"About 100 senior Euro 500 executives from 13 countries convened in Geneva for BCG’s ninth European Strategy Leadership Summit. The theme—“The Beauty of Disruption”—challenged participants to see disruption as a friend, not a foe."
Of the group:
- 95% reported that their businesses had been affected by disruption
- 60% named new technologies and business models as the primary types of disruption they face
- 60% describing their organization’s ability to adapt to it as average or worse
The key takeaways for surviving/embracing an increasingly disruptive world included:
- External innovation (partnering with stronger innovators) is emerging as a trend as only 21% of organizations felt they had the internal talent.
- Digital transformation that is taken on proactively has a 50% higher ROI than doing it reactively
- Emerging market leaders are embracing digital more aggressively than those in developed markets
- The pace of change will narrow windows of opportunity for exploiting new products and services
- Organizations must shift from product-based value propositions to digital ones; from global supply chains to local globally-integrated ones, and from standard global offerings to more regionalized approaches.
- Embrace AI, which the article describes as 10% algorithm, 20% technology, and importantly, 70% business processes.
When we play, we improvise, imagine, and inspire—all of which is good for business. Here’s how to add playfulness to business strategy.
The article suggests that somewhere between improvisation and imagination lies inspiration and play is essential to all three. It asserts that play is not the opposite or work, that's leisure. Play is part of productive work, especially where innovation is concerned. To encourage an atmosphere of play, the authors suggest we:
- Eliminate the risk of rejection or embarrassment
- Forget about goals; only then can your mind wander
- Create boundaries, areas where play is welcome and encouraged
- Encourage spontaneity and impulsiveness
- Be patient. Sometimes play yields great new ideas and sometimes it doesn't, at least not right away.
Want to generate inventive new ideas that can win in the market? Build management teams comprising people with the widest possible range of backgrounds and perspectives.
A new study from Boston Consulting Group quantifies the benefit of diversity on innovation and financial performance.
The report points to the fact that people with different backgrounds and experiences often see the problem in new ways. Specific findings included:
- Companies with above average diversity scores averaged 45% income from products and services launched in the past three years. Those with below-average scores averaged just 26% innovation income.
- Margins for the above-average group were 9 percentage points higher than the low diversity group.
- The biggest payoff came from diversity in national origin, industry backgrounds, gender and career path. Age and educational focus showed impact too, but to a lesser extent.
There's lot's more to read here, so if innovation is important to you (and it should be), take the time to read the whole thing.