Innovation Catch-22

Profitability is down because we are a commodity this means we are no different then our competition...however we can't innovate (to eliminate being a commodity) because our profits are down.

Think about it if you were leading innovation and found yourself in this situation what would you do?

When surveying management they have answered:

  • Manage the decline
  • Update my resume
  • Cost cut
  • Pray for a miracle
  • Reinvent the organization

The data shows that the right thing to do is reinvent the organization. This requires that you think more like a start up -- where you as a leader/manager could be talking to a customer directly about your new offering.

As a leader, your job is to decide where the organization is going. Sometimes this means leaving your current

ThinkstockPhotos-476089074

commodity industry for new markets. Sometimes it means completely reinventing yourself.

As you explore potential new markets, consider using industry data published by the IRS. While the data is a few years old I find it to be a useful indicator of more profitable and growing industries. 

If you are interested in learning more about how to use industry data don't hesitate to email me at Greg@EurekaRanch.com

In the comments below let me know what you would do if caught in an Innovation Catch-22.

Check out this article about a bolt company that left commodity behind:

{{cta('e966816c-0a62-4f20-8393-9e35580dade6','justifycenter')}}