Chapter 7
R&D for New Business Models
If only we could have started the twenty-first century by putting up a “closed for renovation” sign, clearing the way to transform our current business models and industry structures. We don't have the luxury. Business models don't last as long as they used to. Tweaks won't work and nothing short of business model innovation and industry transformation is needed. Our collective challenge is to catalyze transformational change while continuing to pedal the bicycle of today's business models. We need real-world platforms, connected to existing business models, with the autonomy and resources to design, prototype, and experiment with transformational solutions. Going to war with current business models won't work. If we're going to transform anything we should start by putting up an “open for renovation” sign.
Have you ever done a major renovation of your home while you were still living in it? We did. I don't know what we were thinking. I'm not talking about a tweak. It's the familiar story about a project that started off as a manageable kitchen remodeling. Then the “while we're at it we might as well do this too” started. Before the dust finally settled, 75 percent of the living space in our home was transformed, all while we continued to live in the house. Talk about disruption! Like all transformations, it took twice as long and cost twice as much as predicted. If you ask our three children, who had to live through it, I'm sure each would ...
