This document discusses frameworks for understanding the adoption of innovations. It begins by outlining Geoffrey Moore's "Crossing the Chasm" model of adoption categories: innovators, early adopters, early majority, late majority, laggards. It then describes the "Hype Cycle" model of a technology's life cycle, including phases like peak of inflated expectations and trough of disillusionment. The document argues these models have limitations and proposes an "Innovation Adoption Cycle" aligned with a "Quality-Benefit-Value" framework, distinguishing between quality, benefit, and value adopters. It stresses the importance of learning and delivering value as the key to competitive advantage.

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―Running an Agile Fortune 500 Company‖
Aditya Yadav, aditya.yadav@gmail.com
in.linkedin.com/in/adityayadav76

2. * A Typical Global Company
* Fortune 500/1000
* 200 Divisions
* 40 Countries
* 25000 Employees
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@ Acme Inc.

4. * Original Question ―How do we better succeed
at adopting external innovations and help our
customers better adopt our innovations?‖
* The Correct Question - ―We need to relook at
the Legacy Hype Cycle to understand
Innovation Adoption better. Allow me to show
you. ‖
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And The Philosophy Behind The Answer

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7. * Wikipedia
* Innovators – had larger farms, were more educated,
more prosperous and more risk-oriented
* Early adopters – younger, more educated, tended to
be community leaders, less prosperous
* Early majority – more conservative but open to new
ideas, active in community and influence to
neighbours
* Late majority – older, less educated, fairly
conservative and less socially active
* Laggards – very conservative, had small farms and
capital, oldest and least educated
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*** The Concept of ‗Crossing The Chasm‘ is similar…

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Each Hype Cycle drills down into the five key phases of a technology‘s life cycle.
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Technology Trigger: A potential technology breakthrough kicks things off. Early proof-ofconcept stories and media interest trigger significant publicity. Often no usable products
exist and commercial viability is unproven.
Peak of Inflated Expectations: Early publicity produces a number of success stories—often
accompanied by scores of failures. Some companies take action; many do not.
Trough of Disillusionment: Interest wanes as experiments and implementations fail to
deliver. Producers of the technology shake out or fail. Investments continue only if the
surviving providers improve their products to the satisfaction of early adopters.
Slope of Enlightenment: More instances of how the technology can benefit the enterprise
start to crystallize and become more widely understood. Second- and third-generation
products appear from technology providers. More enterprises fund pilots; conservative
companies remain cautious.
Plateau of Productivity: Mainstream adoption starts to take off. Criteria for assessing
provider viability are more clearly defined. The technology‘s broad market applicability
and relevance are clearly paying off.
The term "Hype Cycle" and each of the associated phases are now used more broadly in
the marketing of new technologies.
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10. * There have been numerous criticisms of the hype cycle, prominent
among which are that it is not a cycle, that the outcome does not
depend on the nature of the technology itself, that it is not scientific
in nature, and that it does not reflect changes over time in the speed
at which technology develops. Another is that the "cycle" has no real
benefits to the development or marketing of new technologies and
merely comments on pre-existing trends. Specific disadvantages
when compared to, for example, technology readiness level are:
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With the (subjective) terms disillusionment, enlightenment and
expectations it can not be described objectively or clearly where
technology now really is.
The terms are misleading in the sense that one gets the wrong idea
what she can use a technology for. The user does not want to be
disappointed, so should she stay away from technology in the Trough
of Disillusionment?
No action perspective is offered to move technology to a next phase.
*** The eIAHC Framework Answers all the Three Criticisms
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11. * Invention – Is an Idea made Manifest
* Innovation – is Delivering Value to the customer in a reliable,
fast and viable fashion.
* We can extend this to…
* Technology – is more like Invention rather than Innovation – Is
a Technique made Manifest
* A Solution – is more like Innovation – Is Delivering Value
derived from Technology or otherwise to the customer
(internal or external) in a reliable, fast and viable fashion.
* It is ‗probably‘ wrong to talk about Technology Adoption…
Technology is more like a Quality, we need to extract and/or
deliver Value to ourselves or our customers. Its more like
―Innovation Adoption Cycle‖
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12. * Left: Hype Cycle
* Right: Innovation Adoption Cycle
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Marrying the Innovation Adoption Cycle and the Hype Cycle with the Quality-BenefitValue (QBV) Framework
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Quality Adoption = The First Rise to the Peak
Benefit Adoption = The next phase till the Trough
Value Adoption = The next rise to the Plateau of Productivity
The Quality Adopters are the ones concerned with the Quality of the Innovation
without much regard to the Benefits and Value at that point of time. Ref: QBV
The Benefit Adopters are the ones concerned with the (possible) Benefits of the
Innovation without regard (at that point of time) to whether it will translate to Value
in their or their Customers Value Net or not.
The Value Adopters are the ones that are concerned with Value for themselves and
their customers.
The earlier the Adopters – higher the Risk, faster in delivering possible Value and higher
the possible Economic Rent
The earlier the adopters the more Learning Capability they have or they assume they
have.
Golden Rule: Learning and utilizing it to Delivering Value is The Only Sustainable
Competitive Advantage in the world today.
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The Framework needs to be implemented with
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A way to accelerate innovations from Quality Adoption -> Benefit Adoption > Value Adoption
A way to Manage those 3 Kinds of customers and their expectations
differently
A way to Manage Risk and Downside Impact of the process (which could be a
gate‘d funnel)
A way for the Innovators and Customer/Adopters to experiment with the
Innovation in an Early Adoption Ecosystem created by the Firm
One analogy would be that Quality is an Ingredient for people who just
need the Ingredients and can create their own Recipe‘s and Dish‘s
thereafter, Benefit is for people who need the Recipe and can create the
Dish thereafter, and Value is for people who need the Dish directly, served
Hot.
Question: But why does anyone need to go through the eIAHC cycles???
Refer: The Real Opportunity Cost slide deck for more information and the
answer.
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15. Aditya!!!
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