I saw an article this morning about improvements in the iPhone navigation/traffic application from Tom Tom. It struck me that this provides a great example for a lot of companies of how to manage strategy in a dynamic environment.
Tom Tom was chasing Garmin in the navigation hardware business. However, as car manufacturers quickly adopted built-in navigation systems, and the number of iPhones exploded, prices for free-standing navigation devices plummeted as the market for that hardware virtually collapsed.
A lot of companies in that situation evaporate into the annals of business history. Tom Tom aggressively moved to capitalize on its momentum under the new rules and become a leader in navigation software for iPhones and other devices.
This is a great example of moving your cheese before someone else does. In an industry where technology is driving change at a dizzying speed, you need to re-envision and reinvent on an almost constant basis. This seems to apply in almost every business.
Every Monday morning you should ask yourself, "What business are we in?" and take the broadest possible view in answering the question. Embrace change. It's a winning strategy.
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