WHAT IS DISRUPTION?
Not all innovations are disruptive, even if they are revolutionary.This class will define what disruption looks like in its various forms and will explore and learn common disruption strategies of the past and how they have infuenced future innovations. The pressures of maintaining a current market position often inhibit challenging disruptive innovations when they arise. Often the incumbent is happy to see a disruptive innovator enter to take care of unprofitable customers at the lower end. If the incumband does not stand and fight, research has shown that they will eventually lose all of their markets.
Think Nokia, Kodak, and Blockbuster. These companies are all victims of disruption in their markets. When companies face a disrupter, their natural response is to fight fire with fire, often reconfiguring their business models when they should be looking at new ecosystems. There are many paths to take, and we will examine a few in this session.
CHANGING COMPETITIVE ENVIRONMENTS
How can you change the competitive environment you are in? How did Fujifilm successfully transition to a successful health company while Kodak went bankrupt? We will look at the Thomson Corporation in Canada, which sold its newspaper business in the 1990s and invested in information services through a merger with Reuters as they saw the future challenges in the print media – what lessons can be learned?
INNOVATION, OPEN INNOVATION AND DISRUPTION
Existing companies can play to their strengths. For example, consider the strategy of Disney. Instead of competing with the new streaming services, Disney built on its proven strengths in moviemaking, buying Pixar and Marvel (and in 2012, Lucasfilm) and creating a string of blockbuster hits. Amazon and Netflix also recognise the need to produce their content because being a streaming platform for others’ content is not sustainable.
WAR ON THE PLATFORMS – THE WINNING FORMULA
The future strategy of companies must be built around addressing multisided markets. For example, Amazon is the largest e-commerce retailer in the US and the world’s largest provider of cloud computing services. Like Amazon, Apple manufactures its hardware products and has a two-sided consumer and supplier platform. Both companies try to manage the end-to-end experience for customers, yet no one does it quite like Apple. By building a cross-device and cross-service experience to offer a more unified experience to both users and developers, Apple has developed a ‘lock-in’ to the ecosystem, which provides a substantial competitive advantage. We will discuss Apple, Amazon and Google in this section.
WINNING ECOSYSTEMS – THE CASE OF AMAZON
What does it take to build the ideal ecosystem with a sustained competitive advantage? What are the future trends in the automotive industry? We will look at the possible disruptive innovations and where they are likely to come from as we discuss artificial intelligence and the internet of things to build a picture of the connected car of the future.
BUSINESS MODEL INNOVATIONS
A business model is a document or strategy which outlines how a business or organisation delivers value to its customers. Business model innovation, then, describes how an organisation adjusts its business model. Often, this innovation reflects a fundamental change in how a company delivers value to its customers, whether through the development of new revenue streams or distribution channels. But is this enough? Kodak adjusted its business model when digital cameras became popular. When Kodak realised that digital cameras were themselves disrupted by mobile phones, it was too late! Why did Kodak not embrace the new digital technologies when they had invented the digital camera?
Jugaad is a Hindi word that loosely translates as “the gutsy art of overcoming harsh constraints by improvising an effective solution using limited resources.” Jugaad innovators are modern-day alchemists who transmute adversity into opportunity and, in so doing, create value for their organisations and communities. What makes Jugaad innovators so adept at innovating faster, cheaper, and better? The answer lies in their unique mindset — characterised by two key attributes: adaptability and inclusivity. The Jugaad mindset and its associated principles and practices are increasingly relevant for companies worldwide seeking to grow in an increasingly complex and resource-constrained business environment. Jugaad is a “bottom-up” innovation approach that provides organisations in both emerging and developed economies the key capabilities they need to succeed in a hypercompetitive and fast-moving world: frugality, inclusivity, collaboration, and adaptability.DOWNLOAD BROCHURE
1 HOUR 1 NIGHT PER WEEK
Lectures are run live online one hour per week. They are recorded so you watch them later or if you miss a class. The course lasts for 8 weeks.
There are just postings you have to do on a forum. Each question a question for discussion is posted, you only have to comment.
Our dialogic approach means we want you to study with other, help each other out and network.
This is a subsidised course. The usual price is €800, but discounted price is €195 if booked before 25th Feb.
Next start 1st March 2023.