Innovation Index
Executive summary
Only 21% of those we surveyed say that they have achieved their innovation goals. Yet almost all respondents agree that innovation will be a primary source of growth in the next two years. So why innovation, and why now?
Against the backdrop of continued global change and shifting strategies, resilience has emerged among the top predictors of success. Our report indicates that organizations innovate because it’s essential for generating business resiliency. It also drives superior digital experiences, and leads to higher profits and margins, as evidenced by a select group of innovators.
This insightful research of 1,000 respondents across North America and Canada provides a state of the market report on innovation and digital transformation, while exposing challenges and barriers and tracing how organizations are turning to innovation to achieve growth, value, and high performance.
Key findings
Innovation, a primary source of growth
96% say innovation will be a primary source of growth over the next two years
Sustainability, a top 3 driver of innovation
Sustainability is a top 3 driver of innovation, even ranking above profitability for some respondents
Growth of core-tech
Investments in core-tech set to grow as technology moves from a support function to becoming core to innovation
Innovation culture, critical for success
46% say an agile, iterative and less hierarchical organization structure is crucial for innovation
Explore more findings in our in-depth report.
Barriers to innovation
While innovation is touted as the primary source of growth the reality couldn’t be more different. Only 21% of organizations achieved their innovation goals as a string of challenges holds them back.
Outdated technology puts a crimp on innovation
Technology is critical for innovation, but as high as 86% of organizations say their outdated and legacy technology hinders their innovation efforts.
More than 70% are data-challenged
Organizations need to be data-driven, not data-challenged. Our study reveals that more than 70% don’t trust their data, can’t keep up with data regulations and don’t use data as an asset.
Lack of employee skills, the #1 challenge
Talent shortage and the skill gap are as real as it gets. Lack of employee skills for both innovation and data capabilities were ranked as the #1 challenge for organizations striving to innovate.
Process inefficiency and lack of resources hobble CX efforts
Like last year, quality and speed of service were voted most important for customer experience, but inefficient processes and lack of resources to deliver on time hobble CX efforts.