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Disruption InnovationTwitter@terrellbjones

Disruption Innovation

Why? I mean…everything is great!

Are things moving faster?

Don’t you feel like him? If you pushed him hard…he might admit

“Yea there are tremors…”

“Neither RedBox nor Netflix areeven on our radar screen in

terms of competition”

CEO Blockbuster2008

Peak Employment 60,00010 Years later ZERO SomeLeaders

areworried

Perhaps disruption is coming?

Self Driving

Cars

Insurance

Hotels

Parking

Gas Station

Deliveries

Auto Repair

Billboards

Healthcare

Traffic Cops!

Truck Drivers

Who is the enemy? Perhaps Godzilla but…

3,000-4000 Startups per year!

Who & What is likely to disrupt you

What yo

u can do

about it

!

Digital Disruption

`Get slides @

www.tbjones.com

6 7

3 421

Forces of disruption

1098

5

Foundations

Connectivity

The InternetFlowed

one way

Information

Connectivity = Opportunity

DISRUPTION!

• By the song• Digital/Free• Digital/

Mobility7.3 Billion Cell Phones

5 Billion Network Nodes

50% of P

riceline’s

booking

s =

Mobile

Mobile only last minute hotel

50 Million Apple Watches

Total of over200mm worldwide

of all brands

•20GB speed •Reduced latency

•Internet of skills •High motion mobility •Autonomous vehicles

Torrent

Stream

Big Data

2.5 Quint

illion byte

s daily

Where to put it?

CloudWhy is cloud important?

• Instantly available • Insanely inexpensive • Infinitely scalable

Game Changer

It’s why two guys in a startupHave as much computing power

as a Fortune 500 company!

Big Data

Big data is the oil of the 21st CenturyWe must refine it!

A. I. • Machine Learning• Computer Vision• Natural Language Processing

Foundations of Disruption

Convergenceof

Technologies

I.O.T.

38 Billion b

y 2020

I.O.T. Examples From Sensing To MeaningTo ActionAC Shutdown

Section 1`

Backup on Service

Dispatched

“Buildings a

re literally be

coming gian

t computers”

Joshua Emig

- WeWork

Opportunities

Robotics Robotics

Drones Drug delivery drone

Additive Manufacturing

90% of hearing aids 3D printed

In 4 years!

Jet Engine Fuel Nozzle

Part Supply Chain Manufacturer Benefits• Cheaper

• Lighter (25%)

• Stronger (5X)

• Faster (1 Year Faster to Market)

• No Inventory

• Fewer Sub Parts to Maintain (-20 Parts)

• Etc

Local 3d

Parts

Insurance

Forwarder

Warehouse

Sub Assembly

Assembler

Container Ship

Long Haul Truck

Materials Suppliers

Customs Broker

Truck Drivers

Better to be the disruptor!

40% Mass Reduction 20% Decrease Weight

A. I.

AI is the new UINatural Language Processing

Amazon Echo

43 Million

of these

devices

installed

U.S.

Many Choices

What will it cost to be the only one?

Advanced Algorithms

Predictive Analytics Predictive Analytics

Google flights predicts delays with

80% confidence

Predict train 
 overcrowding

Predictive Failure Adaptive Diagnostics

Condition Based Maintenance

Computer Vision

VR vs AR

Wal-Mart Training

Combination - Self DriveComputer

Vision

Neural Nets

Deep Learning

Natural Language

Self Driving Here Now

Technology not the only thing changing

Our Customers They work in teams

They’re untethered They work…anywhere

Want what they Want When they Want it

They don’t understand analog

They are harder to catch We need a better mousetrap

“Somewhere out there Patrick is the key to increased sales. Find that key, Patrick and bring it to me!”

Relationships are changing

Selling must change

Selling Speeds &

Feeds

To technical buyers

Today

Collaboratively designing

For digitally empowered companies

Solutions to improve their business

Forces of disruption

IIOT

Robotics

Drones3D

Printing

AR/VR

Conn

ectiv

ity

Mobility

Big Data

Cloud

A.I.

Common Attributes

• All this disruption is digital• All of it is internet connected• All of it is using big data• Much of it uses AI• Much of it is mobile

All of this is vulnerable!

Opportunity

Threat

“If you don’t like change, you’re going to like irrelevance even

less.” 



Hide? Hold it

Back?

Kodak invented thedigital camera!


Instructed to

“Tell no one about it!”

Instagram raised$1 Billion

The day Koda

k went bank

rupt

What’s holding

youback?

50% of executives are dissatisfied with

the state of innovation in their company

Boyd & Goldberg“Inside the box”

Check the mirror Risk

v I Started My Career As A Receptionist in a travel Agency - 45 years ago

Vega Travel

1st Startup

2nd Startup Sold to American Airlines

• CIO• VP Computer Ops• VP Applications• Asst VP Product• Asst VP ADS Div• Director

18 Years AA Big Risk

• Boards• 7 startups• 3 went public

• 4 public companies• 1 non profit

• Consulting company• Venture Capitalist• Speaker• Author

Recently I went all in again…

Ran outta money

`

75% of venturebacked startups

FAIL

vTake the first risk! • Change how you partner• Change how you sell• Change how you think

Come together

Why can’t I buy a concept car?

Clarity

Chained to an old model?

We’ve ALWAYS done it this way

We’ve NEVER done it

that way

“What is dangerousis not to evolve”

Jeff Bezos

“Established organizations view disruption as a threat”

How cou

ld we do

that?

TheirInnovation Your

Disruption

InnovationDisruption

You can act!

Stop being disrupted - Innovate!

Innovation

Culture Team

Culture eats strategy for lunch
Dick Clark Merck

You won’t get any ideas unless...

Nurture the flame

This is NOT the Olympics

“Success isn’t permanent and failure isn’t fatal ”



-Mike Ditka

You’ve got to experiment

Copy Writer Editor

35% Mo

re

A/B/C/D Testing!

20% of K

ayak is a

test

When you fail......

Kill projects...NOT peopleCoach

Early on we built a CD Rom based travel product

Spent $1 million dollars

Lost $1 million dollars

“What did you learn?”

Everyone needs a coachCulture is a contact sport

Cul

ture Team

It’s all about the team

This New World requires Old World knowledge mixed with youthful exuberance

This Industry is broken Only we can fix it Messianic Zeal No Industry Knowledge No Industry Contacts

.com

Suits Industry Is Fine Doesn’t Need Fixing Slow Pace Domain Expertise

.corp.corpse

Staffing A Balance of views

People who don’t fit in? Can One

Person Make

A Difference?

One Person

Can make

ALL THE Difference

Satya NadellaMicrosoft

Allen MulallyFord

One Persistent Guy Beat Us Doubled Their Sales!

Keep teams small Generating Ideas

Where do good ideas originate? Listen to customers

Listen To Your Customers!

• The Phone Booth Is A Symbol• Every person in every job 


required to listen to two 
customer calls per month

• Must discuss root cause at 
staff meeting

Paul English, CTO

Clay in the customer’s hands

60,000,000 Downloads

Behavior just like the desktop!

Resources

U. S Mars

Mission

$730,000,000 $73,000,000

IndianMars

Mission

“Martian

” = $10

0mm!

Tesla

You don’t have to change the world to cause disruption

Do it y

ourse

lf

Went

public

$1.2b

bl

Cho

ice

Sold

for $1

.8 Bbl

Bund

ling

Sold

for $5

0 mm Apple didn’t invent

They m

ade the

m bette

r

“Don’t ever protect your past”


Ginni RomettyCEO IBM

Let me tell you a story Business Model• Airline Commissions 10% +

• Hotel Commissions 10+

• Car Commissions 10%+

• Advertising

• Merchandise

Grew Like A Weed Market Forces

• Microsoft enters market

• Contemplates
Building 
Travel 
Into 
Browser

We Respond With Portal Deals

10%



8%



Commission Cuts

Higher Margin Products Went Public Acqiired #3 Site & AOL

Traffic

8%



5%



Commission Cuts Reduced Costs

Added Telephone Sales

Travelocity TerminatorWe Tried Everything To

Kill Them

9/11• Business fell 70%• Leveled off at -30% of previous

volume

Airlines Create More Pressure

• Don’t Want Big OnLine Agencies

• Cut Commissions To ZERO

• We Instituted Service Fee

But our sales....

0

2500000

5000000

7500000

10000000

Built Change Into The Plan

• Great Management ! • Rigidly controlled costs• Listened to virtual customers• Changed Rapidly• Experimented, but failed fast

Victory of the LilliputiansFailed To Compete!

Transforming our

model

They Didn’t!

Paths are made by thepassage of many feet

Leaders don’t follow pathsA story about change

$300,000

These kids never met!The game was built


entirely online and through Internet Messenger and Chat

A Virtual Company

Funding Kickstarter

Office Apartments

Team Crowdsource

Customers Social/Search

IT BYOD/Cloud

He’s not a failureOnly sold $400,000

Recreateimagine Chuck Hull

Reimagine

Radio Controlled AirplanesDrones

Reimagine

Reimagine

“The last 25 years were all about who could build things the cheapest.

The next 25 will be all about who can make things the smartest” 


Antoine van Agtmael

Do something extraordinary!

Promoted!

“Thou shalt not” is soon forgotten

“Once upon a time” Lives forever

Philip PullmanDare to

create

original

ideas

Put ideas to work! Lessons learned

•At your favorite online bookstore

• Paperback or Ebook

Disruption

Coming This summer!

6 7

3 421

Forces of disruption

5

8 9 10

What’s holding

youback?

InnovationDisruption

Innovation

Technique

Technologyfollows

Cul

ture

Team

Create a culture of innovation

CultureWhere people aren’t afraid to go for it!

Experiment

Experiment Don’t punish - Learn

Small TeamsBalance of Views

It is all about the team

Get slides @ www.tbjones.com

Selling has changed

Information everywhere

Download slides @www.tbjones.com/downloads

Don’t Just Push What You Have

Tell Them When You 
Aren’t The Right Solution!

Thought Leadership

Find the change agent

“65% of busine

ss leaders will

buy technolog

y without

involving IT”

IBM

Help Them Decide

Lift them to success The opportunities are out there

It won’t be easy! But you’ve got the tools

“It’s kind of fun to do the impossible!”

Walt Disney

You will succeed!

You think you have a tough job?

Mobile

6

5

3

4

2

1

“You fall, you die!”Carl Wallenda

“When we come to the edge of the known world we’re standing on the shores of the infinite”

Ronald Reagan

Change is inevitable Growth is optional