Kedron Rhodes

Innovation sounds exhilarating in theory—new tools, fresh ideas, bold moves. But in practice, it often feels like friction. This week, I’m continuing the series on the five realities that shape strategy, diving into one of the most challenging: Capability Reality.

This idea gets at the heart of a painful truth—new capabilities don’t just add power; they challenge what already exists. They unsettle comfort zones, question long-held beliefs, and sometimes reveal that yesterday’s strengths are today’s blind spots. And that’s exactly why they matter.

It’s a tough message for leaders to absorb, especially when the old ways still “work.” But refusing to evolve in the face of new capability demands is like trying to sail a new ship with an old map. This week’s lead article explores how this dynamic plays out—and how to lead through the internal conflicts it creates.

Also in this issue: powerful reads on how high-performing companies drive innovation, the re-emergence of risk-taking in philanthropy, and what Slack’s CPO has learned about decision-making in product-led growth.

Capability Reality 🧩

Organizations often treat new capabilities as upgrades—plug-and-play enhancements to the status quo. But unless these new abilities align with a company’s current strengths and deeply held beliefs, they can cause internal friction. Capability Reality explains why strategic progress often feels like conflict, and how leaders must navigate the tension between protecting legacy strengths and embracing transformative change. It’s not just about adopting something new; it’s about reshaping what you think you know.
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🪏 Take it a bit deeper with these…

💡 Innovation

• How top performers drive innovation and growth | McKinsey — Innovation isn’t just about new ideas—it’s about momentum. McKinsey looks at how leaders in innovation use it to strengthen their core and expand into new territory.

• A Better Way to Unlock Innovation and Drive Change | Sloan Review — A strengths-based approach to team-building and development can make innovation feel less like disruption and more like elevation.

• The Re-Emerging Art of Funding Innovation | SSIR — Foundations are rediscovering risk, and with it, the potential for breakthrough impact. A thoughtful look at funding models that embrace uncertainty.

• Lessons from Slack on decision making, product-led growth, and taking big swings | Noah Desai Weiss — Slack’s Chief Product Officer shares candid lessons on product leadership, bold bets, and decision frameworks that scale.

• Embracing Tension is the Key to Innovation | The Table Group — A reminder that great innovation often comes not despite tension, but because of it. A short, sharp episode on leaning into the discomfort.

👋 Sign-Off

This whole conversation about developing capabilities that drive innovation is one of the hardest ones to have with leaders. It requires a deep understanding of the organization’s existing strengths and beliefs, and a willingness to challenge the status quo. But it’s also one of the most rewarding conversations, as it can lead to breakthroughs that transform the organization.

Here’s to embracing the friction—because it’s often the clearest signal that real change is underway.

Thanks for reading,

~ Kedron

P.S. Here I am in my natural habitat: waiting on a Zoom call, questioning if I even exist IRL. I’ve been working remotely for over ten years of my career. The first few were a mess (I actually love being around people), but these days I’m basically a professional video avatar. Some days it’s 11 hours straight — thanks to work and a leadership course I’m finishing this fall.

How about you? Do you work remote too? Got any secrets for staying human while living in thumbnail view?