The CDE Innovation Model
Innovation shapes our world. The CDE Model is a framework to understand innovation and derive the outcomes and impacts on companies, people, and jobs.
About the CDE Model
Throughout history, we’ve experienced countless waves of innovation and its effects on human jobs, from the mechanised loom to the internet. Despite having witnessed multitudes of technology waves in the past, there has never been a robust framework that captures the nature of innovation and its impact on industries, skills, and jobs. The CDE Model was developed by CFTE’s co-founder Huy Nguyen Trieu, primarily to answer the question –
How do you anticipate the impact of a technology on jobs and industries?
Retrospective analysis of innovation and its profound impact on shaping society is a thing of the past. The CDE Model structures the mechanisms and parameters of past, present and future innovations to provide outcomes that can be used to proactively prepare for its impact.
C
Cheaper, Better, Faster
D
Different
E
Enhancing
How does the CDE Model work?
Innovations that improve existing products, services, or processes to be more efficient, cost-effective, or higher quality, providing a competitive advantage in the market.
Innovations that create entirely new products, services, or markets that didn’t exist before, introducing novel value propositions.
Innovations that augment existing products, services, or businesses to add new value or capabilities, enhancing their appeal and utility without direct competition.
The CDE Innovation Framework is a powerful tool for understanding and managing the impact of innovation on markets.
Based on the technology and it’s implicit characteristics, it divides innovations into three strategic categories, each with a unique approach to market dynamics.
CDE can also be characterised as:
- Amazonification
- Facebookification
- Salesforceification
Or more generally as:
- Red Ocean
- Blue Ocean
- Purple Ocean
Implications of CDE Innovation Impact
Innovation that's Cheaper, Better & Faster
Products or services are lower priced while offering better quality or greater value, saving money without sacrificing performance.
Innovation that's Different
Totally new products or services that didn’t exist before, meeting needs not previously realised or offering entirely new experiences.
Innovation that's Enhancing
Improves personal or professional capabilities, helping performance get better or achieve more with added tools, features, or resources.
Model Mechanism and Equilibrium Analysis for CDE
Technology and Innovation impact different stakeholders in different propensities that are directly related to the industries, strategies and level of direct exposure to the technology. The CDE Model establishes a baseline equilibrium to obtain a comprehensive analysis of impact in all facets.
The output shows transmission mechanism of technological impact, its direct or collateral damage and the creation of enhancements, new opportunities or new worlds of abundance.
E
Existing Ecosystem
Assess the market landscape using the CPSS framework (Customers, Products, Suppliers, Stakeholders).
D
Disruptors
Identify the new entrant’s motivations, offerings, and how they differentiate.
G
Game Plan
Analyse the disruptor’s strategy for entering the market, attracting customers, and engaging suppliers.
E
End Result
What’s the impact?
Define the disruptor’s long-term objectives and the industry transformation they aim to achieve.
Applying CDE Framework on AI Technology
The AI-fication of Jobs
Lessons from innovation models for the future of work
A Book by Huy Nguyen Trieu
Undeniably, we are at the precipice of the next big technological transformation in the form of AI. The paramount question remains –
“What will the impact of AI be on jobs?”
In his upcoming book The AI-fication of Jobs: Lessons from innovation models for the future of work , CFTE’s co-founder Huy Nguyen Trieu answers this question by applying the CDE innovation model to analyse technology impact and offers an in-depth analysis of the technological impact on the future of jobs, work and people.
Explore other CFTE Frameworks and Reports
CFTE Research
The C-D method offers a comprehensive analysis of how innovations can impact individuals, companies and societies, and how technology shapes industry landscapes.
ABCDE: AI Training Framework
ABCDE encapsulates the key elements for a successful AI adoption and the strategy for capturing the benefits of the technology through scalable workforce training in AI.
SHIME: The Skills Framework
The SHIME framework is a qualitative approach to identify the required skill set in Fintech and financial services. The framework is an acronym comprising the five types of skills: soft skills, hard skills, industry knowledge, mindset, and experience.
