It is here again... "Innovation 2010 report by Boston Consulting Group" in partnership with BusinessWeek. As usual, this annual report is always very interesting; and at the same time, nothing new. To download the full report, please click here to our resources page.
Let me try to summarize highlights, to wet your appetite:
- Once again, "Innovation" is a top priority for most companies in the world (now we have to figure what they mean by Innovation!)
- Due to the tremendous economic pressure everywhere, most companies have much higher expectations form their innovation efforts then previously cited.
- Most executives are much more cautious as they are trying to accelerate out of the recession with new strategies and tactics.
- Survey shows that leaders of these companies consider a risk-averse corporate culture, lengthy product-development time, and inadequate measurement practices are key impediments to the future growth.
As you would expect, the emerging markets is where they are investing more so then ever before, China, India and Brazil, and feel most optimistic for the future ROI. At the same time, about 50% of the survey respondents believe that U.S. companies will remain the most innovative over the next five years.
One interesting insight I observed was the lack of attention to "Open Innovation" by these executives. It seems that they are still mostly focused on incremental innovation, and very little on breakthrough or discontinuous types of opportunities. This may be due to the market conditions, or the lack of education on the part of the leaders. What do you think? Do your executives understand the value of innovation and the different "faces of innovation"? Do they understand how to use innovation to create a competitive edge?