Monday, October 29, 2012

Shift from Knowledge Economy to Social Economy

"Creativity is how you think. Innovation is how you act."
- Andrew Razeghi, Do You Hire For IQ Or Klout Score? (10/29/2012) Fast Company, Inc. Razeghi is a lecturer at the Kellogg School of Management, Northwestern University.

Creativity and innovation are two of the most misused and misunderstood words in business today. Creativity is doing something new and unique. Innovation is taking that creative result and finding different and new ways to use it. Creative individuals channel the creative source - the intelligence of the universe. Innovative individuals or organizations find ways to take the creative product, service, or result and make it more useful to others. Jazz musician Pat Metheny channels music. He is creative. He makes music. He is a "maker" of music. He is a clear channel of the musical sounds of the universe - that is his magic.

In a quantum universe, magic is not the exception but the rule.
— Arjuna Ardagh

Source: The Translucent Revolution: How People Just Like You Are Waking Up & Changing the World

Pat Metheny doesn't work on ensuring his music is available and distributed - his manager does. His manager is the innovator who thinks of better ways to market the music. Pat Metheny's music is the creative "magic", Metheny's manager is the business innovator. Treat the manager poorly and you might not secure the business deal. But treat Pat Metheny poorly and you won't get the "magic". Creatives and innovatives need to work together for success in business. It's difficult, but not impossible, to do or be both. (I'm doing both.)

Razeghi goes on to say that in order to shift from a knowledge economy to a social economy organizations must develop external and internal coalitions to nurture creative ideas. Top-down hierarchal systems aren't structured to employ creativity because they are set up to do the opposite: inhibit self-expression. Management by authority, not by expertise. Therefore creative ideas are not promoted, distributed, implemented because the knowledge is not seen or heard.

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