Innovation and continuous foresight
Merging Strategy and Innovation
Last week, McKinsey published an interesting report on innovation. The premise: “We analyzed hundreds of companies, ...
Last week, McKinsey published an interesting report on innovation. The premise: “We analyzed hundreds of companies, worldwide, across a decade-long business cycle. The conclusion? Winners change their business mix, year after year. Laggards sit still… [This is ] because the market moves on and their company doesn’t. That’s why sitting still is often the worst choice you can make...Our research makes the clear business case for dynamic portfolio management.”
The details of the report are interesting, touching on how much innovation is too much, and how much is not enough. It concludes that there is a range that is .. just right… the “Goldilocks” range.
Of course, it seems intuitive that markets suffer disruption all the time - from competition, from technology, from economic shocks, and from health crises, as is occurring this year. However, in most companies, the task of figuring out *what* to do, what innovation matters, is pretty amorphous and ill-defined.
At Hypershift, we’ve developed a systematic process for rapidly and systematically testing a strategic portfolio of business model innovations. Instead of a handful of incubated ideas that have a low probability of success and don’t generate much insight into trends, companies gain a wealth of data from directly from customers and the market - what customers are ready for, and what changes are too early - and refine both the innovations and company strategic objectives to achieve outcomes with higher reliability.
It is not just about the NEED to innovate. It is also essential that companies figure out WHAT innovation is important to which customers and when. This lets them reinvigorate their product portfolio at an optimal pace while maximizing investment efficiency. Let us show you how we do it.