Apple, often considered to be the most innovation driven companies in the world, and certainly the company that has launched the most disruptive innovation in the last decade, has also acquired experience in innovation failure. Recently, it launched its application for maps, which caused controversy, leading Tim Cook, its CEO, to publicly apologize. Danone, has invested millions in developing a new kind of yogurt, one that claimed to offer benefits to the skin. The result? Essentis was retired from the market. Microsoft has failed many times, as well, such as with its Zune. And, even in its core business, the operating system, many product innovations, whether it’s Windows Vista or more recently Windows 8, have caused stir and controversy. French automobile maker, Renault, has also failed to penetrate the high-end market segment with its VelSatis. Google, often considered to be a paragon of innovation, has failed many times: its product meant at competing against Wikipedia, Knol, has been discontinued. Google reader and Google Buzz failed, as well. Most of its successful innovations were in fact start-up acquisition, such as YouTube.
Innovation process first session
• Lots of lots of lots of lots of Innovation model.
• There is no right or wrong.
• There is no universal model.
Succeeding at Innovation is tough
• In fact, a recent study performed by
Harvard business school showed that
70% -90% of innovations fail to find the
customer. This results in retiring
innovations from the market in only 12
months after market launch.
• A similar failure rate is found among
innovation startups, which also fail at a
90% rate, according to a study done by
Stanford business school
Even very innovation driven companies, such as Google, Microsoft, Danone,
Renault among others, fail, as well
Top Reasons for Innovation Failures
• Too little voice of
• Inefficient innovation
• Poor failure
Too much focus on technology
• There’s often too much focus on technology and not
enough on understanding consumers.
• the Concorde, the first supersonic commercial airplane,
• the EPR, the latest generation nuclear plant,
• the “Rafale”, a first rate military airplane, and
• the “Minitel” a very innovative telecommunication systems
which, in many ways, predated the Internet.
People think that being one
step ahead is enough
• Product life-cycle is extremely short
• Being one step ahead isn’t enough.
• No more competitive industry.
• Competitive as usual