BONUS: Why Large Organizations Struggle to Innovate With Elliott Parker

BONUS: Why Large Organizations Struggle to Innovate With Elliott Parker

BONUS: Elliott Parker on Breaking The Illusion of Innovation and Why Large Organizations Struggle to Innovate

In this BONUS episode, we dive deep into the paradox of modern corporate innovation with Elliott Parker, CEO of Alloy Partners. Elliott shares his insights on why well-managed organizations often struggle with innovation, the critical difference between execution and learning challenges, and how venture studios can bridge the gap between corporate resources and startup agility.

In this episode, we explore Elliott’s book The Illusion of Innovation.

The Golden Gate Bridge Paradox

"It took 7 years to add a safety net to a bridge that took 3 years to build."

Elliott opens with a striking example that illustrates the central thesis of his work. Large organizations today are paradoxically less capable of handling opportunities and challenges despite being better managed than ever before. The irony lies in their very efficiency—modern corporations have become so optimized for capital efficiency and short-term profits that they've inadvertently sacrificed their capacity for future innovation. This focus on Return on Invested Capital (ROIC) creates organizations that excel at managing existing assets but struggle with the uncertainty required for breakthrough innovation.

The Corporate Innovation Anti-Pattern

"The more the innovation team borrows from the business, the more the innovation team starts to look like the original organization."

Elliott reflects on a belief he once held and now completely disagrees with—that corporate innovation teams could successfully drive disruptive innovation from within. Having worked in corporate innovation focused on IP licensing and later in venture capital, he discovered that these internal teams, while excellent at expanding existing business models, inevitably become constrained by the very organization they're meant to transform. The solution he advocates is funding startups outside larger organizations, where there's nothing to preserve or perpetuate, allowing for true disruptive thinking.

In this segment, we talk about Clayton Christensen’s Disruption Theory which he explored in the now famous book: The Innovator’s Dilemma.

Execution vs. Learning Challenges

"Moving slow is a feature of corporations, not a bug."

One of Elliott's key frameworks distinguishes between execution challenges and learning challenges. Corporations are brilliantly designed for execution—when the problem and solution are known, they excel. However, learning problems, where the problem is clear but the solution unknown, require a fundamentally different approach. Elliott suggests marrying the best of both worlds: leveraging the funding and market research capabilities of large organizations with the disruptive ideas and solution-seeking agility of startups. He provocatively suggests treating communication around innovation as something to be avoided until solutions are proven, advocating for working in silos until innovation actually works.

The Controlled Burn Philosophy

"The only way to get data about the future is to collect data by running experiments."

Elliott introduces the concept of "controlled burn" using forest fire management as a metaphor for corporate innovation. Just as western US forests have become dangerously dense from aggressive fire suppression, corporations have become fragile by avoiding all risk and experimentation. We can't predict the future, and there's no existing data about what's coming—the only way to generate future insights is through deliberate experimentation. However, managers are typically incentivized to avoid experiments and minimize risk, creating the organizational equivalent of dense forests prone to devastating fires when disruption eventually arrives.

Creating Safe-to-Fail Environments

"In corporates we focus on frequency of correctness. In startups we focus on magnitude of correctness."

After initially believing he could change organizations from within, Elliott learned that creating truly safe-to-fail environments within established companies is nearly impossible. This realization led him to focus on creating startups as the perfect vehicle for business model experimentation. The fundamental difference in mindset is crucial: corporations optimize for being right most of the time, while startups optimize for the size of their wins when they are right, embracing a venture capital-like approach to innovation where occasional big wins compensate for frequent small failures.

Shifting from Wealth to Knowledge Generation

"Civilizations fail because they don't innovate fast enough."

Drawing on insights from David Deutsch's work on learning and innovation, Elliott argues that long-term resilience comes from learning, not just wealth generation. He advocates for shifting corporate conversations from immediate wealth generation to knowledge and learning, positioning companies as explorers of innovation and business models. This requires different funding mechanisms—moving away from operational budgets managed through traditional Excel-based metrics toward "patient capital" that can sustain the uncertainty inherent in true innovation. Traditional management approaches lack the passion needed for breakthrough innovation.

In this segment, we refer to David Deutsch’s book The Beginning of Infinity: Explanations that Transform The World.

About Elliott Parker

Elliott Parker is CEO of Alloy Partners, where he helps corporations and universities launch startups through a venture studio model. A former Innosight consultant and entrepreneur, he's passionate about bridging big companies with startup ecosystems to unlock real innovation and long-term growth in an increasingly distributed world.

You can link with Elliott Parker on LinkedIn.

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Measuring Success Through Team Evolution | Anamaria Ungureanu

Measuring Success Through Team Evolution | Anamaria Ungureanu

Anamaria Ungureanu: Tracking Scrum Team Behavioral Evolution Over Time Read the full Show Notes and search through the world's largest audio library on Agile and Scrum directly on the Scrum Master Toolbox Podcast website: http://bit.ly/SMTP_ShowNotes. Anamaria defines Scrum Master success by focusing on team behavioral trends and performance evolution over time. She monitors how teams increase trust with stakeholders, demonstrate commitment, and apply agile behaviors consistently. Her approach emphasizes seeking regular feedback from stakeholders and conducting honest self-assessments to ensure the Scrum Master role is truly maximizing team performance. Success isn't measured by a single moment but by sustained positive change in team dynamics and delivery capabilities. Featured Retrospective Format for the Week: Stop/Start/Continue with Enhanced Focus Anamaria recommends the classic Stop/Start/Continue format but emphasizes the importance of varying the questions and bringing both quantitative and qualitative data to drive meaningful conversations. She suggests picking specific themes for each retrospective (like testing) and ensuring that discussions lead to concrete, actionable outcomes rather than just surface-level feedback. Self-reflection Question: How do you currently measure your effectiveness as a Scrum Master, and what trends in your teams indicate genuine progress versus superficial compliance? [The Scrum Master Toolbox Podcast Recommends] 🔥In the ruthless world of fintech, success isn’t just about innovation—it’s about coaching!🔥 Angela thought she was just there to coach a team. But now, she’s caught in the middle of a corporate espionage drama that could make or break the future of digital banking. Can she help the team regain their mojo and outwit their rivals, or will the competition crush their ambitions? As alliances shift and the pressure builds, one thing becomes clear: this isn’t just about the product—it’s about the people. 🚨 Will Angela’s coaching be enough? Find out in Shift: From Product to People—the gripping story of high-stakes innovation and corporate intrigue. Buy Now on Amazon [The Scrum Master Toolbox Podcast Recommends] About Anamaria Ungureanu Anamaria Ungureanu is an Agile evangelist driving transformations across IT, airlines, and automotive. She delivers projects with firms like IBM and Airbus, coaches from executives to teams in SAFe and Scrum, leads assessments, customizes workshops, and supports tool adoption, like Jira, and digital whiteboards like MIRO. You can link with Anamaria Ungureanu on LinkedIn.

31 Juli 15min

Practical Strategies for Organizational Tool Rollouts | Anamaria Ungureanu

Practical Strategies for Organizational Tool Rollouts | Anamaria Ungureanu

Anamaria Ungureanu: Practical Strategies for Organizational Tool Rollouts Read the full Show Notes and search through the world's largest audio library on Agile and Scrum directly on the Scrum Master Toolbox Podcast website: http://bit.ly/SMTP_ShowNotes. Anamaria shares her approach to successfully implementing JIRA across an organization by focusing on practical value rather than forcing adoption. Her strategy involved identifying early believers within teams, conducting open discussions to gather feedback, and demonstrating concrete benefits like improved dependency management. Rather than trying to convince resisters, she concentrated on working with willing teams to showcase the tool's value, providing real-time support during implementation, and ensuring team members felt supported throughout the transition. Her method emphasizes being present to answer questions immediately and building momentum through successful early adopters. Self-reflection Question: When leading organizational change, how do you balance addressing resistance with amplifying the voices of those ready to embrace new approaches? [The Scrum Master Toolbox Podcast Recommends] 🔥In the ruthless world of fintech, success isn’t just about innovation—it’s about coaching!🔥 Angela thought she was just there to coach a team. But now, she’s caught in the middle of a corporate espionage drama that could make or break the future of digital banking. Can she help the team regain their mojo and outwit their rivals, or will the competition crush their ambitions? As alliances shift and the pressure builds, one thing becomes clear: this isn’t just about the product—it’s about the people. 🚨 Will Angela’s coaching be enough? Find out in Shift: From Product to People—the gripping story of high-stakes innovation and corporate intrigue. Buy Now on Amazon [The Scrum Master Toolbox Podcast Recommends] About Anamaria Ungureanu Anamaria Ungureanu is an Agile evangelist driving transformations across IT, airlines, and automotive. She delivers projects with firms like IBM and Airbus, coaches from executives to teams in SAFe and Scrum, leads assessments, customizes workshops, and supports tool adoption, like Jira, and digital whiteboards like MIRO. You can link with Anamaria Ungureanu on LinkedIn.

30 Juli 12min

Knowledge Hoarding and Team Dependencies | Anamaria Ungureanu

Knowledge Hoarding and Team Dependencies | Anamaria Ungureanu

Anamaria Ungureanu: The Tech Lead Who Nearly Destroyed the Team Read the full Show Notes and search through the world's largest audio library on Agile and Scrum directly on the Scrum Master Toolbox Podcast website: http://bit.ly/SMTP_ShowNotes. Anamaria describes a seven-member software team that initially seemed engaged but began self-destructing when a senior tech lead refused to embrace transparency and knowledge sharing principles.  The situation escalated when this key team member's four-day absence completely blocked the team's ability to deliver, creating a dangerous single point of failure. Through careful retrospective facilitation and strategic motivation techniques, including offering the specialist new learning opportunities while gradually transferring their legacy knowledge to teammates, Anamaria helped the team overcome knowledge silos and establish sustainable collaboration patterns. Featured Book of the Week: Never Split the Difference by Chris Voss Anamaria recommends “Never Split the Difference” by Chris Voss, a negotiation masterpiece because it taught her essential communication strategies for establishing trust and navigating tense situations. She emphasizes that negotiation is a critical Scrum Master skill, and Voss's techniques help build rapport with stakeholders while managing difficult conversations that arise during team transformations and organizational change initiatives. Self-reflection Question: What knowledge silos exist in your teams, and how might you motivate specialists to share their expertise while providing them with new growth opportunities? [The Scrum Master Toolbox Podcast Recommends] 🔥In the ruthless world of fintech, success isn’t just about innovation—it’s about coaching!🔥 Angela thought she was just there to coach a team. But now, she’s caught in the middle of a corporate espionage drama that could make or break the future of digital banking. Can she help the team regain their mojo and outwit their rivals, or will the competition crush their ambitions? As alliances shift and the pressure builds, one thing becomes clear: this isn’t just about the product—it’s about the people. 🚨 Will Angela’s coaching be enough? Find out in Shift: From Product to People—the gripping story of high-stakes innovation and corporate intrigue. Buy Now on Amazon [The Scrum Master Toolbox Podcast Recommends] About Anamaria Ungureanu Anamaria Ungureanu is an Agile evangelist driving transformations across IT, airlines, and automotive. She delivers projects with firms like IBM and Airbus, coaches from executives to teams in SAFe and Scrum, leads assessments, customizes workshops, and supports tool adoption, like Jira, and digital whiteboards like MIRO. You can link with Anamaria Ungureanu on LinkedIn.

29 Juli 18min

Goal Clarity—The Missing Piece in Agile Team Performance | Anamaria Ungureanu

Goal Clarity—The Missing Piece in Agile Team Performance | Anamaria Ungureanu

Anamaria Ungureanu: Goal Clarity—The Missing Piece in Agile Team Performance Read the full Show Notes and search through the world's largest audio library on Agile and Scrum directly on the Scrum Master Toolbox Podcast website: http://bit.ly/SMTP_ShowNotes. Anamaria shares her experience working with a platform implementation team that appeared engaged but was actually struggling in silence. Despite initial assumptions that everything was fine, the team's quiet demeanor masked their lack of understanding about project goals and deliverables.  Through strategic intervention including goal clarification with the Product Owner, confidence level assessments, and story mapping sessions, Anamaria helped transform a disengaged team into one capable of successful delivery. Her approach emphasized the importance of fostering constructive conflict, asking open questions during sprint planning about demo expectations, and facilitating better PO-team interactions to create transparency and shared understanding. In this episode, we refer to User Story Mapping and the concept of Gemba, or Gemba Walk Self-reflection Question: How might your teams be silently struggling, and what signs should you watch for to identify when apparent engagement actually masks confusion or disengagement? [The Scrum Master Toolbox Podcast Recommends] 🔥In the ruthless world of fintech, success isn’t just about innovation—it’s about coaching!🔥 Angela thought she was just there to coach a team. But now, she’s caught in the middle of a corporate espionage drama that could make or break the future of digital banking. Can she help the team regain their mojo and outwit their rivals, or will the competition crush their ambitions? As alliances shift and the pressure builds, one thing becomes clear: this isn’t just about the product—it’s about the people. 🚨 Will Angela’s coaching be enough? Find out in Shift: From Product to People—the gripping story of high-stakes innovation and corporate intrigue. Buy Now on Amazon [The Scrum Master Toolbox Podcast Recommends] About Anamaria Ungureanu Anamaria Ungureanu is an Agile evangelist driving transformations across IT, airlines, and automotive. She delivers projects with firms like IBM and Airbus, coaches from executives to teams in SAFe and Scrum, leads assessments, customizes workshops, and supports tool adoption, like Jira, and digital whiteboards like MIRO. You can link with Anamaria Ungureanu on LinkedIn.

28 Juli 13min

The Hidden Cost of Decision-Making Delays in Product Development | Anh Vu

The Hidden Cost of Decision-Making Delays in Product Development | Anh Vu

Anh Vu: The Hidden Cost of Decision-Making Delays in Product Development Read the full Show Notes and search through the world's largest audio library on Agile and Scrum directly on the Scrum Master Toolbox Podcast website: http://bit.ly/SMTP_ShowNotes. The Great Product Owner: The Strategic Connector Anh describes an exceptional Product Owner who went far beyond managing the backlog to become a strategic connector between customer needs, business requirements, technical constraints, and overall strategy. What made this PO remarkable was their background - they came from a developer background rather than business, yet quickly mastered the Product Owner role through dedicated learning. Despite being new to the PO role, they rapidly developed the ability to connect backlog items directly to customer pain points, often using techniques like user story mapping. This PO brought both clarity and purpose to the team, significantly boosting team motivation by helping developers understand how their work directly impacted customers and business outcomes. The Bad Product Owner: The Proxy Problem The worst Product Owner situation Anh encountered involved a Proxy PO who lacked the authority to make decisions independently. This created significant challenges for both the team and the PO, as every new problem or decision required seeking permission from external stakeholders. This pattern lengthened feedback cycles and demotivated both the PO and the development team, who couldn't move forward efficiently when blocked by decisions. Anh's approach to addressing this involved coaching the PO on engaging with external stakeholders, setting up regular touchpoints (2-3 times per week) to shorten feedback cycles, and focusing on improving the decision-making process to unblock the team. He also emphasized creating a strong network of connections for the PO to navigate the organization effectively and always having a Plan B when certain decisions couldn't be made quickly. Self-reflection Question: Does your Product Owner have true decision-making authority, or are they frequently forced to seek permission from others, and how is this affecting your team's velocity and motivation? [The Scrum Master Toolbox Podcast Recommends] 🔥In the ruthless world of fintech, success isn’t just about innovation—it’s about coaching!🔥 Angela thought she was just there to coach a team. But now, she’s caught in the middle of a corporate espionage drama that could make or break the future of digital banking. Can she help the team regain their mojo and outwit their rivals, or will the competition crush their ambitions? As alliances shift and the pressure builds, one thing becomes clear: this isn’t just about the product—it’s about the people. 🚨 Will Angela’s coaching be enough? Find out in Shift: From Product to People—the gripping story of high-stakes innovation and corporate intrigue. Buy Now on Amazon [The Scrum Master Toolbox Podcast Recommends] About Anh Vu Anh Vu is a seasoned Project Manager with 10+ years in software delivery, Agile, DevOps, and PM. As a PMP trainer, he has empowered 200+ professionals. Passionate about continuous learning, Anh explores practical tools and methodologies to help PMs and teams succeed in fast-paced, tech-driven environments. You can link with Anh Vu on LinkedIn.

25 Juli 12min

Situational Leadership for Scrum Masters - Knowing When to Step Back | Anh Vu

Situational Leadership for Scrum Masters - Knowing When to Step Back | Anh Vu

Anh Vu: Situational Leadership for Scrum Masters - Knowing When to Step Back Read the full Show Notes and search through the world's largest audio library on Agile and Scrum directly on the Scrum Master Toolbox Podcast website: http://bit.ly/SMTP_ShowNotes. Anh defines success for Scrum Masters through a simple but powerful test: when you take vacation and return to find the team working exceptionally well without you. This ultimate measure of success focuses on building self-organization and enabling true team autonomy. He emphasizes that Scrum adoption should serve as a metaphor for autonomy and self-organization, with the Scrum Master's stance evolving alongside the team's growth. Drawing from Situational Leadership principles, Anh points out that a team can only become as autonomous as the Scrum Master can envision and facilitate. The key is recognizing when to step back and allow the team to demonstrate their independence while ensuring they have the foundation and confidence to succeed. Featured Retrospective Format for the Week: Free Form Retrospective Anh advocates for the free form retrospective format, which requires only a whiteboard, table, and people gathering for open reflection based on the previous sprint's goals. Rather than following structured formats, he invites team members to share their insights freely, considering the retrospective successful as long as the team leaves with 1-3 actionable insights. This approach works particularly well with teams he knows well, where trust and communication patterns have been established. He builds on this by incorporating silent thinking time to start conversations, a habit developed over time that makes teams more comfortable sharing in the free form format. Anh also recommends conducting retrospectives during in-office days when the team can eat together, investing heavily in these face-to-face interactions to strengthen team bonds. Self-reflection Question: What would happen if you took a week off from your current role - would your team continue to thrive, or would they struggle without your direct involvement? [The Scrum Master Toolbox Podcast Recommends] 🔥In the ruthless world of fintech, success isn’t just about innovation—it’s about coaching!🔥 Angela thought she was just there to coach a team. But now, she’s caught in the middle of a corporate espionage drama that could make or break the future of digital banking. Can she help the team regain their mojo and outwit their rivals, or will the competition crush their ambitions? As alliances shift and the pressure builds, one thing becomes clear: this isn’t just about the product—it’s about the people. 🚨 Will Angela’s coaching be enough? Find out in Shift: From Product to People—the gripping story of high-stakes innovation and corporate intrigue. Buy Now on Amazon [The Scrum Master Toolbox Podcast Recommends] About Anh Vu Anh Vu is a seasoned Project Manager with 10+ years in software delivery, Agile, DevOps, and PM. As a PMP trainer, he has empowered 200+ professionals. Passionate about continuous learning, Anh explores practical tools and methodologies to help PMs and teams succeed in fast-paced, tech-driven environments. You can link with Anh Vu on LinkedIn.

24 Juli 14min

From Project Mindset to Product Thinking - Leading Client Transformation | Anh Vu

From Project Mindset to Product Thinking - Leading Client Transformation | Anh Vu

Anh Vu: From Project Mindset to Product Thinking - Leading Client Transformation Read the full Show Notes and search through the world's largest audio library on Agile and Scrum directly on the Scrum Master Toolbox Podcast website: http://bit.ly/SMTP_ShowNotes. Anh describes a transformative collaboration experience while building multiple websites for a client. Over time, his team recognized significant commonalities between projects and saw the opportunity to create reusable components for future work. However, they faced resistance when trying to shift the client's mindset from short-term project delivery to long-term product thinking. The business stakeholders remained focused on immediate project completion rather than investing in sustainable, reusable solutions.  Anh's approach to leading this change involved presenting concrete evidence from previous projects to demonstrate the tangible benefits of component reusability. Rather than just proposing the idea theoretically, they suggested implementing reusable components immediately within the current project, showing rather than just telling. His strategy centered on providing clear evidence of benefits and demonstrating achievability, making the transition from project to product mindset more tangible and less risky for the client. In this episode, we refer to the book “From Project to Product” by Mik Kersten.  Self-reflection Question: How might you help your stakeholders see beyond immediate deliverables to recognize the long-term value of sustainable practices and reusable solutions? [The Scrum Master Toolbox Podcast Recommends] 🔥In the ruthless world of fintech, success isn’t just about innovation—it’s about coaching!🔥 Angela thought she was just there to coach a team. But now, she’s caught in the middle of a corporate espionage drama that could make or break the future of digital banking. Can she help the team regain their mojo and outwit their rivals, or will the competition crush their ambitions? As alliances shift and the pressure builds, one thing becomes clear: this isn’t just about the product—it’s about the people. 🚨 Will Angela’s coaching be enough? Find out in Shift: From Product to People—the gripping story of high-stakes innovation and corporate intrigue. Buy Now on Amazon [The Scrum Master Toolbox Podcast Recommends] About Anh Vu Anh Vu is a seasoned Project Manager with 10+ years in software delivery, Agile, DevOps, and PM. As a PMP trainer, he has empowered 200+ professionals. Passionate about continuous learning, Anh explores practical tools and methodologies to help PMs and teams succeed in fast-paced, tech-driven environments. You can link with Anh Vu on LinkedIn.

23 Juli 12min

From Individual Stars to Team Players - Transforming Competitive Developers | Anh Vu

From Individual Stars to Team Players - Transforming Competitive Developers | Anh Vu

Anh Vu: From Individual Stars to Team Players - Transforming Competitive Developers Read the full Show Notes and search through the world's largest audio library on Agile and Scrum directly on the Scrum Master Toolbox Podcast website: http://bit.ly/SMTP_ShowNotes. Anh recounts his first Scrum project as a Scrum Master for a payment company, leading a team of five developers working on a new product with new technology and devices. The challenge was compounded by the fact that this was a completely new team where members didn't know each other. What started as an attempt to make work visible quickly deteriorated when developers began competing to prove they were the best rather than collaborating toward shared goals. Each developer focused solely on their individual tasks without considering the overall outcome, and when bugs appeared at the end of sprints, blame games began.  This anti-pattern of developers not prioritizing team results created a cycle where team members wouldn't help each other, ultimately undermining the project's success. Anh's key learning was that the root problem wasn't process-related but trust-related, and as a Scrum Master, addressing surface-level issues isn't enough - the real work lies in building foundational trust within the team. Self-reflection Question: In your current team, are individual achievements being celebrated more than collective success, and how might this be affecting overall team trust and collaboration? Featured Book of the Week: The Five Dysfunctions of a Team Anh recommends "The Five Dysfunctions of a Team" as essential reading for understanding team dynamics. He emphasizes that trust is the basic foundation for people to succeed together, and this book provides both the why and the how for building that trust. According to Anh, trust serves as the foundation for all teams, making it crucial knowledge for both Scrum Masters and Project Managers who need to facilitate effective team collaboration. [The Scrum Master Toolbox Podcast Recommends] 🔥In the ruthless world of fintech, success isn’t just about innovation—it’s about coaching!🔥 Angela thought she was just there to coach a team. But now, she’s caught in the middle of a corporate espionage drama that could make or break the future of digital banking. Can she help the team regain their mojo and outwit their rivals, or will the competition crush their ambitions? As alliances shift and the pressure builds, one thing becomes clear: this isn’t just about the product—it’s about the people. 🚨 Will Angela’s coaching be enough? Find out in Shift: From Product to People—the gripping story of high-stakes innovation and corporate intrigue. Buy Now on Amazon [The Scrum Master Toolbox Podcast Recommends] About Anh Vu Anh Vu is a seasoned Project Manager with 10+ years in software delivery, Agile, DevOps, and PM. As a PMP trainer, he has empowered 200+ professionals. Passionate about continuous learning, Anh explores practical tools and methodologies to help PMs and teams succeed in fast-paced, tech-driven environments. You can link with Anh Vu on LinkedIn.

22 Juli 13min

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