Tag Archives: competitive risk

Whitney Johnson: Disrupt Yourself

Whitney Johnson has changed her career direction several times. And each time she has become, arguably, more successful. That’s her point. If we can disrupt our comfortable career habits – and do it right – we can see ever greater success.

Johnson was named as one of 2015’s Thinkers50 top 50 management thinkers for her insights into how to achieve this. As a friend and co-worker of Clayton Christensen, whose academic work focuses on disrutive innovation in corporations, she has chosen to adopt and adapt his language.

Whitney Johnson

Whitney Johnson

Short Biography

Whitney Johnson was born in Spain, in 1961, and grew up in California. She studied Music at Brigham Young University, also visiting Uruguay for two years, as a Mormon missionary. After graduation, she and her husband moved to New York, so he could pursue a PhD, and Whitney Johnson got a job as a secretary in a Wall Street firm.

There, she recognised that to progress and start to match the salary levels of the traders across the office, she’d need to gain business skills, which she did. By 1996, she was working as an equity analyst at Salomon Smith Barney, moving to Merrill Lynch in 2000. She was enormously successful, and specialised in Latin American stocks.

In 2006, following a meeting with Christensen at church, they co-founded investment company Rose Park Advisors. Johnson was responsible for fund formation, capital raising, and the development of the Fund’s investment strategy. She served as Rose Park’s President from 2007 to 2012. They used Christensen’s theories of disruptive innovation to invest in early stage companies.

Whitney Johnson’s First Book: Dare, Dream, Do

While she was running Rose Park, Johnson wrote her first book, Dare, Dream, Do. This of course triggered another career disruption for her. This book is about how women can build a happy life by pursuing their passions.

Her current work life is a portfolio of non-executive roles on company advisory boards, coaching, podcasting, speaking and writing. In 2015, she articulated her story and her lessons, wrapped up in the disruption metaphor in her best-selling book, Disrupt Yourself: Putting the Power of Disruptive Innovation to Work.

Disrupt Yourself

In the modern world of work, Johnson observes that we are staying in job roles for ever shorter times. In addition, to make a radical change in our career prospects, we need to do something radically different.

Her prescription has seven components.

1.  Take the Right Risks

Johnson makes a helpful distinction between what she calls Competitive Risk and Market Risk.

  • Competitive Risk is when we take on established players in a secure market that is lucrative, and which we understand. Johnson observes this is the risk most of us take on, yet is not likely to yield the best returns. Instead, we should put more focus on taking…
  • Market Risk. This is where we play in a new space. It involves finding new opportunities, and building new capabilities. However, the competitive risk is small, because few will be addressing this market. The new market you take on needs to give you the scope to meet a need better or more cheaply.

However, Johnson also says that if your market feels scary and lonely, then you are probably in the right place. Hmm. Maybe you are, or maybe you are just somewhere scary and lonely. You need to do your research!

2. Play to Your Distinctive Strengths

What are your strengths, and which ones can you match to the market needs you have identified? Johnson refers readers to Strengths Finder 2.0, and also adds some helpful questions. These will support you in gaining a little insight into your strengths. For example:

  • What skills have helped you survive so far?
  • What makes you feel strong?
  • When do you feel at your best; invigorated, inquisitive, successful?
  • What made you different as a child?
  • What are your hard-won skills?

3-5. After this, the other five components are:

  1. Embrace Constraint
  2. Battle Entitlements
  3. Step back to Grow
  4. Give Failure its Due
  5. Let your Strategy Emerge from Discovery

Whitney Johnson in her Own Words

 

You might like the Career Transition Pocketbook