Companies & Industries

Find the 15-Minute Competitive Advantage


Just because this is a time of transformation doesn't mean it's easy to sell transformational ideas. Harvard's Rosabeth Moss Kanter offers tips for breaking through

Posted on The Change Master: November 9, 2009 9:26 AM

Just because this is a time of transformation doesn't mean that it's easy to sell transformational ideas. Economic uncertainty has reduced the audience for bold, grand rhetoric. Besides, even in boom times innovation is risky. Innovators often have to ease anxieties by sounding conservative while doing something radical.

We all want breakthroughs; it's just that we can't know exactly which of the bold new ideas will break through. For every Mustang, there's an Edsel. For every flip phone, there's a flop. (Apple's track record—iPod, iTunes, iPhone—is extraordinary but atypical.) It's is also hard to get traction for ideas that are so far ahead of their times that the infrastructure or human habits do not yet support them. For every dream of cheap renewable energy, there's the reality of still-high costs of wind turbines or solar panels.

As many technology companies have seen to their peril, you can leap much too far into the future by seeking revolution, not evolution, leaving potential users in the dust. But steady progress—step by single step—can win internal support and the external race for share of market or share of mind. Especially if you take each step quickly.

Consider Woody Allen's comedy routine about the first landing of UFOs on Earth and our first contact with an advanced civilization (AKA advanced competitor). Allen wrote that most worries about planetary takeovers involve aliens that are light years away and centuries ahead of us in technology, bringing devices we can't understand or communicate with, which enables them to control everything. Not to worry, Allen said. If we can't understand or communicate with their systems, we'll just ignore them, doing our work the way we always do until they leave in frustration. Instead, he argued, the advanced civilization that we should really worry about is one that is just 15 minutes ahead. That way they'd always be first in line for the movies, they'd never miss a meeting with the boss…and they'd always be first in every race.

Call this the "15 minute competitive advantage": changing in short fast bursts rather than waiting for the breakthrough that transforms everything. If every proverbial 15 minutes, you learn something and incorporate it into the next speedy step, you'll continue to be ahead. And a few time periods later, transformation will be underway.

Scott Cook, founder of Intuit, praised the value of cheap, fast experiments at a recent CEO meeting. He recalled watching Toyota's method of continuous improvement on the shop floor: simplifying, speeding, and taking costs out with each round. Bolt instead of weld, tape instead of bolt, hold instead of tape. Cook's advice is to turn business concepts into hypotheses to test fast. This is the essence of rapid prototyping, and it doesn't require total transformation.

Stay a little ahead of the competition while close enough to what customers can understand and incorporate, and the innovation idea is easier to sell. Here are some characteristics of innovations most likely to succeed at gaining support:

Trial-able: The idea or product can be demonstrated on a pilot basis. Customers can see it in action first and incorporate it on a small scale before committing to replace everything.

Divisible: It can be adopted in segments or phases. Users can ease into it, a step at a time. They can even use it in parallel with current solutions.

Reversible: If it doesn't work, it's possible to return to pre-innovation status. Eventually you want life to be unimaginable without it, but at least in theory, it's possible to go back to zero.

Tangible: It offers concrete results that can be seen to make a difference in something that users need and value.

Fits prior investments: The idea builds on "sunk costs" or actions already taken, so it looks like not much change is involved.

Familiar: It feels like things that people already understand, so it is not jarring to use. It is consistent with other experiences, especially successful ones

Congruent with future direction: It is in line with where things are heading anyway. It doesn't require people to rethink their priorities or pathways, even though of course it changes things.

Positive publicity value: It will make everyone look good.

These principles leave plenty of room to promote revolutionary ideas under cover of evolutionary change. But to find and grow a market for anything—whether green products or new health delivery plans—means staying close to what users can adopt easily and then leading them to the next iteration.

Innovators who take risks must reduce the risk for others. Think long-term trends but short-term steps—15 minutes at a time.

Provided by Harvard Business—Where Leaders Get Their Edge

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