Innovation is commonly linked to technology. This book is about a different kind of innovation: leadership and management. Most orthodox theories on management innovation are still focused on better and faster measurements and controls. These management theories do not take into account the special prerequisites of achieving innovation by relying on the creativity of employees giving human ingenuity a wide enough moat to succeed. Orthodox controls and measures are pitted against experimentation and learning, thus creating an environment conducive for creating a management theory for innovation.

The author has done a brilliant job of showing what the ingredients of such a new management theory could entail, and how they are applied at one of the most successful companies in history: Google. The book is organized in three parts: (1) the discussion of a new set of management principles; (2) an investigation of Google related to these principles; and (3) a broader discussion of continuous innovation as a means for businesses and government agencies to survive and thrive. At the core of the book, and meant as takeaways for establishing a management model for innovation, are six management principles, ten practices, and five stages for organizational change. The author’s framework is on a par in significance with well-established management models such as total quality management (TQM) and lean production (Lean), and could become the foundation of a management model for innovation.

Part 1 introduces six management principles, compiled from research on the subject, that the author deems essential for a company to engage in continuous innovation:

(1) Dynamic capabilities to “integrate, develop, and reconfigure internal and external competencies”;

(2) a continuously changing organization to proactively initiate change as needed;

(3) a people-centric approach;

(4) an ambidextrous organization balancing production needs with innovation demands;

(5) an open organization that networks with its surroundings; and

(6) a systems approach to work, making decisions based on a holistic and not a linear view of the system.

Part 2 is an analysis of Google, with respect to the six management principles. The analysis is based on 30 one- to one-and-a-half-hour interviews conducted during one year of exploring Google’s innovative capabilities. The author describes the history, policies, beliefs, and mantras that made Google what it is, for example, the 70-20-10 rule that allows employees to spend 70 percent of their time on core business and tasks, 20 percent on tangentially related research, and 10 percent on the unrelated exploration of ideas. “The rule of seven” suggests seven direct reports for each manager. The author paints a picture of an organization embracing fully the six management principles described in Part 1--and thriving because of it.

Part 3 expands and extrapolates insights from Parts 1 and 2. While Google and other startups that create new industries may be in an enviable position to create their own rules and realities, how can the same principles be applied to entrenched industries such as insurance, healthcare, or even government?

The author proposes ten practices and five stages accompanying a possible organizational change. The ten practices derived from the Google research include strong and visionary management, fostering flexible and driven employees, and a clearly defined company culture that embraces continuous change, dynamic management, and paying attention to both production and innovation without sacrificing the priorities of either. The process of change management of the entire organization to achieve innovation is summarized by the following stages: “Is this management concept desirable? Is the concept right for the company? If so, we undertake small-scale trials.” The last two steps include a larger trial and, finally, a full-scale approach to innovation that is expounded on in this book; two case studies illustrate this approach.

What truly stands out in this book is the precise and readable diction, certainly a result of the precise organization of the content by the author in conjunction with an excellent translation by Larry Abramson. The practicality of the discussed principles and approaches makes it a handbook for management change, and serves the reader well in actually doing something about innovation. It is especially suitable for the intended audience: policymakers, managers, union representatives, and public officials. This 120-page book is a page-turner, and thus the lack of an index is hardly noticeable. The book can be succinctly summarized by Baltasar Gracián’s aphorism: “Good things, when short, are twice as good” [1].