Jump-Starting Co-Development in the Services Sector

Illustrating how co-development just doesn’t happen because the big bosses like each other

National Liberty Life Insurance Company of America with its headquarters in the Greater Philadelphia Areas and CUNA Mutual, headquartered in Madison, Wisconsin, began a joint venture for open innovation to co-develop insurance products. After 8 years into a 10 year co-development agreement they had made some progress in cross-marketing but no significant progress in leveraging the strengths of both to co-develop product.  They just were unable to speak the same language.

Problem

The two insurance companies were frustrated with the lack of progress in co-developing any viable new products. They decided that they needed structure, a well-defined process and expert facilitation to help them realize success in their open innovation venture. Innovation Focus was brought in to help lead a process that would create a new line of products and create a workable model for how the two companies could most efficiently and effectively collaborate.

Process

The work began with assessment. First, the Innovation Focus team quickly conducted discussions and interviews with team members from both companies to help them clarify objectives and goals. Then, using a customized creative problem solving process (the Focused Innovation Technique™), Innovation Focus facilitated the National Liberty and CUNA team members in ideation to generate new product concepts. Concepts were developed and illustrated for presentation in a portfolio for action. Innovation Focus conducted follow-up sessions to solve implementation issues and identify new opportunities.

Outcome

The combined teams developed a new product concept roadmap. The facilitated process allowed for real team building through shared accomplishment and for joint ownership of ideas. One director commented, “I was particularly impressed with the enhanced benefit of trained facilitators… Our success is big news around the company.” Within six months of creating the New Product Concept Roadmap, the joint venture launched a successful new ‘living benefit’ product - Acorn.  The shared achievement of an actual new product introduction cemented the two companies’ relationship and led to further successful co-development of products and the extension of the co-development agreement.