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Abbott, Todd, 155, 158
Accenture, 9, 71, 75, 80
Acrobat Reader, 159
Activant, xx
Adobe, xx, 9, 22, 55, 154, 159-62, 179
crown jewels, 82
offer power at, 159-62
Adobe Flash, 188
advertising, 111, 168
Advertising Decision Services (ADS), 60
aerospace, xxi, 109
Agassi, Shai, 153
Agile, xx
Agilent, xx
airlines, 64, 73
Air Nevada, 73
Akamai Technologies, xx, 57-62, 131, 179
portfolio management, 57-62
Alaska Airlines, 73
Aldus, 85, 144
Aloha Airlines, 73
Amazon, 9, 22, 66, 79 188
Amdocs, xx
American Airlines, 66, 73
America West, xviii
Android, 23, 39, 79, 140 142
AOL, 23
Apple, xiv, 7-8, 9, 13, 18, 23, 39, 66, 71, 78, 79, 80, 85, 100, 106, 140, 142, 151, 168, 169, 170, 185-89
execution power, 185-89
App Store, 187, 188
arc of execution, 164-65, 165, 166-67, 167, 168-69, 197
Ashton-Tate, xvii, 85, 144
AskJeeves, 67
asymmetrical bets, 12, 16, 19, 83-88, 149, 152, 174
AT&T, 81, 188
Audi, 73
Autodesk, xx, 18, 119
automobile industry, xxi, 9, 73, 101, 108, 168
Baghai, Mehrdad:
The Alchemy of Growth, 40
The Granularity of Growth, 101
Baidu, 97
Bartz, Carol, 76-77
Baskan, Sinan, 127
BEA, xx, 55
Beauchamp, Bob, 89, 90, 92, 179
Bell South, xviii
best in class, 143, 150
BlackBerry, 18, 129, 140
Blockbuster Video, 34
BMC Software, xx, 89-93, 131, 179
company power at, 89-93
BMW, 69
board of directors, 61, 67
Borders, xviii, 67
Borland, xviii
brand, 80–81
Brazil, 97
Brin, Sergey, 153
Bruno, John, 155
BSM, 90, 91, 92, 131
B2C enterprises, 21, 22, 23
Budweiser, 81
Burroughs, xvii
business architecture, 70-71, 71, 72-73, 194
complex systems, 70-71, 71, 72, 73
volume operations, 71, 71, 72
business model, 81
Businessweek, xviii, 27
Capelli, Steve, 127
catalytic programs, 179-80
CA Technologies (Computer Associates), 55-57, 89
category maturity life cycle, 28-29, 29, 30-35, 38, 193-94, 196
declining categories, 32-34, 36, 38
emerging categories, 28-30, 36
end of life, 34-35
growth categories, 30-31, 36, 38
mature categories, 31-32, 36, 38
category power, xix, 4, 5-8, 27-62, 174, 193-94
at Akamai, 57-62
assessing, 35-39
category maturity life cycle and, 28-29, 29, 30-35, 38, 193-94
goals and metrics, 45-47, 47, 48-50
growth-materiality matrix, 35-36, 36, 37, 37, 38-39, 40, 40, 41, 41, 42-47, 47, 48-57, 59-61, 194
mergers and acquisitions, 55-57
organization and governance, 51-53
planning and budgeting, 50-51
talent and compensation, 53-55
Three Horizons model, 40, 40, 41, 41, 42-47, 47, 48-57, 59-60, 194, 199
centralization, 138, 139
CEO, 52, 88, 126
CFO, 108
Chambers, John, xxi, 85, 153
change, catalyzing, 179-80
Chasm Group, xx
Chen, John, 126-29, 179
Chicago Tribune, xviii
China, 97, 99, 101
Christensen, Clay, 39, 44
Chrysler, xviii, 66
Cisco Systems, xx, xxi, 9, 15, 18, 21-22, 39, 44-45, 54, 55, 56, 66, 71, 80, 85, 151
crown jewels, 79
Clinton, Bill, 114
cloud computing, 62, 73, 79, 91, 92, 183
Cognizant, xx, 39, 75-76, 181-85
execution power, 181-85
Coke, 66
company power, xix, 4, 9-13, 63-96, 108, 174, 194
asymmetrical bets and, 83-88
at BMC, 89-93
business architecture and, 70-71, 71, 72-73, 194
competitive set and, 63-65, 65, 66-77, 194
core differentiation, 68, 77-79, 79, 80-83, 84, 86, 88, 90
crown jewels, 79-83, 90, 194
at Rackspace, 93-96
tiers and, 73-74
Compaq, xvii, 76, 152
compelling reason to buy, 105, 106-112
competition and positioning, 105, 122-24
competitive separation, 64-65, 65, 66-67, 74, 79, 98, 194
competitive set, xiv, xx, 2, 3, 5, 10-11, 16, 18, 21, 64, 69-77, 98, 194, 201
business architecture, 70-71, 71, 72-73
company power and, 63-65, 65, 66-77
core differentiation and, 68, 77-79, 79, 80-83, 84, 86, 88, 90
positioning strategy, 74-77
reference competitor, 74-77
tiers, 73-74
complex systems business architecture, 70-71, 71, 72, 73
complex-systems model, 21-22, 23, 24, 70, 76, 102-103, 105, 110, 125
arc of execution, 164-65, 165, 166, 169, 173, 181
computers, 9, 75, 76, 78, 93, 107-108, 191-93. See also high-tech companies; Internet; specific companies
Compuware, 82-83
construction, xxi, 119-20
Consumer Reports, 108
content-delivery network (CDN), 58-60
Control Data, xvii
Convex, 75
core/content model, 148, 149-50, 195, 201
core differentiation, 68, 77-79, 79, 80-83, 84, 86, 88, 90
Cray, 75
Creative Suite, 159, 160
Credit Suisse, 66
Crossing the Chasm, 28
crown jewels, 10-11, 79-83, 90, 104, 114, 123, 124, 126, 150, 151, 192, 194
CSC, 91
current businesses, and Three Horizons model, 40, 40, 41, 41, 42-47, 47, 48-57
customer base, 80
customer intimacy, 146, 147
cyclical growth, xvi, xvii, 35, 172, 173, 196
Daimler AG, 73
Data General, xvii
Davidow, Bill, 113
Dealing with Darwin, 28, 45, 72, 134, 138
De Beer, Marthin, 45
declining categories, 32-34, 36, 38
defense, xxi, 109
Delta Airlines, 73
Dell, xiv, 8, 9, 18, 38, 76, 85, 143, 152, 153
Deming, W. Edwards, 173
department manager, 110, 111, 112
deployment, 24, 25
execution power and, 164-69, 171-72, 175, 176, 178, 181
developed economies, xiii, xiv
developing economies, xiii-xiv
differentiation innovation, 134, 134, 135, 148-54, 157, 195, 201
core/context model, 148, 149-50, 195
Digital Equipment Company (DEC), xvii, 75
digital media, 27-28, 30, 77, 111
digital music distribution, 7, 168, 185-86
Disney, Walt, 170, 186
disruptive technology, 99
Documentum, xx, 104, 121
Dynamic Site Acceleration (DSA), 59, 60
Eastern Airlines, xviii
eBay, 9
economy, 16
2008 crisis, 127, 129
EdgeSuite, 58, 59
Ellison, Larry, 85
EMC, 9, 55
emerging categories, 28-30, 36
enabling, 148, 150
end of life, 34-35, 137
energy, xxi
enterprise, 59
enterprise resource planning (ERP), 6, 114, 143
entertainment, xxi, 58, 59, 102, 108
Europe, xiii, 107
execution, transforming, 196, 197-98
execution power, xix, 4, 20-25, 163-89, 196
at Apple, 185-89
arc of execution, 164-65, 165, 166-67, 167, 168-69
art of execution, 170-73, 196
catalyzing change, 179-80
at Cognizant, 181-85
complex-systems version, 164-65, 165, 166, 169, 173, 181
deployment, 164-69, 171-72, 175, 176, 178, 181
four modes of, 177-78, 178
invention, 165, 170-71, 175, 178
optimization, 164-69, 172-73, 175, 176, 178
“tipping point” role of programs, 174-75, 175, 176
transitions, 165-69, 173-75, 175, 176-80
volume-operations model, 164, 166-67, 167, 168-69, 181
execution strategy, 68
expertise, 80
Facebook, 9, 18, 22, 66, 71, 76, 77, 97, 170, 183
failed attempts, 134, 135
favors, internal currency of, 87-88
FDA, 121
Fed Ex, 81
financial services, xxi, 101, 102, 111
“first growth” companies, 31
Flickr, 81
Ford, xviii
Fortune 500, 67, 103, 161
Freedom Air, 73
Friendster, 67
future businesses, and Three Horizons model, 40, 40, 41, 41, 42-47, 47, 48-57
future growth, 7
Gates, Bill, 85, 144, 153
Gateway, xvii
GE, 153
GEICO, 66
General Motors, xviii, 9, 66, 73, 143, 153
geography, 107, 108, 109
Gerstner, Lou, 85, 89, 191
Gladwell, Malcolm, 17
globalization, xiii-xiv, xv, 16, 30, 98, 107-109, 181-85, 203-204
goals and metrics, 45-47, 47, 48-50
Goldman Sachs, 66, 171
Google, xiv, 9, 18, 23, 39, 66, 72, 77, 79, 80, 97, 99, 140, 142, 153, 169, 183
Grand Junction, 55
Granite, 55
“granularity of growth,” 101
Greenspan, Alan, 128
Groupon, 18
growth categories, 30-31, 36, 38
growth-materiality matrix, 35-36, 36, 37, 37, 38-39, 194
Three Horizons model and, 40, 40, 41, 41, 42-47, 47, 48-57, 59-61
Guidon, Bernard, 12
Gyration, 104
Harvard Business Review, 44-45, 72, 116
Hawkins, Jeff, 153
health care, xxi, 101, 111, 114-15, 168
Hewlin, Todd, 116, 155, 156
Hierarchy of Powers, xix-xx, 1-26, 202-204
category power, xix, 4, 5-8, 27-62, 193-94
company power, xix, 4, 9-13, 63-96, 194
execution power, xix, 4, 20-25, 163-89, 196
market power, xix, 4, 13-17, 97-129, 195
offer power, xix, 4, 18-20, 131-62, 195, 197, 201
hi5, 76, 97
high growth, and Three Horizons model, 40, 40, 41, 41, 42-47, 47, 48-57
high-tech companies, xx-xxi, 38-39, 58, 59, 76, 181, 191-93. See also specific companies
Honda, 73
Honeywell, xvii
horizons. See Three Horizons model
HP, xiv, 8, 9, 12-13, 18, 22, 38, 63-64, 72, 73, 75, 76, 80, 89, 98, 143, 152, 153, 182, 192
Hurd, Mark, 63
Hyundai, 9
IBM, xiv, 8, 9, 38, 63, 64, 66, 71, 72, 73, 79, 85, 89, 152, 153, 191-93
“In a Downturn, Provoke Your Customers” (article), 116
India, 182
inertia, 1, 2
Infosys, 75, 91
innovation, 39, 133-62
differentiation, 134, 134, 135, 148-54, 157
neutralization, 134, 134, 135, 140-48, 150, 154
productivity, 134, 135, 136-40, 154, 156
return on, 134, 134, 135-36
innovator’s dilemma, 39
Inside the Tornado, 28
instrumentation, 139-40
Intel, 38, 56, 80, 153
Internet, xxi, 12, 57-62, 192
Intuit, 18, 72
invention, 24, 25
execution power and, 164-69, 170-71, 175, 178
iPad, 78, 106, 188
iPod, 133, 168, 185-86, 188
iPhone, 13, 18, 79, 129, 133, 140, 187-88
Isuzu, 73
iTunes, 168, 185-86
J. D. Powers, 108
Japan, xiii
Jobs, Steve, 85, 153, 170, 186, 187
Johnson, Eric, 127
Juniper, 15
Kalpana, 55
Kelleher, Herb, 173
KIA, 69, 73
Kindle, 22
Kodak, xvii, 27, 34, 153
Kroc, Ray, 173
“land and expand” strategy, 99
Lasseter, John, 186
Lawson Software, xx, 15, 114-15
Lay, Philip, 116
leadership, 12-13, 67, 83, 169
asymmetrical bets and, 83-88
Lecroy, 98
Levitt, Ted, 112
LG, 9
Linksys, 56
Lotus, xvii, 19, 85, 144
Lotus Notes, 99, 192
Lucent, xvii
Macromedia, 55
management, 12-13, 67, 83, 85, 154
management-by-objectives plan (MBO), 48-49
market and operations, 67
market power, xix, 4, 13-17, 97-129, 174, 195
competition and positioning, 122-24
next target, 124-25
sales strategy and pricing strategy, 116-22
segment strategy, 97-129
at Sybase, 126-29
target customer and compelling reason to buy, 106-112, 119, 124
target market initiatives, 105, 105, 106-125, 195
whole offer and partners and allies, 112-16, 118, 119, 120-22
market transition, xvi-xxi, 14, 97-129
target market initiatives, 105, 105, 106-125
materiality. See growth-materiality matrix
mature categories, 31-32, 36, 38
McAfee, 56
McDonald’s, 173
McNealy, Scott, 69
media, xxi, 58, 59, 102
digital, 27-28, 30, 77, 111
print, 27-28, 31, 111
mergers and acquisitions, 6, 55-57, 61, 90, 129
MicroPro, 144
Microsoft, xiv, 9, 18, 38, 69, 72, 73, 77, 80, 85, 142, 143, 144, 151, 169, 171, 188-89
mission-critical norm, 148, 150
mobile computing, 154-57
modularization, 139
Mohr Davidow Ventures, 54
Morgan Stanley, 66
Motorola, xviii, 13, 18, 19, 100, 133, 140, 152, 159
Razr, 152, 187
Mozilla, 81
music, xxi
digital distribution, 7, 168, 185-86
MySpace, 76
Napier, Lanham, 94, 179
Napster, 186
Narayen, Shantanu, 159, 161
Nasdaq, 88
Nathan, Raj, 126
Navigenics, 47
Neiman Marcus, 69
NetApp, 39
Netflix, 188
Netli, 61
Netscape, 85, 144
neutralization innovation, 134, 134, 135, 140-48, 150, 154, 195
price/benefit sensitivity, 144-45, 145, 146, 146, 147, 195
new geography, 99
news, xxi
Newsweek, xviii, 27
Newton, Isaac, 1
next-generation offers, 131-33, 134, 197
next target, 105, 124-25
niche markets, 14, 98-103
nine-point market strategy, 105, 105, 106-125, 195, 198, 199, 201
Nissan, 67, 73
Nokia, xviii, 18, 71, 99, 140-42, 153
Nortel, xvii
Northwest Airlines, xviii
Novell, xviii, 85, 144
Nuti, Bill, 155, 179
offer power, xix, 4, 18-20, 131-62, 174, 195, 197, 201
at Adobe, 159-62
core/context, 148, 149-50, 195
differentiation innovation, 134, 134, 135, 148-54, 158, 195, 201
neutralization, 134, 134, 135, 140-48, 150, 154, 195
price/benefit sensitivity, 144-45, 145, 146, 146, 147, 195
productivity innovation, 134, 135, 136-40, 154, 156, 195
return on innovation, 134, 134, 135-36, 195
six levers model, 138-39, 139, 140, 195, 201
at Symbol Technologies, 154-57
oil and gas, 101, 109
operational excellence, 146, 147
optimization, 24, 25, 87, 138-40
execution power and, 164-69, 172-73, 175, 176, 178
Oracle, 9, 15, 38, 55, 63, 64, 71, 72, 79, 80, 85, 114, 153, 183
organization and governance, 51-53
Orkut, 97
outsourcing, 139-40
Pacific Bell, xviii
Page, Larry, 153
Palm, 67, 152
partners and allies, 105, 112-16
PeopleSoft, xx, 114
Pepsi, 66
Perot Systems, 76
pharmaceuticals, 101, 109, 111, 121, 168
Pinkerton, Rob, 160
Pixar, 79, 186
planning and budgeting, 50-51
platform products, 80
playbooks, 21-22, 23, 24, 105, 106, 165, 173, 182, 196
Polaroid, xvii, 34
politics, 14, 15
portfolio management, 6-8, 27-62
See category power
positioning, 105, 122-24
strategy, 74-77
price/benefit sensitivity, 144-45, 145, 146, 195
value disciplines and, 146, 146, 147
PricewaterhouseCoopers, 192
pricing strategy, 105, 116-22
Prime, xvii
print media, 27-28, 31, 111
Prius, 66
private-equity buyout firms, 33
Procter & Gamble, 168
productivity innovation, 134, 135, 136-40, 154, 156, 195
product leadership, 146, 147-48
programs, 24
prototypes, 166
public sector, 59
Qualcomm, xx, 80
quarterly earnings, 6, 37, 132, 133
Quest, xviii
Rackspace, xx, 93-96, 179
R & D, 38, 41-42, 44, 50, 51, 55, 67, 89, 111, 122, 143, 144, 156, 170, 173
reference competitor, 74-77, 199
referral-based marketing, 117-18
Reichheld, Fred, 95
retail commerce, 58, 59, 136, 137
return on innovation, 134, 134, 135-36, 195
RIM, 104
road map, 84
Sagan, Paul, 179
Salesforce.com, 81, 151
sales strategy, 105, 116-22
SAP, xx, 9, 15, 38, 71, 72, 80, 114, 129, 143
scale, 80-81
Schoettle, Chris, 61
Schumpeter, Joseph, 31
Schwab, Charles, 85
secular growth, xvi, xxi, 11, 31, 35, 172, 173, 196
Sega, 18
segment strategy, 97-129
core rules, 103-105
target market initiatives, 105, 105, 106-125
service (SaaS) as a business model, 91, 92
Silicon Graphics, 98
Silicon Valley, xx, 1, 51, 192
six levers model, 138-39, 139, 140, 195, 201
SkyGolf, 23
Skype, 151
smart phones, 5, 6, 7, 9, 13, 18, 140-41, 187-88
social networks, 76, 97, 183
software, 89-93, 111, 119, 126-29, 187
Sony, 9, 18, 71, 133
Southwest Airlines, 64, 73, 81, 173
Sperry Univac, xvii
standardization, 138-39
Starbucks, 85
start-ups, 29-30, 31, 49, 51, 53, 69
State Farm, 66
stock-keeping unit (SKU), 138
storage systems, 5, 6
strategy planning, xv-xx, 1-26, 202-204. See also category power; company power; execution power; market power; offer power
strategy transformation, 196, 200-202
“stuck in neutral” problem, 100-101
subcategory, 107-108
Sun Microsystems, 69, 73, 98, 192
Suzuki, 73
Sybase, xx, 15, 39, 104, 126-29, 131, 179
target market initiative at, 126-29
Symbol Technologies, xx, 47, 154-59, 179
synergy, 5
Synopsys, xx
talent and compensation, 53-55, 87
Tandem, 99
target customer, 105, 106-112, 119, 124
target market initiatives, 105, 105, 106-125, 195. See also market power
Tarkoff, Rob, 154, 159-61, 179
TCG Advisors, xx
technology, 80
Technology Adoption Life Cycle, 28, 29
Tejada, Willie, 61
telecommunications, xxi, 15, 101
television, 31, 46
10X effects, 149-53, 157
Thomson Consumer Electronics, 104
3Com, 67
Three Horizons model, 40, 40, 41, 41, 42-47, 47, 48-57, 59-60, 116, 170, 174, 194, 199
3Par, 27
tier, market, 9, 73-74, 100, 115
tipping-point outcome, 17
TomTom, 23
Tower Records, xviii
Toyota, 73, 173
Toy Story, 79
transitions, 24, 25, 173-79
to escape velocity, 173-75, 175, 176-80
execution power and, 165-69, 173-75, 175, 176-80
travel, 102
turnaround, 100
Twitter, 72
two business architectures model. See business architecture
typical portfolio pattern, 37, 38-39
Unisys, 67
United Airlines, 66, 73
US Airways, 73
venture model, 51, 53, 54
vision, 3, 83, 196
transforming, 196, 198-200
VMware, 55, 152
volume operations business architecture, 71, 71, 72
volume-operations model, 18-19, 21, 22, 23, 24, 71, 76, 102-103, 110, 125
arc of execution, 164, 166-67, 167, 168-69, 181
Volvo, 9
Wales, Jimmy, 153
Wall Street, 127, 128
Wal-Mart, 47, 64, 69, 80, 169
Wang, xvii
waste, 134, 135
Web Application Acceleration (WAA), 59, 60, 61
Webex, 56
WebLogic, 55
Western Airlines, xviii
“whatever it takes,” 84-85
whole offer, 105, 112-16, 118, 119, 120-22, 123, 128
Wikipedia, 151
WiPro, 91
Woods, Tiger, 80
word-of-mouth reputation, 14, 108, 168
WordPerfect, 85
Xerox, 13, 153
Yahoo!, 9, 23, 76-77
YouTube, 81
Zuckerberg, Mark, 170
Zynga, 71, 76