As part of NYU Stern's Leadership Development Initiative, coordinated by the School's Leadership Development Team
, Marla Capozzi, head of McKinsey & Company's Innovation practice, spoke with Luke Williams
, executive director of Stern's Berkley Center for Entrepreneurship & Innovation
, about how leaders can foster innovation.
“Innovation can happen when the leader isn’t the innovator,” explained Capozzi. However, creating what she calls “conditions for entrepreneurship,” where employees are not afraid to be creative, is critical. “Trust is the number one value in an innovative work culture.”
Capozzi also stressed the importance of making leaders accountable by changing budgets. “Determine what an affordable loss is for the organization and allocate that money to the development of new ideas, data and analytics.” Most important, she explained, is for employees to feel comfortable enough to be vulnerable and to share lessons learned from their experiments.