iot and connected world in traditional business
TRANSCRIPT
IoT and Connected World in Traditional Businesssuggestions on managing innovation stack for traditional companies
by Thomas GronesPM Connected Car | TEXA CARe
Managing innovation stack for traditional companies in IoT and Connected World – Thomas Grones
Markets
People Technology
Organization
Today’s organization must be able to work productively in an environment of constant change.
Enterprises need more than the right technology, they need to harness that technology to enable the right people to do the right things in an adaptable, change-ready and responsive liquid workforce.
Managing innovation stack for traditional companies in IoT and Connected World – Thomas Grones
«The main thing that has caused companies to fail, in my view, is that they missed the future»
Larry Page
Managing innovation stack for traditional companies in IoT and Connected World – Thomas Grones
All organizations operate today in the same global environment.
The difference between winners and losers are their strategies and capabilities to indentify and act on opportunities
Managing innovation stack for traditional companies in IoT and Connected World – Thomas Grones
Need for industry boundaries redefinition:
The increasing capabilites of smart, connected product not only reshapecompetition within industries but expand industry boundaries.
This occurs as the basis of competition shift…
from discrete product,
to product systems consisting of closely related products,
to system of systems that link an array of product systems together.
Managing innovation stack for traditional companies in IoT and Connected World – Thomas Grones
A tractor company – for instance – may find itself competing in a broarderfarm automation industry.
Product Smart Product
Smart Connected
Product
+
+
+
Product System
System of Systems
+
FarmEquipment
System
Tillers
PlantersCombineHarvesters
+Farm
EquipmentSystem
WheaterData
System
IrrigationSystem
SeedOptimization
System
FarmManagement
System
Field Sensors Irrigation Nodes
Farm Performance DB
Seed DB
Rain Sensors
Source: https://hbr.org/2014/11/how-smart-connected-products-are-transforming-competition
The business context of today
- Market shifts are really unpredictable;
- Small teams can create immense value;
- New markets are winner-take-all;
- Speed is the only competitive advantage;
- For every success, there are multitude of failures
- Proper budget settings on R&D and Launch
Managing innovation stack for traditional companies in IoT and Connected World – Thomas Grones
Performance Innovationvs
Problems are well understood
Existing markets
Innovation improves performance
Evolutionary innovation efforts
Satisfying current customer needs
Traditional Business Models
Problems are not well understood
New markets
Innovation as game changer
Revolutionary innovation efforts
Satisfying emerging needs
Emerging Business Models
Managing innovation stack for traditional companies in IoT and Connected World – Thomas Grones
Performance and Innovation have to work in Sinergy
It’s the lesson I’ve learned when it’s up to traditional business modelshaving to face with disruptive business models as «connected» and «IoT»
PerformanceEngine Innovation
Engine
Funding
Innovation & learnings
Managing innovation stack for traditional companies in IoT and Connected World – Thomas Grones
“Don’t worry about people stealing your ideas. If your ideas are any good, you’ll have to ram them down people’s throats.”
Howard Aiken
Managing innovation stack for traditional companies in IoT and Connected World – Thomas Grones
Suggested approach to Innovation Stack
beside easy to catch customer audit, and business model the real focus has to be MVP: minimum viable product
CustomerDevelopment
Business Model MVP
Managing innovation stack for traditional companies in IoT and Connected World – Thomas Grones
Speed is the only competitive advantage
Lean startup need to work together with MVP. Lean is anyway not to be confused with «low cost», it’s only about speed. The goal is to movethrough the build-measure-learn-feedback loop as quick as possibile and be sure to setup the process.
Tecnology Trigger
Trough of Disillusionment
Slope of Enlightenment
Plateau of Productivity
Peak of Inflated Expectations
VISI
BILI
TY
TIME
Managing innovation stack for traditional companies in IoT and Connected World – Thomas Grones
MVP Minimal Viable Product
It’s the sweet spot between products without the required features that failimmediately when shipped and the products with too many features that cutreturn and increase risk.
Delightful
Usable
Reliable
Feasible
Usable
Reliable
FeasibleNOT THIS!!! -------
BUT THIS!!! -------Delightful
Managing innovation stack for traditional companies in IoT and Connected World – Thomas Grones
Concepts vs. Products
- Describe your MVP concept to possible stakeholders/buyers;
- Share wireframes or mock-ups, demos;
- Gather feedback from possible buyers (setup personas);
- Do NOT build the product … yet
Managing innovation stack for traditional companies in IoT and Connected World – Thomas Grones
In three years from now, whentalking to a customer whatwould you want to hear about
your new product ?
Focus for this journey
Managing innovation stack for traditional companies in IoT and Connected World – Thomas Grones
Thanks for Your Attention
Managing innovation stack for traditional companies in IoT and Connected World – Thomas Grones
by Thomas GronesPM Connected Car | TEXA CARe