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 When setting the tone and galvanizing the organization to be ready for innovation efforts, remember that relationships matter and are a key to success. Consider the shadow you cast. Be a leader that sets the right tone at the top—a tone that stresses the importance of balance both in risk and rewards.

 Employees frequently perceive finance and accounting executives as focusing only on “cost reduction.” Make sure that it is clear what happens with cost savings. Also ensure that not all business challenges or other innovation initiatives are centered on cost reduction. Cost reduction is good, but costs and efficiencies are only one focus area.

 Don’t take on a cultural challenge all by yourself! If you need to implement some change or provide clarity on cultural norms and expectations, you may need to do this work first in order that subsequent innovation value can be achieved. Implementing world class tools and mechanisms in an environment that isn’t ready, supportive, or tolerant of them will only lead to failure. Be sure you have galvanized appropriately!

 While we always want the CEO to show support for any new effort or project, I believe it is a must-have with regard to innovation— especially if your company has a hard driving, performance-oriented culture. Failure typically is not accepted, and people know that. The CEO needs to stand up and say, “We still value being a high-performance company, and in doing so, we need to be better at taking calculated risks. We want to support innovation efforts, and we realize that will sometimes lead to failure. It’s okay to fail— just fail fast and learn from it. We will be better off in the long run and create more value.” Steve Jobs said, “Sometimes when you innovate, you make mistakes. It is best to admit them quickly and get on with improving your other innovations.” Imagine your CEO making a statement similar to this to the troops. It’s permission to try and fail, yet a reminder to be thoughtful and careful. Whatever the specific message, the tone comes from the top. Set the tone!