Portfolio Strategy

Disruptive Innovation

Disruptive Innovation is a class of innovation project that develops entirely new products or services and creates new markets — the highest risk and highest potential reward of the three project classes in a portfolio, alongside Core and Adjacent Innovation. Because disruptive projects fall furthest from the existing business, they are the most prone to an RPP mismatch — needing resources, processes, and priorities the core organization has not optimized for — and the most likely to be starved or stopped for the wrong reasons when they are governed as if they were core projects.

Where it fits — and where to go deeper

In BRI Associates' methodology, the Disruptive class carries its own class profile — higher investment over a longer horizon, lower early survival rates, and different evaluation criteria and evidence standards than Core or Adjacent work — and often needs the separate, ambidextrous governance described under Company Fit and RPP. For the full treatment, see the Portfolio Management pillar at /supporting/portfolio-management. Related Terminology Index entries: Core Innovation; Adjacent Innovation; Portfolio Strategy; RPP; Ambidextrous Organization.

Sources

  • Clayton M. Christensen, The Innovator's Dilemma (Harvard Business School Press, 1997) — the origin of disruptive-innovation theory.
  • Bansi Nagji & Geoff Tuff, "Managing Your Innovation Portfolio," Harvard Business Review (2012) — the transformational tier of the innovation ambition matrix.
  • BRI Associates, Strategy & Innovation Methodology — Disruptive as the highest-risk configurable project class (/supporting/portfolio-management).
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