There are few products less sexy that a thermostat. It is a boring, utilitarian commodity, right? The world agreed for over 100 years…until the lead designer of the iPod decided to shake things up.

Tony Fadell took a completely fresh approach and challenged conventional wisdom. Rather than starting with the existing competitive set, he shattered industry norms from design to function. The result? The incredible new device known as the Nest Learning Thermostat.

Besides its distinctive look, this baby ain’t your father’s thermostat. The artificial intelligence “learns” your habits. It has sensors to know when you are away so it doesn’t heat or cool an empty house. It’s connected to the web and evaluates external weather conditions to determine how to best respond inside. You can even control it from a smartphone app on the go.

All this whiz-bang technology does more than fuel your inner geek. The Nest saves its owners an average of 20% off their utility bills and helps reduce our reliance on foreign oil. All the while, it saves the environment by reducing emissions. Cool, huh?

It gets better. From a business perspective, the Nest sells for $250 each, and is completely sold-out. Compare that to the widely available and incredibly boring Honeywell programmable thermostat that sells for $22. That’s right… the sold-out Nest sells for ten times the price of the find-anywhere industry standard.

Once again, innovation carries the day. Even in a commodity business that appeared to offer no room for breakthrough thinking, creative fire has charred competitors into dust overnight.

As author Gary Hamel famously said, “Somewhere there’s an entrepreneur forging a bullet with your company’s name on it. Your only option is to shoot first. You must out-innovate the innovators.” Even if you are enjoying success, the disruptive forces of change can deliver a knockout blow at a moment’s notice. To win today, you need to embody creativity and innovation. There’s just no room for complacency.

Take a good look in the mirror and examine your own business. Are your products and services me-too commodities, or are they truly differentiated? Is there an opportunity to inject new thinking in either form or function to set the new standard?

Imagine there’s a Nest equivalent in your own industry – some upstart that’s just about to shatter the mold and reinvent the business. Now imagine that you are that disruptor. What would you do differently? How would you take on the sleeping giants? How could you apply creativity to your product, process, or communication to rock the very foundation of your field?

In today’s competitive environment, staying the course is the kiss of death. Nest disrupted thermostats; what will you choose to do in your industry? It’s time to sprint toward the future instead of clinging to the past. It’s time to imagine what’s possible, instead of just what is. It’s time to turn up the heat.

Oh wait… my Nest just did that for me.

Jazz musicians are a curious breed. They study for years to master the rules, only to break them as quickly as possible. They approach their craft with intensity and purpose, but then can let it go and just groove when the feeling is right. I’ve known musicians that are bold and expressive on the bandstand, yet shy and tempered in conversation. Let’s get inside the mind of a jazz musician to see how they really think, and how we can apply those lessons to the business world.

Prodigy jazz saxophonist Jeff Ponders looks at creativity as two-fold: first, creating something fresh and new. Secondly, adapting to a given situation – to take what you’re given and make it better. In his stunning performances, Jeff uses the concept of contour to connect with his audience. He intermixes blazing fast and complex lines with soft and sensitive passages. He uses the element of surprise to keep his audiences at the edge of their seats.

Each time he performs, Jeff seeks to be different. He seeks to break the mold and put his previous performances to shame. Rather than clutching to a past solo, he forges ahead. He focuses on inventing something new.

The culture of jazz groups is one that encourages risk taking and shuns sameness. As a result, jazz groups are fertile ground for creativity. They are set up in way that enables it. When you think of a jazz combo you realize, in fact, that their purpose is to be creative. Oddly, most businesses don’t connect their purpose and creativity. They have mission statements in the lobby filled with buzzwords while completely missing the point of their existence.

Companies that win in the future will function more like jazz bands. They will constantly reinvent their work and seek fresh, new approaches. They will reward risk-taking and originality, which will be the currency for success. And while the concept of leaders will still exist, they will become more flat and ensure that everyone has a voice. Jazz groups demand it, and the business world has begun to.

Jazz musician and PhD Michael Gold links jazz music with business performance. He agrees that what makes jazz groups successful translates to business. He uses the concept of: APRIL to bridge this gap:

Autonomy – How team members are in control of their own performance, experience, and results.
Passion – Being driven by something bigger than just the task at hand
Risk – An environment that celebrates risk and failure
Innovation – Where new ideas are rewarded
Listening – Raising awareness and connecting to the environment

How does your organization stake up against the APRIL principles? Do you encourage autonomy or seek control? Is passion a buzzword, or do you demonstrate and reward it? Is risk a four-letter word? Who owns innovation, those at the top or is forging new ground an assignment for everyone? How do you communicate with your colleagues, supplies, and customers?

In business (and life), you are constantly faced with challenges that seem insurmountable. Your inner voice says “it can’t be done”, and your may give up before even trying. The thing is – obstacles often have a creative solution if you take the time and effort to approach them in an unconventional way.

When a town near St. Louis passed an ordinance that prohibited nudity except for “artistic purposes”, most of the local strip joints closed up shop. One owner, however, decided to thread the needle and get creative. Rather than a cover charge, all patrons were required to buy a sketch pad and a set of colored pencils upon entry. They were encouraged to use these tools for “artistic expression” throughout their time at the venue. With a few other modifications to the club format, the establishment remained open and prospered while others shut their doors.

The Cigar Bar and Grill in San Francisco faced a similar challenge when indoor smoking was banned in California. Rather than quitting, the owners decided to thread the needle. The new law made an exception for places that were 100% owner-operated (which was probably designed for private clubs and people’s homes). The owners of the Cigar Bar got creative and found an elegant solution. They issued each employee a tiny amount of restricted stock ownership in the bar. The stock had no voting rights, no distribution rights, and was fully redeemable if the employee left. While their ownership had no impact on the business, the fact that these employees were now “owners” allowed the place to stay in business and thrive.

The concept of threading the needle goes way beyond purveying vices through governmental loopholes. When Israeli tanks were under harsh attack in the Yom Kippur War of 1973, a field commander realized that the enemy had long-range tank-killing missiles that were guided visually with a joystick from over one mile away. Rather than lose his tanks and his men, the Israeli commander ordered his tanks to drive around in a crazy pattern all over the battlefield. The exercise kicked up a tremendous amount of dust from the desert sand, thereby creating a screen and making it impossible for the enemy to hit his tanks.

In our turbulent world, It’s more likely than not that you are facing some big challenges yourself that may seem insurmountable. Rather than throwing in the towel, take the time to explore less-obvious, non-traditional solutions. Often the craziest ideas are the ones that save the day.

This week, try to expand your thinking and push yourself to find unorthodox solutions to your most pressing challenges. Try the never-been-done-before. Go out on a limb. Stretch your imagination. Thread the needle.

Five Ways to Boost Your Creativity

Are you looking for a quick creativity boost? A shot of creative adrenaline? These simple techniques will have you bubbling over with ideas in no time: http://bit.ly/bZDUy0

How to Create a “Hunch Friendly” Environment

How do you get the most out of your employees? How do you ensure that they’re always offering new ideas and helping you stay ahead of the competition? By recognizing and rewarding their efforts – it’s that simple, and that complicated. http://bit.ly/aiB4Nb

10 Ways to Come up with a Great Idea

Great ideas don’t just spring up unbidden. At least, not very often. They need to be encouraged. Here’s how you do exactly that – 10 straightforward ways to make sure your next idea is a great one. http://bit.ly/dvUvmG

Leadership Lessons from a Creative Genius – Jazz Legend Wynton Marsalis

Wynton Marsalis has been recognized as a great musician for a long time. But a great leader? That’s something new. And yet the same principles that give him ‘swing’ help him lead people effectively. Understand how great music and leadership go together: http://tinyurl.com/d4snp8

Detroit, Michigan is in trouble. What was once a vibrant city is now overrun with crime, unemployment, and despair. In its hay-day, it was one of the top five cities in the U.S., and had over two million residents. Today, the landscape is marked by abandoned buildings, burned down houses, and vacant factories. The population is now well under 900,000, leaving a city that is too big for its residents to support.

Revitalizing a city like Detroit that has suffered decades of decay is an enormous effort. One key to improvement for other urban centers has been increasing population density. A more dense population is easier to police, protect, and beautify. It also creates a stronger sense of community, makes it easier to educate kids, helps focus limited city resources, and increases the tax base. But how can this be accomplished with a footprint that spans 138 square miles?

One brilliant idea has been proposed: Urban Farming. The concept is to relocate residents into a much more densely populated area, and then raze the abandoned streets in order to turn the land into urban farming. This unorthodox approach has many benefits:

a) Increases density, which brings the benefits listed above
b) Provides jobs and increases the tax base
c) Residents can now consume locally-produced good, saving transportation costs and keeping revenue in the region
d) Reduces the cost of city services such as police, fire, schools, and sanitation (it is MUCH less expensive to support farms than residential neighborhoods)
e) Beautifies the area
f) Supports future expansion (you can always re-build on the land)

I’d imagine that the average city council brainstorm session in America on how to reduce crime, increase taxes, and reduce blight doesn’t often include the concept of urban farming. Yet it is a fantastic idea. It is a non-traditional approach that breaks the mold, and dares to be different. The power of creativity in real-time.

Think about the various problems that you are trying to solve in your own business. Are you proposing obvious, unimaginative solutions (more police presence, beg for Federal aid) or are you letting your imagination soar (urban farming!)? List out the obvious solutions for your next big challenge, and then see if you can push yourself and your team to come up with your own equivalent of urban farming. Something different. And remarkable. And truly innovative. Something that forges new ground, and utilizes your resources in a fresh, imaginative way.

Detroit is a city with a soul. It has a rich history of entrepreneurship and innovation. Even though the city has taken a beating in recent years, creative ideas like urban farming can help rejuvenate the region, creating jobs, prosperity, and hope. Many companies and people have faced similar challenges over the last few years, and like Detroit, must rally behind creativity and innovation in order to rebound. This week, face your toughest challenges head on… and look to solve them with your own breakthrough ideas. Your own version of urban farming.

We’ve all heard people in the business world proclaim that they are “heads down” on a project. Or that they are unable to explore new opportunities since they are “heads down in execution mode.”

Consider, for a moment, the advantages of being “heads up” instead. Let’s compare the two states of being:

Heads Down
Focused on delivery
Tuning out distractions
Avoiding influence from your surroundings
Execution
Getting things done
Right now
What is
Deadlines

Heads Up
Focused on possibilities
Embracing new things
Welcoming outside influence
Curiosity and awareness
Questioning everything
The future
What could be
Imagination

There is a time and place for both approaches. When you are working to ship a new product out the door, you better hope your team is in full “heads down” mode. The problem is that so much of the business world is in the heads-down state of mind, that it becomes difficult for us to shift to heads-up position. It is even more difficult trying to bounce back and forth between the two.

The urgency of heads-down demands usually trump the longer-term importance of being heads-up, so many people rarely visit this vantage point. As you work to expand your creative capacity, make sure to proactively schedule some heads-up time for your team, and hold each other accountable not only for grammatical errors on a memo but, more importantly, for being heads-up and unleashing your imagination and creativity.

We all like agreement. It feels nice when a group of people are all aligned and everyone has the chance to contribute. It is a warm, hugging, campfire-song kind of feeling. It can also kill your creative potency.

Imagine you and your team were working to develop a new flavor of ice cream. One person says, “How about pink grapefruit flavor?” The next person adds, “You know what would really make that special, a slight taste of basil added to it.”

Now if you stopped right there, you could have something fantastic. This could be an interesting, different, remarkable flavor. Some people may love it, some may hate it, but it would be unique and compelling and new. Unfortunately, business brainstorm sessions rarely stop there.

“I love milk chocolate,” another colleague chimes in. “Let’s add peanuts too”, says another. “We need Pop Rocks in there. I had it once at a specialty shop and it was super fun,” says Fred from Marketing. “We definitely need chunks of fudge”, Pam from Operations adds.

As you go around the table, everyone adds their own thoughts and opinions. This is great, and the more ideas the better. The problem, however, comes when it’s time to distill the ideas down into a final product. Too often, weak leaders take every idea and mush them together in an effort to pacify the team and create “buy-in”. As a result, what started as a powerful idea can end up watered down dramatically (or in this case, junked up).

GroupThink can also crush ideas in reverse. Ben & Jerry could have been easily convinced by their team that each new flavor was too radical, or that one ingredient or another creates too much risk. Or that some focus group or previous experience or spreadsheet indicates that the idea should be softened. How many times at your company have you seen a great idea (the business equivalent of Cherry Garcia) get over-analyzed and end up as pure vanilla?

Consensus-building can dilute the potency of an idea, and drag what should be something remarkable into yet another me-too plan. Trying to please everyone can be a dangerous trap, draining the poignancy out of your best ideas.

Instead of watered down, GroupThink, bland-idea soup, let your imagination soar and dare to be bold. Why launch a new product, service, process, or idea in the first place unless it is a powerful and original effort? This week, try letting everyone’s ideas come out freely but then make sure that what you launch is something that can generate a “wow”. Powerful. Special. Unique. Bold. Daring. Remarkable. Different.

P.S. Visit Jeni’s Ice Cream – www.jenisicecreams.com – This savvy entrepreneur offers amazing flavors such as Thai Chili, Wildberry Lavender, Creamery Goat Cheese with Cognac Figs and Queen City Cayenne. No watered-down sameness here. Just brilliant creativity… and a booming business to show for it!