Management - Technological Innovation and Disruptive Technologies

Running Head: MANAGEMENT 0
INNOVATION AND NEW
TECHNOLOGIES

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Technological innovation and disruptive technologies
Technology is moving at an incredible pace and there are now years to come will bring
impressive technological breakthroughs on the corporate life cycle, communities, markets
and individual lives. For business enterprise, innovation is now becoming a primary source of
competitive advantage driving differentiation, efficiency and higher productivity in meeting
of diverse needs. Petkovska (2015) also defined innovation as the particular instrument
of entrepreneurship and the act that grants resources with a new capacity to create wealth. He
also refer innovation as the process of creating value by applying new solutions to meaning
problems. In addition, technology innovation includes new products and processes and
important technological changes of processes and products. In simple words, technological
innovation is a part of the total innovation discipline and focuses particularly on technology
serving as cornerstone to research, development, design, marketing and manufacturing.
The next stage of digital and technological innovation also comes up with emotionally
intelligent interfaces and hyper intuitive cognitive capabilities leading to transform business
in unpredictable ways. In addition, emerging competitive forces and customer choices meant
large scale disruptions continued the momentum to build a differentiated consumer journey
and outperform market forces. Some of the major technology trends include internet of
things, machine learning, blockchain, virtual reality, cognitive technology and artificial
intelligence. Considering an example, Pokemon Go is one of the best examples of AR
whereas latest package delivery drone by Amazon is also an example of computer and
advanced AI capabilities (Rauschnabel, Rossmann and tom Dieck, 2017). Not all innovations
and technological developments are disruptive and for the same, Dedehayir, Nokelainen and
Makinen (2014) defined disruptive innovation as an innovation that creates a new market and
value network displacing present marketing leading firms, alliances and products. A
disruptive process can take time to develop than by the conventional approach and the linked
risk to it is higher than other more evolutionary and incremental forms of innovation,
however, once it is arrayed in the marketplace, it attains a greater penetration and faster
degree of influence on the established markets. However, as a part of the study, the research
is confined to one major technology i.e. Internet of Things (IoT).
IoT is defined as the assortment of numerous sensors, devices and other technologies that are
not planned to directly interact with users similar to phones or computer systems rather this

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technology presents a control, analytics and data to connect a sphere of hardware systems
with other devices and the bigger internet. This technological innovation and trends are one
of the biggest revolution progressively expanding its benefits to nearly 7 billion devices from
the 17 billion connected devices in 2018 (iot-analytics.com, 2018). IoT, as a disruptive
technology is transforming the business in numerous ways and firms, are adopting this
technology into their everyday operations as of increasing competition in the market. IoT
helps significantly in decision making of the business and accelerating its efficiency with
transferring and recording information so as to watch on the new approaches and plans and
hence, presenting useful new insights. Through various connected devices and equipment’s,
this technology also benefits business in raising greater customer experience together with
decreasing operational expenses, waste reduction and offer enterprise a way to move away
from traditional business models to new revenue streams.
Taking example of Walt Disney World, the company is embracing over IoT to improve its
theme grounds experience, strengthening security and get to know the visitors' behaviour and
spending patterns. To achieve this, the company introduced MagicBand in 2013 as initial
public testing that is put on the hand of visitors and what it like to be a simple RFID chaser to
present necessary access to the park. By 2015, more than 10 million MagicBands were
delivered by Disney and this helps them to implement this technological innovation in its
other theme part too (Marr, 2018). However, the company is to use this technology at full
potential and therefore, decided to use this technology in other places like they collaborate
with Hitachi so as to form data driven solutions to increase their operational area efficiency.
According to Yang et al (2017), IoT is one of the disruptive technological innovation and the
biggest frontier bringing numerous and unpredictable benefits in the business life cycle. One
of the significant benefits, as discussed above, is nurturing tailored customer experience by
making users feel more associated to the brand and using devices with built-in sensors that
aid in collecting the data and benefit the firm to make distinct models of consumers
behaviour using algorithms. Da Xu, He and Li (2014) also stated benefits of using this
technology in terms of workplace security and safety. Taking the case of supervisor and
employees in the high prone environment like mining, construction and heavy industry,
employee’s safety can highly be ensured with using embedded wearable’s devices and
sensors.