It’s hard to find a CEO today who doesn’t tout the importance of innovation, yet many seem stumped by how to achieve it. A widely cited McKinsey survey from 2008 found that 84% of executives believed that innovation was critical to their business’s growth, but only 6% were satisfied with their company’s current innovation performance. A more recent study by KPMG and Innovation Leader asked executives to rate how advanced their companies’ innovation efforts were on a five-point scale. Nearly 60% of respondents said they were at the earliest stages (ad hoc, which was one point, or emerging, two points) while only 2% said their innovation activities were optimized (5 points).
Real Innovation Requires More Than an R&D Budget
It’s about discovery, incubation, and acceleration.
December 19, 2019
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Summary.
Innovation is much bigger than R&D. It involves three distinct capabilities: Discovery, Incubation, and Acceleration (DIA). Corporate leaders need to recognize that developing business applications, revenue models, and markets for new products often requires as much time and resources, and deserves as much emphasis, as inventing the technologies themselves.