Ralph Abernathy quote: “The industrial landscape is already littered with remains of once successful companies that could not adapt their strat…”

“Companies are in the midst of a revolutionary transformation. Industrial age competition is shifting to information age competition. During the industrial age, from 1850 to about 1975, companies succeeded by how well they could capture the benefits from economies of scale and scope. Technology mattered, but, ultimately, success accrued to companies that could embed the new technology into physical assets that offered efficient, mass production of standard products.
During the industrial age, financial control systems were developed in companies, such as General Motors, DuPont, Matsushita, and General Electric, to facilitate and monitor efficient allocations of financial and physical capital. A summary financial measure such as return-on-capital employed (ROCE) could both direct a company’s internal capital to its most productive use and monitor the efficiency by which operating divisions used financial and physical capital to create value for shareholders.
The emergence of the information era, however, in the last decades of the twentieth century, made obsolete many of the fundamental assumptions of industrial age competition. No longer could companies gain sustainable competitive advantage by merely deploying new technology into physical assets rapidly, and by excellent management of financial assets and liabilities.”

David P. Norton (1941) American business theorist, business executive and management consultant

Source: The Balanced Scorecard, 1996, p. 2-3

“Companies are in the midst of a revolutionary transformation. Industrial age competition is shifting to information age competition. During the industrial age, from 1850 to about 1975, companies succeeded by how well they could capture the benefits from economies of scale and scope. Technology mattered, but, ultimately, success accrued to companies that could embed the new technology into physical assets that offered efficient, mass production of standard products.
During the industrial age, financial control systems were developed in companies, such as General Motors, DuPont, Matsushita, and General Electric, to facilitate and monitor efficient allocations of financial and physical capital. A summary financial measure such as return-on-capital employed (ROCE) could both direct a company’s internal capital to its most productive use and monitor the efficiency by which operating divisions used financial and physical capital to create value for shareholders.
The emergence of the information era, however, in the last decades of the twentieth century, made obsolete many of the fundamental assumptions of industrial age competition. No longer could companies gain sustainable competitive advantage by merely deploying new technology into physical assets rapidly, and by excellent management of financial assets and liabilities.”

Robert S. Kaplan (1940) American accounting academic

Source: The Balanced Scorecard, 1996, p. 2-3

“Successful innovators are early adopters of ICT in their industry, even if the technology is already dispersed in other industries.”

Constantinos C. Markides (1960) Cypriot business theorist

Source: Game-Changing Strategies, 2013, p. 67

“If valuation in the financial markets provides the bottom line for the performance of the company, it is labor that remains the source of productivity, innovation, and competitiveness.”

Manuel Castells (1942) Spanish sociologist (b.1942)

Source: The Internet Galaxy - Reflections on the Internet, Business, and Society (2001), Chapter 3, e-Business and the New Economy, p. 90

“Today, as change speeds up, it’s even more important to anticipate how your company’s strategic landscape is changing. It won’t help you to predict the future with 100% accuracy. But it will prepare you to exploit change.”

Adrian Slywotzky (1951) American economist

Source: Profit Patterns (1999), p. 2.

“Strategic planning is not strategic thinking. Indeed, strategic planning often spoils strategic thinking, causing managers to confuse real vision with the manipulation of numbers.”

Henry Mintzberg (1939) Canadian busines theorist

Attributed to Mintzberg in C.W. Cook, P.L. Hunsaker (2001) Management and organizational behavior. p. 58

“Because the activists usually cash out their holdings shortly after their demands are accepted or rejected, the question remains whether most of them are committed to companies’ future success. The risk is significant that their initiatives can weaken a company’s competitive position, to the detriment of long-term shareholders, and the high-leverage financing structures they often propose may put companies in jeopardy in the event of an economic downturn.”

Jay W. Lorsch (1932) American organizational theorist

Bill George and Jay W. Lorsch, " How to Outsmart Activist Investors https://hbr.org/2014/05/how-to-outsmart-activist-investors," in: Harvard Business Review, May 2014.

“This is a report of an actual industrial experiment designed to determine why workers resisted job changes and what could be done about the problem. The research arose out of the need to change industrial operations to meet competitive conditions and was instituted after earlier incentives and propaganda procedures had proved ineffectual.”

John R. P. French (1913–1995) American psychologist

Abstract, lead sentences
"Overcoming resistance to change." 1948

“The business world is littered with the fossils of companies that failed to evolve. Disrupt or be disrupted. There is no middle ground.”

Jay Samit (1961) American businessman

Source: Disrupt You! (2015), p. 82

“Part of our evolutionary heritage is the ability to adapt -- species that survive, adapt. Humans adapt by altering their priorities to match evolving values.”

Warren Farrell (1943) author, spokesperson, expert witness, political candidate

Source: Father and Child Reunion (2001), p. 242.

“The industrial landscape is already littered with remains of once successful companies that could not adapt their strategic vision to altered conditions of competition.”

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