Enabling constant Innovation & Creativity

Innovation is like a breath of fresh air - it's exciting, full of possibilities, and sometimes leaves you craving for more. But as we all know, it's not always easy to implement new ideas and change the status quo. Legacy business practices and stubborn behavior can be like a strong gust of wind, threatening to blow away even the most promising innovations.

From our work we know, how important it is to balance the success of your current business units with the need for new ideas and approaches. And let's face it, sometimes it's just hard to break out of old habits and try something new.

With no-code-platforms, AI and design tools, even people with limited computer science backgrounds can develop their own apps, and what may have started as a sideline eventually became a serious business.

In this edition of LD7 Beyond Digital, we explore the challenges of innovation and how to overcome them with a fresh perspective.

So sit back, relax, and let's dive into the world of innovation and creativity. Together, we'll navigate the choppy waters of change and emerge stronger.

???Web discovery - what we found interesting

???Articles - the challenges of business model innovation?

?You’re wondering why companies fail in innovating their business? Kodak, Blockbuster, Saab, and Blackberry are prominent cases for many other examples, where the need for innovation was simply neglected (More examples below).

?The reasons for these failures can be condensed to three main challenges every organization with a legacy business faces when trying to innovate their current business model:

???Don’t get trapped in the own industry logic with statements like "Our industry is different. That’s how our business works. Our customers won’t accept anything else.”

???Stop thinking in products and technologies - adopt an abstract thinking in business models - it’s not the single technology that represents the innovation but the way how you wrap it into a service that meets unmet customer needs

???Use a systematic approach for innovation - tools that facilitate creativity and divergent thinking is what turn a new idea into a valuable product or service.

And here are some examples you have surely heard of:

1. IBM: In the early 1990s, IBM failed to adjust to the personal computer revolution, which began its downfall. The company shifted its focus back to hardware instead of software solutions. After several transitions, IBM has become one of the most potent names in enterprise software
2. Home Depot: The home improvement retailer faced challenges when expanding into China, as it failed to adapt to local market preferences and customer needs. Home Depot eventually closed all of its stores in China
3. Target: The retail giant's expansion into Canada was a failure, resulting in the liquidation of 133 stores and laying off more than 17,000 employees. The company struggled with understanding the cultural nuances and timing of the Canadian market
4. WorldCom: The telecommunications giant filed for bankruptcy in 2002 after an accounting scandal revealed that the company had inflated its assets by billions of dollars. WorldCom's business model relied on aggressive acquisitions and rapid growth, but the company's financial mismanagement ultimately led to its downfall

???Videos - What happens when the technology is so useful that it disappears?

???Ever since humans have been technologists: tools have been used to make life easier, and some of those tools and technologies have created a major impact to usher in a new age. At the same time, the relentless ambition to reduce devices in size and form have accompanied designers in their endeavor to improve how we use technology.

???#AI and its mass adoption through generative AI tools have additionally leveled up our data usage to anticipate and predict behavior in an increasingly human way.

? What if we don’t need to master devices to interact with technology anymore but projection, conversation and environmental reception become the new way to use technology?

? Humane may have some answers to it!!

We've been observing and following the activities of Humane since quite a while now. The published patents already gave a glimpse, that a huge rethinking on how human beings are supposed to use technology has been started by the team (at) humane.

?? In the TED Talk ?The disappearing computer” Imran Chaudhri shares exclusive insights how the comprehensive use of AI can become a much more interactive and thus more intuitive experience for us.

???What we love most about this presentation? The clarity about how humans are supposed to use technology in the future: Human, seamless, screenless and sensing!

? Enjoy this TED Talk to get an impression of what future technology employment can look like!

???From the bookshelf to your inbox

? Do you wonder how much innovation has been lost, how many good ideas have being absorbed by big tech companies, hidden away in corporate vaults and disappeared without a trace?

?"How Big-Tech Barons Smash Innovation—and How to Strike Back" by Ariel Ezrachi and Maurice Stucke is a must-read for anyone interested in understanding how tech giants distort the paths of innovation and undermine disruption to protect their own value chains.

And here are some main statements:

???Big tech companies promote innovations that support their ecosystems, while suppressing disruption that threatens their profit models.

???This results in less innovation that benefits society and more innovations that primarily extract value and reduce well-being.

???Independent innovation ventures should be raised to stay contestable in a digital economy at sustained profits, instead of being accelerated to growth for a glorious exit.

???Incumbent companies continue to acquire external innovations that complement formal R&D evidencing that independent inventors remain central to the process of technological development

Some conclusions we find helpful for rethinking innovation, since it’s crucial in the digital economy:

? Creation of independent units that follow innovation and intrapreneurship strategies to benefit from breakthrough ideas, faster time to market and talent retention.

??Explore the ideal degree of independence needed and identify the criteria for reintegrating the venture back into the organization (without overwhelming it with overhead control guidelines).

??Big techs are important for facilitating infrastructure, systems and data, independent innovators and developers can use for inventions that need to overcome entry barriers to scale for adoption and societal progression.

?? Innovation is the lifeblood of progress, and independent innovation is crucial for driving positive change, creating value in the digital economy and that benefits society as a whole.

???It comes with the willingness to explore the creation of independent units that follow innovation and intrapreneurship strategies to benefit from breakthrough ideas, faster time to market, and talent retention.

??What else is innovating?

In today’s rapidly changing business landscape, organizations must be prepared to challenge the status quo, adapt to emerging technologies, and harness the power of data to drive innovation. This applies to our own business model, as AI tools impact the way consulting is delivered. Access to information is highly democratized, and it’s more about facilitating the right tools rather than strengthening teams and taking on responsibilities.

Our future business conduct will continue to focus on empowering individuals, business leaders and decision makers in corporate environments to drive change. Want to learn more?

Stay tuned and follow our company page here on LinkedIn for updates!