Thomas Klueter

The conventional view of disruptive innovation as a series of cumulative advances that results in a new value proposition is incomplete. It does not account for the uncertainties surrounding an invention's technology, ecosystem, and business model. To factor those in and understand the trajectory and impact of a disruptive value proposition, innovators must ask themselves five critical questions.

At most companies, innovation is a top managerial priority. Many managers look at successful innovators such as Apple Inc. and Google Inc. with envy, wishing that their companies could be half as innovative. To boost and benchmark innovation, managers often use quantitative performance indicators. Some measure innovation as results or outcomes, such as sales from new products; others measure innovation as a process, using metrics such as the number...