What do the Blitzkrieg, the Digital Camera and the iPod have in common?
Their stories start where an existing, established entity with a distinct advantage as a leader failed to capitalise on its own innovation. In the case of Blitzkrieg, it was the British Army, for the Digital Camera, it was Kodak and in the story of iPods, it was Sony with their memory stick Walkman.
In each case, an established entity failed to capitalise on Innovation. While one may attribute it to a variety of reasons, from idiocy to personal ego to politics, a probable reason could be the Innovation Gap.
Defined as the failure to establish an operational link through people, process & technology between an idea and its execution, bridging the Innovation Gap is the holy grail of successful Innovation!
Dominant organisations are prone to stumble when the new technology requires a new organisational structure. An innovation might be radical but, if it fits the structure that already existed, an incumbent firm has a good chance of carrying its lead from the old world to the new.