Monday, January 26, 2015

The Truth About Breakthrough Strategies
You won’t find them through typical strategic planning, executive retreats, or brainstorming sessions.

http://m.strategy-business.com/blog/The-Truth-about-Breakthrough-Strategies

Very interesting

Ford, Apple, Netflix, Starbucks, and Google struck gold with these breakthrough strategies, and changed the game in their respective industries.. Although each strategy is distinctive, they share a few common characteristics that tell us how breakthrough strategies really come to be.First, they start with flashes of insight prompted by working on big problems… 
..  research tells us that innovative strategies are sparked by “precedents” from unexpected places that seem to offer at least a partial solution to the challenge you have in mind. For example, before they founded Google, Larry Page and Sergey Brin were working on how to make the Web more useful for e-commerce. But Page was also working on the Stanford Digital Libraries Project, and realized that you could rank Web pages the way scholars are ranked by their annual number of citations. Howard Schultz was noodling on how to raise people’s demand for high-quality coffeewhen he was inspired by observing Italians from all walks of life enjoying espresso at their local watering holes. Ford’s idea for the moving assembly line originated in meatpacking plants, where butchers disassembled carcasses moving past them along an overhead trolley… 
… Then things get really fascinating, because breakthrough strategies always involve “creative combination.” For example, to help make the Macintosh a digital hub for consumers, Jobs created the iPod by combining visual cues from Braun’s T3 pocket radio; a 1.8-inch 5GB hard drive from Toshiba; the navigation features of the Bang & Olufsen BeoCom 6000 wireless telephone; capacitance technology invented in 1910 for the scroll wheel; the programming code from SoundJam MP (a popular MP3 player app), and his Pixar experience, where he learned about negotiating with the music industry for the right to sell songs individually…. 
… Finally, people—not companies—create breakthrough strategies. Breakthroughs go against the grain of accepted wisdom, and markets and organizations are powerful immune systems that throw up multiple barriers to turning new ideas into commercial reality. It takes a person who believes enough in the strategy to be willing to fight an organization or the broader market for however long it takes to make it happen….. So what does all this tell us about breakthrough strategies? They rarely come from the typical strategic planning effort