Innovation and when the disruptive happens..
March 3, 2008 by h3ncy
Innovation is about creating new products, technology or processes. If a company can produce something new to customers, we can say that the company can innovate. Making something that people cannot do is also called. By doing innovation, company can get competitive advantage because with the innovation the company can create new technology, products and processes that is different from others. This condition, of course, will make company is not easy to imitate by competitors. If the company can create very well, they will be successfully in doing business performance.
Innovation occurs within some rules, involves players to innovate with their products, processes, or positions. When a firm builds their products, they will try to build some procedures and processes. They try to innovate to find the best results (high quality) to produce best products for customers. Here we can see that most of organizations will be challenged by discontinuous change.
In many industries, the disruptive innovation can be happened. It may occur in the market when new players try to do the same things with other players. They try to imitate from others, but lately they tend to fail because of some conditions such as bad performance and low quality of products. There will be some conditions where technology and market conditions can be stable with long periods. But these conditions can be discontinuities when there are some radical changing along with technology, markets, social, and regulations. In uncertainty environment of markets, there is no exact estimations about technological means and market needs. Christensen and Raynor mentioned that disruptive can be happened because a new player try to compete against the exist player in the market. The market disruption may occur in the market when new players try to do the same things with other players. They try to imitate from others, but lately they tend to fail because of some conditions such as bad performance and low quality of products.
Innovation is an imperative. According to Peter Cochrane, a professor at University College London and former chief technologist at British Telecom, the half-life of companies (the number of years required for half of them to die) has gone from 50 years before the IT revolution to five years today.
Yes, it is true. Not only innovation that is imperative, but also technology. Both of them can influence the behavior in organizations or society. For example, mobile phone. Nowadays, it has become part of our lives. People use mobile phones to communicate with others. When the technology changes, people’s behavior also change. People will follow the trends. Mobile phone is not as the communication tool anymore, but it has become prestige to people, especially youngster.