Steve Jobs and Apple's SECRET WEAPON for Killing Industries That "Suck"

 

Steve Jobs and Apple systematically disrupted multiple industries. The list is impressive:

* Personal Computing (Apple II)
* Desktop Publishing (Macintosh)
* Music Management (iTunes)
* Portable Music (iPod)
* Mobile Phone (iPhone)
* Portable Computer (iPad)
* Retail (Apple Store)

But, what system or methodology did Steve Jobs (Apple) use?

Steve Jobs onced remarked, "The system is that there is no system." But there is a system behind Apple’s approach to disruption. It's no surprise that Jobs thought that Apple had no explicit system or methodology behind their approach to industry disruption. Apple's system to innovation is systematic but largely tacit and intuitive. Apple's system is driven by a culture of innovation. In the domain of tools and theories for business development, Apple's innovation system for "Blue Ocean Success" is like a Black Swan. Apple's system and methodology do not neatly fit into the box of classic and other approaches such as the following:

* Michael Porter's Competitive Strategy
* Clayton Christensen's Disruptive Innovation
* W. Chan Kim and Renee Mauborgne's Blue Ocean Strategy
* Gary Hamel and C.K. Prahalad's Core Competencies
* James Collins and Jerry Porras's Built-To-Last Framework
* Steve Blank's Customer Development
* Eric Ries's Lean Startup

So, what methodology or approach did Steve Job or Apple use in achieving extraordinary (Blue Ocean) success in multiple industries?

After four years of studying Steve Jobs and Apple's approach to achieving Blue Ocean Success, I'm convinced that there's a methodology behind Steve Jobs/Apple's seemingly unique pattern of success. I call the holistic methodology, "Value Disruption Design (VDD)." VDD is a comprehensive methodology that seamlessly integrates ideas from the above listed approaches. The basic unit of analysis in VDD is the "Customer Experience Journey" in the Red Ocean as well as in the Blue Ocean (a la Blue Ocean Strategy).

The core tool of VDD is Value Disruption Strategy which is illustrated below:

http://www.slideshare.net/RodKing/value-disruption-strategy-steve-jobs-secret-weapon-for-killing-industries-that-suck

There are four stages in the (ODDE) cycle of Value Disruption Strategy:

O: Observe (Conventional Trade-offs in Customer Experience Journey)
D: Disrupt (Eliminate Pain; Reduce Pain; Increase Delight; Create Delight)
D: Design (Prototype; Test; Validate; Iterate)
E: Execute

A fun name for Value Disruption Strategy is the "ODDE" Wheel. The metaphor of the Wheel indicates that Value Disruption Strategy must go through several cycles or iterations in order to create "insanely great customer experiences." In Value Disruption Strategy, a strategy or positioning is not constant; a strategy can be modified or "pivoted" if the product is ill-fitted to the market; vice versa.

There is more to Value Disruption Strategy. Here, my aim is to introduce a simple visual tool that systematically and comprehensively explains how Steve Jobs and Apple consistently achieved Blue Ocean Success in multiple industries. The ODDE Wheel of Value Disruption Strategy also explains why Steve Jobs did not achieve Blue Ocean Success with NeXT computers. And more importantly, Value Disruption Strategy explains why about 90% of (scalable) startups fail.

Given the high rate of mortality of startups, it is my dream that one day, Value Disruption Strategy will help us achieve Zero Mortality Rate (ZMR). Albert Einstein, once said, "The significant problems we have cannot be solved at the same level of thinking with which we created them." To me, Einstein is advocating the need for disruptive thinking and in particular, a Value Disruption Strategy. For me, we should start turning the ODDE Wheel before it's too late ... even for such problems as Unemployment; Poor Health; Pollution; Poverty; Isolation; Terrorism & War; Homelessness; Information Overload.

What do you think?

Best,
Rod.

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