Outpacing strategy, first described by IMD professors Xavier Gilbert and Paul Strebel, is based on the ability to shift strategic innovation between perceived product value (the quality of the value proposition) and delivered cost (the efficiency of the value delivery system). First movers with an outpacing strategy gain a competitive advantage because developing the required new capabilities takes time and effort. Outpacing requires selecting initiatives with the best combination of value creating potential and execution risk and sequencing them in accordance with several practice-based guidelines. Successful implementation demands organizational change management that takes into account the forces of change in the environment and the forces of resistance in the business. There are three classic implementation paths – two that succeed and one that repeatedly fails.
Kontor: When VR faces reality. An internal innovator's dilemma
Summary
The case looks at the fundamental challenges, tensions and opportunities associated with an internally run venture as opposed to an externally funded startup or spin-off company. It discusses the genesis and context of Kontor, an internal venture funded by Resmed Inc. Resmed is an S&P 500 MedTech company. At the time of the case, May 2024, Resmed was also experiencing increasing external competitive threats and pressure on its margin due to GLP-1s, a class of medicines. Kontor is an internal venture at Resmed trying to find its way through turbulent times. Kontor applies Resmed's class-leading comfort and fit technology to the AR/VR space, thus making these devices more comfortable for the user. Kontor has been running for several years and Erika, the case protagonist, is the newly appointed general manager. The current turbulent situation is causing the executives to question investment in the internal venture. Erika must deal with many challenges, but the fundamental question is whether Kontor will create the most value for Resmed as an internal venture or whether it should be spun out and in what manner. The case compares five strategic possibilities: 1) Spinning out the business and running Kontor independently of Resmed with external investors, 2) keeping Kontor wholly owned by Resmed but, run it off-balance sheet, 3) sell Kontor to a strategic buyer, 4) keep running Kontor internally with operational assistance from Resmed Inc, or 5) wait and see how the venture goes without making a decision in the near term thus preserving all options.
Reference
IMD-2674
Copyright
©2025
Copyright owner
IMD Copyright
Organization
Kontor, ResMed
Industry
Manufacturing, Technology
Available Languages
English
Contact
Research Information & Knowledge Hub for additional information on IMD publications
The Lifeline Exercise: A reflective tool for leadership and career development
Summary
This exercise provides a structured reflection tool designed to help individuals explore the significant events, emotional highs and lows, and patterns that have shaped their personal and professional journeys. Commonly used in executive education, leadership development programs and coaching contexts, the Lifeline Exercise enables participants to create a visual map of their experiences, identify key themes and gain valuable insights for future growth.
The exercise involves creating a timeline graph where participants plot significant life events according to their emotional intensity in a range from deeply challenging experiences to peak achievements. Through this visual representation, participants can recognize patterns in their responses to adversity and success, understand the strengths that helped them navigate difficulties and identify recurring themes in their decision-making and growth. The accompanying teaching note provides comprehensive guidance for facilitators, covering three key stages: setting the stage for reflection, creating the lifeline graph, debriefing the exercise. It offers detailed instructions for conducting the exercise in various settings, whether for large groups, small groups, or individual sessions, and with specific approaches tailored to each context. This reflective tool serves multiple purposes: to increase self-awareness, recognize behavioral and decision-making patterns, gain perspective on how experiences have shaped values and priorities, and clarify future goals based on past insights. The exercise emphasizes the creation of a supportive environment where participants can engage in meaningful introspection while maintaining appropriate boundaries around personal sharing.
Reference
IMD-2672
Copyright
©2025
Copyright owner
IMD Copyright
Available Languages
English
Contact
Research Information & Knowledge Hub for additional information on IMD publications
The power of brand-led differentiation: What Vanzetti Engineering learned from luxury brands (B) (Video case)
Summary
This case series explores what companies can learn from luxury brands without becoming luxury brands themselves. The video B case features interviews with three Vanzetti Engineering executives: the marketing director, the CEO and owner and the chief commercial officer. With the shrinking of the automobile industry, the company has had to reposition itself in other industrial sectors where it is significantly smaller than the customers. Vanzetti Engineering embraced some of the codes of luxury branding according to what suited it and ignored others. The company discovered that although it was focused mostly on creating functional value, it had to dwell much more on emotional and societal value creation. The process of brand elevation required a complete cultural transformation, and one of the lessons from the case is that a brand is not a slogan but a way of being and of delivering value.
Reference
IMD-2696
Copyright
©2025
Copyright owner
IMD Copyright
Organization
Vanzetti Engineering
Industry
Construction and Engineering;Manufacturing
Available Languages
English
Contact
Research Information & Knowledge Hub for additional information on IMD publications
What if Europe’s biggest risk isn’t war – but running out of power?
Summary
In this edition of Leaders Unplugged, IMD President David Bach and Vestas CEO Henrik Andersen discuss Europe’s energy risks and bold leadership.
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Inside the Transition: The outlook for COP 30 and the road ahead
Summary
Join Knut Haanaes and Julia Binder with climate negotiator Paul Watkinson as they unpack global challenges and progress in the clean energy transition.
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The Future of Supply Chain
Summary
This guide examines the industry priorities and outlines five strategic areas of focus for supply chain transformation in 2025 and beyond.
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Alpiq: Co-creating the future
Summary
When Antje Kanngiesser became CEO of Swiss energy company ALPIQ, she inherited a traditional culture, weary from restructuring and leadership churn. Partnering with IMD Professor Susan Goldsworthy, she launched a Secure Base Leadership program to unite leaders and co-create the future. The results were positive: Alumni became Coaching Ambassadors, SBL was embedded into processes, and executives were trained as coaches. Via a five-day program that became a company-wide movement, ALPIQ transformed culture by making leadership personal, shared and lived daily.
Reference
IMD-2671
Copyright
©2025
Copyright owner
IMD Copyright
Organization
Alpiq
Industry
Energy
Available Languages
English
Contact
Research Information & Knowledge Hub for additional information on IMD publications
The power of brand-led differentiation: What Vanzetti Engineering learned from luxury brands (A)
Summary
Survey after survey shows that executives think their business is in danger of being commoditized. This means their company is not able to differentiate sufficiently to command higher market prices and profits. Luxury brands, by contrast, are the opposite of commodity. Their whole approach to branding is based on desirability. This case series explores what companies can learn from luxury brands without becoming luxury brands themselves. The written A case gives a short background on Vanzetti Engineering, which is facing intensifying competition in an evolving marketplace, and launches the first question for discussion.
Reference
IMD-2688
Copyright
©2025
Copyright owner
IMD Copyright
Organization
Vanzetti Engineering
Industry
Construction and Engineering;Manufacturing
Available Languages
English
Contact
Research Information & Knowledge Hub for additional information on IMD publications
Contrary to what you might have heard, Europe is a 21st-century success story
Summary
Listen to the critics and you would think Europe was finished. Too bureaucratic, they say. Cannot agree on migration. Moving at glacial pace while Silicon Valley races ahead. It has become such a tired narrative that we have almost started believi...
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A new world order: Børge Brende on geopolitics, resilience, and risk
Summary
World Economic Forum President Børge Brende on new world order: geopolitics, resilience, and risk at IMD Alumni Symposium
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