The paradox of important but ineffective innovation: Lean Operators and Courageous Companies
Innovation is important.?The problem is it isn’t very effective.??
At a recent event, my colleague, Ralph Morales, polled the audience on the importance and effectiveness of innovation, and a paradox emerged:?innovation is important but ineffective.??
On the importance side, 15% of the respondents reported their Long-Range Plan relied “Entirely” on innovation for growth (maroon category in the graph below) and 56% of the respondents said their Long-Range Plan relied at a “Substantive” or higher level on innovation for its growth (sum of the orange, pink, and maroon categories on the graph below).??
On the effectiveness side, 25% reported that more than 60% of their innovation is wasted (maroon category in the graph below).?A stunning 91% of the respondents reported...?