Hanging on for too long to what has been successful in the past can be a company's biggest mistake, according to IBM vice president of technical strategy and innovation Irving Wladawsky-Berger.
In a recent article 'What Does an Innovative Company Look Like?', he says established companies must be open to change and be willing to modify old habits.
Management must have a business strategy in place that allows for the introduction of new products and services and offers a formal way to retire older products and services. Quoting Austrian economist Joseph Schumpeter, Wladawsky-Berger refers to this as 'creative destruction'.