Recognize that investments in digital strategy innovations, while necessary for the future of your business, are high risk and have a large amount of uncertainty.
	Structure innovation projects as "options," focusing on those with an upside that warrants the high risk, and manage the overall set of investments as a portfolio, rather than as discrete projects.
	British Post Office (pp. 155-156), created a venture capital fund in 1997 to enable managers to undertake experiments in technology. Successful proposals are required to: deal with technology that is new to the Post Office, introduce a creative application or new service, or involve substantial risk. In its first six months of operation, the fund, which awards grants of $4.5 million per year, received more than 30 proposals from the organization. The first project to be approved is a pilot for improved vehicle navigation systems for postal vehicles, and will include collision avoidance technology, experiments with global positioning satellites, and traffic congestion reporting.
	Lotus Development Corporation (pp.156-158) established a new corporation to develop Lotus Notes, a software product that allows organizations to create collaborative work spaces over local and wide area networks. Lotus committed continued funding based on periodic reviews, giving itself the right to withdraw and, in that case, the Notes management team the right to spin off. After five years of development, Lotus took Notes to market, and it became Lotus' principal source of revenue between 1990-94, just as Lotus' former killer app, the 1-2-3 spreadsheet, was declining. IBM purchased Lotus for $3.3 billion in 1994, largely based on its valuation of Notes.