Jugaad Innovation: Think Frugal, Be Flexible, Generate Breakthrough Growth

Jugaad Hindi word meaning an innovative fix; an improvised solution born from ingenuity and cleverness; resourceful. Also known as zizhu chuangxin in China, gambiarra in Brazil, D–I–Y in the United States, jua kali in Africa, and système D in France. Praise for Jugaad Innovation " Jugaad Innovation goes farther than conventional business books that chart consumer growth in Brazil, Russia, India, and China. It explains how emerging economies are pioneering the art of ′frugal engineering,′ then provides practical tips on how Western companies—from tech startups to multinational industrial corporations—can likewise do more with less. A provocative and entertaining read for 21st century business leaders." — Carlos Ghosn , CEO, Renault–Nissan "The authors have it right: highly structured innovation processes can′t deliver all the breakthroughs required by today′s ′speed of business.′ What′s called for are new practices that work with—not against—the forces that drive our hypercompetitive world. Jugaad Innovation lays out the new principles that you—and every forward–thinking leader in your company—need right now." — Charlene Li , founder, Altimeter Group; bestselling author, Open Leadership "Businesses must move away from the top–down organizational hierarchies that have defined the past and transform themselves into social enterprises built on bottom–up, agile models based on collaboration. Jugaad Innovation shows how you can enable your entire ecosystem—employees, customers, and partners—to make significant contributions and drive hypergrowth. An important book for anyone who wants to compete in the future." — Marc Benioff , chairman and CEO, salesforce.com; bestselling author, Behind the Cloud "CEOs tend to manage innovation like an orchestra conductor—with a traditional, hierarchical, and prescriptive approach. Jugaad Innovation shows how to innovate like a jazz band—with improvisation, creativity, and agility. Both styles are necessary on today′s global stage." — Doreen Lorenzo , president, frog

Foreword ix by Kevin Roberts CEO Worldwide, Saatchi & Saatchi 1 Jugaad: A Breakthrough Growth Strategy 1 2 Principle One: Seek Opportunity in Adversity 29 3 Principle Two: Do More with Less 57 4 Principle Three: Think and Act Flexibly 85 5 Principle Four: Keep It Simple 109 6 Principle Five: Include the Margin 131 7 Principle Six: Follow Your Heart 159 8 Integrating Jugaad into Your Organization 181 9 Building Jugaad Nations 201 Notes 229 Acknowledgments 259 About the Authors 261 Index 265

Navi Radjou is an independent innovation and leadership consultant based in Palo Alto, California, and a fellow at Judge Business School, University of Cambridge. Jaideep Prabhu is Jawaharlal Nehru professor of Indian business and enterprise and director of the Centre for India & Global Business at Judge Business School, University of Cambridge. Simone Ahuja is the founder of Blood Orange, a marketing and strategy consultancy with content production capabilities headquartered in Minneapolis and Mumbai.

“Jugaad Innovation goes farther than conventional business books that chart consumer growth in Brazil, Russia, India, and China. It explains how emerging economies are pioneering the art of ‘frugal engineering,’ then provides practical tips on how Western companies—from tech startups to multinational industrial corporations—can likewise do more with less. A provocative and entertaining read for 21st century business leaders.” —Carlos Ghosn, CEO, Renault–Nissan “The authors have it right: highly structured innovation processes can′t deliver all the breakthroughs required by today′s ‘speed of business.’ What′s called for are new practices that work with —not against—the forces that drive our hypercompetitive world. Jugaad Innovation lays out the new principles that you—and every forward–thinking leader in your company—need right now.” —Charlene Li, founder, Altimeter Group; bestselling author, Open Leadership “Businesses must move away from the top–down organizational hierarchies that have defined the past and transform themselves into social enterprises built on bottom–up, agile models based on collaboration. Jugaad Innovation shows how you can enable your entire ecosystem—employees, customers, and partners—to make significant contributions and drive hypergrowth. An important book for anyone who wants to compete in the future.” —Marc Benioff, chairman and CEO, salesforce.com; bestselling author, Behind the Cloud “CEOs tend to manage innovation like an orchestra conductor—with a traditional, hierarchical, and prescriptive approach. Jugaad Innovation shows how to innovate like a jazz band—with improvisation, creativity, and agility. Both styles are necessary on today′s global stage.” —Doreen Lorenzo, president, frog “We are entering an age when humanity′s grand challenges are being solved by a new generation of ‘do–it–yourself’ innovators employing jugaad–style thinking. Today the entrepreneurial spirit of your very own employees, customers, and partners—empowered by new technologies—can literally change the world. X PRIZE has proven the value of jugaad by leveraging this bottom–up approach of ‘better, faster, cheaper’ to the point of sending a man into space for a fraction of what NASA spends. This compelling new book, Jugaad Innovation, articulates how you can start to accomplish amazing things on a shoestring. It is a vital read.” —Peter H. Diamandis, founder and chairman, X PRIZE Foundation “Jugaad Innovation throws cold water in the faces of CEOs, reminding them of the immense power of grassroots, do–it–yourself, cheap, quick, simple  innovation. This is one of the most important lessons that emerging markets are teaching the West.” —George F. Colony, CEO, Forrester Research “I′ve long argued that the role of business is to make the world a better place. In the new economy, this requires true innovation—bold ideas, gutsy people, and extraordinary actions. Need a new roadmap? Fresh inspiration? Accessible tools? It′s all in this remarkable book, Jugaad Innovation. Get a copy for yourself and every member of your team today.” —Kevin Roberts, CEO worldwide, Saatchi & Saatchi; bestselling author, LoveMarks