Disruptive Technologies Bring Disruptive Organizational Change

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Disruptive Technologies Bring Disruptive
Organizational Change

• Disruptive Technologies is a Leading Cause Why
  Large Successful Firms Fail
• - DEC
• - Xerox

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Disruptive TechnologiesA Driver of
Organizational Failure
LINE 2 Performance trajectory of present
technology driven by sustaining tech.
improvements
Performance
LINE 1 Performance which marketplace can absorb
LINE 3 New performance trajectory
Disruptive technology
Time
3
Where do you see disruptive information
technologies threatening successful, established
companies today?
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Disruptive TechnologiesStrategic Discretion
TECHNOLOGY CENTRIC Should I push or stretch the
technology, until I can use it in existing
market segments applications, with existing
customers?
Disruptive Technology
MARKETING CENTRIC Should I find or create a new
market segment in which the attributes of the
disruptive technology, as it exists today, are
valued?
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Large Organizations/Small Markets
Apple II Newton
Functionality Limited Limited
First two years sales (units) 43,000 120,000
Result IPO FLOP