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Reorganizing to Innovate More Competitively: Key Lessons From Deutsche Telekom

Title Author(s) Type Topic(s) Comments Date
Reorganizing to Innovate More Competitively: Key Lessons From Deutsche TelekomFonstad, Nils O.Working PaperAssessing and Communicating IT Value
Digital Innovation
IT Investment and Portfolio Management
02018-01-04
Abstract: Beginning in 2015, Deutsche Telekom changed its approach to innovating in several important ways. Faced with demands to improve the value generated from its investments in digital innovation projects, the company cut back on the areas in which it pursued innovation, and mapped those remaining to a holistic framework. It also introduced a flexible innovation funding track inspired by venture capital; required shared ownership of innovations; and encouraged more integral involvement of external experts in innovation. By 2017, Deutsche Telekom had realized important benefits from this new approach. This vignette describes the key changes that Deutsche Telekom made in prioritizing, funding, and governing innovation projects, and offers important insights for any organization keen to strengthen its culture of innovation.

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