So are you considering a new platform business model? Good luck!

You cannot escape the discussions around platform business models. Recently I saw that 50% of all organizations are either investing or considering a new platform business model. In a report provided by the IBM Institute for Business Value, released last year called “The Incumbents Strike Back” they really encapsulated the survey work they undertook in four topics that tell a story of today, or it certainly should do.

What’s required, now more than ever, according to IBM, is the fortitude for perpetual reinvention and these four topics tell the story of why these are important:

Firstly we are all “dancing with disruption” and it is the reinventors that are finding the way to balance the existing with the designs of the future. This was described as a “balance between stability and dynamism” and exploring the forces at play.

Secondly, reinventors are placing their “trust in the journey” as they are investing in design thinking, testing the assumptions and re-orientating their organizations to engage with their customers to create deep bonds based on trust, the path to personalization.

Thirdly, the whole value is changing based on “orchestrating the future” where organizations scale differently their partner networks, reconsider their value propositions and allocate resources more on business platform designs.

Fourthly, there is a liberating for “innovation in motion” where constant experimentation, getting close to customers and delving deeper into ever-evolving ecosystems of dynamic teams and partnerships are transforming their landscape.

Two really important points for me in this short report was the pull of the platform business model shown in the visuals provided Continue reading

China and Asia for Ecosystem Dynamism

I was trying to capture the Asian dynamism in how they go about Ecosystem designs for their businesses.

The critical captures for me are based on three critical aspects to create this dynamism.

Firstly, in the social conditions within Asia and China for especially smart technology-led connected solutions.

Secondly, the ability of the solution provider in having the capabilities to push the boundaries, in regulatory change and technology innovations, and ‘impose’ radically different structures along the complete supply chain and have as their central focus the customer engagement processes, that delivers the solution needed in the quickest possible time, at the most economical and convenient cost, at increasing scale to drive down costs.

Thirdly having that significant engagement at the top of the organizations, in designing, directing and determining the outcomes and injecting the enthusiasm, drive, and passion for change and commitment.

I believe these three aspects are creating more dynamic ecosystem environments in Asia and especially China.

In Asia, it is a far more top-down but highly entrepreneurial mindset for those that have broken through and built real scale and really very big businesses on their platforms with the excellent technology and a sharp-minded approach to connecting up the ecosystem within the design and solutions. Continue reading

Seamless experience – give me a break!

How can we achieve seamless experiences when we don’t have seamless organizations?

Before we get to argue for this real customer need of seamless experiences we have to resolve the lack of our seamless organizations.

How can any digital transformation take hold within the organization when there is such a serious lack of customer-centricity?

Business units stay locked in silo’s, being measured by how they perform their tasks, they continue to build their individual business case, often over the detriment of others.

They continue to fall into the trap still, they are internally competing for scarce resource and capital and no one actually resolves this, they relish it!  There is this accepted practice to push constantly on the need to invest in the front-and-back-end solutions when they lack this understanding of the customer journey, and in so doing totally filter out part of the customer expectations, preferences and values, if they do not fit their task at hand for them, as the company providing the product or service.

They fail to recognize that today, the decision is in the hands of the customer, not theirs. Can they continue to ignore knowing everything they should need to know about the customer? Continue reading

Great Apps will deliver the future business value in IIoT

Technology is radically altering our need for innovation. We see increasingly innovation is feeding off the “digital response rate” and how we build and design the application software will transform IIoT as it has for our personal world (B2C), where we download apps on a daily basis to solve a problem or to improve our understanding.

So what is an app? An app is a modern term for a software application, and it is most often used in reference to a mobile app or a small piece of software that runs on a website. It has made significant inroads into B2C offerings, less so on B2B.  It’s typically used to describe anything that isn’t a full-fledged software program, but even that line has become blurred by those developing this apps become more creative and ta into value points for specific application. Typically apps sit on a platform and we download them or simply access them.

The capabilities of these apps vary greatly today, but some companies have started to push the boundaries of what these apps can do, turning the devices into fully functional work tools. Mobile-device management software will explode within the IIoT space. As we grow more enterprise networks the market for smart devices and/or embedded intelligence production processes will see an increase in growth. Apps will allow for a greater building out of our diagnostic needs as well as enable smart nodes. They will assist to combine experience-based knowledge with contextual automation device data and solve problems quicker as a team or send this specific data for analysis and response.

Connecting technology and innovation is altering how we should re-access organizations ability to build out. We are in the middle of a technological-led industrial revolution It is becoming highly dynamic. Apps are a critical part of the building block.

Using an app with new innovations and approaches can provide new functions by tapping into the local power of devices where tablets and smartphone operate as mini-supercomputers on site that is full of sensors, and designing specific apps to explore capabilities and rapidly “feedback” data that has potential value, often called “event management” or experience understanding. Continue reading

We are failing to deliver radical innovation. Why?

I see the growing importance of ecosystems and platforms for those that want a thriving future, these are the ones that simply “get this” need to connect into a wider ecosystem to build better value and solutions that customers want. The business imperative of today and near-term future is designing around ecosystems that seek out collaborative platform solutions.

Regretfully for those that don’t, the ones that hang on to the belief that their island of knowledge and their product offering are still good enough to meet the customer needs will face a very uncertain and bumpy future.

This is a delusion, utterly deluding, to continue as you have previously, as customers are today looking at “connected experiences” and these come out of far more complex back-ends of delivery, orchestrated on platforms, where the leverage of partners, technology, and common cause come together in highly collaborative ways. Also working on solutions that are recognizing that the front delivery end provides simplicity, ease of access and completion of the service or experience customers are looking for, far more as providing a more complete comprehensive, connected solution to their needs.

Continue reading

Moving beyond the “ten types” of innovation

Many innovators are familiar with the concept of the “ten types” of innovation developed by Doblin.  If you aren’t familiar with the model, it describes different potential outcomes for innovation, beyond “product” innovation.

Doblin’s ten types includes innovation outcomes based on channels, business models, services, customer experiences and other factors.

As a fan of the model, I return to it and reference it constantly, because far too many innovators narrow their focus and only create new product innovations, when markets and customers are clearly interested in much broader and more diverse innovations.

But as a fan of the ten types model I can also see some of its shortcomings, and one of those is its lack of “depth”.  The ten types model expands the perspective of innovation in terms of breadth – from a single outcome called “product” to a range or spectrum of offering types.  But the model lacks definition around “depth” – building a description of a platform or ecosystem of innovation.  Continue reading

Where the physical and virtual worlds are blurring, thanks to Alibaba.

alibaba-visual-plus-logoIf ever there is one company in my mind that is at the forefront of building ecosystems, platforms and customer engagement, that is the Alibaba Group.

They are so focused on building the fundamental infrastructure for modern commerce, presently comprising marketplaces, payment. logistics, cloud computing and big data that is ‘collectively’ empowering businesses of all sizes to leverage the internet for their own digital transformation.

So who is Alibaba?

“Alibaba Group is an internet company that aims to make it easy to do business anywhere. Alibaba operates a range of online marketplaces that connects buyers and sellers, with the company providing the technology infrastructure to help merchants, brands and small businesses all over the world reach Chinese consumers. Alibaba’s ecosystem includes e-commerce platforms, cloud computing, digital media and entertainment, payments and financial services, logistics, and local services.”

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Understanding the Customer Journey is the key to innovating in an ecosystem

evolving-innovation-a-new-formPaul and I have been exploring the interrelationships between innovation, ecosystems and platforms for a few weeks now.

Hopefully we’ve made the point that innovators must expand their horizons, because increasingly customers don’t want or need stand alone, discrete products as much as they want integrated, seamless, holistic solutions.

In fact I think we can easily predict that moderately interesting new innovations that integrate with existing ecosystems and platforms dominate disruptive new products that ignore ecosystems and platforms.

Why?  Customers don’t want to give up all that they have invested in the totality of their use of a solution or the experience when using the solution.  Even if the disruptive product or service delivers outsized benefits, if it causes the rest of the customers’ experience to suffer or degrade, many will choose to remain on a more integrated solution.

There’s a lot here to unpack. Continue reading

The new innovation pursuit- extending the connected difference

customer-experience

visual credit: www.janrain.com

We need to discover the new innovation pursuit; connecting, coherent and collaborative for customers to be provided seamless experiences

The pursuit of the ‘holy grail’ of business – is offering coherent, connected customer-facing solutions – will increasingly only be achieved through a combination effect of broader collaboration, working in ecosystems arrangements and coordinated through a platform design.

It is through this ‘combination effect’ there is further potential to deliver innovation that solves existing need or uncovers unmet ones that advance on the existing solutions in unexpected ways. Ones that can improve productivity, efficiency, and effectiveness, taking the complexity out of our existing lives, giving us new experiences we connect into and highly value for what they provide and solve. (think Apple, Social Networks, Amazon, Uber or AirBnB)

The whole combination of crowds, customers, collaborators, competition, and co-creators can define and reshape complete offerings that are often unthinkable when you are operating in individual ways, so the potential to achieve a different scale, access, and engagement can be made. In our view

Innovation ecosystems can radically alter the value proposition. Continue reading

Why you need an experience manager for innovation

customer-experience-journeyThrough our discussions about innovation, ecosystems and seamless experiences we’ve highlighted the fact that 1) innovation doesn’t work that well for many companies because we believe that 2) these companies create discrete products rather than fully understanding the ecosystem the products enter and 3) they don’t understand that customers are seeking seamless experiences more than ever.

If these points make sense to you, the question becomes, how do we create seamless customer experiences?  What makes up the solution?  How do ideas like the Geoffrey Moore inspired “whole product” combine with tools like customer experience journeys and design thinking to help an innovator understand the potential seamless solution?  And, how does an innovator decide what components in the ecosystem or solution they should create, and which to partner for or rely on external partners for?

I’d like to begin this post by arguing that this issue stems from another fallacy – the fallacy of being “customer centric”.  Continue reading