor. She looks around in a panic, notes that the manager isn't watching .. . .. . and quickly picks the fries off the floor AND PUTS THEM BACK IN THE SERVING BIN.

      I've never forgotten that story. Being the PHP From Doom every time an employee makes a mistake simply means that they'll start covering them up ... and so you've now got a computer running with an obvious bug, or a microwave link with a broken connector that's taped back together (true stories both). And you don't even know it!

      Carrot AND stick. And it has to be sincere, too. Not something that you force yourself to learn.

      --
      Cogito, igitur comedam pizza.
    3. Re:Better phrasing by houstonbofh · · Score: 2

      A good reason not to eat at places with abusive management. I have walked out of places because f the way they treat their employees.

    4. Re:Better phrasing by nine-times · · Score: 3, Insightful

      This is the point that I wanted to make. They're not offering a greater reward for failure than what they're offering for success. They're not rewarding failure, they're rewarding employees who make worthwhile attempts, even I father fail. There's a big difference.

      Failure is generally a precursor to success. You try, you fail, and you try again. Eventually you succeed. Unfortunately, our culture has such a stigma around failure that we don't understand this. We think it's appropriate to punish a person for failing because we think that discouraging failure is the same as encouraging success. It's not.

      Growing up, I had teachers and family members trying to discourage failure, and I'm sure they meant well. The actual result is that I spent years of my life afraid to try at anything unless I was sure I'd succeed. I missed out on a lot, and the damage is irreparable.

      We should be encouraging people to be interested and curious, to be willing to take a shot even if they don't quite know what they're doing. There are many consequences that *should* dissuade you from trying something, but embarrassment is not one of them.

    5. Re:Better phrasing by Paul+Fernhout · · Score: 2

      "Carrot AND stick."

      Depends on the context, see Dan Pink on motivation: http://www.youtube.com/watch?v=u6XAPnuFjJc

      Or Alfie Kohn's "Punished by Rewards: The Trouble with Gold Stars, Incentive Plans, A's, Praise, and Other Bribes":
      http://www.alfiekohn.org/books/pbr.htm

      --
      A 21st century issue: the irony of technologies of abundance in the hands of those still thinking in terms of scarcity.
    6. Re:Better phrasing by tomhath · · Score: 2

      Yes, but it goes even farther. Kimberly Clark (and the remains of Scott Paper which it bought in the 90's) had gone through massive cost cutting and outsourcing, tens of thousands of jobs were cut in the name of reducing cost. When a company gets chainsawn like that the survivors (or in this case the replacements) won't do anything that might draw the attention of the next round of slash and burn management. Keep quiet. Hit your numbers this quarter. Period.

    7. Re:Better phrasing by Man+Eating+Duck · · Score: 2

      A good reason not to eat at places with abusive management. I have walked out of places because f the way they treat their employees.

      That's why management at those places are instructed never to chew out employees in front of customers. I guess the instructions won't stick with the more abusive ones, if you care enough you can probably notify someone higher up the chain about the abuse.

      --
      Are you a grammar Nazi? I'm trying to improve my English; please correct my errors! :)
  4. Alan Kay by TheRaven64 · · Score: 5, Interesting
    Alan Kay is always a good source of quotes (including, paraphrase 'I said that 30 years ago! Why does no one ever listen to me?'), but one in particular is relevant here:

    If you're not failing 90% of the time, then you're probably not working on sufficiently challenging problems

    I think I'd find failing 90% of the time completely demoralising, but it's certainly true that if you never fail then you're probably not exploring really interesting possibilities.

    --
    I am TheRaven on Soylent News
    1. Re:Alan Kay by jpate · · Score: 3, Interesting

      I think I'd find failing 90% of the time completely demoralising, but it's certainly true that if you never fail then you're probably not exploring really interesting possibilities.

      relevant.

  5. Real rewards by pmontra · · Score: 5, Interesting

    I wonder if the employee which proposed the idea is appointed to implement it or if s/he gets a share of the money the company makes or saves.

    1. Re:Real rewards by Tom · · Score: 2

      It's pretty common here in Germany for company to pay out cash rewards to employees who suggest an improvement.

      A couple decades of experience show that most stuff under such a system is small day-to-day operation stuff. Real innovations simply don't work well as a written-up proposal. You need a budget up front (even if it's small, or just a time budget), you need some experimentation and iterative refinement.

      But those small improvements also add up and most companies are very happy to have such a system in place. It saves them having dedicated people running around the shop looking for things to improve upon as the employees do that, and usually better.

      --
      Assorted stuff I do sometimes: Lemuria.org
  6. Failure is ALREADY rewarding by drinkypoo · · Score: 3, Insightful

    Failure is its own reward IF YOU LEARN SOMETHING

    If you don't, YOU DON'T DESERVE A REWARD

    Sorry for massive caps, but I didn't feel bold or em are emphatic enough.

    --
    "You're right," Fisheye says. "I should have set it on 'whip' or 'chop.'"
    1. Re:Failure is ALREADY rewarding by BoRegardless · · Score: 2

      Unless you don't think of it as something to learn from, which is all too common.

      Innovators always try to understand why something did not work.

  7. failure as a teaching method by Anonymous Coward · · Score: 5, Interesting

    I teach a robotics class for 9th-12th graders using NXT Mindstorm. I have a number of challenges which are difficult to finish by design. When I grade, I tell them they are supposed to fail, and the grade is not for failing to achieve the task, but how they overcome that failure, and (as important) how they formulated a new solution as a team. I look for progress in working towards a goal. Since we have a time constraint on each challenge, often half the teams will not reach the goal.

    But along the way, I see some very interesting solutions and innovative ideas. Once I take away the risk of failing for not achieving goal "A", the students become much more daring (or as daring as you can be with Mindstorm robots) in trying out new ideas to the problem. This is my second year doing this class, and I have two teams going to the state robotics competition.

  8. Learning requires "failure" by Raxxon · · Score: 4, Interesting

    Share the "failure". Let others take a look at it. Let someone else take a stab at it.

    The "Reward" in this case sounds like they're recognizing employees who are making an effort to change things. They are providing information about the project attempt and letting others know what's going on instead of sweeping it under the rug and ignoring that it ever happened.

    Done PROPERLY I can see this being a major positive, especially for morale. "Hey, Bob went to pitch his idea today, but it didn't pan out. I think I see what killed it and I might have a solution for that..." Granted I also expect massive backstabbing if this is implemented wrong. Instead of collaboration it can very quickly devolve into theft and sabotage.

  9. Interesting... by Omnifarious · · Score: 4, Insightful

    This guy's way of encouraging new ideas from the employees is a good one. But publishing the failures on a website runs the risk of the website becoming a 'wall of shame' instead of being seen as a reward for having presented the idea in the first place. It also runs the risk of having people submit ideas they know are ridiculous just so they can be given whatever reward comes for presenting an idea at all.

    But otherwise his head is screwed on straight as far as I can tell. He's right, it's very difficult to create an organization that rewards new ideas. Almost everything in business is set against this. It's why so many big companies 'innovate' by acquisition. And punishing failure makes the problem worse.

  10. Overstated topic title by Shoten · · Score: 3, Insightful

    The title of the slashdot posting missed the point entirely. The point is not to reward failure, but instead to accept it. Failure is an inherent part of moving forward, especially when it comes to innovation. You can't honestly expect every attempt to have a 100% success rate, and if you restrict all new efforts to those which you believe have almost no chance of failing...well, you won't be making many efforts at all. Does anyone remember how many people were skeptical about the first iPad, groaning about the price, about how it wasn't enough to be a computer (which you could also buy at the same cost) but wasn't able to serve as a phone? A failure-intolerant environment would have listened to those concerns, and the iPad never would have launched. And what a mistake THAT would have been..

    --

    For your security, this post has been encrypted with ROT-13, twice.
  11. There's an old Microsoft story that's apropos by Nimey · · Score: 4, Interesting

    A salesman once screwed up and lost a contract early in Microsoft's history, then appeared before Bill Gates expecting to be fired for his mistake. Instead Bill told him that his job was secure, because (I'm paraphrasing like mad here) he'd learned a valuable lesson and knew an approach that would not work next time, so it was better for the company to keep him rather than hire someone else without this experience.

    Not a new idea among clueful bosses, in other words.

    --
    Hail Eris, full of mischief...

    E pluribus sanguinem
    1. Re:There's an old Microsoft story that's apropos by john.r.strohm · · Score: 4, Insightful

      That may or may not have happened at Microsoft.

      It is a repeat of a story that happened decades earlier at IBM, back when Watson was running the company. The hapless salesman had just cost the company MILLIONS of dollars, when millions of dollars was still real money. He expected to be fired. Supposedly, Watson said something like "I can't afford to fire you now, not after spending millions of dollars on your education!"

  12. Re:So the punishment is Sharepoint? by Khyber · · Score: 3, Funny

    Sharepoint in and of itself is a punishment.

    --
    Still waiting on Serviscope_minor to wake up to fucking reality and realize that Jessica Price isn't going to fuck him.
  13. Re:Who is taking the risk? by Bieeanda · · Score: 2

    Yes, and all of that is why only some of the submitted ideas are granted a pitch meeting, and of those only some of those are granted any degree of funding. This isn't some internal dot-com craze where everyone gets a million shares and an Aeron chair just for showing up.

  14. As the Great One put it by yesterdaystomorrow · · Score: 2

    In hockey, the most prolific scorers attempt a *lot* of shots. Many are blocked, many miss, many are saved by the goalie. But a few are goals. Gretzky said it best: "You miss 100% of the shots you don't take."

  15. binary stupidity by Tom · · Score: 2

    While it's a cute idea, they're still trapped in a binary, aristotelian model of the world that isn't adequate at all.

    Very few things in the real world really are clearly distinguishable as "success" or "failure". So we introduce arbitrary criteria, but these fail us as often as they are useful. A lot of innovations came out of "failures".

    The solution isn't to reward failure - it is to do away with the concept. So I failed that arbitrary milestone or project goal. Unless the project was a customer request, the real question should be what was actually accomplished.

    Because it cuts the other way around, too. One of the unsolved issues of capitalism is the focus on short-term goals and "success" measured in quarterly numbers. It is a massive incentive for deciders to take large, but hidden, risks. Quite a few companies have gone broke only months after paying their executives huge bonuses for their "success".

    Because too few people ask the question what it really means for the company to have raised its market share to arbitrary value X and reduced its personal cost to arbitrary value Y while maintaining some arbitrary ratio or key figure at arbitrary value Z.

    Because a proper look at failure also requires a proper perspective on success, I doubt we will see it happen, because too much money is in the illusion of "success".

    --
    Assorted stuff I do sometimes: Lemuria.org
  16. Hans Moravec, too by Paul+Fernhout · · Score: 2

    In my time hanging out in Hans Moravec's mobile robotics lab at CMU in the mid 1980s, Hans said much the same thing. He suggested that good research had to involve a lot of failures, and that is why so many of the straight A students you might think would be best at it are actually temperamentally unsuited for a career in research. He suggested people who have some experience dealing with many early failures early in life were more likely to have the persistence needed for a career in research.

    Of course, research these days is so problematical for other reasons too, sadly, so many people won;t even get a chance to step up to the plate in an academic sense:
    http://www.its.caltech.edu/~dg/crunch_art.html

    So I guess they need to persist in other ways.

    --
    A 21st century issue: the irony of technologies of abundance in the hands of those still thinking in terms of scarcity.
  17. Risk some capital by Anonymous Coward · · Score: 5, Insightful

    Upper management tends to consider itself enlightened, whereas tech are just low-level functionaries who could not possibly grasp the basics of budgeting and return on investment. They never trust, even their most senior and proven people, to come up with ideas which would benefit the company in the long run. If management can't see the benefit themselves, then there is no benefit and money should not be spent.

    However, technicians have an important perspective on the company's needs which can only come from having your head down in the trenches. They see opportunities for gain that upper management cannot see, and will never see, despite their importance and reality. Furthermore, some of their technical agendas can't directly translate to numbers despite their real value.

    Therefore, truly enlightened upper management will accept a measure of risk, devoting some development bandwidth to the ideas being put forth by their technicians, even though management doesn't quite understand the value. Its true that some of that money might get wasted, but the gains will more than offset the costs.

    Unfortunately, such an attitude requires a level of respect and humility not generally found in corporate executives.

  18. Re:Dudes... It's Toilet Paper by Gaygirlie · · Score: 3, Insightful

    You're simply short-sighted there. Someone can e.g. come up with more productive way of handling packaging, logistics, or even improving the paper itself. And it's not limited only there as someone can come up with whole new business idea to try out, a related but completely different product to produce.

  19. No joke, motivation by Roger+W+Moore · · Score: 2

    I'm supposed to be motivated by a mention on a sharepoint site?

    No, you are supposed to be motivated to make sure that your project gets funding instead of being just stuck on a sharepoint site. This is actually a very smart thing to do - it gives credit to the submitter for at least trying and puts the idea out there to see if others can improve on it. At the same time the "reward" (such as it is) is far less than a successful idea so it does not eliminate the motivation for success. Seems like a very clever system...I'm sure whoever came up with the idea for it got more than a mention on a sharepoint site!