Why Disruption Is Coming for Your Industry -- And How to Embrace It

The rate of disruption is escalating across every industry, thanks to an increase in computing power, technology adoption and information sharing. These global shifts have made markets more efficient, given companies access to a broader pool of talent and resources and expanded competition to a global scale. The resulting changes and pressures are challenging virtually all companies, from startups to established enterprises.

Leaders know change is coming, but feel unprepared.

Disruption is not just a matter of technology-first companies uprooting legacy competitors. Established players that adopt technology efficiently are also shaking up industries and gaining market share. In the face of rapid change, many companies don't feel that they are ready for the future. According to a recent Accenture report, "while 93 percent of executives ... say they know their industry will be disrupted at some point in the next five years, only 20 percent feel they're highly prepared to address" that threat.

This lack of confidence is rooted in two major misconceptions: a) disruption happens by chance, rather than resulting from predictable forces, and b) the only possibility is a winner-take-all situation. Typically, neither of these scenarios is the reality. Disruption can be positive for an industry, forcing legacy players to inject a new level of innovation and continue to evolve, while startups bring new ideas to the table. And when larger companies partner with smaller companies, they can generate new ways of thinking that benefit their customers and the industry as a whole.

Why you should embrace disruption

In some cases, a new technology-driven business model can completely disrupt incumbents (think Blockbuster in the face of streaming video services). But, it doesn't have to be that way. Change is always scary, but companies that efficiently adopt new technologies can survive and thrive amid disruption and emerge as industry leaders. The threat of competition provides an opportunity for legacy companies to become more innovative, which ultimately serves consumers and strengthens the playing field.

Companies that embrace disruption know the importance of investing in transformative technologies like artificial intelligence, mobile and data management. 

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