Flaky?

You wouldn’t do business with artists because they are too flaky, they do what they want to do, turn up when they want to and are not interested in making money, or worse they are hostile to making money. But it is not just artists; I get to hear the same thing about scientists. That’s interesting to me because I work with both on a daily basis and the thing that makes artists and scientists similar is their open ended, creative curiosity. A science paper is just a sign post of a much more complex exploration, the paper may give great insight, but the scientist continues to explore. The same is true of the artist’s exhibition. An exhibition is not a full stop, but a consolidation of thought and experience, readying them for much deeper exploration. So you wouldn’t do business with an artist or scientist because they exhibit unbound creative curiosity and business is up against it working on innovation, or application of ideas, let along spending time and money on mere speculation. Or it could be the best thing you ever did.

In 2010 the Australian Network for Art and Technology (ANAT) undertook a survey with ECIC at Adelaide University to answer the question, amongst others, are artists interested in commercialising IP embedded in their art work? 94% of respondents said yes they were. But wait we all know artist aren’t interested in commercial outcomes, they are flaky, not business like, well the emerging evidence is that is just not true. It turns out that artists are very interested in commercial activity, but they are not so interested in becoming business people. Unsurprisingly artists value their output, and they are happy when others put an economic value on it and even happier if they can make a living from just doing their art, but we desperately cling to the myth of the lone suffering artist, a dreamer destined to follow their exploration on the outskirts of society. What business doesn’t know (and I must also sadly say the arts) is that the myth of the lone artists is just that, a myth. What was also found in the research is that artists work in teams. They require skills from technology support, to accounts, legal as well as other creative skills to make their work possible. The closest type of model for the artistic team is the entrepreneurial team embedded in a broader value network. I would also argue that scientists have the same type of relationship with the commercial, but the greater structural constraints around pure research make this harder to recognise.

So artist and scientist are interested in commercial activity, but from a business perspective all they do is create what they want, scientists want to undertake pointless pure research and artists want to waste time creating work you don’t understand or like. So what is the value of changing a business to include this way of working? If you are trying to create a product in business you know that problems are good. By solving problems for your customers you create value and value means you can charge money for solving that problem. What pure researches and artist do is find problems, but not problems your customers know about, they find problems that are just dawning on the periphery of comprehension. They are long term, strategic problem finders. But business needs to show a profit now, well yes and no. Business needs to make money now, but the product life cycle is changing and becoming more disruptive. Think about what you were doing with your ipad 2 years ago, oh that’s right they didn’t exist. The most innovative businesses are realising that you need to solve the problems that their customers are going to have and their customers can’t tell them what these are.

This may seem too expensive a path for the small businesses that dominate Australia, so I will let the arts demonstrate some true business leadership. Adelaide business rezon8 produce technology based art work, but this creative cultural activity is the R&D process for pure commercial applications in another part of the business. This is a small business investing in speculative research through art. They continually need to resolve some unique technical issues that their artwork throws up, the solutions, when applied in a different market, have created a whole new tech business.

The beauty of creativity is that people do it whether you want them to or not, you don’t have to incentivise it, creative people happily push the boundaries, finding as yet unforseen problems and no one has to manage them, or give them a goal or a target. Australians punch above their weight in creativity and yet we seem to ignore this huge resource. Looking closer to home we can point to South Australia’s world changing creative input through the disproportionate number of Noble Laureates we produce in science, we in South Australia have traditionally been doing something right, all things point to a hot bed of intellect and creativity.

So how can business work with scientific creativity? Think of the multibillion dollar business that wifi has created. The CSIRO created that and the reason they could is because they invested in black hole research. CSIRO researchers came up against a problem and they developed the Fast Fourier Transform Chip to make it easier to study black holes. When a similar problem was found in the wireless connection of computers the solution had already been found. So why didn’t a company like Cisco, who has made large sums of money from wifi, invent the technology, because none of Cisco’s customers had a black hole problem.

If you look at the examples above what you find is that a tool developed in pure research, or the arts, and applied to resolve a like problem for a different market have been smart business moves. The examples given show the way business can work with creativity. It is not making creative people business men and women, it is looking to the tools that these people create to resolve the problems they come up against and, working as a team (collaborating fairly), creating tangible and transactional type value. These are “Ancillary IPs” and if business can work with creativity in this way we will be unlocking a whole new world of value creation that we have barely even touched. So it turns out that flaky is what was creating our long term wealth all along?

Gavin Artz, CEO Australian Network for Art and Technology

5 Responses

  1. Vivienne Holloway

    So perhaps this is the quadrouple bottom line?
    Money
    Social Responsibility
    Environmental Sustainability
    Knowledge?

    I remember as a young woman, at a juxtoposition between pursuing a career in Marketing and one as a singer songwriter.
    It was a justaposition because, as a Marketing person, as you surmise, customers and their wants and desires need to be central to your work, their problem must come first. Start with that premise and you can succeed at (almost) anything.
    I vividly recall sitting there perched on a wall in the sunshine at Adelaide Uni realising that the problem I faced was: With art there are no guarantees, no matter how much you try, you can’t ensure that people will want your work. The art always comes first, it’s pure miracle if it actually resonates with someone, it’s the magic that sells, not the technique. So how do you commercialise that? Risk/Benefit Effort/Outcome. My Commerce trained brained said no, and yes, my heart did break a little.

    But I think you’re right Gavan, without the scientists and the artists pursuing these miracles, our commercial entities won’t be sustainable (or all we’ll end up with is a bunch of cows and no stars (BCG Matrix)). Not all art will have commercialisable outcomes, but without pursuing art, we won’t have the miracles that will.
    The new bottom line (Look out for THAT one in the next months BRW!)

    May 16, 2011 at 11:29 pm

  2. Hi Vivienne,
    I am an optimist, I feel that the creativity in the arts and pure research is where true economic value is generated, the fact that they are hard to reconcile points to a problem in how we think about our economies and, as I said in the article, a problem is good because it means we can improve and create greater value. The logic is, if these are the places where value is created then we should be finding more appropriate ways for these practices to integrate with business, both from the creative and a hard nose business perspective. I don’t think we can afford to have our economy falter in this time of significant structural change, Australia has a great resource in its people and it is time we invested in that – supplying raw materials to the world seems like a poor use of our citizen’s creativity and intelligence.

    Gavin Artz

    May 18, 2011 at 1:34 am

    • Vivienne Holloway

      Hi Gavan,
      Indeed, our “esteemed” treasurer is already
      suggesting that a more sustainable boom
      for Australia will come from exporting
      our IP to “The Giants” China and India who are already demanding our creative services. In fact he was hanging his hat on it.
      Whilst I’m getting an uneasy sense of deja vu vis a vis “Tigers vs Giants” and poor old “Keating vs Swan” and an ensuing decade of 35% youth unemployment in Adelaide, I think he is thinking in the right direction. Australia has always been the home of great creative minds, it should be well placed to profit from the Creative Industries boom, and clever businesses would do well to recognise that early.
      http://www.dailytelegraph.com.au/swan-predicts-golden-age-with-asian-economic-giants/story-fn6b3v4f-1226054388445

      May 19, 2011 at 12:40 am

      • Hi Vivienne

        Yes, there is an understanding that there is value in Australia’s creative out put, but we seem to miss the point of creative industries. Creativity is a value creator; so all businesses need to adapt to ensuring the success of creative processes, not adapting creativity to business processes. This misunderstanding has led to creative businesses being micro, not small to medium businesses that governments seem to want them to be – it’s the only way they can actually maintain creativity. In Adelaide in particular this means we have many micro business that can come together and scale to deliver larger more complex projects. I think there is a lot of merit in this way of working and we should work with them to optimise this approach. Ultimately though, creative people work like this because of a failure of mainstream business to integrate creativity into their way of working – this is just as much as a problem for mainstream business as it is for those whose skills lie in creativity.

        Gavin Artz

        May 20, 2011 at 12:22 am

  3. Pingback: Flaky?

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