Cluster Networks Achieve Widespread Diffusion
Widespread and timely diffusion and adoption of innovation in the firm and markets is essential to competitive advantage and productivity. Diffusion is often more important than the innovation itself! For example, since HP gets about 80% of revenue from product two years old or less, you can imagine the importance and priority of timely diffusion.
Effective diffusion of innovation depends heavily on cluster networks and proximate conversation. Developing the narrative of success among early adopters is far more effective than even the most ambitious corporate communications, widespread marketing ‘push,’ or even worse, the ridiculous notion of ‘change management.’
Good to see MIT Sloan validating cluster practices. See from the article: “Better health through social networking: Research shows how the nature of your social network influences your health behavior” new research findings on ‘clustered networks’ and diffusion, to wit,
“…translates into a system-level phenomenon whereby large-scale diffusion can reach more people, and spread more quickly, in clustered networks than in random networks.”
If you wish to achieve effective, system-wide diffusion of innovations focus on network patterns, clusters, conversation, narrative and pull.
Remember, talk is cheap; conversation is priceless. Social media are effective insofar as they advance authentic, proximate conversation. BTW, here are some close colleagues from HP and Institute for the Future doing pioneering work in this area at Stanford. Recommended.
http://mediax.stanford.edu/WSI/conference.html
Unfortunately, these principles are lost on people, particularly startups, entrepreneurs, investors and fledgling software companies. It’s a shame and leads to legions of painful road kill. Even the greatest startup innovation is utterly useless without customers.
There are still a lot of kooky managers out there taking traditional approaches to the diffusion of innovation. Instead of a rule-based, command and control model of diffusion use network patterns to nurture ideation cultures.
For example, commercial mega-conferences in huge hotels, gigantic conference centers and golf resorts with masses of strangers are a huge waste too. Honestly, no one spends thousands to watch someone flip PowerPoint in a casino ballroom anymore. Good grief. Worse, video recording and pushing this content on the Web is even more ridiculous.
Commercial conferences are fine for curious newbies and often very entertaining, but large, random networks have zero impact on the diffusion of innovation or product pull-thru. (Academic conference are the notable exception, of course.)
The real work and effective diffusion happens in clustered networks.
Recall MIT-Sloan findings -- clustered networks are far more effective for rapid, widespread diffusion of innovations and and product marketing.
Fortunately, there is a small but growing move afoot to correct a lot of these bad habits. For example, people are clustering around the principles of Lean for startups and innovation. There are emergent cluster networks here in San Francisco, in Toronto and New York. Of paramount importance to lean startup innovation is the practice of customer development.
The Future of Networks serves, provisions and equips clustered networks (clusters) that deliver fundamental advancements in large-scale, system-wide diffusion of innovations.
Above all, don’t forget, conversation is good business!
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