Disruptive Technology: What You Need to Understand About It
The corporate world requires constant innovative strategies that can fuel competitiveness. Through disruptive technology, even newcomers to the market can create room for themselves.
But do you know what disruptive technology means?
This concept may, at first, provoke the idea of something too technical or difficult to understand. But the truth is that disruptive technology is very present in our everyday lives, although we are not aware of it all the time.
In today’s article, we will explain to you what disruptive technology is, detailing the meaning of this term, its application in our daily lives, and clarifying any doubts you may have about it.
Are you interested in the topic? So keep reading!
What is disruptive technology?
Disruptive technology is a term coined by Harvard professor Clayton Christensen to address market-changing products and services.
Disruptive technology can first be thought of as innovations that seem to have been taken from science fiction films but have quickly become part of everyday life.
Disruptive technology is everything that somehow breaks with the previously defined model and proposes something never seen before, a great innovation.
The very meaning of disruption is this, to discontinue, to change an already established process, not necessarily creating something from scratch.
In the world of technology, disruption happens as a new business model, an original work methodology, changing the way we deal with specific situations.
The moment a new technology emerges and brings with it other innovative services or products to the market, provoking reactions of change and breaking of already established standards and models, it is considered disruptive.
The most decisive elements of the disruptive definition often focus on improving the cost-effectiveness of the processes the technology in question manages, its performance, and the practical refinement or innovation it provides.
Top Examples of Disruptive Technology
We commented earlier that disruptive technology, contrary to what one might think, is very present in our lives.
But speaking of the concept and its meaning only, it still seems very far from our reality, right?
If we think about our daily use, we can cite practical examples, such as:
- Netflix, which innovated in the way of watching movies, before you had to go to a movie store and rent a movie;
- Wikipedia and Google themselves, which innovated by creating a new universe for search, making traditional encyclopedias forgotten;
- Uber, which has innovated in getting around, just a click away from a car ready to answer any call.
With these examples, you can see more clearly how disruptive technology is part of our routine, how it is already rooted in society.
But where does all this come from?
These innovations are the result of examples of disruptive technology with much more complex concepts. Let’s look at some of them:
Internet of Things (IoT)
The Internet of Things is a disruptive technology that has transformed many areas of the market, such as logistics, sales, health, and the environment.
It is capable of connecting physical structures through intelligence. Thus, various appliances are now connected, such as TV, cars, cell phones, refrigerators, among other electronics.
An example we can cite is the inventory control of a company.
This system can be optimized with IoT solutions through a connection to the enterprise management system or Enterprise Resource Planning. This system identifies the volume reduction of some raw material and sends a command for the purchase of a replacement.
Artificial and robotic intelligence
Artificial Intelligence (AI) is no more film thing. There are robots that can learn from their own experiences and guidance from their databases.
Smart machines are now able to handle transactions, make phone or chat calls, and generate consumer behavioral analysis reports.
Robots also have a significant advantage for business productivity, as they can work much longer than human hours and allow professionals to be more focused on the strategic field than the operational one.
The blockchain is a disruptive technology that interferes directly in the financial market.
It works as a data log of different Bitcoin transactions, the cryptocurrency, or virtual money that has been gaining notoriety among companies.
Your system appreciates that every transaction you receive receives a unique digital signature to ensure the authenticity and security of the document and to prevent tampering.
Big Data Analytics
Big data circulating in companies, called Big Data, began to be used analytically when corporations realized that creating relationships between variations of that information could benefit the business.
Several areas of business benefit from this disruptive technology, such as strategic, sales, logistics, and finance, to name a few.
The cloud computing or cloud computing is also a disruptive technology as it has changed the way we use our cell phones, desktops, and notebooks.
In addition to being a more extensive, more cognitive database, it provides more security and mobility for stored information, both in business and personal life.
Impact of disruptive technology
From the changes imposed by the innovations that come with disruptive technology, we can get a general sense of how it all impacts our reality.
But more specifically, these are very significant changes in many industries.
In the economy, for example, changes are felt in the creation of new business opportunities and even social values within companies.
In industries, the infrastructure will never be the same. In addition to using robots and machines for basic process control, the focus needs to be on cost reduction, product quality improvement, and customer satisfaction.
Professionals from this need to be able to understand and know how to deal with these tools, as new technical and cognitive skills will be required in this new profile.
And these are just a few examples. In the midst of all this, it is important to consider that there is still room for further innovation and evolution.