Sustaining technology article about sustaining technology. Christensen came up with two basic categories of technologies. An example of sustaining technology is the expansion of data storage capacity for disk drives in personal computers. Usually, when we think of innovation, we think of disruptive or breakthrough. Focusing on disruptive technology the honda super cub, intels 8088. I really think both michael dell and meg whitman need to read the book by clay christensen, maybe. Disruptive technologies is a new way of doing things. So what is this difference between sustaining vs disruptive technology you ask. A disruptive innovation is one that changes the basis of competition in an industry for example in lowtier watches, swatch changes the basis of competition from accuracy to fashion.
Any technology that causes a revolution in traditional business models. Identifying the next disruptive technology curve is easy in retrospect, hard in realtime. Clayton christensen massachusetts institute of technology. They are generally cheaper, simpler, smaller, and, frequently, more convenient to use.
An age of disruption happens about every 10 years, and that is what makes what is happening now particularly exciting and scary. The term disruptive technology was coined by clayton m. Sustaining technology definition of sustaining technology. Sustaining vs disruptive technologies 207 downloads 7 pages 1,618 words add in library click this icon and make it bookmark in your library to refer it later. The concept of disruptive technology was coined by clayton m.
Disruptive innovation is rare, and tends to happen in cycles. The innovators dilemma is a management book about innovation written by. They give us a better, faster, cheaper product in an already established market. Disruptive technology, innovators dilemma, sustaining innovation disruptive technology a new technology that has a serious impact on the status quo and changes the. So sustaining technology largely comes about as a result of listening to the needs of your current audience, whereas disruptive technology is all about shooting for a new audience, or persuading existing users that they want something different. Disruptive technology a new way of doing things that initially does not meet the needs of existing customers b. Jul 01, 20 startups and enterprises might be on different ends of the spectrum, but theyre both thinking about disruptive innovation. The grass always appears greener on the other side, but while youre. Because of that, large companies choose to overlook disruptive technologies until they become more attractive profitwise. Clayton christensens book the innovators dilemma explores these thoughts in. A disruptive innovation helps create a new market and value network. Sustaining technology synonyms, sustaining technology pronunciation, sustaining technology translation, english dictionary definition of sustaining technology.
Most technological advances in a given industry are sustaining in character. A disruptive technology or disruptive innovation is an innovation that helps create a new market and value network, and eventually. It refreshes and give a deeper insight to the concepts of sustaining vs disruptive innovation and adds several elements that you have to keep in. And why would anyone want to focus on a disruptive innovation. Catching the wave which he cowrote with joseph bower. Oct 03, 2015 a disruptive technology mainly captures the minds eye of the market because it brings about a twist in the market which is not there in sustaining technology. Jul 12, 20 wikipedias disruptive innovation page has the answer to the first portion of your question. It is, after all, built upon the foundation of virtualization, an existing and widely applied data center technology. The innovators dilemma by clayton christensen video book.
In fact, this book popularized the theory of sustaining vs. The difference between sustaining innovation and disruptive innovation openviewventure. So, later on, were going to look at the arab spring and well see that certainly for the, the, the citizens in egypt and tunisia, the. Its time to look at innovation beyond disruptive or incremental change to how it creates effectiveness and efficiency. Their business models are to monetize data rather than to charge cell, data, or access fees. Sustaining technology produces an improved product customers are eager to buy. The subtle but key difference is that sustaining innovation satisfies customers current needs, whereas disruptive technologies and business models evolve to meet customers future needs better. Disruptive innovation is harder to achieve because.
Sustaining vs disruptive innovation the difference between sustaining and disruptive innovation is commonly misunderstood by many in business. In 1997, the bestselling book, the innovators dilemma harvard business school professor clayton m. So, later on, were going to look at the arab spring and well see that certainly for the, the, the citizens in egypt and tunisia, the internet was a sustaining technology. Sustaining technology refers to an innovation or improvement to an already existing. Both sustaining innovation and disruptive innovation are not easy to achieve. Disruptive innovation creates new markets separate to the mainstream. Sustaining vs disruptive technologies startup iceland. A sustaining innovation is one that perpetuates the current dimensions of performance for example, intel developing faster and faster chip speed. The difference between sustaining and disruptive innovation is commonly misunderstood by many in business. The difference between sustaining innovation and disruptive.
This book is the second of the christensens innovators saga. In general, \old products based on sustaining technology are perceived to be. There are practical problems with neglecting either form of innovation. Disruptive technology vs sustaining technology compuvision. Mar 24, 2014 innovators dilemma sustaining vs disruptive technologies the innovators dilemma, the strategic term first articulated in a classic business book, the innovators dilemma,a by the innovation guru, clayton christensen of harvard business school. Mar 31, 2016 the innovators dilemma explains how successful companies that dominate their industries fail in the face of disruptive innovation. Guide to 12 disruptive technology examples intelligenthq. Summary of the innovators dilemma antonio da silveira medium. The book explains how successful companies that dominate their industries fail in the face of disruptive innovation. Sustaining innovation better performance demanding, high end customers disruptive innovation simpler more convenient cheaper. Disruptive technology, innovators dilemma, sustaining innovation disruptive technology a new technology that has a serious impact on the status quo and changes the way people have been dealing with something, perhaps for decades. Is cloud computing a disruptive innovation, as defined by clayton christensen. They go way beyond inventions because they have an economic impact.
Wikipedias disruptive innovation page has the answer to the first portion of your question. A disruptive technology or disruptive innovation is an innovation that helps create a new market and value network, and eventually goes on to disrupt an existing market and value network. Dec 19, 2011 in this episode, we look into two different types of innovation, those that iterate on an existing idea or product and those that disrupt the status quo. Ironically, in each of the instances studied in this book, it was disruptive technology that. The term disruptive technology has been widely used as a synonym of disruptive innovation, but. The innovation eventually disrupts an existing market and value network. Section 3 describes the example technological innovation. The motivation of the technology industry is, after all, to have everyone online all the time. Its a message of caution for leadership teams at these companies, but also a message of encouragement for competitors venturing against these goliaths. Disruptive technologies occur less frequently, but when they do, they can cause the failure of highly successful companies who are only prepared for sustaining technologies. There are many great example for disruptive innovation, but our three favorites are waze, airbnb and. Authors will go digitalfirst and the most successful will land a traditional book deal. The main differentiation that i make is that sustaining innovation comes from listening to the needs of customers in the existing market and creating products that satisfy their predicted needs for the future. Sustaining technologies improve the performance of established products, along the dimensions of performance that mainstream customers in major markets have historically valued.
In business theory, a disruptive innovation is an innovation that creates a new market and value network and eventually disrupts an existing market and value network, displacing established marketleading. Apr 06, 2017 both breakthrough and disruptive innovation are important to your longterm strategy, but they provide very narrow profit margins on their own. Sustaining technology refers to an innovation or improvement to an already existing technology that does not involve a shift in a companys goals and target audience. Disruptive and sustaining innovation strategic toolkits.
Christensen and introduced in his 1995 article disruptive technologies. A disruptive technology is such a technology which helps in creating value network and new markets and eventually disrupts a value network and an existing market displacing the earlier technology. Sustaining vs disruptive innovation matt west design. These two types of innovation are at the core of the innovators dilemma. In other words, publishers need to turn from the disruptive innovations of ebooks and ereaders to the creation of sustaining innovations that improve those technologies, innovations which add new. For example, i had thought that disruptive innovation was the holy grail. Aug 09, 2017 the innovators dilemma by harvard business school professor clayton christensen.
At first glance, one might evaluate it as sustaining. Disruptive technologies, however, eventually surpass sustaining. More than an how to is a kind of how not to make autopilot mistakes. Jun 19, 2017 but this is the new nature of disruption. And when new technology is developed, disruption theory does not dictate what managers should do. With advances in technology, it seems obvious that companies should always launch new products. In his book, the innovators dilemma 3, professor clayton christensen of. A it states that a companys successes and strengths can actually become obstacles. What is the difference between disruptive technology and. It is the kind of thing where historically apple showed off new products that drove a lot of excitement, sales, profits and equity value improvement. It is rare that a technology or product is inherently sustaining or disruptive. A disruptive technology is one that displaces an established technology and shakes up the industry or a groundbreaking product that creates a completely new industry. Sustaining research september 3, 20 leave a comment over the past three years, as ive spent time in a wonderful lab full of exciting and supportive people doing research i greatly enjoyed, ive had to think a great deal about why exactly i feel so compelled to make an early exit from academic science.
Here, christensen points out that unless established. Sustaining research september 3, 20 leave a comment over the past three years, as ive spent time in a wonderful lab full of exciting and supportive. Innovations are inventions applied to the market, thrown into the economic system to proliferate and generate revenue and profit. What is the difference between disruptive innovation and. As the above graph shows, disruptive technologies cause problems because they do not initially satisfy the demands of even the high end of the market. While we tend to give great attention to disruptive and breakthrough innovation, sustaining innovation is where established companies experience higher profits. While disruptive technology can produce an effect of a bomb sudden. Disruptive innovation means to reinvent a technology, business model, or simply invent it all together. Such technologies surprise the market by generating a substantial. Choosing between sustaining innovation and disruptive innovation is not simple. The next section explains distinguishing features of disruptive and sustaining technologies. Sustaining technology can be subdivided into two categories. Sustaining technologies improve the performance of established products, along the dimensions of performance that.
The notion of disruptive technology is one of the timeliest ideas of the internet age. Disruptive technology vs sustaining technology christensen contrasts disruptive technology and sustaining technology. Sustaining and disruptive technologies mba knowledge base. Sustaining technology produces an improved product customers are eager to buy 2. This book offers the knowledge and tools to engage confidently with emerging technologies for better business. While disruptive technology can produce an effect of a bomb sudden, tremendous, and radical change, sustaining technology does not significantly affect the market. Di occurs so intermittently that no company has a routine process for handling them. Lets look at some of the parallels between these two disruptive phenomena in the publishing world. And that incremental or sustaining innovation was the ugly duckling.
Almost all innovation that happens, in every industry, is of the sustaining type. It refreshes and give a deeper insight to the concepts of sustaining vs disruptive innovation and adds several elements that you have to keep in mind to set up the strategy for your innovation. The incumbents arent ready for this and as a result, the vast majority of todays leading companies will. A disruptive technology mainly captures the minds eye of the market because it brings about a twist in the market which is not there in sustaining technology. Disruptive technologies outlines the steps businesses can take to engage with emerging technologies today in order to serve the consumer of tomorrow. A 20year veteran of product development shares some thoughts on when to refine or abandon an existing technology for something new. Learn vocabulary, terms, and more with flashcards, games, and other study tools. There are fundamentally two varieties of disruptive innovation.
Raynor, the innovators solution, christensen replaced the term disruptive technology with disruptive innovation because he recognized that few technologies are intrinsically disruptive or sustaining in character. In his book, the innovators dilemma, professor clayton christensen of harvard business school describes a theory about how large, outstanding firms can fail by doing everything. A technology that is sustaining for one person may be disruptive for another. Pctw 70 sustaining vs disruptive innovation youtube. Incumbent businesses often neglect disrupters because the process can take time. They go way beyond inventions because they have an economic impact on the surroundings. The main differentiation that i make is that sustaining. We study a special type of technology evolution, referred to in the literature as disruptive technology vs. Innovators dilemma sustaining vs disruptive technologies.
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