Business Strategy for Software Executives
March 19, 2007
Powered by Innovation
The software industry has entered a new spectrum of innovation that will create the foundation for value in the next era.
By M.R. Rangaswami, Sand Hill Group
When you think of “innovation,” what companies come to mind?
Apple might be near the top of the list. Nike. Google. Procter & Gamble. Southwest Airlines, perhaps. But would any enterprise software companies appear?
A few years ago, I would have wagered against it. Enterprise software companies have not historically been thought of as innovative. Although their products were very often unique and built to deliver new functionality to businesses, the companies did not innovate quickly and their business models were intransigent.
Today, everything has changed. Software’s concept of innovation has broadened far beyond that of a novel application. Today, innovation in business models, delivery methods, marketing, development and customer care is the rule for software success – not the exception.
The software industry is powered by innovation. The next generation of successful software vendors will think about innovation holistically and will work with their customers to foster innovation throughout their business.
C-Level Execs: Growth Now More Important than Cost Control
A new study finds 70 percent of top executives surveyed by Saugatuck Technology say innovation is critical to ensuring their company’s long-term survival. Bill McNee shares several key findings from this study of business strategies and priorities, and explains why a new growth-driven, investment-led business climate may be on the horizon. Read this summary in the SandHill.com Blog on innovation.
What Do Open Source Customers Really Want?
Red Hat recently announced their intent to support open source applications. Bill Marshall of rPath says this is a poor indication of the state of the software industry. Read why Billy says more support is not the answer in this week’s post to the SandHill.com Blog on open source.
Publish Your Perspective!
The SandHill.com Blog wants your opinions. Send your thoughts on the enterprise software industry to email@example.com and we’ll publish them in our blog.
DON’T MISS: Making CEOs into Public Leaders: A McKinsey & Co. Survey
US business executives say they should play a much greater role in shaping debate about sociopolitical issues and leading efforts to effect change. Read the latest survey from McKinsey & Co. in this article from The McKinsey Quarterly.
News Update: Cloud on the Horizon
The ěnext big thingî is the ěcloudî; Steve Balmer and John Doerr get personal, Cisco moves out, and the real cause of security lapses. Read these stories and more software news of the week in the latest SandHill.com Software News Summary.
Poll: Is Software Innovative?
Compared to other industries, how innovative is the software industry?
Last week, readers gave their opinions on whether software vendor consolidation leads to product mediocrity.
More at SandHill.com:
Can DeWalt reinvent McAfee?
FreedomPay receives $6 million.
CRM vendor Dominion buys Resite.
Rodney Dabagian named CFO of Enkata.
Send us your feedback on this newsletter and the SandHill.com site.
"Ignore everybody. The more original your idea is, the less good advice other people will be able to give you."
Courtesy of Malcolm Kusher, The Kushner Group
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SandHill.com is published by Sand Hill Group, which provides investment and management advice to emerging leaders in the $600 billion enterprise software, services and solutions market. Sand Hill Group produces the Software and the Enterprise series of conferences for industry executives, and authors research reports on cutting-edge technology topics.