Tuesday, June 3, 2014

Business Strategy Lesson ... About Business Schools


Leading Management Gurus Michael Porter and Clay Christensen Disagree on Harvard Business School’s Strategy for Online Course Offerings:

Key highlight from the excellent NYTIMES article:
“Here is where the two professors’ differences come to a head. In the Porter model, all of a company’s activities should be mutually reinforcing. By integrating everything into one, cohesive fortification, “any competitor wishing to imitate a strategy must replicate a whole system,” Professor Porter wrote.
In the Christensen model, these very fortifications become a liability. In the steel industry, which was blindsided by new technology in smaller and cheaper minimills, heavily integrated companies couldn’t move quickly and ended up entombed inside their elaborately constructed defenses.”