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hoW does learnIng ConTrIbuTe To sTraTegIC ConTrol?  363

                               Figure 10.12  ‘disruptive’ technological change

                                                                                Performance required
                                                                                   by ‘top end’ of
                                                                                    the market
                                                                     Performance based
                                                                     on ‘new’ technology
                                    Performance of goods and services  based on the technology  on ‘old’ technology  market-acceptable

                                           Performance based

                                                                                       Zone of
                                                                                     performance






                                               ‘Disruptive’
                                              technological                     Performance required
                                                                                 by ‘bottom end’ of
                                                change                              the market


                                                            A            B
                                                                  Time
                               Source: Adapted and reprinted with permission of Harvard Business School Press from Christensen, C.M.
                               (1997) The Innovator’s Dilemma. Boston, MA: Harvard Business School Publishing Corporation, p. xvi
                                 Introduction (all rights reserved).


                             In that sense, this technology is not an immediate threat to existing car or engine
                             manufacturers. However, the electric car is a disruptive technology in so much as its
                             performance will eventually improve to the extent that it enters the lower end of the
                             acceptable zone of performance. Perhaps initially, only customers with relatively unde-
                             manding requirements will adopt motor vehicles using this technology. Eventually,
                             however, it could prove to be the dominant technology for all types of vehicle. The
                             dilemma facing all organisations is how to simultaneously improve product or service
                             performance based on sustaining technologies, while deciding whether and how to
                             incorporate disruptive technologies.


                             resource and process ‘distance’

                             The degree of learning, and the degree of difficulty in the implementation process, will
                             depend on the degree of novelty of any new resources and the changes required in the
                             operation’s processes. The less the new resources are understood (influenced perhaps
                             by the degree of innovation), the greater their ‘distance’ from the current resource base
                             of the operation. Similarly, the extent to which an implementation requires an opera-
                             tion to modify its existing processes, the greater the ‘process distance’. The greater the
                             resource and process distance, the more difficult any implementation is likely to be. This
                             is because such distance makes it difficult to adopt a systematic approach to analysing








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