Already in full progress although not always visible. 15 years S&P, 4 years CEO, 10 year board member. Difficulty to grow organically Difficulty to grow through operations that capital.
It feeds on a assymetry in the market
We already knows that product kill products but this was not what killed Nokia 1991 ad – 22 years killed 13 products – just in this add.
That was not what killed Nokia – That was the starfish model The app store that made apple win
The apple starfish plus others now a sizable business and growing. Apple has a runrate of 300M iphones – still growing Unicorns want to grow 10% …… a week
Launched August 2015
Facebook messenger search
Apps are also dead – welcome the bots and assistants: Google Caillou, Apple Siri, Msoft, Cortana, Facebook M
Their idea of growth is 10% a week! Unicorns Evernote died Blablacar from france Google Apple Microsoft Amazon
Each of these destroys a market
Cisco predicts that 40% of todays companies will not exist in 2020 Gartner predicts that by 2017, 20% of all market leaders have lost their number 1 position to a company founded after year 2000.
Your competitor is not your most likely disruptor
Airbnb adds the same number of rooms in 2 weeks that marriott does in a year. Uber has 5 times more drivers in SF than the established taxi companies.
1975 Digital camera made by Kodak
Can you even look at yourself To create an innovative environment.
Like all leaders do, Like all humans do, Like all consultants do They create stories that reinforce current behavior
The company will not change because it think it is perfect. This is how companies are. Killer of creativity, innovation,
Strategic innovation slideshare
What is innovation?
Innovation: ( noun ) a new idea, device, or method;
the act or process of introducing new ideas, devices
or methods. Source: Merriam Webster Dictionary
The word “innovation” itself descends from the Latin
words in and novare, meaning ‘to make new.’
What is innovation?
Innovation is a new idea, more effective device or
Innovation can be viewed as the application of better
solutions that meet new requirements, inarticulated
needs, or existing market needs.
This is accomplished through more effective products,
processes, services, technologies, or ideas that are
readily available to markets, governments and society.
The term innovation can be defined as something
original and more effective and, as a consequence, new,
that "breaks into" the market or society.
In what department in your company
does innovation take place?
Focus Improving processes
to optimise delivery of
product/service to a
Improving a market
position by introducing
or business model
The disruption and
destruction of existing
markets to create fertile
soil for new markets
quality, waste, line
downs, yields, ROI
Customer delight, ROI
Share price, Funding,
Department Finance, Quality,
Aim Fulfill existing customer
needs of customers
Create a need for
users they did not even
know they had
Boundary The company/group The Market(s)
What is strategic innovation
Death of the Funnel
Google owns search (Dying)
Apple now support add blockers
Amazon Prime Exploding
Facebook Search used by 1B every day
LinkedIn dominates B2B
Move from desk to mobile
Move from homepage to Apps
Nobody is going to find your products
or homepage anymore.
Unicorns are predominantly
from Silicon Valley
53 in US
13 in EU
The operating logic of most companies is
to compete in a well defined market
Economics is the science of choice in scarcity
What is needed?
Innovation is difficult for well-established companies. By and large, they
are better executors than innovators, and most succeed less through
game-changing creativity than by optimizing their existing businesses.
Strategic Innovation - disruption
Does not accept market rules
Takes advantage of asymmetric faults in market
Collaborate rather than compete
Starfish model: Connects rather than owns
Get users to generate value
Creates new markets
Create new users
Differentiate between customers and users
Experimental rather than professional
If you can be disrupted,
you will be disrupted
you disrupt yourself
• Differentiate between customers and users
• Forget ROI – focus on providing max value for user
• 20% of time allocated to passion projects
• Organisation level does not dictated pay
• Minimum 7 direct employees
• Focus on user, learn from user, learn about user
• Have user generate data, knowledge & Insights
• Experimentation over perfection