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QUARTERLY Dec 31, 2014

The yin and yang of disruption

Expert

Disruption is a part of life, whether small interruptions to our daily schedules or life-changing events that put us on a new path. In business, disruption is often defined as an unplanned-and often unanticipated- externality that increases risk and cost. But just as in life, business disruptions can create new opportunities that, if managed well, lead to new products, services, and business models. At the core of the yin and yang of disruption is the opportunity to learn.

This issue of IHS Quarterly tackles disruption head on. In Shifting borders, boundaries, and sovereignty, Tate Nurkin explores the causes for and implications of some of the challenges to borders we are seeing unfolding around the world. Beyond the human cost, these shifts can have profound and long-lasting impacts on global businesses. To survive and thrive in this unsettled environment, companies need sophisticated tools and techniques to help them prepare for and respond to shifting borders.

Two articles explore the disruptive impact of emerging technologies: one on 3D printing and another on nanotechnology. In both articles, the authors discuss the implications of these technologies for companies across the value chain and provide roadmaps for how these technologies will move from novelty to ubiquity. How companies choose to adapt to these disruptions will likely shape their futures for the next decade and beyond.

Written from the perspective of 2041, Jim Burkhard's article, The Rivalry Era, looks back over the past 25 years to document the changes within the energy industry wrought by the emergence of new energy resources. As the acceptance of natural gas and renewables grew, crude oil's share of the energy market declined. This new energy "rivalry" is one possible version of the future that lies ahead and is IHS Energy's new planning scenario to help energy companies understand and prepare for the disruptions to come in the next 25 years.

Our feature on Tesla Motors provides a case study in disruption occurring within the automotive industry. The article draws from the wealth of information gathered by the IHS Technology Teardown Team from its dissection of a 2013 Model S to uncover the design, manufacturing, and service innovations Tesla has built into the car. While Tesla may be in the spotlight, the rest of the auto industry is busy learning from the disruption.

Analyzing and interpreting the impact disruption has on business operations are what IHS does every day. Applying insight and expertise to help companies learn from disruption is our business.

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