Future Proof

In May, I had the opportunity to present at the Front End of Innovation conference in Boston on the emergence of Exponential Technologies and the corresponding effects on corporations. Here is an overview of the discussion: To simplify substantially, there are two primary traits of Exponential Technologies. First, the most defining characteristic is the pace of price halving and performance doubling (a.k.a. price-performance doubling) over a short period of time, often 12-24 months, and for an extended duration. During the early period of growth, small yet exponential changes are imperceptible. However, during later stages the changes seem unfathomable. A g reat example: The mobile phone in your pocket is now 1,000,000x cheaper and 1,000x faster than a supercomputer from the 1970s. It's a strong bet to think that no one in that era expected such drastic improvement so quickly. Second, Exponential Technologies all share the trait of having experienced a marked shift from scarci...

There's a commonly held notion among frustrated executives that "middle managers stifle innovation." After all, it's the obvious conclusion to draw when confronted with the following evidence: The company has stated that "innovation is the priority," and has even featured it in strategic communications The executives have all made innovation a big part of their departmental strategies, but... The pace or quality of innovation isn't matching executive team expectations Key innovation projects are delayed or stalled despite having nimble, dedicated teams trying to push them through And employee survey data shows conclusively that "managers do not support innovation." Given that overwhelming evidence it's easy for executive teams who have spoken tirelessly about the need to innovate to point the finger at the middle management layer: "If we have made it a priority, and if the front line employees are struggling, then it MUST be...

I've heard it said that organizations that were designed to succeed in the 20th century are doomed to fail in the 21st. Sure enough, in the past 20 years, disruption has altered the faces of many industries. No industry seems immune as we've seen hotels, taxis, movies, gaming, long distance calling, cameras, etc. all upended. Many of the affected companies knew where the source of disruption was coming from, but they lacked the focus, vision, agility, nimbleness, or decisiveness to get the job done themselves.  Very few of the disrupted companies would claim that they failed to manage risk effectively. After all, they likely did not fall because of a lawsuit, operational blunder, or single financial misstep. Companies are successful due in large part to their ability to manage such risks. But the task of risk management seems to have changed faster than organizations could adapt. A mighty adversary has emerged that now threatens traditionally rock-solid companies, and many...