Disruptive innovation is antithetical to good management
Good management alone eventually results in organizational failure, for precisely this reason: merely doing all the right things for the existing customer base predisposes the organization to reject innovations that might disrupt them.
… in the cases of well-managed firms such as those cited above, good management was the most powerful reason they failed to stay atop their industries Precisely because these firms listened to their customers, invested aggressively in new technologies that would provide their customers more and better products of the sort they wanted, and because they carefully studied market trends and systematically allocated investment capital to innovations that promised the best returns, they lost their positions of leadership.[1]
#innovation #leadership #management
See also:
- Financial structure and organizational culture constrain disruptive innovation
- Disruptive innovations are complex
- Disruptive innovations underperform at the outset
- Disruptive innovations fail because they do not provide immediate financial value
The Innovator’s Dilemma – Christensen (1997), § “Introduction.” ↩︎