Marshmallow Tower Game

Jay RaoProfessorBabson

Game Rules

• Build the Tallest Freestanding Structure:– Tallest structure measured from the table top surface to the top of the marshmallow. – Structure cannot be suspended from a higher structure, like a chair, ceiling or

chandelier.– Do not search the internet for answers.

• The Entire Marshmallow Must be on Top:– Cutting or eating part of the marshmallow disqualifies the team. 

• Use as Much or as Little of the Kit – Spaghetti sticks, String and Tape: – The team cannot use the paper bag or scissors as part of their structure.

• Break up the Spaghetti, String or Tape: – Teams are free to break the spaghetti, cut up the tape and string to create new

structures.

• The Challenge Lasts 18 minutes: – Teams cannot hold on to the structure when the time runs out. – Those touching or supporting the structure at the end of the exercise will be

disqualified.

Game Summary

Source: Tom Wujec, Autodesk

Source: Tom Wujec, Autodesk

Source: Tom Wujec, Autodesk

Source: Tom Wujec, Autodesk

Source: Tom Wujec, Autodesk

Source: Tom Wujec, Autodesk

Who consistently performs poorly?

Source: Tom Wujec, Autodesk

Who consistently performs well?

Source: Tom Wujec, Autodesk

Why?

Source: Tom Wujec, Autodesk

Source: Tom Wujec, Autodesk

Source: Tom Wujec, Autodesk

Source: Tom Wujec, Autodesk

Source: Tom Wujec, Autodesk

Marshmallow Game Lessons

• Understanding known and unknown variables• Rapid Prototyping uncovers hidden variables

and their relationships– Fail Fast, Fail Cheap, Learn Quick, Refine and

Repeat• Diverse skills matter• Specialized skills + Facilitation skills matters• Incentives magnify outcomes

– Big Bang vs. Start Small• Incentives without skills are useless

Source: Tom Wujec, Autodesk

Empirical findings about Innovations

75% of all new products launched by established firms fail to make profit. Most are yanked/killed without shaping & developing them

More than 90% of allInnovations that weresuccessful started off inthe wrong direction

Given more money & time,firms are known to pursuethe wrong strategies for alonger period of time.

Most new innovations are started with access to no credit in good times and in bad

Most of the great businesses today started without a lot of VC funding or any bank lending until 5-6 years after they were up and running

Sources: Innosight; Amar Bhide; Barton

2008 McKinsey Study Highlights

Unanimous agreement (94%) that people and corporate culture are the most important drivers of innovation

Overall dissatisfaction with dismal outcomes

ofInnovation programs

CEOs and Executives are frustrated with their

efforts to jumpstart Innovation initiatives

Mimicking and Benchmarking bestpractices have been

ineffective

Resources and Processes that are applied are either

underutilized or not achieving scale to have a financial impact

Source: Leadership and Innovation, The McKinsey Quarterly, 2008 no. 1

Leading into the Future: Managing Innovation Projects

Analytical and Emergent Strategies

(Prediction and Creation Logic)

20

“The Future ain’t what it used to be.”

“It is tough to make predictions, especially about the future.”

Yogi Berra

Environmental Conditions

• Steady and Stable

• Slowly changing, Predictable, Trends are Evident

• Increasing Rate of Change with Some Predictability, Foreseen Trends May Appear

• Rapid Change, Little Predictability, Many Surprises

• Chaotic & Unpredictable

Normal

Complicated

Complex

23

Risk

Uncertainty

Ambiguity

Nature of Innovation Projects

UnknownUnknowns

UnknownUnknowns

KnownKnowns

Outcome

Process

KnownKnowns

Ambiguity

Uncertainty

Risk

KnownUnknowns

KnownUnknowns

If you don't know where you are going, you might wind up someplace

else.

Yogi Berra

J. P. Guilford(Convergent & Divergent Thinking)

Selecting the most suitable bomber pilot candidates during

WW II

How do you “sail” from Barcelona to Mallorca?

27

Practice: How do you “sail” from Barcelona to

Barbados?

Environmental Conditions & Strategy

• Steady and Stable

• Slowly changing, Predictable, Trends are Evident

• Increasing Rate of Change with Some Predictability, Foreseen Trends May Appear

• Rapid Change, Little Predictability, Many Surprises

• Chaotic & Unpredictable

Normal

Complicated

Complex

29

Risk

Uncertainty

Ambiguity

Emergent Strategy

Think Different

Think Big

Start Small

Start Several

Prototype Rapidly

Proof of Concept = Voice of Customer + Voice of Tech.

Fail Fast, Fail Cheap, Learn Quick

Pour Resources only after Proof of Concept

Celebrate Success & Celebrate Failure30

Leading into the Future

• Steady and Stable

• Slowly changing, Predictable, Trends are Evident

• Increasing Rate of Change with Some Predictability, Foreseen Trends May Appear

• Rapid Change, Little Predictability, Many Surprises

• Chaotic & Unpredictable31

Analytical StrategyEnvironmental Scanning

Predictive ModelsSet Strategy

Project PlanningBudget & KPIsExecution Plan

Emergent StrategyThink Big

Start SmallStart Several

Prototype RapidlyFail Fast, Fail Cheap, Learn

QuickPour Resources after POC

Creation Logic

Prediction Logic

How to create a firm that is good at Emergent Strategy &

Creative Logic? • Learning by Doing

– Action vs. Analysis• Take action to produce data and uncover variables• Generate data vs. Using existing data

– Grounded in reality vs. Speculation– Entrepreneurial Thought and Action

• Value Diversity and Inclusion– Several functions and across layers

• Learn to Improvise– Fluid and flexible processes

• Portfolio of Projects (Risky, Uncertain & Ambiguous)