Two most significant business transformations in recent times have been the emergence of services as a major segment and also the reality of Globalization.
It is extremely important that innovative business models evolve suitably to address this need. In fact, we are witnessing a host of new business models
that did not exist just about 20 years ago.
In this new flat world, while businesses are experiencing greater opportunities for their products and services, they also are facing greater challenges especially from the non-traditional competition.
This is forcing all the businesses to innovate in every sphere of their operations, right from their value offerings to customers to their internal operations and go-to-market strategies.
Businesses are increasingly becoming aware that they need to move beyond the traditional product innovation, as more and more successful companies of this new world are being built around innovative business models and processes including innovative distribution channels and customer experiences.
The successful companies are those that are: (a) extending beyond the popularly known product innovations by R&D teams and making Innovation as the DNA of entire organization across the business units, functions, and processes and (b) harnessing the innovative capabilities of the entire ecosystems including the external alliance partnerships and lead customers creating innovative business models.