Why Innovation Is All About Many Small Steps
At innovative organizations, change doesn’t occur in one large motion—it happens through many coordinated, forward-looking steps.
59% of survey respondents say it’s important to be innovative, and 58% say innovation helps them achieve their goals.
70% believe that their company is an above-average innovator. However, just 14% work at organizations which reap significant business benefits from innovation.
45% say unified communications is a top tech tool in supporting innovation, and 44% say business process workflow automation supports innovation.
43% say enterprise social networks serve as a top tech tool in supporting innovation, and the same percentage cite solutions addressing enterprise collaboration software, big data/analytics and digital signage.
Innovation “leader” organizations outperform “laggards” by an average of 41% on sales growth, and 16% in profit margins.
Innovation leader companies outperform laggards by an average of 40% when it comes to employee productivity increases.
Innovation leader businesses spend only 5% on R&D as a percentage of revenue, while laggards spend 7%.
Innovation leader companies spend 29% of their total budget on “blue-sky projects”—research into areas outside of current products or offerings—while laggards spend just 18% on these efforts.
81% of innovation leader organizations say their approach to improvement is to make lots of small, frequent changes (as opposed to large “big bets”), while only 19% of laggards do this.
Overall, 56% of survey respondents describe their company’s approach to strategic development as “top down,” but their approach to innovation is “bottom-up.”
“Bottom up” innovators earn 24% more in revenue growth (and 17% higher profit margins) than “top down” innovators.