Let’s dial the Time Machine back to 1995, when Clayton Christensen published his seminal work on the innovator's dilemma. Our friend Clayton was a smart cookie and shone the light on a hard truth: successful companies often fail not because of poor management, but because they keep making the impenetrably defensible decision to focus on their core business. I mean, how do you argue against that?
Meanwhile markets shift bit by bit, customer preferences change and forces greater than the will of organisational leadership eke away at their foundations. At best, those small, sometimes almost imperceptible ebbs and flows add up and change the landscape over time. At worst, new breakthroughs happen by those pesky “but they’re only 1% of the market and nothing to worry about” new entrants and we’re left stranded on an island of irrelevance.
So, let me ask you a question that I believe defines the future of every organisation: Are you innovating because you feel like you have to, or because you have it hard coded in your DNA? This distinction is everything.
When you innovate out of necessity, it’s like taking up cycling as a New Year’s resolution. Every ride feels laboured - a real drudge – so you’re never going to win an Olympic medal and you’ll most likely give up. But if you take up cycling because you’re inspired and dream of Olympic glory (like me as a 16-year-old) then you might just do that. The chances are you won’t win a gold medal, but you’ll be fitter, faster and enjoy your time on a bike for a whole bunch of other reasons. It’ll be pure joy and open many doors for you, plus you’ll gather knowledge about yourself and your limits that would have otherwise been left dormant (also like me, somewhat older).
But innovating from desire… that's where the magic happens. When you choose to poke the bear while your core business is strong, you're operating from a position of confidence and clarity. You have the luxury of experimentation, the remit to invest properly, and most importantly, the mental space to think big. This is what Christensen was pointing to – the ability to disrupt yourself before someone else does it for you. New futures are being invented and imagined all around us, so, aren’t you best to take a leadership position and re-write your own future rather than trailing in someone else’s wake?
I've seen this play out many times in different businesses I’ve worked with around the world. Companies that wait for necessity often end up making desperate moves – rushed digital transformations, hasty acquisitions, or poorly thought-out product launches. But those who innovate from desire? They're the ones writing the next chapter of their industries. They're building new capabilities methodically, exploring emerging technologies thoughtfully, and reshaping their organisations with purpose.
The cultural difference is stark too. Innovation driven by necessity breeds anxiety and resistance. Stoking those whose ambitions and energy come from desire creates excitement and engagement. Your teams can sense the difference – trust me on this. When the movement comes from a place of opportunity rather than fear, it energises your entire organisation.
So here's my challenge to you: Don't wait for the market to force your hand. Don't let Christensen's dilemma become your company's epitaph. Start your innovation journey today, not because you have to, but because you want to. Because when you choose to innovate from desire rather than necessity, you're not just avoiding disruption – you're creating the future you want to see.
Remember, the most powerful innovations don't come from companies fighting for survival. They come from those that are brave enough to challenge themselves at their strongest moment.
Peter Osborne
CEO
Cremorne Digital Hub
–
Peter Osborne is an experienced innovation leader with a 25-year career in global listed companies including Seek, Trade Me in New Zealand and Philips North America where he Directed open innovation programs involving companies across multiple regions. Pete also co-founded a venture incubation group in Melbourne, launched Bingle - Australia’s first online car insurer, and has advised a number of international tech companies. Expert in ideation through to product launch and scale up, including market validation, fundraising, go to market and customer engagement strategies, Pete is now entirely focused on empowering innovation and growth with an industry-first approach in Melbourne through Cremorne Digital Hub.