1. Unit Four Building Innovation

2. Unit Four

Chapter Thirteen -Creating Innovative Organization

Chapter Fourteen -E-Business

Chapter Fifteen -Creating Collaborative Partnerships

Chapter Sixteen -Integrating Wireless Technology in Business

3. Chapter 13 Creating Innovative Organizations 4. Learning Outcomes

13.1 Compare disruptive and sustaining

technologies

13.2 Explain how the Internet caused

disruption among businesses

5. Learning Outcomes

• 13.3 Define the relationship between the

• Internet and the World Wide Web

• 13.4 Describe the Internets impact on

• information along with how these

• changes are affecting business

6. Disruptive Technology

How can a company like Polaroid go bankrupt?

Digital Darwinism implies that organizations which cannot adapt to the new demands placed on them for surviving in the information age are doomed to extinction

7. Disruptive Versus Sustaining Technology

What do steamboats, transistor radios, and Intels 8088 processor all have in common?

• Disruptive technology a new way of doing things that initially does not meet the needs of customers

• Sustaining technology produces an improved product customers are eager to buy

8. Disruptive Versus Sustaining Technology 9. Disruptive Versus Sustaining Technology

The Innovators Dilemmadiscusses how established companies can take advantage of disruptive technologies without hindering existing relationships with customers, partners, and stakeholders

10. Disruptive Versus Sustaining Technology

Companies that capitalized on disruptive technology

11. The Internet Business Disruption

One of the biggest forces changing business is the Internet

Organizations must be able to transform as markets, economic environments, and technologies change

Focusing on the unexpected allows an organization to capitalize on the opportunity for new business growth from a disruptive technology

12. Disruptive Versus Sustaining Technology

Internet penetration by world region

13. Disruptive Versus Sustaining Technology

World Internet Users

14. Evolution of the Internet

The Internet began as an emergency military communications system operated by the Department of Defense

Gradually the Internet moved from a military pipeline to a communication tool for scientists to businesses

• Internet computer networks that pass information from one to another using common computer protocols

• Protocol standards that specify the format of data as well as the rules to be followed during transmission

15. Evolution of The World Wide Web

World Wide Web (WWW) a global hypertext system that uses the Internet as its transport mechanism

Hypertext transport protocol (HTTP) the Internet standard that supports the exchange of information on the WWW

16. Evolution of The World Wide Web 17. Evolution of the World Wide Web

The Internets impact on information

• Easy to compile

• Increased richness

• Increased reach

• Improved content

18. Evolution of The World Wide Web

File formats offered over the WWW

19. Evolution of The World Wide Web

The Internet makes it possible to perform business in ways not previously imaginable

It can also cause a digital divide

• Digital divide when those with access to technology have great advantages over those without access to technology

20. WEB 2.0

Web 2.0- a set of economic, social, and technology trends that collectively form the basis for the next generation of the Internet

21. WEB 2.0 Timeline of Web 1.0 22. THE FUTURE WEB 3.0

Semantic Web encompasses the following:

• Transforming the Web into a database

• An evolutionary path to artificial intelligence

• The realization of semantic Web and SOA

• Evolution toward 3D

23. CHAPTER THIRTEEN Opening Case Study Questions

Do you agree that eBay founder Pierre Omidyar used disruptive technology to change the auction business? Why or why not?

Create a Porters Five Forces analysis highlighting eBays market position. Be sure to highlight any new technologies that have the potential to disruptive eBays business

What types of ethical dilemmas will an online business such as eBay face that a traditional company would not face?

What types of security issues will an online business such as eBay face that a traditional company would not face?

24. CHAPTER THIRTEEN CASE Failing to Innovate

Obtaining the first-mover advantage is critical to any business that wants to compete in the Internet economy

However, gaining a first-mover advantage is typically temporary, and without remaining innovative the company can soon fail

25. Chapter Thirteen Case Questions

If these companies all had a first-mover advantage, then why did the products fail?

For each of the above determine if the technology used was disruptive or sustaining.

Choose one of the products above and determine what the company could have done to prevent the product from failing.

Can you name another technology product that failed? Why did it fail? What could the company have done differently for it to succeed?