• Geoffrey Moore – New Book – Escape Velocity

    by  • 25/05/2011 • Effectiveness, Entrepreneurship, Innovation

    Geoffrey Moore has a new book coming out Fall 2011. He gave an excellent talk in May at Entrepreneurial Thought Leaders at Stanford.

    Moore is the extremely insightful author of five other business books including the very useful Crossing the Chasm, Into the Tornado, etc., etc.

    Technology Adoption Lifecycle

    Power vs. Performance

    • Power is harder to measure
    • Performance consumes power, power fuels performance
    • Most companies are performance-oriented, not power-oriented
    • Budget power first, then performance

    Types of Power

    Five types of power

    • Category
    • Company
    • Market
    • Offer
    • Execution

    Category Power

    • How fast is the category growing?
    • 15% growth or more can indicate growth market

    Company Power

    • How powerful is the company inside the category
    • Market share

    Market Power

    • Fastest growing markets
    • Strategic markets

    Offer Power

    • Net differentiation of the offer
    • Living up to category expectations

    Execution Power

    • Product development
    • Project management and achieving new offer

    Leadership

    • Promote a vision
    • Pursue strategies
    • Get the work done

    Vision

    • What is happening in the world that affects our category and people outside of company care about?
    • What role is the company going to play in unfolding of the forces?
    • What markets are strategic and fast-growing that we will measure ourselves by?

    Strategy

    • Strategies change with categories
    • What is our power position relative to our competitors in our categories?
    • In what markets are we going to fight to change our position?
    • What offers are the critical offers are going to change our position?

    Execution

    • Which markets with which offers and how fast?
      • Weekly committments
      • Monthly reviews
      • Quarterly deliverables

    Project Types

    • Don’t mix modes, each project should be differentiation, neutralization, productivity
    • One playbook per project

    Differentiation

    • R&D Innovation
    • Separate from competitive set, make it unmatchable
    • The offer is created has immense offer power
    • Distance

    Neutralization

    • Catch up in some way with competitors
    • No one likes to do this but many times have to
    • Get comparable, just good enough, and do it fast
    • Speed

    Productivity

    • Improve processes
    • Optimization not liked
    • Makes resources more productive to put into differentiation or neutralization
    • Categories get more efficient and company too expensive
    • Reengineer, modularize, optimize, outsource
    • Best in class (but not different, and not just good enough)
    • Cost