Digital Disruption: Is It Your Friend Or Foe?

Digital disruption has become an obsession for businesses and industries alike. It is an obsession that has the potential to overwhelm and dilute the underlying opportunities that a disruption itself presents.  Your business must choose if disruption is its friend or foe!

digital disruption
Digital Disruption: Friend or Foe?

A focus on being disrupted will overshadow the opportunity to disrupt.

10 indicators that your business may be REACTIVE

  1. High investment but declining revenue. This may suggest that you are chasing what you think will change the market without understanding what the market is actually looking for.
  2. High supply, lower demand. This may suggest that you are not aligned with what your customer wants even though you are competing with what is in the market.
  3. More service offerings but complaints from customers are on the rise.
  4. Higher staff churn than normal sees newer staff leaving your business while longer term staff are less likely to leave.
  5. Your industry is experiencing growth but your business is suffering a downturn.
  6. The technology platforms your business has adopted are disconnected from each other. This may indicate you are integrating new technology without recognizing how and where it will work with legacy systems.
  7. Your business is suffering from a progressive loss of market share.
  8. You notice a lack of cohesion in your product or service offerings.  They provide solutions but these are singular in application.
  9. Your business is generating lots of data but has no ability to qualify or contextualize it.
  10. Collaboration and partnering that exists is more of a ‘power play’ than an ‘innovation play’.

10 Indicators that your business is PROACTIVE

  1. Your business is experiencing exponential revenue growth and also enjoying increasing patronage despite more competition entering the market.
  2. Other businesses are seeking your business out to discuss collaboration and partnership opportunities.
  3. Your business is able to confidently make budget projections based on performance indicators measured against milestones.
  4. Agility enables your business to respond to change without impacting your core business strategy.
  5. You see failures as necessary and you are not afraid of them. They are seen as learning experiences your business can build on.
  6. Industry best practices, global trends and benchmarking are used by your business to give you insights to plan and strategize.
  7. Your employees are engaged, have taken ownership and actively participate in the business’ transformation journey.
  8. Your business communicates visibility and transparently without fear or favour.
  9. Digital is at the core of all your business decisions.  You always ask the question ‘How can digital make this more efficient or effective?’
  10. Your strategy is customer led. Your strategy is a living, breathing document that is a ‘work in progress’. It is responsive to change without compromising its core ethos.

Successful change will not happen when you apply band-aid solutions.  A band-aid solution is one dimensional and it only heals what ails the business in that area and at that time.

Transformational change is evolutionary.  When your business chooses to be proactive rather than reactive in its approach the word ‘disruption’ takes on a very different meaning.  To survive and also experience success you must choose to become the disruptor and not the disruptee.

 

Originally posted 2016-10-18 18:02:41.

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The Start-Up Cemetery – Tombstones of Lost Dreams

 

cemetery

So many Start-Ups move quickly from idea and conceptualization to developing their minimal viable product ‘MVP’.  They do this to establish a ‘proof of concept’ to gain funding. This can be a death sentence for Start-Ups.

This reasoning does make sense on face value…

  • Your idea is unique.
  • No-one has done it this way before.
  • Your idea is a new technology that is ground-breaking.
  • Your approach is to disrupt and when you do it will be a game changer.
  • The unique value proposition that your idea brings will set you apart from competitors.

An idea that fast tracks to an MVP makes a quantum leap of faith

Will your Start-Up have a short life expectancy and end up in the Start-Up cemetery?

The question every Start-Up needs to ask is …

Does my Start-Up have strategic clarity?

If the answer is yes then the next question is…

What is my Start-Up’s strategic clarity?

Let’s look at some examples of what strategic clarity looks like…

  • You know where the growth is that your Start-Up will tap into and how to get traction there?
  • You know which problems you are solving and which customers you are solving them for.
  • You know how your customers’ will behave, how to drive their buying decisions and have positioned your product/service to ensure that you have and can maintain a competitive edge.
  • You know where your priorities need to lie in the short, medium and long terms and have articulated that in a business strategy
  • Your internal customers have taken ownership and responsibility of their roles, are engaged and aligned with and understand the business’ priorities. This enables them to plan and achieve key performance indicators benchmarked to the business strategy.
  • The decision-making process that is adopted by the business is consistent with the strategic priorities of the business and the business knows what it needs to achieve to be successful and in what timeframe.
  • You are confident in your business model that it is intelligent and uses this intelligence to make informed decisions from data that are qualified and quantified and aligned to your business strategy. This justifies any and all investment of resource and focus.

When do I need strategic clarity?

A Start-Up needs strategic clarity in the formation phase and before the validation phase. You can’t effectively validate an idea without insight that data brings to qualify and quantify it.

How do I get strategic clarity?

An Advisory Board of specialists that includes the founders themselves, is the best option to not only find strategic clarity but also determine a pathway to funding that is derisked by the insight the process delivers for investors.

The life expectation of your Start-Up will come down to the insight you gain and the strategic clarity you achieve. An Advisory Board can give you a real investor and competitor advantage

 

 

Originally posted 2017-03-15 19:30:16.

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Interruption V Disruption: Which creates change resilience?

Interruption creates a trajectory of progressive transition while disruption creates a trajectory of more rapid transformation.

If your business is change or risk averse ‘interruption’ can introduce the opportunity for your employees to engage and take ownership of change incrementally.  This is less confrontational than ‘disruption’ and allows the business to experience evolution rather than revolution.  Interruption can encourage an appetite and accelerate change by kick-starting momentum. This can build the foundation for a change resilient workplace.

creates

5 different ways ‘interruption’ can introduce and creates change

Start-ups

Your business can learn and benefit from enabling and embracing relationships with start-ups, SME’s and entrepreneurs. Actively mentoring, nurturing or investing in an innovation hub will enable your business to keep your finger on the digital pulse.

You can offset being disrupted and work towards future-proofing your business when you discover where industry, non-industry, and best practices may impact on where your business model is heading. Entertaining opportunity proactively advantages your business in a competitive or even a duopoly market.

Encouraging intrapreneurial behaviour within your business is a natural flow-on from engaging and partnering with an ideation and innovative community.

Tools

How can your business do things smarter using digital tools when you are making decisions in your business? Asking this question will facilitate a fundamental mind-shift that will start to evolve your business.  Digital tools are only advantageous when they are introduced, integrated and aligned to work and play well with existing platforms and channels.  Becoming aware of and learning more about tools and trends will educate your business. Your business will learn how it can improve its productivity as well as business efficiency and effectiveness.

Access

Exposure through strategic partnerships, alignments and affiliations are imperative to position your business to be open to opportunity and change. This is a great way to realize quick wins and stick your toes in the water.  A ‘risk’ shared, where the value and benefit are clearly defined, will deliver more gain than pain when done effectively. This is always attractive when introducing a change in direction to an established business.

Resources

Your employees are your greatest asset. Investment in their education, enrichment, role alignment and career progression is integral to your success. When your employees have confidence, feel their skill set is relevant and relative this is reflected in their performance.  Encouraging ideation, intrapreneurs and brainstorming are essential to creating engagement and ownership. When your employees are performance-enhanced your business will benefit notably in your change transformation process.  The introduction of prototyping to visualize, communicate and socialize innovation and ideation will also enrich thinking and drive change.  This will assist your business to realize outcomes.  When nurtured this supports an informed business environment that will breed confidence and allays the fear of failure. This encourages your employees to become involved and engage.

Technology

Technology, when identified and aligned with a ‘living’ digital strategy, will create agility. This can co-exist with legacy systems as your business transitions.  To be effective new technology much demonstrate that it can enhance, supersede or be able to address redundancy in your technology ecosystem. Your business does not need to erase your technology footprint and start again to start to introduce change. When an investment has already been made to establish expensive technology platforms a business can be reluctant to introduce a new approach. They may feel that this may accelerate the redundancy of the existing platform.  Demonstrated compatibility and a transition plan that maximizes value and reduces overheads will overcome resistance from invested parties.

Remember ‘interruption’ or ‘disruption’ without strategic planning is naive and somewhat foolhardy.  Smart business’ must invest in the process of auditing, assessing and benchmarking their business first to make informed decisions that will evoke change.  Interruption and disruption are approaches to change, not solutions.

To accelerate your business’ digital transformation journey you need to determine if the approach should be ‘interruption’ or ‘disruption’. This is important to stop your business stalling when it faces changes that take your employees out of their comfort zone.

Originally posted 2016-10-22 15:02:38.

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