There’s been a lot of talk about disruption and innovation lately, and rightly so. The profitability of traditional law firms is being threatened. But what does disruptive innovation actually mean? Hear from Legally Yours via Lawyers Weekly about disruptive innovation and what it means.
Most people liken the words to the Silicon Valley interpretation, which strives for “better, cheaper and faster” products and services. But are these products and services always disruptive?
If you ask Clay Christensen, a Harvard Business School professor, the answer would be no. Christensen describes “disruptive innovation” in The Innovator’s Dilemma as a process by which products or services takes root initially in simple applications at the bottom of a market, and then relentlessly moves up market, eventually displacing established competitors.
According to Christensen, disruptive innovation transforms products or services that, traditionally, are so expensive and complicated that only a handful of people with a lot of money and/or skill could access. It takes these products and/or services, and makes them more affordable and accessible so that a larger population may gain access.
Disruptive products or services tend to address a market that previously couldn’t be serviced (i.e. a new-market disruption) or they offer a simpler, cheaper or more convenient alternative to an existing product or service (i.e. a low-end disruption).
So how does this affect the established players in the market?
Read more about it here.