We begin with a more accurate understanding of value—one centered on progress: what is sought, proposed, and realized, rather than simply the cash exchanged (value-in-exchange). In this view, value is co-created through use (and can equally be co-destroyed) and is always defined by the beneficiary each time they engage. Shifting away from the traditional value-in-exchange mindset naturally leads us to a relational perspective that extends beyond a one-time sale, unlocking new opportunities—such as those found in the circular economy. This approach stems from recognizing that the world is service-first. We should adopt a service-dominant lens instead of the conventional goods-dominant frame, where manufacturers dictate value. In our evolved paradigm, everything is a service—goods merely serve to transport that service across time and space—forming a continuous service continuum that circles back to value as the progress sought, proposed, and achieved.

Innovation demands organizational change. To make it happen, we must: Assess execution complexity Understand how a new innovation will strain your current processes, structures and resources. Engineer down complexity Simplify workflows, eliminate unnecessary handoffs and automate manual steps. Build execution capabilities Invest in skills, tooling and cross-functional teams so the enterprise can deliver innovations reliably. Many organizations stall because they treat innovation as a “bolt-on” project—separated from day-to-day operations. Yet, as Peter Drucker famously observed, a company has only two true functions: innovation and marketing. By redefining what an enterprise is—and by systematically removing the blockers that decouple innovation from your core business—you transform into an innovation-first, agile organization. In this model, innovation and marketing lead the way, while all other functions exist to support the company’s ongoing viability.