The Innovation Show

Like an old machine emitting a new and troubling sound that even the best mechanics can't diagnose, the world economy continues its halting recovery from the 2008 recession. Look at what's happening in the United States: Even today, 60 months after the scorekeepers declared the recession over, its economy is still grinding along, producing low growth and disappointing job numbers.

One phenomenon we've observed is that, despite historically low-interest rates, corporations are sitting on massive amounts of cash and failing to invest in innovations that might foster growth. That got us thinking: What is causing that behaviour? Are great opportunities in short supply, or are executives failing to recognise them? And how is this behaviour pattern linked to overall economic sluggishness? What is holding growth back?

Most growth theories are developed at the macroeconomic level—at 30,000 feet. That perspective is good for spotting correlations between innovation and growth. To understand what causes growth, however, you have to crawl inside companies and the minds of the people who invest in and manage them. This article (which builds on a New York Times piece Clay wrote in late 2012) attempts to form a theory from the ground up by looking at company experience.

They are the words of the authors of a beautiful paper; one is Clay Christensen and the other is his collaborator, and someone you know would have co-authored at least one book with Clay. Indeed, I feel this article was headed towards becoming a book.

It is a pleasure to welcome a great friend of Clay Christensen, yet another soul deeply touched by the man, the author of "Stall points" behind me on the shelf and author of the 2014 paper, The Capitalist's Dilemma, Derek van Bever.

As legendary Harvard Business School professor Theodore Levitt said, "People don't want to buy a quarter-inch drill. They want a quarter-inch hole!" Many organisations focus on creating products for narrow demographic segments rather than satisfying needs when customers want to "hire" a product to do a job. We are joined by Bob Moesta, Master Innovator, Maker and Entrepreneur; Expert Investigator of Consumers' Motivations and Decision-Making Processes; Co-Creator of the "Jobs-To-Be-Done" Theory; President of The ReWired Group.

Clayton Christensen mentored Bob Moesta, and they became fast friends. Bob was one of the principal architects of the Jobs To Be Done theory. He expands on the theory and shares his respect for his friend Clay.

Find Bob here: https://therewiredgroup.com

Today's book is a book about progress. Yes, it's a book about innovation—and how to get better at it. But at its core, this book is about the struggles we all face to make progress in our lives. If you're like many entrepreneurs and managers, the word "progress" might not spring to mind when you're trying to innovate. Instead, you obsess about creating the perfect product with just the right features and benefits to appeal to customers. Or you try to fine-tune your existing products continually so they're more profitable or differentiated from your competitors. You think you know what your customers would like, but it can feel hit or miss. Place enough bets, and—with a bit of luck—something will work out. But that doesn't have to be the case, not when you truly understand what causes consumers to choose. Innovation can be far more predictable and profitable, but only if you think differently. If you want to compete—and win—against luck, this is the book for you.

Welcome to another episode in our very special series to celebrate the work of Clayton Christensen.

Today we are joined by the co-author of Competing Against Luck, Taddy Hall.

Our guest was the Harvard Business Review editor until 2011, when today's book changed her life. She graduated from Cornell University and Northwestern University's Medill School of Journalism. In 2011 she was named by Ashoka as one of the world's most influential and inspiring women. She is also an incredible author and has co-authored with the late Clayton Christensen. She is here today to discuss the concepts of one of my favourite books, which also changed my life's direction.

We welcome back for part 2, the co-author of How Will You Measure Your Life? Karen Dillon.

Find Karen here: https://www.karendillon.net

Our guest was the Harvard Business Review editor until 2011, when today's book changed her life. She graduated from Cornell University and Northwestern University's Medill School of Journalism. In 2011 she was named by Ashoka as one of the world's most influential and inspiring women. She is also an incredible author and has co-authored with the late Clayton Christensen. She is here to discuss the concepts of one of my favourite books, which also changed my life's direction.

We welcome the co-author of How Will You Measure Your Life? Karen Dillon. Find Karen here: https://www.karendillon.net

The genesis of today's book centred on a question posed years ago to "disruptive technologies" coauthor Clayton Christensen: where do disruptive business models come from? Christensen's best-selling books, The Innovator's Dilemma and The Innovator's Solution, conveyed important insight into the characteristics of disruptive technologies, business models, and companies. Today's book emerged from an eight-year collaborative study in which our guest sought a richer understanding of disruptive innovators —who they are and the innovative companies they create.

The project's primary purpose was to uncover the origins of innovative—and often disruptive— business ideas. Most of us think creativity is an entirely cognitive skill; it all happens in the brain. A critical insight from our research is that one's ability to generate innovative ideas is not merely a function of the mind but also a function of behaviours. This is good news for us all because it means we can improve our creative impact if we change our behaviours We welcome Hal Gregersen, co-author of The Innovator's DNA

Find Hal here: https://halgregersen.com

More than a decade ago, Mark Johnson, SAP's Henning Kagermann, and Clayton Christensen hashed out the principles of business model reinvention in the pages of the Harvard Business Review. Essentially, a business model can be broken down into four distinct elements:

1. A value proposition
2. 2. Resources
3. 3. Processes,
4. 4. A profit formula

This means in practice that the new and different must be separated and even protected from the tried and true. As Mark says, "To play a new game on a new field requires a new game plan." —Clayton M. Christensen

It is a pleasure to welcome the author of multiple titles, a great friend of the show, and the co-author of that 2008 paper Clay mentioned, a Top 50 HBR article of all time, Reinventing Your Business Model; Mark W. Johnson.

That HBR article: https://hbr.org/2008/12/reinventing-your-business-model

More than a decade ago, Mark Johnson, SAP’s Henning Kagermann, and Clayton Christensen hashed out the principles of business model reinvention in the pages of the Harvard Business Review. Essentially, a business model can be broken down into four distinct elements: A value proposition 2. Resources  3. Processes, 4. A profit formula  This means in practice that the new and different must be separated and even protected from the tried and true. As Mark says, “To play a new game on a new field requires a new game plan.” —Clayton M. Christensen It is a pleasure to welcome the author of multiple titles, a great friend of the show, and the co-author of that 2008 paper Clay mentioned, a Top 50 HBR article of all time, Reinventing Your Business Model; Mark W. Johnson.

Clayton M. Christensen and Michael B. Horn’s “Disrupting Class” is an unsettling title for a book about the schooling process.

The title conveys multiple meanings.

The principal message is that disruption can usefully frame why schools have struggled to improve and how to solve these problems.

We welcome back the author of “Disrupting Class, How Disruptive Innovation Will Change the Way the World Learns: Michael B Horn

Find Michael here: https://michaelbhorn.com

00:00:00 Intro

00:03:02 Clayton Christensen Relationship

00:05:53 The Why of Disrupting Class

00:08:14 What Does The Theory Have to Say?

00:10:37 Intrinsic v Extrinsic Motivation and Jobs Theory

00:14:47 Interdependence and Modularity

00:22:15 Organisational Design and Authority

00:28:40 Train people how to think not what to think

00:29:37 Model of Disruptive Innovation

00:32:42 Non-Consumption Contexts

00:37:42 Resistance from the Status Quo

00:41:02 Cramming

00:46:06 RCA, Vacuum Tubes, Sony and Transistors

00:49:09 Incubation Outside the Core

00:53:43 Value Network and Ecosystem

00:56:28 The Role of Regulation

01:02:13 Jobs To Be Done Theory

01:06:12 Democratising the theories

01:10:10 Final Thoughts on Disrupting Education

01:10:10 Final Thoughts on Clayton Christensen

Disrupting Class is an unsettling title for a book about the schooling process. The title conveys multiple meanings. The principal message is that disruption can usefully frame why schools have struggled to improve and how to solve these problems. Welcome to another episode in our series to celebrate the life work and theories of Clayton Christensen; today's episode Is on his 2008 book, Disrupting Class. We welcome the co-author of "Disrupting Class, How Disruptive Innovation Will Change the Way the World Learns: Michael B Horn

Video of Clay https://www.youtube.com/watch?v=TbAGRSPw8ZI

Timestamps:

00:00:00 Intro

00:03:02 Clayton Christensen Relationship

00:05:53 The Why of Disrupting Class

00:08:14 What Does The Theory Have to Say?

00:10:37 Intrinsic v Extrinsic Motivation and Jobs Theory

00:14:47 Interdependence and Modularity

00:22:15 Organisational Design and Authority

00:28:40 Train people how to think not what to think

00:29:37 Model of Disruptive Innovation

00:32:42 Non-Consumption Contexts

00:37:42 Resistance from the Status Quo

00:41:02 Cramming

00:46:06 RCA, Vacuum Tubes, Sony and Transistors

00:49:09 Incubation Outside the Core

00:53:43 Value Network and Ecosystem

00:56:28 The Role of Regulation

01:02:13 Jobs To Be Done Theory

01:06:12 Democratising the theories

01:10:10 Final Thoughts on Disrupting Education

01:10:10 Final Thoughts on Clayton Christensen