For industries that depend on innovation, sustaining it is a constant challenge. But Roivant Sciences, a biopharmaceuticals company, bucked the trend by realigning incentives for employees and systematically introducing outside talent and practices. These steps cost almost nothing compared to vast sums often spent — and often wasted — on fostering innovation and have already generated tens of millions of dollars in value. Roivant rewards teams for raising red flags about programs they feel should be halted. And to align everyone around the success of the company, instead specific programs, every employee receives stock options. Research teams are promised new roles if their particular program or subsidiary does not succeed. In addition, the company recruited “rebel” scientists who were open to new ways of working. It also recruited talented non-scientists and charged them with coming up with fresh ideas for making the drug-development process more efficient.

Read the Full Article on HBR.org