Ins sights f from T Cla The arion In nstitut te Hori izon 1-2 2-3: A More C Compl lete Vie ew
By B Jon Wheeler, Roy Maurer, a and the Par rtners of T The Clarion Group n

Geoffrey Mo G oore, author of the boo Crossing r ok g the Chasm, recently wrote an article in the t w e Harvard Bu H usiness Review about a growth t h portfolio fra p amework cal lled Horizon 1-2-3 (H1n 2-3). The fra 2 amework, originally de o eveloped by y Mehrdad Ba M aghai, Step phen Coley, and David d White, esta W ablished a view that companies s that are su t uccessful in the long term have n e growth initi g iatives in th hree stages: Horizon 1, : , the mature slow growt businesses; Horizon t th n 2, 2 the emerging high growth businesses; and g d Horizon 3, t embryon ideas an pilots ofH the nic nd ten found in R&D. Moore asserts in the art n s ticle that h has obs t he served a t tendency of f companies, particularl technolo c ly ogy companies, to ta n ake promising H3 pr rojects and d launch them directly in H1 whe they ofl m nto ere ten are un t nsuccessful under the weight of f near-term fi n inancial pre essures and the need to o conform to the curren business model and c nt d organization norms. The Clarion Group has o nal T n s used the H u H1-2-3 framework with dozens of h f clients over the years, and we hav seen the c ve e phenomenon Moore describes o p n d occasionally. . However, using the H1-2-3 framework as a H H diagnostic, we have also seen ot d a ther trends s more freque m ently – tren nds which impede our r clients’ abili to grow. c ity

st es occupied wit existth Mos companie are preo ing businesses; they must learn to p ; t pay more ention to w where they are headed versus d atte chan nneling all o their ene of ergy into wh here they are today. The authors of the H1-2-3 framee f 3 oherent way to talk ab y bout curwork offer a co t rent businesses, new enterprises