Disruptive Innovation and Public Sector Organisations

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Disruptive Innovation and Public Sector Organisations
Alpin McGregor, Member
This model appears to describe the potential life cycle of a firm in market economies where profit maximisation is the goal. If public good is the goal as provided by public sector organisations then no need for innovation to be hoarded as no advantage in terms of overall public good. Not certain how to develop this argument. Must have bearing on actions of innovative firm too in market economy.

Strategic Options for Public Sector Organizations Against Desruptive Innovation of Technology
D P BABU, Member
Disruptive innovation of technology can not be taken for granted to over public good based on human values. However, public sector firms can - instead of transforming themselves towards disruptive innovations - exercise options by way of soliciting opinion to upcoming firms about the degree of benefits vis-a-vis the degree of cost on to the society. It is for the society to vote for what is good and what is bad.

Disruptive Innovation in Public Sector of Developing Countries
Bomo Albert-Oguara, Member
Nowhere is disruptive innovation more relevant than in the public sector of developing countries, in that it would enable them to leapfrog development and close the current gap between the developed and developing world.
The so-called Asian tigers used disruptive innovation to turn their economies around; leaping to the very frontier of modern technology. Other developing countries in Africa can take a page from the book and grow their economies too like the rest of the world. The cameras and other digital devices of Samsung, LG, and Hyundai that they are known for today are products of disruptive innovation

Disruptive Innovation and Public Good
Nilda Jelenic, Member
It seems a good tool for performance improvement. This is very necessary in the public sector. Especially in developing countries. To do more, better with the same or lower costs. Or improving the benefits for everybody. Public transport, garbage and sludge treatment, infrastructure, health equipment, administration and many other fields urgently need innovation. Public good suffers under the lack of strategic management models which involve new technologies.

Disruptive Innovation is Good Tool for Public Sector
Bomo Albert-Oguara, Member
Hi Babu, disruptive innovation is normative. It is meant to be adaptive for use in the public sector, the same goes Porters Cluster Concept which has become commonplace in most countries in the drive for competitive advantage among nations. Of course whatever strategy a nation uses must certainly be for common good. It is given. However, while developing strategy care must be taken to mitigate what economics calls externalities as by- products of public policy. The goal of every innovation must be for common good. As it is for the firm (profitability) so it is for the public sector (Social Capital) I quite agree with Nilda, disruptive innovation is a good tool for improvement in public sector performance, together with Kaplan & Nortons BSC we should see better public sector deliverability of social goods for the consuming public. The political will to undertake that paradigm shift remains the biggest problem from my experience. Many thanks Nilda for your insight.

Disruptive Innovation and the Public Sector
Alpin McGregor, Member
Interesting set of comments to my initial query about disruptive innovation. My thoughts have moved on to a good that is - as far as I'm aware of - always provided by the public sector (the state), and that is: the dispensation of justice. You're not going to get a new concept of "the rule of law" from disruptive innovation. May well get different administration techniques through destructive innovation but the product of "the rule of law" is unchanged.

Sustainability of Disruptive Innovation in Global Economy
D P BABU, Member
Yes, "the rule of law" is obviously different from country to country having different political ideologies. One country may encourage for a breakthrough over global business barriers but the other resists. There is always a question of sustainability clings on disruptive innovation.

Rule of Law
Kirk C. Heriot, Member
In terms of the 'rule of law' one should probably consider how laws directly affect commerce. In the U.S. we generally respect property rights. This set of laws has been instrumental in the entrepreneurial efforts of many individuals. In fact, Benjamin Franklin created the U.S. Patent Office to protect the intellectual property of inventors. One might link a new patented product with disruptive innovation by considering Schumpeter's concept of "Creative Destruction", but I am not sure Christensen had that in mind.

Rule of Law
Bomo Albert-Oguara, Member
The rule of law remains constant. The legal framework for intellectual property rights seeks to reward hard work, spur and encourage research and development for economic growth and living standards. Without this framework society will be left stagnant. Ever wondered why countries with good, strong IP right frameworks enjoy higher standards of living than those with weak regimes. China's accession to the WTO years back and her strong showing in international commerce bears testimony to the need to have the rule of law supporting innovation and inventions.

Rule of Law
Kirk C. Heriot, Member
China does not do a good job enforcing intellectual property rights. WD-40 began selling their product in China recently. Their CEO, Garry Ridge, said they have bottles labelled WD-40 that are sold regularly in China. The same is true in other parts of the world.
However, that having been said, I agree that strong IP rights encourage prosperity. Without them, "creative destruction" would not be possible.


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