Disruption is out in the open.
No longer a shock or surprise, disruption is sought-after, copied, and cultivated.
Huge financial returns, wide-grasp power, and lucrative celebrity are key attractive outcomes that make disruption the hot leading edge of business. Since the value of disruption has been proven over and over again, it’s no longer a question of “if” but a clear vision of “when” that has the full attention of forward-thinking leaders.
At the same time, disrupted businesses face an end to their hard-won market share, financial gain, future profit, and perhaps the entire organization.
You know it’s coming whether you admit it or not. How are you preparing to get out of your own way, so you come out of industry or profession disruption and stay way out in front?
⇒ What have you discovered about your vulnerability to disruption?
- Understanding the ways in which your industry or profession could be disrupted is vital for ventures from start-ups and wanna-be market invaders to those intent protecting their first-in or long-established market lead, or just holding on until owner retirement.
Where are your vulnerable points?
- Disruption can truncate or terminate careers, personal holdings, overall worth, and companies. Disruption anticipation must be required analysis for business owners, partners, professionals, and stakeholders on all levels.
What could disruption cost you and your business?
- When you see your principal role as maintaining status quo, you may be playing into the hands of disruptors. To fight off change, are you allocating funds and resources into areas which may weaken your market position or are you increasing vulnerability by leveraging assets?
How can you realize the value built into your business when disruption looms?
>⇒ Example: Identify Disruption Potential
Listening to Meyers’ perspective on home building, I was struck by similarities with my observations of other industries and professions. How do the following key points apply to your world?
Home building and construction remain long on tradition and short on digital transformation, making these real estate sectors vulnerable to disruption:
♦ Vulnerability #1. The intention to disrupt is not proclaimed on social media, it just happens.
Anticipation is key.
Disruptors have already moved into real estate: from office disruptor WeWork and hotel/apartment disruptor Airbnb to mega-disruptor Amazon’s attack on retail and other sectors. Meyers related an example of how the disrupted may be the last to know. Greystar, a global leader in rental housing, was seemingly unaware of disruption by Airbnb until that company offered to partner with Greystar by explaining “we have over 5000 of your units in our system.”
What “back door” have you left wide open in your organization or client relationships?
♦ Vulnerability #2. Disruption of an industry requires “deep pockets” for experimentation and exploration to establish the most practical, lucrative disruptive pathway.
The attraction of historically solid returns is a key vulnerability.
Major disruptors like Amazon and Google have billions to experiment with in the home building and construction industries. By example, Meyers mentioned Amazon-backed Plant Prefab as a stepping stone which may lead the way to sustainable modular-prefab projects that challenge traditional development. This practical wedge into home building may be one way in, but there are many potential entry points.
What could “deep pockets” accomplish that you have not?
♦ Vulnerability #3. Combined digital advances and trend-setting technology can transform practices and systems.
Social-media- and technology-driven shifts in consumer behavior and expectations can leave first-in and leading companies far behind.
Disruption takes many forms, but technology enables increased speed and efficiency to open major avenues for change: faster production, faster delivery, faster customization, faster research and development…. Advances in the speed of construction through steel-framing companies like Prescient cut costs, improve affordability, and heighten investment returns, said Meyers.
What changes to “the way it’s always been done” would keep you out in front with your target markets?
Meyers explained his intent in talking disruption was to rally home builders to adopt digital transformation of their sales and marketing processes and particularly their buyer experience.
⇒ Clients and customers can become catalysts for disruption.
Read PJ Wade’s from-the-inside-out examination of how communication and the lack of it may reveal the potential for disruption to home buyers before home builders see the future: Home Builders: Do They “Get” Buyers? on PJ’s Decisions & Communities blog.
⇒ What are your weak spots, exposed flanks, or out-dated hack points?
Believing you’re invincible is one way to get through tough or uncertain times, but it may not be the practical or powerful strategy that current times demand.
Every single aspect of your business and career can not be equally strong and resilient. One weak spot or two or more combined flaws may exist and be underestimated as disruption points.
⇒ Do you understand where your greatest vulnerability lies?
How are you and status quo getting out of the way? How will you react constructively to disruption before it’s too late?
- Keep your opinions to yourself. Listen more than you talk. You want to learn what you don’t understand about technology and how it is changing people’s lives and the way we do almost everything. Listen to academics, professionals, and experts, who have knowledge and inspiring experience to share.
- Stop thinking you have time. You’re too late for this to be easy, but not too late to be successful. Technology is snowballing through industry after industry. Nothing is going back to the way it was. Even when online changes do not prove fruitful, there’s no going back. They’ll just be replaced with new online and digital solutions. One significant change is how many are turning to their target prospects, customers, and clients and to their data for ideas on how to make the transformation make sense and make money.
- Digital transformation is no longer a choice, it’s a necessity. What you don’t know or understand, many competitors and disruptors do. Concentrate on building your expertise in identifying exceptional experts and hiring them for the good of your company and clients. This is not about what you can do, but what you can put in place. Then, move out of the way of those you hired because they know more than you do.
- Stop expecting accolades and pats on the back. Concentrate on earning trust by being the one who really knows how to lead by stepping aside and letting the experts you hand-picked self-lead. Retain leadership status by creating a powerfully-cohesive, forward-knowing team and organization and getting out of your own way to take your venture forward.
© 2019 PJ Wade, TheCatalyst.com. Includes excepts from “What’s Your Point?: Cut The Crap, Hit The Mark & Stick!” (print book publication: 2020)