The Harvard Business School professor and disruption guru Clayton Christensen says that disruption displaces an existing market, industry or technology and produces something new, more efficient and worthwhile. It is at once destructive and creative. We feel it in the same way and that‘s why we are driven by his definition.
At DINNO, we focus not only on disruptions that create new markets but also on innovation that is evolutionary and revolutionary. Evolutionary innovation is one that improves a service in an existing market in ways that customers are expecting and revolutionary innovation is one that is unexpected, however it does affect the existing market, nevertheless.
Most disruption tends to be produced by entrepreneurs and small start-up companies rather than large market-leading corporations. For the most part, the business environment of large market leaders does not allow them to pursue disruptive innovation when they first arise because they need to focus on day-to-day battles against current competition. That’s exactly why one of our core principles is to „Be small to be big“ - our idea of a small team bringing great change to the world.
There is a general opinion that when first arising, disruption is not profitable enough because its development can take away valuable resources from sustaining day-to-day business. A disruptive process can take longer to develop than a steady change by conventional approach and the risk associated with it is higher than with the usual operational process of improvement. Finally, it poses a change - a great change - and not everyone likes changes, that is, until they learn their advantages.
All of the objections may be true. It depends on the perspective you take. Nevertheless, it is also generally known that once disruption is deployed in the market, it achieves a much faster penetration and higher degree of impact on the established markets than the little innovations or ordinary improvements. Simply put, it may get risky, but the leverage and profit for everyone could be enormous.
At DINNO, we are constantly watching new disruptions and trends, we are studying model examples of them from the history and we learn something new concerning this issue every day. Among the most relevant pluses of disruption belong higher comfort, simplicity, reduced price and utility value of the new conceived product or service. During the disruption process, we help eliminate lots of risks and implement quantum leaps quickly. Just try, disrupt and profit.
Let’s go back in history and look at a few examples of disruptions in well-known stories.
Henry Ford did not invent the automobile but he was the first one to introduce mass production of automobiles. The first automobiles in the late 19th century were expensive luxury items that did not disrupt the market. Ford‘s disruption by means of mass production started in 1908 and brought the legendary and cheap „Ford Model T“ to the common people. That progressively shifted the way of transportation from horse-drawn vehicles and trains to automobiles.
A long time ago, the telegraph was used for long distance communication. Alexander Graham Bell came up with the telephone patent, but not so many people believed in telephones which were only useful for very local calls at that time. Later, however, a big bang occurred, bringing disruption in the form of long-distance calls and telephones quickly displaced the telegraph.
About a hundred years after that, on 3rd April 1973, Martin Cooper, a researcher and executive of Motorola, made the first mobile telephone call from a hand-held device. However, disruption only occurred in 1990 with digital cellular networks and the second generation of mobile phone systems (GSM and CDMA standards). A mobile phone era powered by Nokia had started.
In 1992, IBM introduced the first prototype called IBM Simon which can be properly referred to as a "smartphone". But the first disruption and mass adoption of the smartphones was achieved by the NTT DoCoMo in Japan in 1999. The BlackBerry later gained mass adoption in the U.S. and the final disruption entered the stage in 2007 when Apple introduced its iPhone with a touchscreen, without any physical keyboard and using multi-touch gestures for navigation.
Today, smartphones are pretty common around the world so let’s see what the next disruption is going to be like...
Law is one of the oldest fields of knowledge in our society. Most of its principles are based on historic experience and precedents. Maybe that is why here, the innovation or disruption is less obvious and dramatic than in other industries. Nevertheless, they can happen, one way or another. Let us for example mention ready-made companies: a few decades ago, it was a well-paid job for months almost exclusively for traditional law offices. In most countries of today, it is no problem to buy a ready-made company for a few hundred dollars and start a business in a few days: simple, cheap and accessible. Another example is the Internet expansion. All the material, such as acts of law, various templates of agreements, applications to the courts etc. are now available on-line and usually for free.
We believe at DINNO that the field of legal services is still waiting for a great change. We make every effort to meet this challenge - that is what we are here to do. Follow us.