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Sunday, August 08, 2004
Innovation Disruption
The 90-Day Plan

CIOs should monitor both their own and surrounding environments for signals of disruptions. This requires training, infrastructure changes, and some difficult analysis. Recognizing precise signals that indicate disruptive developments can help CIOs predict important market changes.

First month: Identify training requirements
Many of the concepts of disruptive innovation appear counterintuitive. Therefore, institutionalizing its use as an analytical tool involves widespread education. The first thing to do is identify employees who need to be exposed to the ideas. Start with those who interface with customers, evaluate and shape projects, or work with outside vendors. Training these employees in the basic concepts will also identify their ongoing IT requirements related to disruption.

Second month: Conduct internal overshoot analysis
One way to quickly put the concepts into action is to monitor whether your company has overshot market tiers. In addition to developing further intuition about how to use theory to analyze the findings, the analysis itself can be very important. When a company has overshot its market, it has opened the door for a disruptive incursion. It should consider "self-disruption" to block an attack from below. Furthermore, the company needs to curtail investment that promises improvements along overshot dimensions or it won't receive adequate returns on its investment in innovation. Remember to start this analysis at the bottom of the market, not the top.

Third month: Include disruptive concepts in appropriate information systems
Making the analysis systematic means ensuring that information systems are configured to collect and interpret data related to disruption. For example, sales tools should include fields that facilitate the collection of data related to overshooting. External market scans need to look at important fringe markets, and trend reports should include a segment on tracking disruptive developments.

Source: OptimizeMagazine, here.

posted by Naina @ Permalink 8/08/2004 01:15:00 AM   0 comments  --- Google It! ---
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