We hear the buzz-word “innovation” a lot these days in business, and most companies agree they want innovation. However, our experience is that their actions indicate the opposite. In fact we frequently witness performance metrics that incent employees toward “status quo”. It always comes back to the simple adage: “you get what your measure”.
Despite our current economic issues, innovation remains a high strategic priority for most companies. However, many also struggle to measure the performance of their innovation portfolios.
This study asks two important questions that demonstrate this discrepancy:
1. What types of innovation does your organization pursue (product innovation, service innovation, process innovation, business model innovation)?
2. What types of innovation does your organization measure?
There difference in the percentage responses is listed below. Our experience at Bender Consulting is that these numbers are generous.
Product Innovation: -17% difference
Service Innovation: – 28% difference
Process Innovation: – 25% difference
Business Model Innovation: -23% difference
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