Innovate the Pixar Way: Business Lessons from the World's Most Creative Corporate Playground - Hardcover

Capodagli, Bill; Jackson, Lynn

Hardcover

ISBN 10: 0071638938 ISBN 13: 9780071638937

Publisher: McGraw Hill, 2009

Synopsis

“Details how this playful organization provides a working environment that encourages imagination, inventiveness, and joyful collaboration. If you dream of creating a more positive climate in your company, this book might just make your dreams come true.”
Ken Blanchard, coauthor of The One Minute Manager® and Helping People Win at Work

Unleash Pixar-style creativity in anyorganization!

Authors of the business classic The Disney Way, BillCapodagli and Lynn Jackson take a behind-the-sceneslook at the company built upon the “magic” of Disney.

Readers of this concise and accessible book will learnhow to apply Pixar’s secrets of success, which includethe company’s ability to turn visions into clear directivesand its remarkable focus on detail, whichtranslates into products of the utmost quality. Otherlessons include how to hire creative people and alwayschallenging the status quo.

About this title

About the Authors

Bill Capodagli and Lynn Jackson (Indianapolis, IN) are managing partners of Capodagli Jackson Consulting and the authors of The Disney Way. They give seminars around the world on how to implement the Disney Way in any company.

Bill Capodagli coauthored The DisneyWay and cofounded Capodagli Jackson Consulting in 1993.
Lynn Jackson helps Fortune 500 andentrepreneurial companies reshape their cultures and principlesusing the methods outlined in The Disney Way, which shecoauthored.

Excerpt. © Reprinted by permission. All rights reserved.

INNOVATE THE PIXAR WAY

BUSINESS LESSONS FROM THE WORLD'S MOST CREATIVE CORPORATE PLAYGROUNDBy BILL CAPODAGLI LYNN JACKSON

The McGraw-Hill Companies, Inc.

Copyright © 2010 Capodagli Jackson Consulting
All right reserved.
ISBN: 978-0-07-163893-7

Contents

Chapter One

Remember the Magic of Childhood

WHEN WE BEGAN writing this book, our goal was to unveil the secrets of Pixar's innovative genius. Our first thought was to, as Lieutenant Casselle said in Casablanca, "Round up the usual suspects"—leadership, teaming, training, culture. As we investigated each one, we found that indeed, all of these "usual suspects" do contribute to Pixar's success. But which of these, if any, was the essence, the source, the head waters, the "big bang" of Pixar's creativity?

After perusing our library of Pixar films, it dawned on us—of course—Toy Story held the answer: looking at the world through the eyes of a child or a child's toys. This is how Pixar continues to catch lightning in a bottle. Pixar director Pete Docter (Monsters, Inc., Up) revealed, "As naïve as it may sound, making Toy Story felt like an extension of school, where we were just making the film we wanted to make for us and our friends to enjoy."

When we were children the truth lived in our imaginations—where we were the princesses in the castle or the knights in shining armor slaying the dragon. In our minds, we could do anything! But then parents, teachers, and bosses chased the little kid right out of us. Dreaming, making believe, acting impulsively, and taking risks were not rewarded in the "real world"—the adult world. We must follow the rules. The small child became silent, but childhood dreams are resilient and remain hidden away in the deepest caverns of our minds. In the Pixar "playground," employees are free to let loose their childlike "magic" and energy.

Recently, Bill witnessed firsthand how the Tucson Unified School District is reinventing the learning experience and capitalizing on that childlike dreaming through its Opening Minds Through the Arts (OMA) program. The George Lucas Educational Foundation features OMA as one of the few shining examples of a uniquely creative K–12 learning environment (see edutopia.org/arts-opening-minds-integration). OMA's vision of "improving student achievement by building connections between the arts and the curriculum" is akin to Pixar's mantra "Art is a team sport." During the first half of the school year in OMA, first graders learn about opera and the value of the collaborative process. During the second half of the school year, students write their own operas, and these formal artistic learning experiences continue through the fifth grade. Instead of stifling their imaginations, OMA is opening new worlds to these children by allowing them to dream. As Donn Poll, executive director of the OMA Foundation, remarked, "With the use of arts integration comes the enormous opportunity to bring every child the opportunity to love the process of learning, and to be engaged on the level of their own passion—this carries forth throughout their lives in anything else they want to learn."

Any "kid" who is lucky enough to "carry forth" into the world of Pixar finds a company who lives its credo: dream like a child. Pixar is a unique blend of both technically and artistically creative people who are continually engaged in their passions for making movies. And certainly, the childlike atmosphere in Pixar's Emeryville, California, "playground" sparks its employees' collective creativity on a level that has become the envy of employees in countless other organizations. In the words of Alvy Ray Smith, "When I sit around and watch the animators, it seems that they have managed to hold onto childhood. They surround themselves with toys, and they just have a lot of fun like kids. That's one of the reasons they are so damn much fun to be around—they're sort of constantly fun, playful, setting up little secret rooms—you just don't know what they are going to do next."

Unfortunately, however, most organizations have no interest in and no knowledge of what it takes to produce such an energizing environment. It begins with creating a culture where imagination—the very thing that kept us so interested in discovering and trying new things when we were young—is cherished and rewarded. So, who better than kids themselves to help remind us that we need to remove the haze from our childhood eyes of wonder? When it comes to unleashing creativity, the little children of OMA have some big messages to share, and we have included them in Appendix C, "Through a Child's Eyes."

Chapter Two

Where Did the Creativity Go?

DID YOU EVER wonder why it took so long for the fast-food hamburger business, started by White Castle back in 1912, to become such a staple of the American way of life? It took a creative visionary like Ray Kroc, who was influenced by another visionary—Henry Ford and his assembly line production innovations. In 1961, Kroc bought McDonald's from the McDonald brothers, and the rest is history. Likewise, the discount department store has been around for more than a century—Woolworth dime stores date back to 1879, followed by Kresge's in 1899 and Ben Franklin Stores in 1927. Again, it took a creative visionary—this time Sam Walton—to open Wal-Mart Discount City in Rodgers, Arkansas, in 1962 to forever change the discount retail market. When Walt Disney arrived in Hollywood in 1923 to begin his animated cartoon business, he thought he came too late to really make a name for himself. By that time, Felix the Cat, a creation of the Pat Sullivan Studios, had already attained superstar status. But instead of giving up, Walt reinvented animation. Rather than using the slap-stick gags so popular at the time, he created characters with unique personalities that have endured for decades—Mickey Mouse, Minnie Mouse, Goofy, Donald Duck, the list goes on and on. These characters continue to capture the hearts of children today, and Mickey has been around for more than eighty years!

What does all this mean? Clearly, the first to market, while initially being creative, can lose focus and fade into relative obscurity over time. Slowly, that imagination that once soared on wings like Buzz Lightyear finally crashes into the ground. (Buzz's wings didn't make him fly; he only thought they could.) Why is it that only once in a while an organization totally redefines its industry? Why can't every organization be innovative? There's the typical lineup of excuses—"We tried that before"; "That's too crazy to consider"; "There's nothing wrong with what we're doing"; "That's not my job"—and so on and so on. The worst excuse of all is when managers say, "We aren't an innovative organization." Too many shortsightedly reserve the label "innovator" for the "big-league" brands like Apple, Nike, or Google, who are associated with recognizable, simple, and sexy products. Therefore, they just don't view themselves as very creative.

Consider the creative talents of the following two groups who were asked these three questions: How many of you are good singers; how many of you are good dancers; and how many of you are good artists? About 2 percent of the first group responded positively to each of these three questions. This response is typical of most business teams with whom we've worked. We tell teams that it would be easy to find a second group in any community who would give nearly 100 percent positive responses. Surprised? Ask just about any group of first graders these three questions, and the children will respond with an enthusiastic "Yes!" to each one. All children are creative—they're born that way!

What happened to the creative gene that was so alive in our childhoods? J. M. Barrie, author of Peter Pan, once said, "Nothing that happens after we are twelve matters very much." Maybe twelve is the age that we stop believing in the power of dreams—when we stop taking risks and pursuing big ideas. Maybe twelve is the age we become practical and in touch with "reality." As a self-confessed Peter Pan, John Lasseter is used to trying out new things, and he doesn't fear results that are different from what he expected them to be. John has said, "At Pixar we're almost more excited about the things that didn't work because it's like: well, we tried this, but we didn't expect this. It's like a trapeze artist who's going to do a quintuple somersault—it's never been done before in the world. Hollywood is a place where, typically, if something doesn't work you lose your job. In Hollywood terms, not only is there no net but there's poison spikes down there. Whereas at Pixar we don't just have a net, we have down comforters and air bags, and you have everybody trying stuff constantly. That's one of the things we've changed here." Pixar continuously strives to forge new frontiers and is one of the premiere business models of innovative cultures in America, and perhaps the entire world.

For more than a hundred years, American business has been conditioned by leading management experts, beginning in the late 1890s with Frederick W. Taylor's teachings on scientific industrial efficiency; Henry Ford's 1913 assembly line process for building things faster and cheaper; and Dr. Deming's 1950s quality management lessons emphasizing how to remove variation from the manufacturing process. The message over the years has been consistent: reduce cost and remove variation.

Today we expect companies to be disciplined, but we also ask them to be innovative, which by its very nature increases cost and variation. Once the newest iPod, flat-screen TV, or laptop is developed, the push for creativity and innovation gets ignored and focus returns to reducing costs. Innovation can be costly; the trick is to be innovative and profitable. But priorities are constantly changing, and organizations must adapt on a continuous basis. Most find it difficult if not impossible to emphasize creativity and innovation while controlling costs for the long term.

So, how do you build an organization that embraces change and delivers an innovative, fairly priced, high-quality, and profitable product? How do you establish a culture of creativity in which the talents and abilities of all are nurtured and honed with great care? How do you unleash the creative genius within your employees and still meet budgets and deadlines? How do you establish an environment that awakens dreams?

Very few organizations today maintain the balance between childlike dreamer and task-driven doer. When it comes to innovation, like Walt Disney, Pixar is an industry pacesetter. In this book, we reveal how Pixar has reawakened the innovative spirit of Walt Disney. You will not only learn how leaders Ed Catmull and John Lasseter have given birth to a unique culture that is both innovative and profitable but also how you can create your own innovative playground.

Lucky for us, Walt Disney, Ed Catmull, and John Lasseter never lost that childlike innocence. They knew how to Dream, Believe, Dare, Do. But first, one word of caution: "Innovate, don't imitate!" You need to define a culture that is uniquely yours, one that is right for your organization—it takes time and hard work to make it happen.

Chapter Three

Hey, Kids, Let's Put on a Show!

KENNY ORTEGA, CREATOR of the Disney blockbuster High School Musical craze, said that the source of his inspiration was the old Judy Garland and Mickey Rooney musicals of the 1930s and 1940s. Two lessons can be learned from these musicals. The first is to think like a director, and the second is to avoid overexposure—don't overdo a good thing.

Let's start with lesson number two—avoiding overexpo-sure. In the late 1990s, Disney began to produce films that critics called "formulaic," much like the Garland-Rooney string of "Hey, kids, let's put on a show!" variations—Strike Up the Band (1940), Babes on Broadway (1940), and Girl Crazy (1943). Disney's string began with The Second Jungle Book: Mowgli and Baloo(1997) and The Lion King II (1998), followed by 102 Dalmatians (2000)—the list continues with another eleven rather unimaginative productions.

Walt Disney himself refused to do feature film sequels. He didn't want to waste the money and creative talent on old ideas. He wanted to use his resources to create, not to simply copy a successful past production. Pixar president Ed Catmull said, "When Walt Disney was alive, he continually changed and adapted. Nothing ever stayed the same. And when he died, that's when things froze. And people were saying, 'What would Walt do?' But, when he was alive ... he kept doing things. [At Pixar] ... we are continuing that heritage of changing as technology changes.... We will continue to do things that are new and different." Pixar University dean Randy Nelson remarked, "Everyone here loves the old Disney films, but we never want to do those movies where the audience can figure out there must be a song coming here or 'He's an orphan, so he's going to have a fat little buddy.'" As Andrew Slabin, a Merrill Lynch entertainment analyst, said, "What makes a movie successful is not only the technology but the story that brings people to see it over and over—it's got to be heartfelt and warm. That's what Pixar movies do." Pixar's only sequel to date has been Toy Story 2 (1999), which was before the Pixar acquisition by Disney. Disney had been distributing and cofinancing their films and encouraged Pixar to make Toy Story 2 as a lower cost and quality "direct to video" film. John Lasseter commented, "These were the people that put out Cinderella II. We believe that the only reason to do a sequel is if you have a great story, period.... We want these [Pixar] films to be at the same level of the films Walt Disney made. I mean, look, he made Snow White and the Seven Dwarfs, Pinocchio, Fantasia, Dumbo, Bambi, and Peter Pan. Those films ... will always live forever." Toy Story 2 went on to have a new story of its own, premier in theaters, and become a critical and commercial success, solidifying Pixar's obsession that there should be only one quality measurement for every film: it begins and ends around the story. (As this book goes to print, Toy Story 3 and Cars 2 are in production—and we believe that the story will still "be king!")

So, don't just copy your old and boring product or service—destroy, demolish, eradicate, nuke, vaporize, and zap it! Once you have totally wiped out the old, you can apply the first lesson from our musical history examples—to think like a director. Think of your team or business as if you were the director of a Broadway play. Sit in the director's chair and visualize the major pieces of the production and direction of the play—the story, setting, roles, and backstage processes.

Begin with the Story

What's your dream? What are the customers' dreams? What story are you trying to tell? What mood are you setting? How do you want your customers to feel after their experience with your organization?

Redefine Your Product or Service

Walt Disney World is not just a theme park or resort. It is an experience that allows us to leave the real world far behind us and become Peter Pan or Cinderella—a three-dimensional fantasy taking place before our very eyes, a larger-than-life experience. Lasseter, who is now spending half of his time advising Disney on how to keep the "magic" alive in its theme parks, said, "The hardest thing to get is true emotion. I always believe you need to earn that with the audience. You can't just tell them, 'OK, be sad now.' ... Even to the last minute you can be adding little bits of humor. But the true earned emotion is something that you really have to craft." It doesn't matter if you are creating the next Pixar animated feature film, designing a new refrigerator, opening a new restaurant, or reengineering your accounts receivable process, you have to bring your vision, your story, your dream to life in an exciting and exhilarating way. As Ed Catmull explained, "Our directors have to be masters at knowing how to tell a story. This means they must have a unified vision, one that will give coherence to the thousands of ideas that go into a movie." Not only does the story have to be engaging for the team but it must also make an emotional connection with the customer. And at Pixar, "story is king"—everything that goes into the development of a Pixar film is in support of telling the best story they can.

Get into the Dream-Fulfillment Business

Craft your story in a way that will ignite the creative energies of your team and make magical, dream-come-true moments for your customers.

Instead of "meeting customer expectations," start fulfilling their dreams. Craft the customer experience in terms of:

* Three-dimensional Technicolor images

* Dreams fulfilled

* Magical moments

* Doing the impossible

* Story, plot, theme

* Unique, memorable, and engaging

* Passionate belief in values

Build the Set

If you were a director of a Broadway play, you would have a set designer whose job it is to make sure the visual journey of the audience complements the overall story. Like Walt Disney, John Lasseter is fanatical about details—"Every detail has to be thought out, designed, modeled, shaded, placed, and lit.... It takes four years to make one of these films and there are no excuses after the movie's done. It's going to be that way forever.... Just try to think of another film from 1938 that is watched as much today as Snow White is, or even go to 1995 and Toy Story."

What should your set look like? If you are designing a new soft ware program, how do colors, packaging, and documentation contribute to the overall customer experience? Early in the development of Intuit's personal accounting software program Quicken, Intuit engineers traveled all around the country to observe and interview customers who had purchased their product. They even arranged for in- home customer visits to observe and record the ease of installation, from opening the package to understanding the instructions to using the program for paying bills and creating household budgets.

(Continues...)

Excerpted from INNOVATE THE PIXAR WAYby BILL CAPODAGLI LYNN JACKSON Copyright © 2010 by Capodagli Jackson Consulting. Excerpted by permission of The McGraw-Hill Companies, Inc.. All rights reserved. No part of this excerpt may be reproduced or reprinted without permission in writing from the publisher.
Excerpts are provided by Dial-A-Book Inc. solely for the personal use of visitors to this web site.

Edition details

• Publisher: McGraw Hill
• Publication date: 2009
• Language: English
• ISBN 10: 0071638938
• ISBN 13: 9780071638937
• Binding: Hardcover
• Edition number: 1
• Number of pages: 224