Do Questions Lead to Innovation?

Google's CEO, Eric Schmidt, talks about Google's plans and their partners in an interesting interview from Time. He also explains that people at Google put a lot of questions, some of them leading to ideas and new products.

We run the company by questions, not by answers. So in the strategy process we've so far formulated 30 questions that we have to answer. I'll give you an example: we have a lot of cash. What should we do with the cash? Another example of a question that we are debating right now is: we have this amazing product called AdSense for content, where we're monetizing the Web. If you're a publisher we run our ads against your content. It's phenomenal. How do we make that product produce better content, not just lots of content? An interesting question. How we do make sure that in the area of video, that high-quality video is also monetized? What are the next big breakthroughs in search? And the competitive questions: What do we do about the various products Microsoft is allegedly offering? You ask it as a question, rather than a pithy answer, and that stimulates conversation. Out of the conversation comes innovation. Innovation is not something that I just wake up one day and say 'I want to innovate.' I think you get a better innovative culture if you ask it as a question.