DISRUPTIN

G BELIEFS
A new approach to business-
model innovation
FOUR PLACES
TO REFRAME
Innovating in customer
relationships: From loyalty to
empowerment
Innovating in activities: From
efficient to intelligent
Innovating in resources: From
ownership to access
Innovating in costs: From low cost
to no cost
 ARTICLE 7 :SERVICE INNOVATION IN
DIGITAL WORLD
Innovation is the key to survive
in the dynamic Service Industry
as Attackers are causing
disruption e.g. AirBnB etc.
Winning approach as 3
elements:–
1. A focus on service innovation
matching intensity of product
Co's R&D
2. Personalizing customer
experience
3. Simplify & automate services
New service landscape  Three imperatives
1. Institutionalize service innovation –
1. Higher customer experience E.g.- Large Retailer creating a cross
functional R&D lab leading to
employee satisfaction
2. Rise of mobile internet- E.g.-
Uber
2. Personalize the customer
experience : E.g. Disney magic
3. Big data and Advanced bands
analytics- E.g. Amazon
3. Simplify service delivery  E.g. –
4. Internet of Things – Machine to healthcare distributor simplifying
Machine(M2M)  operations to increase error free
connectivity :Nest orders by 1/3rd 
 UBER
Patterns of Demand
Recommendations - Management of capacity and
Uber has mastered its demand patterns to identify high demand
period in a day and high demand days in the week. The demand demand
patterns can be categorized as follows:
Subscription plans - Allows users to take the cabs
Predictable Cycles
during pre-set time slots will help Uber predict the
Demand Pattern by Segments demand even more accurately, increase customer
retention and guaranteeing fixed revenues. It would also
encourage more users to take Uber and avoid surge
Approach to capacity and demand management pricing by booking last moment.
Proprietary machine learning model which accurately predicts the
demand levels at different times at different places by analyzing Autonomous Fleets – It would help decrease
individual ride patterns and collating the data on a collective level to
provide clear insights. overheads for Uber on the driver front and make give
better control to Uber in terms of fleet management. It
Re-allocation of cars
would also help drive down the surge pricing as the
Surge Pricing
surge share that goes to drivers can be remitted to the
Uber-Pool users.