The rules are (in simplified, paraphrased form):
1. A powerful strategic idea is not enough to ensure success.
2. You need to forget irrelevant lessons that led to success in the traditional business.
3. Established companies can outperform start-ups in pursuing strategic innovation by leveraging the established businesses' key resources and assets.
4. Strategic experiments face more unknowns than known quantities.
5. The organization for strategic innovation should be built from the ground up to optimize that opportunity . . . and to avoid tainted loyalty and memories of the other businesses.
6. Only senior management can manage the inevitable conflicts between the old and new businesses.
7. The strategic innovation will need planning processes designed to maximize learning.
8. Keep the politics out of letting the innovative organization learn.
9. Focus the innovation organization on learning rather than near-term results.
10. Organizations can learn relevant skills to make strategic innovations easier to pursue and more successful.
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