Spirit of Schumpeter

Joseph Schumpeter was the Austrian Economist who made the term “creative destruction” famous. He was a thinker ahead of his time around business and entrepreneurship.

I wonder what he would make of today? Would he see the changes on the High St, and the increasing weakness of the big companies of the last century as they turn into zombies as a bad thing, or a good thing.

I suspect the latter. The moment we organise any business, we build stickiness and resistance to change into it. The only question is how long before it falls far enough behind the rate of change in its markets to become irrelevant.

We shouldn’t (though often do) have a problem with that. However, Nicholas Taleb suggests that the three biggest addictions are heroin, carbohydrates and a regular monthly salary. The first two are a choice, but the latter for most a necessity.

That doesn’t mean we can’t control it.

By developing a mindset of doing the best we can for an employer, but not being dependent. As Robert de Niro says in the film “Heat”; “don’t get involved in anything you can’t walk away from in 30 seconds”

If we’re employees, I think that’s a healthy mindset- it keeps us, and our employers, on our toes.

The trick of course is to be able to walk away. To develop the skills, contacts, values and awareness that makes our relationship with an employer one of equals. That means training, reading, discussing and above all thinking.

For destruction to be creative, it has to create way for something.

That something is an individual and team responsibility, because the destruction will arrive anyway.

And it’s a good thing.

Scary maybe, but good.