There's a lot of change happening right now. Every business needs to work out how to react to that change. Sometimes adaptation (incremental change) will work, but sometimes reinvention and transformation is needed. How do you decide which is needed in which situations?
One of the key factors I have seen in both digital transformation and more recently in AI-led transformation is the need to focus on the core of the business. This conflicts with a general tendency of conservatism in business and a preference for innovation to focus on the periphery.
As the link to Kevin Sneader's (McKinsey Managing Partner) talk below notes that "reinventors" are two-and-a-half times more likely to have done something fundamental to the core operation of the company.
What does it take to reinvent? Who are the reinventors? These are some of the characteristics. These are companies that choose to invest more in digital. They are more likely to be using some of the technologies in their core business model rather than in demonstration projects off to the side. One of the great places to say you’ve joined the digital arms race is to point to a division that is off in the corner, doing something really interesting, rather than to the heart of the business—and reinvention is about the heart of the business. That is why [reinventors] are two-and-a-half times more likely to have done something fundamental to the core operation of the company. That is what reinvention means.