As humans, we LOVE new things.
The newest gadget, the newest car, or the newest piece of gossip. However, when we want to do new things, it is a little more challenging for us. That is why understanding the two types of innovation is essential.
They are: sustaining innovation and disruptive innovation.
First, let’s define innovation:
Merriam-Webster defines innovation as:
1 : the introduction of something new
2 : a new idea, method, or device : novelty
Innovation is the process, method, and introduction of something new. Something that ideally, brings value to whomever is engaging with that innovative thing.
Clayton M. Christensen, a brilliant business author, wrote an impactful book on the subject, The Innovator’s Dilemma, which was first released in the 1990’s. In this book, he explains the two major types of innovation.
First, sustaining innovation:
Christensen writes,
“Most new technologies foster improved product performance. I call these sustaining technologies. Some sustaining technologies can be discontinuous or radical in character, while others are of an incremental nature.”
This type of innovation is the incremental and continuing process of improving something over time.
This is the tweaking, adjusting, and growing of a particular thing that brings value. So, in the case of us rabbis, that might be a prayer service. Each week or month, you improve it by including, for example, a newer tune, rearranging of chairs, or by doing it outside.
This is innovation, but specifically, sustaining innovation.
Let’s be clear, this type of innovation is really important.
On the other hand, we have disruptive innovation:
Christensen writes,
“Occasionally, however, disruptive technologies emerge: innovations that result in worse product performance, at least in the near-term…Products based on disruptive technologies are typically cheaper, simpler, smaller, and, frequently, more convenient to use…by and large, a disruptive technology is initially embraced by the least profitable customers in a market.”
This type of innovation offers a worse product, but serves a different market or population.
This is trying something truly radical or providing something that is not being offered at all. This thing is unlikely to have the large response as something already being offered. Disruptive innovation is very dependent on one’s community. However, an example might be a new introduction to Judaism course specifically for preschool parents.
It might not initially serve a large population, but offers something to a market that can be improved over time through sustaining innovation.
This type of innovation is much more challenging.
One of the examples he gives in his book, is the memory and speed of memory chips in computers in the 70s and 80s. As newer companies were able to offer smaller chips that were not as fast, they were able to open new markets. As the chips were improved, so did the market.
Why is this important?
- Understanding your risks and who you are serving.
The legacy companies in Christensen’s book spent their energies on sustaining innovation. Without taking on the risks of disruptive innovation, their markets ultimately were taken over by the newer companies. We must understand the risks of not innovating.
- Understanding what innovation in your institution actually looks like.
By recognizing the types of innovation you are implementing will help you tell the story of your institution better. It will help you guide your future decision making.
- Managing the changes and perceptions you will encounter.
When you do decide to make innovative change, managing your community’s expectations and perceptions will be essential. Change management is really hard and planning for it is important.
- Accomplish your goals and vision.
It is challenging to accomplish your goals without knowing how you will get there. Recognizing the types of innovation you want to implement will assist you in reaching your vision!
If you want to be innovative in your institution, spending time thinking about what innovation looks like, recognizing your goals in relationship to innovation, and the types of innovation that are available to you will be very helpful!