The high cost of experimentation has long put a damper on companies' attemp
ts to create great new products. But new technologies are making it easier
than ever to con duct complex experiments quickly and cheaply. Companies ca
n now take innovation to a whole new level, contends Stefan Thomke, if they
're willing to rethink their R&D from the ground up.
Understanding what enlightened experimentation is all about requires an app
reciation of the innovation process. All development organizations need a s
ystem of experimentation in place to help them decide which ideas to pursue
. Of course, the more rapid and efficient the system is, the quicker resear
chers can find solutions. Many companies today, however, mistakenly view ne
w technologies solely in terms of cost cutting. They overlook the fact that
some technologies can introduce entirely new ways of discovering novel con
cepts and solutions.
Thomke argues that new technologies affect everything, from the development
process itself-including the way an R&D organization is structured-to how
new knowledge is created. So companies that are trying to be more innovativ
e face both managerial and technical challenges. Drawing on his research in
the pharmaceutical, automotive, and software industries, Thomke introduces
the following four rules for enlightened experimentation: organize for rap
id experimentation; fail early and often, but avoid mistakes; anticipate an
d exploit early information; and combine new and old technologies.
The article uses real-world examples to explain each rule in detail. It als
o suggests how this system of experimentation will affect other industries
and examines the implications for knowledge workers.