Abstract
Companies today, in some industries more than others, invest more capital and
resources just to stay competitive, develop more diverse solutions, and increasingly
start thinking more radically when considering their business models. However,
despite the understanding that business model (BM) innovation is a risky enterprise,
many companies are still choosing not to apply any risk management in the BM
innovation process.
The objective of this paper is to develop a better understanding of how risks are
handled in the practice of BM innovation. An analysis of the BM innovation
experiences of two industrial companies shows that both companies are experiencing
high levels of uncertainty and complexity during their innovation processes and are,
consequently, struggling to find new processes for handling the risks involved. Based
on the two companies’ experiences, various testable propositions are put forward,
which link success and failure to the way companies appreciate and handle the risks
involved in BM innovation.
resources just to stay competitive, develop more diverse solutions, and increasingly
start thinking more radically when considering their business models. However,
despite the understanding that business model (BM) innovation is a risky enterprise,
many companies are still choosing not to apply any risk management in the BM
innovation process.
The objective of this paper is to develop a better understanding of how risks are
handled in the practice of BM innovation. An analysis of the BM innovation
experiences of two industrial companies shows that both companies are experiencing
high levels of uncertainty and complexity during their innovation processes and are,
consequently, struggling to find new processes for handling the risks involved. Based
on the two companies’ experiences, various testable propositions are put forward,
which link success and failure to the way companies appreciate and handle the risks
involved in BM innovation.
| Original language | English |
|---|---|
| Title of host publication | Proceedings of the 11th International CInet Conference in Zürich |
| Number of pages | 14 |
| Publisher | Continuous Innovation Network |
| Publication date | 2010 |
| ISBN (Print) | 978-90-77360-13-2 |
| Publication status | Published - 2010 |
| Event | 11th International CINet Conference - Practicing innovation in times of discontinuity - Duration: 5 Sep 2010 → 7 Sep 2010 |
Conference
| Conference | 11th International CINet Conference - Practicing innovation in times of discontinuity |
|---|---|
| Period | 05/09/2010 → 07/09/2010 |