Intelligent Innovation: Four Steps to Achieving a Competitive Edge

"The key is not to prioritize what's on your schedule, but to schedule your priorities."
Stephen R. Covey , best-selling author and organizational consultant
The following method is a simple way to assess, manage, and optimize your mix of rocks and pebbles. I have found it can be done almost subconsciously as effectively as it can be done in a written formal format. The advantage of doing it in writing is, of course, the communication aspect. It is analogous to the ECU in the turbine engine. In the ECU, fuel mixture, air pressure, turbine speed, and temperature are all balanced for optimal performance.
Rocks are major goals, not major projects. This is a difficult distinction, and many organizations cannot get past this at first. That is OK just list what you can in your organization's vernacular, understanding it is an iterative process, and if you do it quarterly or yearly, it will evolve for the better.
Why goals or capabilities instead of projects? Because this lifts the thinking and planning up to a higher level, where corporate resources can be more effectively managed. For example, let's look at a firm that develops three-dimensional holographic displays. In this hypothetical example based on a real firm, let's say the firm has two major projects underway: a new larger display that will help it capture the disaster planning market (looking at hurricanes and tidal waves approaching land in a computer simulation) and a new (very profitable) consulting project...