A presentation on how innovators think and how inventions take place. The detailed discussion on the principles of invention and serendipity.

1. The Innovator´s Dilemma
Framework By: Clayton Christensen
Presentation By: Tatiana Khair Ashkan Marsh
Sune Pedersen David Vega

2. Overview
• Part 1: Theory of Disruptive Innovation
• Part 2: Theory of Value Networks
• Part 3: What You Should Do As A Manager &
Current Disrupters Examples

3. Theory of Disruptive Innovation
Ashkan Marsh

4. Clayton Christensen
• Professor at Harvard Business School
• World Renown Innovation Expert
• Focus on Disruptive Innovation of
Commercial Enterprises

5. • 5 minute intro video

6. “Precisely because these firms listened to their customers,
invested aggressively in new technologies that would provide
their customers more and better products of the sort they wanted,
and because they carefully studied market trends and
systematically allocated investment capital to innovations that
promised the best returns, they lost their positions of
leadership.”
WHAT DID
I DO
WRONG??

7. 2 Types of Innovation
Sustaining vs. Disruptive

8. Sustaining Innovation
• The continuation of a
technology into its refined
forms
• Driven by existing industry
leaders
• Listen to your existing
customers

9. Disruptive Innovation
• A new form or format in
process or technology
• Driven by new entrants and
missed by industry
incumbents
• Don’t listen to your
customers

10. Disruption of Disc Drives

11. Disruption of US Car Sales

12. Disruption of Swiss Watches
Quartz movement
introduced

13. Summary
Conventional S-Curve Disruptive S-Curve

14. Theory of Value Networks
Tatiana Khair

15. Why do successful
companies fail?

16. Why do successful
companies fail?
1. Wrong managerial, organizational or cultural response
to technological change
2. Lack of ability to deal with new technologies
3. Value networks concept

17. Value Network

18. Value Network

19. Value Network

20. Key Points
• Companies depend on customers and investors for resources
• Small markets don't solve the growth needs of large companies
• Markets that don't exist can't be analyzed
• An organization's capabilities define its disabilities
• Technology supply may not equal market demand

21. What You Should Do As A Manager &
Current Disrupters Examples
Sune Pedersen David Vega

22. What can managers do?
2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020
Low end traditional
Mid end traditional
High end traditional
Disruptive technology

23. MARKET
• Find the right customers (compete against non-
consumption)
• Develop a new market that values the attribtues
• Plan to fail early and inexpensively
ORGANISATION
• Establish sub-organizations that get existed about small
opportunities and wins
• Utilize the mainstream resources, but reinvent processes
and values

24. Examples

25. Most Disruptive Technology of
all Time
Internet
• Arpanet was born in 1969 for
military purposes.
• Changed the world of
communications.
• In 2012 it reached 2.4 billion
users.

26. Is the iPhone a Disruptive
Technology?
“The iPhone is a disruptive technology because it has created a
pocket desktop for users”.
-Tim Bajarin
President of Creative Strategies.

27. Disruptive!
• Made mobile web more accesible
and commercial with the
applications.
• Improved exponentially existing
Smartphones in the market.
• Impacted telecom and computing
industries as well.

28. Other disruptive
technologies

29. Disruptive Companies
Around the World
http://www2.technologyreview.com/tr50/2012/

30. “It is not the strongest of the species that
survives, nor the most intelligent that
survives. It is the one that is most
adaptable to change.”
-Charles Darwin
“Those who live by the sword….
Will be shot by those who don’t”

31. References
• http://mashable.com/2012/06/29/iphone-turns-5-op-ed/
• http://www.lasvegassun.com/news/2009/jan/09/iphone-disruption-
tech-execs-yes/#axzz2Yc9Rzfvt
• http://www.avg.com/history-of-internet
• http://www.livescience.com/11373-top-ten-disruptive-
technologies.html
• http://www2.technologyreview.com/tr50/2012