It is very interesting to analyze the temporal evolution that traditional business models have followed. We could establish that from the first industrial revolution until the second, the model lasted with very few changes, almost negligible. From the second industrial revolution until the end of the twentieth century, profound changes were necessary for more than twenty years, with the same model, it was synonymous with collapse. At this moment a business model is not sustained without applying innovation or innovative evolution for more than two years ... and it is possible that even less is critical in sectors such as Finance, Insurance, Transport and Health.
A note on the "S" of BUSINESS MODELS. It is not a slip or a plural that affects several Organizations. Any Organization that aspires to maintain a leadership position in its market (or pure survival) must have several Business Models revisable quarterly and ready to be transferred to the general operation. One of these models can be the salvation and for that the whole organization must be prepared for it.
Here is another wildcard concept that invades society, DIGITAL. Everything around us is digital or we do not consider it modern, snob, useful or good for generating distinction. And for more scorn we assimilate DIGITAL TRANSFORMATION towards any change, even if it is aesthetic in the technology of the organization.
DIGITAL TRANSFORMATION is not going to the cloud, it is not a change of platform nor is it a change of applications. DIGITAL TRANSFORMATION is to control the power of data, capture it in real time, process it, apply business rules and inform for decision making, or apply them automatically.
The first concept that must be clarified, to avoid confusion, is INNOVATION.
To innovate is to create a different module other than the known, a disruptive one that provides a value and a need unknown until then. Not to be confused with evolving that conforms to the adaptation of the new models created by Innovation. Many organizations evolve at their normal speed with the new innovated time. It is not bad or good, as long as they understand the purpose of the change of model to adopt in their processes and the impact on their culture. Technology is simpler to evolve, intrinsically. Not all organizations are capable of innovating, nor do they have to be in their strategic and less cultural DNA ... nor are they obliged to do so. Of course, it must be clear that innovators are ahead several years in their competition for the market.
In my article "Why do they call it Innovation when they mean Evolution?" I go into detail.
To understand the scope of CORPORATE INNOVATION as a methodology adaptable to any economic sector, OMMISECTOR, three pillars are defined on which create the new Organization. Success is guaranteed by maintaining a masterful balance between them ...
If there is one thing that can make any attempt at transformation in an organization fail, it is the Culture (not to be confused with Education or academic level) Corporate Culture could be verified with the popular response “Things have always been done this way here.” If this is one of the top ten phrases in your organization you are already running, to save yourself or to solve it, but do something. If it is not, congratulations, your culture can be poised for profound change.
But not everything is this easy test. In order to contrast a Corporate Culture it will be necessary to approach a complete personal and group evaluation of EMOTIONAL LEADERSHIP. I leave a composition that I use in my lectures on the impact on Culture of four basic elements: Talent, Passion, Leadership and Creativity.