Video game business intensity is coming to all industries.
This provides some important food for thought — can you run your business at the high degree of intensity that occurs within the high-tech gaming (not gambling) industry? Remember — the key words today are rapid time to market, agility, and execution.
One of the most innovative companies I’ve met in the last few years is a distributor of computer/console video games – they operate between the video game manufacturers and the retailers. They have one core mission — they make sure that new games get to the store and to the shelf on time.
The CIO of this organization indicated that 45-60% of the total life revenue stream of a typical video game is made within the first four days of its release.
That’s why this company is relentlessly, aggressive focused on operational excellence – their entire culture, information system, management structure and organizational responsibilities are completely focused on this market reality.
Tie this observation into the fact that accelerated innovation and rapid time to market is becoming a key trend in every industry today. With that comes short, sharp shocks of revenue hits, with a good chunk of total lifecycle revenue happening in just a few short days.
That’s why to thrive in the high-velocity economy, you’ve got to think about business intensity, and the concept of short-term, rapid operational and market excellence.
Can you do it? If not, you’d better look at your innovation mindset, and begin to adjust accordingly.