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Intelligent Cars Inc. - Governance Principles to Build a Disruptive Company

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Abstract: When we talk about the “governance” of business organizations, we usually refer to responsibility and regulatory compliance, and answering the question: “how should an organization be directed, monitored, and held more accountable?” In this paper, we take recent developments in the car industry – specifically the emergence of “intelligent cars” – to suggest that the contemporary concept and discourse of governance is increasingly disconnected from the needs and realities of growth companies today. In an age of hyper-competitive global markets, firms must focus on the pressing business tasks of putting in place governance structures and management processes that facilitate value creation through continued and sustained (disruptive) innovation. The current disruption of the car industry shows that identifying the processes and practices that deliver the best opportunities for innovation needs to take center stage and that a re-framing of contemporary debates on governance is urgently required.

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