Digital substitution blurs boundaries
The walls that once defended one industry from another crumble, becoming blurred and less defined. That’s why the blurring of industry boundaries can turn an athletic apparel company into a digital fitness company. Leaders can’t simply defend the core of their enterprises. Instead they must seek new opportunities to build their part of the new platform before someone else uses it to control their business.
In this new reality, every company becomes a technology company. This compels leaders to create new thinking, culture and competencies to preempt market space invaders and adapt to digital disruption. Three mindsets enable digital leaders to win.
Be prepared to make techquisitions
Technology fueled start-ups close to your space can become part of a future winning formula. While only a few specialized tech firms may be relevant, create the capacity to pounce on key technology acquisitions to accelerate your organic digital capabilities.
Claim your stake in your new industry platform
If you have the muscle to build an open industry platform, do it. Or keep looking for the biggest contribution and measure of control you can win over that platform. Otherwise, someone else might do it, taking market control.
Be open everywhere
The most powerful digital businesses will be massively open, creating platforms and ecosystems in which new, reshaped industries are founded, evolved, and traded. Cultivate a complete acceptance that you cannot make the changes you need without outside help and be open and attractive to people, companies, ideas, and services you may not know exist or realize you need.
Learn more in the book: Digital to the Core, Remastering Leadership for Your Industry, Your Enterprise, and Yourself.