The Leader's Guide to Lateral Thinking Skills summary

In the 1970s, the Swiss watch industry was on the verge of extinction. Japanese companies were mass-producing watches that were both cheap and of good quality. How could the Swiss compete?

A businessman named Nicolas Hayek came up with a plan – a brand-new company, created by a merger of two of the largest watch manufacturers in Switzerland. This new company, Swatch, had a fresh approach to design, creating watches that were not only high-tech, but also fun, fashionable, and affordable. Five years later, Swatch had become the biggest watchmaker in the world.

The story of Swatch illustrates what can happen when organizations are truly innovative. According to expert Paul Sloane, this is the key to success. 

In today’s global economy, the best way to get ahead of your competitors is to innovate, creating temporary monopolies. You need to harness the power of your greatest asset – your team – and come up with creative, innovative ideas.

Innovation means bringing something new into existence. Often, this can be achieved through lateral thinking – approaching challenges from different directions, in order to come up with radically new and exciting solutions. 

For instance, until the early twentieth century, customers in shops were always served by an assistant. Then, in the 1920s, a man named Michael Cullen asked some questions: “What would happen if we did things differently? What if customers helped themselves?” And thus, the first modern supermarket was born. 

Cullen’s questions are a good example of lateral thinking – thinking about things differently, and coming up with an entirely new idea.

Now, if you’re a leader, you’re probably wondering how you can inspire your team to come up with similar ideas. We’ll soon look at a few techniques to try. But first off, here’s something to keep in mind: Because you are a leader, it all starts with you.

According to Sloane, there are different kinds of leaders. Conventional leaders tend to be goal-oriented, focused on results and efficiency. Lateral leaders are also focused on goals, but they have a different approach to getting there. They’re more interested in creativity and innovation, inspiring their teams to find new and improved ways of doing things.

While there’s something to be said for the conventional approach, the most successful leaders today also have lateral leadership skills. They know how to get the best out of their teams.

So let’s find out how you can start doing things differently.