There is simply too much uncertainty associated with true innovation to allow for normal budget processes. Venture capitalists don't make just one bet on electronic commerce or biotechnology. They build a portfolio, on the understanding that, while most won't pay off, the winners will more than cover the minimal losses on the failures. In World War II, even the world's sleepiest organization, the sprawling bureaucracy in Washington, managed astounding feats of creativity. In the process, Washington overcame the enormous advantages that the Germans and Japanese held at the beginning of the war.
Big organizations can innovate.
It's just hard. Mason is director of the Bell-Mason Group. Rohner is a partner with Diamond Technology Partners.