Article of the Week
The Semantic Economy (Innovation Excellence)
Big Idea: The semantic economy means that competitive advantage will be conferred not on those who best reduce informational costs, but those who create new informational value for the entire network.
Editor’s Choice Articles
Get the Adaptive Advantage eBook (bcg.perspectives)
Big Idea: Download an eBook of key essays from BCG’s series on the growing importance of adaptability as a driver of competitive advantage.
When Failure Isn’t Free (strategy+business)
Big Idea: When innovation requires vast funding and years or decades of effort, we can’t wait for universities and government research laboratories to be overtaken by dorm-room innovators, because it may never happen.
Best Buy’s Fate Lies With Boutique Mobile Tech, Not Big-Box Stores (Fast Company)
Big Idea: Instead of concentrating on traditional giant warehouse-style stores, which it’s perhaps best associated with, Best Buy has said it’s going to open 100 smaller stores instead and plans to have as many as 800 open by 2016. That’s almost 500 more than it has today. So by no means is the retailer shutting down, nor is it going to kill its operations as it did with its U.K. arm last year. What we’re looking at here is something rather surprising: A giant retail name quickly evolving to meet a changed market.
Inside SAP’s radical makeover (Fortune)
Big Idea: The consumer-friendly app, it turns out, is symbolic of bigger changes afoot at the tech giant, based in Walldorf, Germany. Recalls Plus is just one of several signs the company is moving beyond its legacy business and investing in the technologies its customers crave: mobility, cloud, and real-time analytics.
Why Employees Should Decide Who Gets Bonuses (Inc.)
Big Idea: Using a simple piece of software built in-house, Linden Lab divided the total bonus money and handed out an equal share to each employee. Employees then anonymously gave it away to anyone in the company they pleased, keeping none for themselves. It could all go to their best buddy, they could spread it evenly around the company’s couple hundred employees, or any allocation in between – whatever they decided. Job done.
What a Poor Man’s Innovation Can Teach a Rich Country (Innovation Excellence)
Big Idea: On BigThink.com, Vijay Govindarajan, a Professor of International Business at the Tuck School, discusses the dynamics of innovation that starts in poor countries and is then brought to people in wealthy countries.