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- Herausgeber: John Wiley & Sons
- Kategorie: Fachliteratur
- Sprache: Englisch
- Veröffentlichungsjahr: 2015
Break free and lead the market with the roadmap to Disruption The Ways to New gives you a blueprint for innovation, helping you dig your organization out of the quicksand and get on the fast track to growth. Author Jean-Marie Dru is the originator the Disruption methodology, which he shares here; he is also an international authority on breaking the mold and leading the market, and this book is his guide to making it happen. Too many companies are too slow with innovation. They lag behind, creating at a snail's pace, and thus miss out on any kind of organic growth. They approach new ideas too conservatively, and focus innovation on products only--when there is a whole world out there waiting to be disrupted. This book shows you how to steer your organization toward continued innovation, creation, growth, and success, with 15 proven paths to disruption. Each is illustrated with case studies from companies like L'oreal, Procter & Gamble, and Salesforce.com, to show you the glaring differences between disruption and stagnation. We like to think that we live in a world where innovation happens at a staggering pace. The reality is that we don't, but that leaves an opening that your organization can fill if you're willing to break from the herd. This book shows you how start turning in a new direction, toward sustained, forward-thinking growth. * Foster organic growth within your organization * Become more proactive about innovation * Understand the famous "Disruption" methodology * Learn the specific, proven paths to disruption Everyone loves to cite Apple, Google, and Amazon as proof of high-speed innovation. But companies like this represent only 20% of companies worldwide--the other 80% are still floundering and failing to move forward. The Ways to New gives you a roadmap to innovation, and the tools to make it work.
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CONTENTS
Cover
Title Page
Copyright
Dedication
Foreword
Introduction: Why Marketing Should Drive Innovation
Part One: Disruption and Innovation
Chapter 1: Disruption and the Innovation Deficit
The Innovation Deficit
Disruption Methodology
Chapter 2: Disrupt the Way You Innovate
Innovate against, Innovate for, Innovate with
Innovate in All Shapes and Forms
Chapter 3: Disruption in Practice
Disruption Days
Disruption What Ifs
Part Two: Disruptive Paths to Innovation
Chapter 4: Open Disruption
Xiaomi: Design as You Build
Lego: Co-created by Fans
Procter & Gamble: A Cultural Shift
Chapter 5: Structural Disruption
Nissan: A Commitment to Transversality
DARPA: The Limited Time Frame Imperative
Company Labs
Salesforce: Innovation Catalyst
Makers, Fab Labs, Lean Management
Chapter 6: Asset-Based Disruption
Amazon: The Power of Infrastructure
Disney, DuPont, Apple: Historical Assets
La Poste: Reinventing Oneself
Chapter 7: Reverse Disruption
Jugaad: More for Less
Lafarge: Local Labs Empowered
L'Oréal: New Centers of Gravity
Chapter 8: Sustainability-Driven Disruption
Toms: The One for One Concept
Philips: Much More than Better Light
McDonald's: Local Citizen
Super U: Local Sourcing
Chapter 9: Revival-Based Disruption
Apple: No-Future Front Glass
Roosegaarde: Smart Highways
NeoLucida: Revisiting the Nineteenth Century
Chapter 10: Data-Driven Disruption
The Weather Company: The World's Most Data-Rich System
Amazon: Related-Purchases System
KBC: The Gap in the Market
Chapter 11: Usage-Based Disruption
Haier: From Anomaly to Innovation
M-Pesa: A Bank in Your Phone
Wibbitz: Texts into Videos
Burberry: Walking into a Website
Chapter 12: Price-Led Disruption
Logan: Art of Unbundling
Spotify: The Freemium Model
ZipDial: Making Money Out of Free Products and Services
Chapter 13: Added-Service Disruption
Darty: 3.0 Customer Service
Medissimo: Smart Pillboxes
Allianz: The Penalty of Leadership
Chapter 14: Partnership-Led Disruption
Sixt and BMW
Unexpected Alliances
Quirky and General Electric
Chapter 15: Brand-Led Disruption
Tesco: Every Little Helps
Marriott: Travel Brilliantly
Zappos: Happiness Management
Michelin: No Compromise
Chapter 16: Insight-Driven Disruption
L'Oréal: Beauty Rituals
Big Bazaar: Chaos on Purpose
Netflix: Knowing Customers Better than They Know Themselves
SNCF: The Opinion Paradox
Chapter 17: Business Model Disruption
Apple: Leveraging Third-Party Assets
Tesla: Stored Sunlight
Alibaba: The Ultimate Ecosystem
Airbnb: A World Without Strangers
Chapter 18: Anticipation-Driven Disruption
Mirai Nihon: The Future of Japan
Inventing Tomorrow
Part Three: Disruptive Brand Building
Chapter 19: Disruption Strategy
Imagining a Vision
Hunting for Convention
Creating Disruption
Chapter 20: Disruption Live
The Open Brief
NURVE
SNCF Live
Conclusion
Disruption What Ifs
Exhibits
Acknowledgments
Bibliography
Index
End User License Agreement
List of Illustrations
Exhibit 1:
EXhibit 3:
Exhibit 4:
Exhibit 5:
Guide
Cover
Table of Contents
Begin Reading
Part 1
Chapter 1
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The Ways to New
15 Paths to Disruptive Innovation
Jean-Marie Dru
Cover design: Jean-Marie Dru
Copyright © 2015 by TBWA Worldwide. All rights reserved
Published by John Wiley & Sons, Inc., Hoboken, New JerseyPublished simultaneously in Canada
No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, scanning, or otherwise, except as permitted under Section 107 or 108 of the 1976 United States Copyright Act, without either the prior written permission of the Publisher, or authorization through payment of the appropriate per-copy fee to the Copyright Clearance Center, 222 Rosewood Drive, Danvers, MA 01923, (978) 750-8400, fax (978) 646-8600, or on the web at www.copyright.com. Requests to the Publisher for permission should be addressed to the Permissions Department, John Wiley & Sons, Inc., 111 River Street, Hoboken, NJ 07030, (201) 748-6011, fax (201) 748-6008, or online at www.wiley.com/go/permissions.
Limit of Liability/Disclaimer of Warranty: While the publisher and author have used their best efforts in preparing this book, they make no representations or warranties with respect to the accuracy or completeness of the contents of this book and specifically disclaim any implied warranties of merchantability or fitness for a particular purpose. No warranty may be created or extended by sales representatives or written sales materials. The advice and strategies contained herein may not be suitable for your situation. You should consult with a professional where appropriate. Neither the publisher nor the author shall be liable for damages arising herefrom.
For general information about our other products and services, please contact our Customer Care Department within the United States at (800) 762-2974, outside the United States at (317) 572-3993 or fax (317) 572-4002.
Wiley publishes in a variety of print and electronic formats and by print-on-demand. Some material included with standard print versions of this book may not be included in e-books or in print-on-demand. If this book refers to media such as a CD or DVD that is not included in the version you purchased, you may download this material at http://booksupport.wiley.com. For more information about Wiley products, visit www.wiley.com.
Library of Congress Cataloging-in-Publication Data:
Dru, Jean-Marie, author.
The ways to new : 15 paths to disruptive innovation / Jean-Marie Dru.
pages cm
Includes bibliographical references and index.
ISBN 978-1-119-16797-6 (cloth); ISBN 978-1-119-21183-9 (ePDF);
ISBN 978-1-119-21182-2 (ePub)
1. Creative ability in business. 2. Technological innovations. 3. New products. 4. Organizational change. 5. Strategic planning. I. Title.
HD53.D78 2016
658.4'063—dc23
2015029533
Dedication
To Marie-Virginie
DISRUPTION® is a trademark owned by TBWA since 1992.
It is registered in 36 countries including the European Union, United States of America, Russia, India, Japan for services that encompass not only advertising, marketing, digital, and communication activities but also business consulting services, books, education, and training to quote just a few of the activities covered.
Foreword
If there is one phrase that I cannot stand today, it is “flat is the new up.” Imagine setting yourself the target of drawing every game in a season. What a depressing mind-set.
Luckily, I have had the good fortune to surround myself with people who are dreamers, creators, and innovators. One man stands at the top of that field, Jean-Marie Dru, the original thinking man, who gave the business world the theory and practice of Disruption®.
Today and in the future some may find growth difficult. For extraordinary results one cannot take incremental steps. As Jean-Marie explains, “we must innovate in the way we innovate.” In his new book titled The Ways to New, Jean-Marie has identified and detailed a series of paths that can lead companies to make a difference through innovation.
We are living in a world highly dependent on innovation. When President Xi Jinping was asked about what would be critical for the long-term future of China, he answered: “Innovation, innovation, innovation.” In this context where innovation is increasingly decisive in the competition between companies, industries, and countries, it is key to use all available means in order to increase your success ratio.
True to the spirit of Disruption® that has been at the heart of our company for 25 years, you won't find a formula within this book that is the cure-all for discovering and creating innovation. There is no miracle process. Disruption® works through repetition, optimization, and approaching a problem with as much stimulus and inspiration at your side as possible.
Through a thorough exploration of some of today's most striking success stories, you can find new ways to inspire others to think differently about innovation.
This is what The Ways to New is all about. Enjoy.
—Troy RuhanenPresident and CEO, TBWA\Worldwide
Introduction Why Marketing Should Drive Innovation
There was a time when marketing directors used to play a leading role in corporate hierarchies. That should never have changed. Because, quite simply, the role of marketing is to create growth. Organic growth: the only growth that really matters. Acquisitions may be strategic. But in the end, it is the growth of existing business that counts.
As a discipline, marketing has been through a difficult phase since the heady days of the eighties and nineties. Its importance has declined. People have grown wary of it. To such an extent that only a few years ago, marketing directors kept their jobs for barely two years on average. That can't be right.
According to management consultants Spencer Stuart, things have improved a bit. But many chief executive officers are still not entirely trusting of their chief marketing officers. That makes the latter's job harder. Even though that job consists of helping devise the company's overall strategy.
So a gap has formed between the importance of marketing, which is vital, and the way people see it. This is not healthy. Peter Drucker states the matter very plainly in his The Practice of Management, “Because the purpose of business is to create a customer, the business enterprise has two—and only two—basic functions: marketing and innovation. Marketing and innovation produce results: all the rest are costs.”1
That tells us just how crucial marketing is. I would add that marketing and innovation should be seen as inseparable disciplines. The one strengthens the other. They are two sides of the same coin.
The Disruption® methodology makes them even more closely connected. Disruption® bridges the gap between marketing and innovation. On the one hand, it helps increase brand consistency and brand value. And on the other, it provides marketing teams with a tool, inasmuch as it gets them to see innovation as being an integral part of their job. This book is about this particular aspect of our method: how Disruption® can help marketing drive innovation.
The first part lays out the basic principles of our approach. The heart of the book lies in the second part, which describes fifteen paths to innovation. Any company, whatever its size, whatever the field, can use any of them to renew the way it innovates. The final part then reconsiders Disruption® as a whole and shows how Disruptive Brand Building can play an even larger part in the future.
(If you are only interested in case stories in disruptive innovation, go to Chapter 4.)
Note
1.
Drucker, Peter (1954).
The Practice of Management.
New York: Harper & Brothers.
Part OneDisruption and Innovation
Chapter 1Disruption and the Innovation Deficit
The Innovation Deficit
Newspapers and business books have long focused on the digital revolution: on the start-up phenomenon, on the rise of nanotechnology and biotechnology, on scientific breakthroughs such as in health care. Innovation, it seems, is everywhere. But the few truly innovative corporations that have come into existence hide the facts. People lump them together with the rest of the industry, over which they may cast a rosy halo. The truth is that many companies, especially those born before the digital revolution, are proving unable to innovate fast enough.
The problem is in the implementation. Research and development guidelines often seem too conventional. They limit rather than open up possibilities. Many companies are hostages to management systems, schemes, and procedures set in stone. You only need to look at the insufficiency of their organic growth.
A.G. Lafley, Procter & Gamble's former chief executive officer, has made a list of all the innovations launched by his company in the last decades, carefully distinguishing between incremental and disruptive innovation.1 The latter are a minority but they generate more profit than incremental innovations do. Incremental innovations remain essential because they feed a continuous flow of new revenue streams, but they are insufficient, very insufficient. They do not ensure that a company will remain successful over the long term. Only disruptive innovation allows companies to stand the test of time.
Even Procter & Gamble, which ranks among the world's most innovative corporations historically, has only launched two truly disruptive innovations in recent years: Swiffer and Febreze. What about other companies? A 2011 report from Booz & Company2 underlines that the two sectors most heavily invested in research, automobiles and health care, can boast almost no disruptive innovations at all (other than the electric car). The pharmaceutical industry is struggling to innovate. Fast-moving consumer goods companies are suffering from a lack of breakthrough products. As to high-tech industries, the story is obviously different. Their latest inventions constantly make the headlines. They are transforming the business world forever. Yet, they only account for 20 percent of industrial and commercial activity. They alone cannot compensate for the insufficient pace of innovation of business as a whole.
Every year, thousands of scientific articles report on some of the millions of patents registered around the world. But the proportion of these inventions that actually come to market is very low, no more than 5 percent according to official sources. And we seem incapable of increasing the rate of success. So a solution would be not to try and improve the percentage, but to increase the size of the sample: the cent in percent. In other words, we need a much wider base of ideas.
To do this, we will have to find new sources of inspiration. New doors need to be boldly opened. Different experiments and experiences need cross-fertilizing. A diversity of talents must be brought together. Intuition must be encouraged to speak. Bountiful encounters must lead to unexpected ways of thinking. This is the very essence of Disruption.
As Frans Johansson puts it in The Medici Effect, “Quantity of ideas leads to quality of ideas.”3
Disruption Methodology
The term disruption has become hackneyed. Twenty years ago, it was the term we found to define a methodology. Then the business world appropriated it and gradually changed its meaning. Today, people use the word disruption to describe start-ups offering lower product prices through new technology. And it is true that digital newcomers can often radically upset the market, constituting a serious threat to existing players.
However, I cannot agree with this definition of Disruption. It is too restrictive. I prefer our original sense. Disruption is not just a way of defining how start-ups clear the decks in any given sector. Disruption concerns all types of businesses, in the broader definition that we shall use in this book, at any rate. To us, Disruption® is a specific, three-step method: Convention, Vision, and Disruption.
Invariably, we start out by challenging existing conventions, ways of thinking and doing, based on preconceived ideas and deep-rooted habits. From there, we try to come up with a vision, a new way for a brand or company to define its future. And only then do we have Disruption, “the idea that will accelerate our journey from challenging convention on the one hand to renewed vision on the other.”
From the earliest days, it became apparent that Disruption, in this sense, would prove relevant to advertising, marketing, business models, and even new product development. Think of it as a series of concentric circles: at the center sits the product; then comes the business model; and at the outer edges stand marketing and advertising. Electric cars are a disruptive innovation. iTunes is a disruptive business model, as are Amazon, Ikea, and Airbnb. I consider Southwest Airlines and The Body Shop to be marketing disruptions. And Old Spice and Red Bull are advertising disruptions. In other words, it is possible to be a “disrupter” at any level. The closer Disruption comes to the center of the circle, which is to say the business model or even the product, the stronger it will prove.
Notes
1.
Lafley, A.G., and Charan, Ram (2008).
The Game-Changer: How You can Drive Revenue and Profit Growth with Innovation.
New York: Crown Business Publishing.
2.
“The Global Innovation 1000 Study.” Booz & Company Annual Report (2011).
3.
Johansson, Frans (2006).
The Medici Effect. What Elephants and Epidemics Can Teach Us About Innovation.
Boston, Massachusetts: Harvard Business School Press, p.96.
Chapter 2Disrupt the Way You Innovate
We need to fight against the widely held view that Disruption is destruction.
Some think that our only choice lies between incremental, evolutionary strategies at one end and revolutionary but destructive strategies at the other. In truth, a whole range of strategies is available to us, so that corporations can improve market share by adopting a disruptive approach, without going so far as destroying their marketplace. Not everyone has to be Uber or Airbnb.
Having said that, many of today's marketing departments appear to satisfy themselves with only incremental innovation. They do what they can to make marginal improvements. But disruptive innovation, though more demanding of imagination and commitment, also always turns out to be more fruitful. Not only does disruptive innovation create top-line growth, it also has a powerful impact on the bottom line.
Innovate against, Innovate for, Innovate with
So how does the Disruption methodology help? The answer is easy. It makes you think in many different ways.
Generally, most people innovate against or they innovate for. People innovate either where they think change is needed or because they believe they have something new to offer. In 1984, Apple innovated by challenging IBM. That was innovating “against.” Sixteen years later, in 2000, Apple was no longer an outsider. It had become a global leader: it was bringing the fruits of its amazing inventiveness to the world. It was innovating “for.”
Companies that sell fast-moving consumer goods tend to stick to “against” culture. High-tech firms tend to belong to “for” culture.
One interesting point is that the distinction between “against” and “for” matches the distinction between “Convention” and “Vision.” This observation has given rise to two different innovation sessions in Disruption meetings, whether with clients or among ourselves. At the first session, “Innovating Against,” we proceed according to the Disruption Method. In other words we identify market conventions. The aim is to dig up as many conventions as possible. Every one of them, however insignificant seeming, could turn out to be a launch pad for innovation.
The second session, called “Innovating For,” focuses on choosing one out of a range of approaches to brand vision. These can be summed up, depending on the brand story, as “An Ambition,” “A Belief,” “A Mission,” “A Viewpoint,” “A Reason for Being” or “A Role.” Every time someone comes up with a new way of looking at a brand, an avenue opens up for innovation. We also look at economic, cultural, technological, and social trends as well as dozens of related sub-trends. Then we take each one of these in turn and try to use them as a source of new ideas.
You can innovate “Against” or “For,” but also “With.” This is the subject of a third session, in which our goal is to think up partnerships, and more specifically unlikely partnerships between our clients and others. For instance, General Electric with Amazon or L'Oréal with Instagram. We devise imaginary and unnatural joint ventures—with competitors, customers, and suppliers, with traditional and digital retailers, with Internet players like Facebook or Twitter, with companies in the health care, energy, and education fields—three sectors in dire need of innovation.
I call such partnerships unlikely or unnatural, in that we feel free to include in our game companies whose activities are very different from our clients's. We force things in order to maximize creative tension.
Innovate in All Shapes and Forms
Our fourth and last session is of another order. It is based on the fact that where innovation is concerned, most companies fail to venture beyond caution. Their methods tend to be repetitive, and not very inventive. We suggest that they look at how others go about things and study the way innovation happens elsewhere. And maybe get inspired by what they see.
This may seem simple, but it is important to choose examples after careful consideration. How many times have I heard our people tell clients they ought to act like Apple, say, or Nissan? This is a superficial approach that can lead to no serious rethinking and is thus useless.
Seeking inspiration from other industries or other companies demands hard work and insight. People need to understand exactly how and why their way of innovating is special. And thus grasp the key characteristic that defines their way of thinking and doing.
Bearing this requirement in mind, we have developed a tool that tells us by what means we can innovate: what the different types of Disruption may be. Here are some of them. Open Disruption, Asset-Led Disruption, Sustainability-Driven Disruption, Price-Led Disruption, Structural Disruption, Insight-Driven Disruption, Data-Based Disruption, Business-Model-Driven Disruption, and so on. We have divided these various types of Disruption into fifteen categories, which make up the fifteen chapters of Part Two of this book. We call these “Fifteen Paths to Innovation.” Some are well established, others less so. Nearly all are digital-driven.
I will summarize our approach in three examples, each taken from case studies, to explain how it works.
Amazon is an instance of Asset-Led Disruption. When Jeff Bezos decided to become an entrepreneur, he started out by designing a highly original platform based on innovative information technology and logistical breakthroughs. Then he asked the question: to be most successful, on which playing field should we be competing? He came up with an answer: in the book trade. So Jeff Bezos did not start out analyzing market needs. He started out creating an amazing platform that became his main asset.
The Amazon example induced us to ask the following question: What if your core asset became the platform for innovation, rather than the products or services you sell?
Now that is a stimulating question. And the first in a long list this book will come up with. They can serve as a checklist before any meeting about innovation. (The whole list of forty-two What Ifs is in the back of the book.)
Toms, the shoe company, is an example of Disruption led by Corporate Social Responsibility (CSR). For every pair of shoes purchased, Toms gives an impoverished child a second pair. When consumers buy Toms products, they feel they are participating in a worthwhile cause. They show they care. CSR is at the core of Toms's business. It has underpinned the firm's success ever since it was founded in 2006.
This example provokes another question. What if you considered CSR not as a philanthropic initiative, but as a way to reinforce your core business?
Now the third example: Price-Led Disruption. To make its textbooks widely available to students and customizable by teachers, publisher Flat World Knowledge has put them on the Internet. Teachers can go onto the company's online platform and paste together passages from different textbooks at will to make up their own bespoke teaching tool, exactly suited to the course they are offering. Students too are allowed to buy just a few chapters at a time. No one, neither teachers nor students, ends up paying for something they don't need. Sometimes, the company even gives away a couple of chapters.
Hence the question: What if you decided to offer part of your products and services for free?
This book adopts a process based on induction. We take a specific case. The case leads to a broader question. That in turn can suggest strategies for a variety of products. Such approaches are mind-opening. They help shift the way companies think about their markets and about their business as a whole. In this way, the Disruption methodology helps them to rethink innovation. We try to open up new avenues for our clients by suggesting they ask themselves a whole range of different questions.
We encourage them to find those questions they never think to ask.
Chapter 3Disruption in Practice
Disruption Methodology is a living organism that has been evolving ever since it was born. One day, in 2001, our Johannesburg agency took a radical step. It devised something called Disruption Days®. Within a few months, our entire network had followed suit. Disruption Days respect a precise schedule, with three or four exercises relating to each of the Convention, Vision, and Disruption steps. And each exercise has its matching What If questions. These run like a thread throughout every Disruption Day.
Disruption Days
Internally, we use Disruption as a strategic planning tool. And we use it with our clients in the context of Disruption Days. We spend weeks, sometimes months, preparing for these Disruption Days. And, on the actual day, people from every department (marketing, sales, public relations, research, finance and human resources) at the client's company and of every rank meet our people, also from each of our departments and from every level of our agency. Usually, about forty people in all. We disrupt hierarchical structures. We avoid top-down habits.
So reckoning on three meetings a year (an absolute minimum) in each of our two hundred offices around the world, it becomes apparent that we have arranged more than five thousand Disruption Days. Perhaps as many as ten thousand. We do not keep track. And if you consider that some twenty people from each client company attend, then at least one hundred thousand people from our client firms have attended a Disruption Day. That is quite something. It shows that Disruption is indeed a key part of our culture. It is our basic asset. And our main competitive edge.
Designing a Disruption Day on innovation, we have decided to use the four sessions mentioned above, “Innovation Against” and “Innovation For” in the morning; “Innovation With” and “Innovation in All Shapes and Forms” in the afternoon.
