We are on the verge of unprecedented technological and innovation disruption. EPIC disruption is Accenture’s viewpoint on what is known as the 4th Industrial Revolution. There’s always been technology disruption. But this time it’s different.
Previously, disruption would impact the productivity of the business. Now, it’s disrupting the business models. Once the business model (and value chain) is disrupted the stakes are raised. It’s EPIC!
In a recent Accenture survey of Chief Strategy Officers, the majority agreed they would be disrupted at some point in the next five years — only 20 percent felt they were well prepared for disruption when it hits.
Here we will briefly take you all through considerations for EPIC disruption. Contact us for more information and how you can plan your business for this change.
E is for Exponential
There has always been disruption, but never at this pace. Cycles are shorter; the impacts larger. Technical and commercial maturity is moving at a rapid pace, and it’s not going to slow. It’s increasing Exponentially. The curve for new tech has totally shifted with time to maturity in a matter of months not years…
Due to this pace, approaches of the past such as SWOT analysis, scenario planning, fast follower, are not as relevant. Disruption is moving too fast.
You are either a disruptor or disrupted. Even treading water leaves you behind.
P is for Pervasive
It’s not just exponential in pace, it's pervasive in breadth of impact. As we’ve seen from the over-the-top internet giants, the rules around business being contained to industries or geographies have changed and previous boundaries are being broken:
- Value Chain Contribution
- Product vs Service
- Physical and vertical
It is the pervasiveness of innovation and connectivity that is changing the rules. There is now no protection from risk and no constraints from growth potential.
I is for Intelligent
The most important element of EPIC disruption…
Previous focus has been on automating low value tasks. Now, emerging Intelligent Services include high value cognitive & decision-making tasks. This Intelligence also allows dynamic learning and improvement, not just insight led decision making.
- Predictive capabilities
- Dynamic processes
Innovation is no longer just about brawn; it now comes with a brain! Size is no longer an advantage - brain over brawn breaks economies of scale.
C is for ContinuousThe pace of change means the pace of action and reaction needs to be continuous. If the market change is continuous waves, the organisational response can’t be a one-off. We need to prepare for continuous transformations, to continually innovate. We see lots of investment in Ideation, but suggest more should be spent on structured Innovation.
Whilst we can’t predict the future, we can and should make sure we approach the method of dealing with EPIC Disruption in a repeatable manner. Therefore, for sustainable value, Innovation must structurally embedded in the business.
Our view is that if a company wants to rotate to the new, there are four key things they have to do:
- Transform the core business to drive up investment capacity
- Drive incremental growth in the core business
- Scale their business to the New
- The Wise Pivot
We are supporting organisations with their Wise Pivots - optimising investment management and capital allocation over time, from the core business to the new business.
Adopting an Innovation Mindset
Adopting an innovation mindset, we suggest, is essential for succeeding in this period of Epic Disruption. We are helping our clients drive a new culture of innovation and ensure it is the responsibility of everyone. Thinking creatively innovatively is more necessary now than ever to keep up with the frequency and consistency of change.
We are supporting our clients to scale innovation. Successful organisations have innovation at the heart of what they do, making sure they don’t stand still and continue to evolve and diversify.
In today’s world, supported by technology, it is easier than ever to implement ideas, but organisations need to have a culture that inspires creative thinking and innovation.
Innovation is not a destination. It is a mindset and fundamental element of an organisations culture.
Shared Workforce Resilience
Organizations globally are experiencing workforce disruption at an unprecedented scale and speed. This is propelling CHROs into the spotlight of this human crisis. Their role has never been more stressful, vital and visible. Listen in as Kalel Khusahry, Managing Director of Talent & Organisation Practice at Accenture shared insights in to workforce resilience and how it’s important to keeping as many workers healthy, safe and employed as possible in the now, whilst still keeping an eye out to equipping people with new skills for the future. Read more...