The Elegant Solution: Toyota's Formula for Mastering Innovation

-- Fortune, February 2006

For the first time, an insider reveals the formula behind Toyota's unceasing quest to innovate and do more with less, a philosophy that has made it one of the ten most profitable companies in the world (and worth more than GM, Ford, DaimlerChrysler, and Honda combined). In a rare look into Toyota's ability to consistently achieve breakthroughs that outperform the competition, The Elegant Solution explains what Toyota associates have known all along: it's not about the cars. Rather, Toyota's astounding success is just the visible result of a hidden creative process that begins with a seven-digit number.

One million. That's how many new ideas the Toyota organization implements every year. These ideas come from every level of the organization — from the factory floors to the corporate suites. And organizations all over the world want to learn how it's done. Now senior University of Toyota advisor Matthew May shows how any company can achieve an environment of everyday innovation and discover the kinds of elegant solutions that hold the power to change the game forever. World-class benchmarks like Lexus, Prius, Scion — even Toyota's vaunted production system — are simply shining examples of elegant solutions.

A tactical playbook for team-based innovation, The Elegant Solution delivers powerful lessons in breakthrough thinking in a provocative yet practical guide to the three core principles and ten key practices that shape successful business innovation. Innovation isn't just about technology — it's about value, opportunity, and impact. When a company embeds a real discipline around tapping ingenuity in the pursuit of perfection, the sky is the limit. Dozens of case studies (from Toyota and other companies) illustrate the universal power and applicability of these concepts. A unique "clamshell strategy" prepares managers to successfully lead and sustain the innovation effort.

At once a thought-starter and a taskmaster, The Elegant Solution is a vital prescription for anyone wanting to truly master business innovation.

CONTENTS

Foreword by Kevin Roberts

Backstory: One Million Ideas

Introduction: In Search of Elegance

PART 1: PRINCIPLES

1 The Art of Ingenuity

Business meets art and science in an emerging view of work.

2 The Pursuit of Perfection

Conventional wisdom forcing a choice between small steps and big leaps misses the point.

3 The Rhythm of Fit

What distinguishes great innovation is its ability to serve the changing needs of society.

PART 2: PRACTICES

4 Let Learning Lead

Learning and innovation go hand in hand, but learning comes first.

5 Learn to See

Elegant solutions often come from customers — get out more and live in their world.

6 Design for Today

Focus on clear and present needs, or your great ideas remain just that.

7 Think in Pictures

Make your intentions visual — you'll surprise yourself with the image.

8 Capture the Intangible

The most compelling solutions are often perceptual and emotional.

9 Leverage the Limits

Restraining forces rule — resource constraints can spur ingenuity.

10 Master the Tension

Breakthrough thinking demands something to break through.

11 Run the Numbers

Think for yourself — temper instinct with insight, focus on facts, and do the math.

12 Make Kaizen Mandatory

Pursuing perfection requires great discipline — create a standard, follow it, and find a better way.

13 Keep It Lean

Complexity kills — scale it back, make it simple, and let it flow.

PART 3: PROTOCOL

14 The Clamshell Strategy

Management plays a key role in releasing the power of front-line innovation.

15 The Elegant Solution

A team in pursuit of the elegant solution taps the full formula in one session.

Afterword — Words of Encouragement

NotesandCredits

Acknowledgments

Index