A few months back, I had a very interesting phone call with the marketing department of a major small engines manufacturer. The topic was green innovation branding.

The department explained they’d been legislated into drastically improving the efficiency of their engines. What’s more, the future held even more efficiency-boosting legislation.

I asked them how they were positioning these terrific efficiency innovations. Not at all, came the reply. Turns out the competition had been legislated into making the same improvements.

Had the competition branded the improvements? No.

It seemed this department (and the competition) couldn’t see the golden opportunity to seize this innovation by legislation and claim it as a brand advantage. It was money left on the table.

A hot new buzzword making the rounds is open source innovation. Essentially, it urges companies to shatter R&D siloes and tap the collective imagination of fans for ideas.

But somehow, legislation isn’t considered one of those ‘open’ sources of innovation. Instead, it’s seen as punitive, and treated with fatalistic resignation.

The Victim Mentality

I believe this belies a victim’s mentality on the part of the company affected by the legislation. And victims can’t invent.

Raff Viton and Mike Maddock, colleagues of mine at Maddock Douglas, believe the sure sign of victim mentality is complaining about internal barriers to innovation: the budget is too small, the deadline is too tight, my boss is a tool, legal won’t approve it.

I would add legislation as another source of complaint. The complaint would go something like this: they forced us to do it, so it’s not really our innovation.

What is the outcome you want?

Viton and Maddock go on to describe a great way to turn a victim into a creator. Ask one simple question: “What is the outcome you want?”

If the small engine manufacturer asked themselves this, they would have replied “We want to create green innovation we can market.”

A 70% boost in efficiency is a terrific piece of innovation. Coupled with the company’s unique history (proudly American, with a long history of service to the country), it becomes a unique market advantage.

Love the Legislation

Legislation doesn’t just come from government. Wal-Mart has diplomatically legislated suppliers to reduce packaging and – increasingly – green their products.

We’ve engaged with a number of these suppliers. All but one of them regarded Wal-Mart’s edicts as punitive. They resolved to ‘dodge’ them as long as possible, instead of rushing to comply.

Again, this is turning your back on a terrific opportunity.

Imagine you’re the first cellphone manufacturer in Wal-Mart to measure, declare, and reduce your packaging. Not only is this a great opportunity to refresh your look, but it will win you favor with your biggest buyer. That can translate into special displays. Now imagine you use the package reduction opportunity and say “What more could we do to really leverage this opportunity?” Can you create a special promotion that invites consumers to engage and send you their green innovation ideas? Can you look at Wal-Mart’s environmental priorities and find ways to align? Can you create a staff incentive program in your company to encourage ‘shop floor innovation’?

In other words, can you use legislation as the launchpad for building a better product, service, or business model, more efficient production, a more robust sustainability position, and more effective communications?

Creators see obstacles as springboards for new thinking, not as an excuse to avoid doing something new.

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