© copyright 2006 by innovationlabs innovationinnovation nnovatio innovation

© Copyright 2006By InnovationLabs Innovation

nnovationnovatioInnovation


What is the link

between innovation

and strategy?


The Nature ofReality


2004-11-08

New Scientific Consensus: Arctic Is Warming Rapidly

REYKJAVIK -- The Arctic is warming much more rapidly than previously known, at nearly twice the rate as the rest of the globe, and increasing greenhouse gases from human activities are projected to make it warmer still, according to an unprecedented four-year scientific study of the region conducted by an international team of 300 scientists.


Human Population: Fundamentals of Growth Population Growth and Distribution

In 2000, the world had 6.1 billion human inhabitants. This number could rise to more than 9 billion in the next 50 years. For the last 50 years, world population multiplied more rapidly than ever before, and more rapidly than it will ever grow in the future.

Anthropologists believe the human species dates back at least 3 million years. For most of our history, these distant ancestors lived a precarious existence as hunters and gatherers. This way of life kept their total numbers small, probably less than 10 million.

http://www.prb.org/Content/NavigationMenu/PRB/Educators/Human_Population/Population_Growth/Population_Growth.htm


http://www.de.tomshardware.com/business/20030219/images/17.jpg


http://www.benton.org/publibrary/stake/telecom/bargraph.htmlhttp://www.vhs-bremerhaven.de/internet/hosts_ripe.html

Internet Hosts, Germany Internet Hosts, World


http://qsi.cc/blog/archives/cat_finance_economics.html


Chip capacity (Moore’s Law) ...Use of Fax Machines ...Use of Cell Phones ...Use of Internet …Information Excess ...Growth of Human Population ...Consumption of Resources …Increasing Pollution …

Exponential Change!


+specialization

throughtechnology

Technology & the Acceleration of Change

+more

exponentialchange

increasedspecialization

throughtechnology

exponentialchange

Innovation is the basis of competition


Average Lifetime of An S&P 500 Company

1930 1940 1950 1960 1970 1980 1990 2000 2010

10

20

30

40

50

60

70

2020

year

s

Source: Foster: Creative Destruction


125 375will survive will disappear

Companies of the US S&P 500 2005 - 2020


375125


CreativeDestruction

Bethlehem Steel1857 - 2003

ATT1885 - 2005

Sears1886 - 2005

Oldsmobile1897 - 2004

Compaq1982 - 2002

Creative Destruction

Volvo1927 - 1999

Webvan1998 - 2001

DEC1957 - 1998

Netscape1994 - 1998

etc., etc., etc.

Chrysler1925 - 1998

the force of capitalism


How you manage here

Is not the same as how you manage ...

here

chan

ge g

ap


You are

*Manage accordingly

here*


t1 t2

c1

c2

t1 = t2

c2 = 5 x c1


Cellular Phone market, USA, forecast vs. realityForecast by McKinsey & Co. for ATT

mil

lio

ns

of

un

its

1

5

10

15

1983 20001994

forecast:900,000 units

reality:17 million units

predictions …


“This ‘telephone’ has too many shortcomings to be seriously considered as a means of

communications. The device is inherently of no value to us.”

Western Union, 1876

“Everything that can be invented has been invented.”

C.H. Duell, US Commissioner of Patents, 1899

“There is no reason anyone would want a computer in their home.”

Ken Olsen, FounderDigital Equipment Corp., 1977

… are dangerous


the force of innovation


What is the link

between innovation

and strategy?


“Learning faster than your competition is the only sustainable competitive advantage.”

Arie de Geus

“Learning faster than your competition is the only sustainable competitive advantage.”

Arie de Geus

learning

fasterlearninglearninglearning

learninglearningfaster


What is the link

between innovation

and strategy?

they’re the

same thing

they’re the

same thing

© copyright 2006 by innovationlabs innovationinnovation nnovatio innovation

Documents