I recently came across an incredibly telling chart by Richard Foster, co-author of Creative Destruction and a Director at Innosight. The chart shows the average length of time corporations last in the S&P 500. In 1958, the average corporation lasted 61 years. In 1980, the average was 25 years. Today it is about 18 years. See full Innosight report.
What leads to corporations losing their leadership position and how can they prevent it? Foster notes that the root-cause lies in the inability to reinvent the corporation. The pace of innovation and startup activity continues to only accelerate, meaning reinvention must happen in an ongoing fashion as part of the corporate DNA. Corporations must keep a pulse on emerging innovations, understand trends and insights, and take actions that will keep them relevant. This is our key mission at Venture Scanner, to enable corporations do just that.