One of the great irony of successful companies is how easily they can fail. New companies are founded to take advantage of some new technology. They become highly successful and but when the technology shifts, something new comes along, they are unable to adapt and fail. This is the innovator’s dilemma.
Then there are companies that manage to survive. For example, Kodak survived two platform shift, only til fail the third. IBM has survived over 100 years. What do successful companies do differently?
3. Founded in 1880
Noted for their
pioneering technology
“You press the button,
we do the rest”
By 1975 they had 90%
of firm and 85% of
camera sales in US
7. The Innovators Dilemma
Firms that
s u c c e e d in one generation of innovation
almost inevitable become hamstrung by their
own success and thus doomed to
l o s e o u t in the next wave of innovation
Source:
(Christensen,
2000)
10. Reason for Failure?
If you become wildly successful
because you do everything right,
you're doomed
11. Traditional Concept of
Good Management
Focus on your best customers
Focus on your highest margin products
Source:
Yang,
Harvard
12. The RPV Theory
Resources, Processes and Values Theory
R e s o u r c e s (what a firm has),
p r o c e s s e s (how a firm does it´s work), and
v a l u e s (what a firm wants to do)
collectively defines an organisation’s strengths
as well as weaknesses and blind spots
Source:
(Christensen,
2000)
13. WHEN
P L AT F O R M
S H I F T HAPPEN,
COMPANIES FIND
IT HARD TO MOVE
TO NEW
GENERATION OF
TECHNOLOGY
14. Only ONE established firm
managed the transition from one
generation to the next
Image
Source
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