1. Fear Around three in five respondents (58%) say they are unlikely to back high-potential but risky innovations, while overzealous risk management ranks among lack of budget, people or skills and difficulty moving beyond small scale as a top reason why brilliant ideas fail.
2. Lack of focusIn our survey, over half of respondents (53%) say they use the term ‘innovation’ to describe different things, while 42% agree innovation is something they talk about more than they do. This suggests many organisations lack focus and a clear innovation strategy – which can lead to wasted energy and resources
3. Engine failure Organisations are struggling to develop and commercialise their best ideas at pace. Asked to pick from 13 common barriers to innovation respondents point first and foremost to scaling up ideas for large-scale use (25.3%). They also cite difficulty moving beyond small scale as a top reason why brilliant ideas fail.
4. The wrong ROI Organisations need tools to model the ROI on innovation projects – but they must be careful an accounting mindset does not kill creativity. Respondents rank difficulty in measuring ROI close behind scaling up ideas for large scale use in the list of 13 barriers to innovation, which suggests that many are conflicted about the best approach to identifying winning ideas.
5. Reluctance to invest When ideas fail for avoidable reasons, the cause most frequently cited by respondents is lack of budget, people or skills. Simply, the resources required for innovation are not made available. This is backed up by 24.5% of respondents who said insufficient investment is a top barrier to innovation.