Monday, April 21, 2014

Disruptive entrepreneurs: An interview with Eric Ries
Companies are all too aware of the disruptive power of technology. The author of The Lean Startup argues that the competitive reaction of many organizations remains fatally flawed.

Interesting insights
Digital technology has enabled the creation of new industries and upended many more….. 
Renting the means of production--(This is consistent with the concept of access vs. ownership of resources)
… anyone with a credit card (source of capital)  can rent the means of production and compete with you on a first-class basis in their market. And so you’re not dealing with one potential competitor but with thousands or millions. Are you really geared up for innovation at that pace?” …. It’s like putting Karl Marx on his head. Anybody can rent the means of production, which means entrepreneurship is becoming truly democratized, which means nobody is safe. 
Productive failure
All of our process diagrams [in major corporations] are linear, boxed diagrams that go one way. But entrepreneurship is fundamentally iterative. So our diagrams need to be in circles. We have to be willing to be wrong and to fail. But modern management says, “Failure means you get dinged.”…. “
…..Put on your employees’ performance evaluation a concept we call productive failure: ‘How many productive failures did you have this year?’ If someone comes to you and claims that they didn't fail this year, you know one of two things: they’re either lying to your face or they were incredibly, unbelievably conservative.”……
…..Executive sponsorship of a start-up is about learning and supporting the team and going on the journey with them. It’s not about reviews and evaluation and go-kill decisions. It’s a really different change required at the executive level, at the middle-manager level, and at the line-manager level to do this thing.