Is IBM too far behind the Sigmoid Curve? Where would you plot your own business?

07-November-2014 11:07
in Strategy
by Admin

07/11/14 The pressure is building for IBM to find a way to transform itself - but has it left it too late?

Yesterday it scrapped its 2015 forecast and projected that earnings will decline this year, the first drop since 2002. The shares plunged to a three-year low. Many fear that this is the start of a continual downward trajectory.

Whilst this 103-year-old tech giant has managed to reinvent itself in prior generations there are strong arguments that it should have started to act a long time ago. Although it appears to be betting on cloud computing - progress in this area has been very slow. This still only accounts for 3% of revenue.

The concept that a business needs to continually reinvent itself for the future can be diagrammatically represented by using a diagram called the sigmoid curve. The sigmoid curve something we examine in Videos 3.4 and 3.6 of our online MBA course and our MBA app:

Where would you plot IBM on the sigmoid curve?

Where would you plot your own business?


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