"Science must begin with myths,and with the criticism of myths"------karl Popper (The philosophy of Science, 1957)
Downturns can be great times to introduce offerings that connect with consumers who have tighter purse strings or are naturally frugal given continued uncertainty. It’s reasonable to expect the need for alternative energy sources to combat climate change and reduce dependence on autocracies, greater food safety, and more dependable supply chains to attract today’s entrepreneurial energy.
There was a recession on the heels of World War II, in 1948–1949, before the post-war boom. In 1948, the McDonald brothers fired all their carhops, closed their flagship store, installed new equipment, and reopened three months later with a novel approach for preparing food. Instead of having a single skilled cook who would custom-make orders, McDonald’s simplified the menu so that less-skilled people could prepare the same thing over and over again
In 1953, the company started franchising its stores to other entrepreneurs. Franchise owner Ray Kroc bought out the brothers in 1954 and scaled McDonald’s into today’s global powerhouse.
Walt Disney founded his Disney company in 1923, a time where the world desperately needed hope.
Airbnb, an online marketplace for “places to stay and things to do,” was founded during the height of the recession in 2008. Its service appealed to thrifty millennials looking for a cheap way to travel, as did Uber’s car-sharing model.
The fact that resource scarcity typically accompanies recessions forces innovators to optimize processes :
Prune Prudently- resources need to be focused on places where they can have the greatest impact
Share the Innovation Load-companies should embrace open innovation and find smart ways to collaborate.
Smart Strategic Experiments-start with a hypothesis. Design an experiment with clear objectives. Make a prediction about what you think will happen. Test in a way in which you can measure and assess your prediction
Thus, understanding how digital technology works and how to embed it into business strategy has had to become a core leadership skill
Making the best use of digital technologies is what propels organizations into the future. To lead successfully in the digital age, leaders have to go beyond their usual training and learn to become digital collaborators.
Acronym HOPE (hypothesis, objective, prediction, execution plan).
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