Saturday, September 23, 2006

Christensen’s Disruptors

There is a theory postulated by Clayton Christensen, a Harvard Business School professor, that there could be a few products or systems that create entirely new markets, new demands and displace established providers. His view was that in a current market there is only a certain “performance” increment that customer from a certain tier, would demand from their suppliers and providers; however, his theory is that there are innovators in the ‘supplier’ companies who would bring in higher performant technology that outstrips the ability of customers in those tiers of the market to absorb it. This implies that these large companies/providers are pushed towards serving the higher tier of the market that needs such performance; and thus these companies are pushed to create a niche for themselves. As the larger companies move towards the higher tiers of the market, it creates opportunities for smaller and more agile companies to enter the lower tier of the market with ‘disruptive technologies’ that lends to simpler, easier and a "fit" (and perhaps cheaper) product, which may not be highly performant as the ‘niche’ above. His theory also states was that the bigger companies are so absorbed with focused innovations addressed to their most sophisticated and profitable customers in the higher tiers, that they miss the disruptive innovations. When such companies with disruptive technologies intersect with the appropriate vehicle (such as internet) can create a disruptive business model and can blind-side most of the established companies. Christensen believes that disruptors have caused many established companies fail and go south.

[Above pic from Wikipedia]

Well, what has this got to do with my blog ? I always thought that there are few things that would stop me from blogging – one, that I’m so busy that I do not find time to do anything else (“yeah right”, you go). Second, I finally decide to settle down in a place where there is no internet (‘wake up Rip van Winkle, its 21st century”, you say). Third, my creative juices (“stop smirking”, I say) dry up and I just blocked from writing (“most likely”, you concur).

That’s what I thought too. But then, I got blindsided by this technology that has disrupted me. The technology of computers, displays and keyboards – most here being the keyboard – I seem to have RSI (or CRI) that seems to have aggravated by a tendon tear on my left shoulder – so the doc thinks. I was adviced to adopt right posture, ergonomics and type less – I believe he left out the “and think more” part.

Ps: The weave between Clayton Christensen theory and this blog may be pretty thin. But what the heck, I liked the theory and wanted to introduce it in the blog ! :-)


Anonymous said...

Good one. I was told that digital camera was a disruptive technology that put regular cameras out of business. But the first digital cameras costed a fortune and does not fit this model of meeting lower tier market first. - ww

DR said...

An interesting theory :)

EnGeetham aka "My Song!" said...

4ww: Are you world-wide or wide-web ? :) I saw that too, but no answer from me

4DR: yes it is... thanks.