Chapter 55

Building Your Ethical Innovation Capability

1 min read

Ethical innovation is a skill that improves with practice. Here's how to develop it:

Daily Practices

The Five Whys for Ethics: For any decision, ask "why" five times to uncover value assumptions.

Example: - Decision: Implement dynamic pricing - Why? To maximize revenue - Why? To increase profitability - Why? To satisfy shareholders - Why? To maintain investment - Why? To fund innovation This reveals the value chain and potential ethical tensions.

The Stakeholder Rotation: Before decisions, mentally adopt different stakeholder perspectives: - How would a customer see this? - What would an employee think? - How might society judge this in 10 years? - What would my children say? - How would this look on the front page?

The Values Journal: Document ethical dilemmas and your reasoning: - What values conflicted? - How did you decide? - What were the outcomes? - What would you do differently? - What patterns do you notice?

Skill Building Exercises

Ethical Case Analysis: Study one ethical innovation case weekly: - What went right or wrong? - Which stakeholders were considered or ignored? - What values were embedded? - How could it have been better? - What lessons apply to your work?

Scenario Generation: Practice imagining consequences: - Start with a simple innovation - Generate 10 positive outcomes - Generate 10 negative outcomes - Identify early warning signals - Design prevention measures Values Articulation: Clarify your ethical framework: - List your top 5 values - Define what each means specifically - Identify potential conflicts - Create resolution principles - Share for feedback

Organizational Development

Ethics Innovation Labs: Create safe spaces for ethical exploration: - Regular ethical review sessions - "Pre-mortem" exercises imagining failure - Cross-functional ethics teams - External ethics advisors - Ethical innovation metrics Embedded Ethics: Integrate ethics throughout innovation: - Ethics checkpoints in development - Values alignment in hiring - Ethical KPIs alongside financial - Storytelling about ethical wins - Celebration of principled stands