Say “No” to Innovation-in-General

Harvard Business Review

For over an hour, the panel discussed all of the innovative projects they’d worked on — spanning projects from Google Fiber to ad bidding technologies at Facebook. Yes, all of the panelists were speaking broadly on innovative projects. But innovation is a word that means a wide variety of things to a wide variety of people. Without more specification, “innovation” is simply too broad to execute against. Yes all three are innovative.

How Likely Is Your Industry to Be Disrupted? This 2×2 Matrix Will Tell You

Harvard Business

For the latter, we measured incumbents’ operational efficiency, commitment to innovation, and defenses against attack. Previously strong barriers to entry have perished; fixed assets such as car fleets, hotels, bank branches, and landline infrastructure have become weaknesses. Those in the vulnerability state must address productivity challenges in their legacy businesses right away and thoroughly to get in shape for future innovations (their own or competitors’).

Recommended Resources – An Interview with Paul Leinwand and Cesare Mainardi, authors of The Essential Advantage

Strategy Driven

PL and CM: Most companies look outside to adjacent markets for growth and invest in assets to exploit those opportunities. And, invariably, you invest in assets. These choices historically conferred advantage – first-mover, scale – but asset-based scale advantages have diminished in recent years, thanks to technology, cheap information, and outsourcing. As the intrinsic value of assets diminishes, the competitive value of capabilities will only grow.