MARKETING AND DISCONTINUOUS INNOVATION - THE PROBE AND LEARN PROCESS

Companies that compete effectively over the long run in technology int ensive fields exhibit an ability for both continuous (or incremental) innovations and discontinuous (Or radical) innovations. The latter, wh ich lead to the creation of entirely new businesses and product lines, pose a unique set of challenges for management. They typically requir e a long, investment-intensive process, marked by pervasive uncertaint y, unpleasant surprises, and no guarantee of success. Conventional app roaches to new product development, while appropriate for continuous i nnovation, are inappropriate and sometimes even detrimental when appli ed to the more discontinuous regime of innovations. For instance, the familiar admonition to be customer-driven is of little value when it i s not at all clear who the customer is or will be, or when the product class itself does not yet exist. This article presents detailed case studies of four discontinuous innovations-CAT scanners (by GE), optica l fibers (by Coming), cellular phones (by Motorola), and NutraSweet(R) (by Searle, now Monsanto)-which explore the process of developing dis continuous innovations and demonstrate how they are fundamentally diff erent from the conventional process of incremental innovation.