A robust method for economic evaluation & controlling of game changing innovations like Big Data
There are currently many hyped innovations like “Big Data” or “The Internet of Things”, which are at their “peak of inflated expectations”. They might evolve into promising game changing innovations for telecommunications and would probably impact many other sectors of the economy as well. From a controlling perspective, under these circumstances the typical “hockey sticks” are appearing on the revenue side of business cases while at the cost side, everything seems to be under control.
But in reality nobody knows exactly what the impact of the game changer will be. In most large organizations, the problem of classical innovation controlling methods is that they are mostly “waterfall” alike: They start with an idea, work it out in a feasibility study before making a detailed design and so on. Each time a gate to an ensuing phase has to be passed, the business case should be more precise with less risk involved. At first glance all seems to be “nice and dandy”; but what if the assumptions of these business cases are mostly based on paperwork only and at best occasionally enhanced with some technical pilot facts that are predominantly provided by vendors?