In order to stay relevant throughout time, organizations need to respond to the demands of economic markets and transition form a state of continuity to a state of discontinuity. To do so, they need to develop sound mental models that keep an eye toward the future, and thus, allow managers to anticipate potential problems that might develop down the road. Moreover, organizations need to embrace an organic organizational approach that requires having a clear and focused strategy, a flawless execution of operations, a performance oriented culture and a hiring and recruiting process that embraces and retains talent. Effective planning, leading, organizing and controlling skills based on divergent thinking approached are essential to the successful execution of such.
             Creative destruction is a concept that focuses on the development of new economics markets from the destruction of previous economic orders. Joseph Schumpeter, who considered it the essential "fact about capitalism", coined the term in 1924. At it's most basic, it attempts to explain the way in which certain goods and processes are replaced with higher quality products and more efficient production techniques. Thus, companies that fail to recognize and accommodate the new demands of evolving markets will ultimately become irrelevant. Thus, innovation is the key to success because it allows companies the match the changing market, and transition to a state of discontinuity.
             There is abundant evidence supporting Schumpeter's view that the process of creative destruction is a major phenomenon at the core of economic growth in market economies. For starters, lets take a look at historical trends. In 1971, Forbes magazine published its "Forbes 100" list of the most successful companies. In 1987 Forbes republished the same list, and to its surprise, 61 companies had ceased to exist. Moreover, The Fortune 500 also follows the same pattern. Out of th...