The majority of the traditional management practices choke entrepreneurship as they privilege predictability and the delivery of results and do not want to risk. This is the opinion of economist Arie Halpern, director of Gauzy Technology, an Israeli company that reframed the concept of transparency in windows and other applications with the smart glass, considered by NoCamels.com (http://nocamels.com/) one of the ten most futuristic technologies in Israel. “The culture to center efforts in the existing activity is necessary, but the creation of an environment where the experimentation prospers is condition for the business sustainability”, says Halpern, in whose professional trajectory of 50 years led some disruptive technology projects.
The formula to increase the possibilities of a good idea resulting in a sustainable business is to take on innovation as part of the business strategy, to study the market, to plan and manage risks. Even so, he says, it is necessary to understand that these technologies are subject to the fast changes due to globalization and the speed of information, being, therefore, very difficult to foresee and have guaranteed success. In his opinion, there are seven capital sins related to the disruptive technology that need to be prevented in order to increase the possibilities of an innovative project not failing.
1) Excessive optimism — One has to objectively analyze the technical, economic and financial viability of the investment, only starting out if there is certainty that the market for their product or service is growing or promising. It is necessary to evaluate the time needed for the adoption of the product or service and, mainly, take into consideration who would be ready to buy or contract it.
2) Invention without application — make sure that the technology is applicable in the real world. This is not always the concern of a scientist or inventor. Therefore, the role played by a specialist in marketing is essential, once this is the person who may help to transform the new technology into product or service; or to find where the consumers who still do not know they need that technology are, or to show the adjustments necessary so that these consumers feel like trying the novelty.
3) To hand in the idea on a plate — It is important to evaluate if the newness can or not be copied with easiness. If the cost to copy it is too low, the business does not have future and dies before existing. The entrance ticket has to be high for those who want to dispute the same space so that the investment and effort taken are worth.
4) To ignore the return to the investor — It is necessary to analyze the perspectives of return of the investment, taking into account the necessary time for the technology or innovation to be adopted. In other words, it is not enough to have a brilliant idea, if it is not possible to make it generate results before the investors break. Without this, the innovation, no matter how disruptive, is just charm.
5) To relegate the launching – the lack of a good program for the launching of the product may be fatal for the project, mainly if the available resources had not been considered adequately.
6) To think that only genius is enough — Without working capital, no business survives, not even the disruptive ones. To think that the first sales can support the financial health of a company is an illusion; do not fall into this trap.
7) To cut the workforce excessively — Not to invest in a good team of collaborators, good attendance and quality control means certain death for any technology, even the most disruptive.