Australia: Do You Have A Problem With Innovation?

According to recent research, unlike other parts of the world Australian enterprises aren't seeing the value in, or benefits of, innovation.

Market research firm Vanson Bourne recently surveyed 900 decision-makers across the globe to assess the state of innovation in information technology, and businesses in Australia and New Zealand (A/NZ) stood out for all the wrong reasons, reports AFR.

"Only 26% of A/NZ enterprises think innovation spend will lead to faster time-to-market, and only 36 per cent believe it will lead to greater competitiveness.

Only 6 per cent of chief executives in A/NZ are taking the lead on innovation initiatives, against 18 per cent in the rest of the world.

At board level, innovation is seen as a spend, not an investment. Obviously, their main concern is the bottom line of the company, and if they can spend less, they will. Yet there's a difference between spending and investing for the future, and boards need to better understand the benefits of innovation in line with the rest of the world.

Ultimately, they need to know the cost of not innovating, and it's as simple as being left behind."

If they're not left behind already, that is.

Two weeks ago, Gartner also issued a scathing assessment of the state of digital transformation in Australia.

It reports that ambition surpasses performance, that the risk of disruption is underestimated, and that there is little appetite to experiment with new business models.

"Two-thirds of Australian organisations say they are ‘transforming’ in some way. However, the number of organisations that are really transforming their business model — a necessary step in digital disruption — is closer to 10 per cent. The vast majority of digital business initiatives optimise existing business models.

In the digital business initiatives they have started, Australian enterprises have not made sufficient progress. About 81 per cent of survey respondents rate themselves 5 and above on a scale of 1 to 7 in strategy and planning for digital business, but only 8 per cent say their organisation has scaled a digital business."

Has 26 years of economic expansion made Australian enterprises risk averse?

Or, as Andrew Birmingham asks - are we kidding ourselves?

Gartner is more polite.

"Australian organisations are leaving themselves vulnerable. The digitalisation of their industries may be more advanced than they think. Once digital revenue in a sector hits 20 per cent, digital transformation unfolds rapidly.

By that point, it may be too late for a conventional enterprise to respond. Enterprises should experiment with, and develop, their own digital products and business models before the transformation occurs."

As an innovator, you know this.

You’re facing and/or fighting this reality every day.

So isn’t it time we ask ourselves some honest and tough questions?

How do we get innovation (back) on the boardroom agenda, so that we get the support we need to lead this transformation from within?

How do we align innovation with strategy better, and work closer with the business to create value today and growth opportunities for tomorrow?

How do we effectively launch new business models and new businesses, and most importantly, lead them to substantial scale?

How do we showcase the benefits and (financial) results from your programs?

Let’s have that conversation, as a function, a profession, a community.

To improve innovation outcomes in your company.

To make sure A/NZ isn’t left behind.

And last but not least, to make our lives a bit easier.

That’s what we’ll do at Innov8rs Sydney (25-27 Sept), and you’re invited to join.

It’s not a typical conference where you’ll be sitting and consuming.

Instead, it’s a co-created learning experience, with 25+ corporate and expert speakers providing guidance.

It offers you a safe space to explore key issues, collaborate to solve challenges, and have those conversations you can’t have with your board, with others who also get it.

After having been in 21 innovation hubs around the world, we’re excited to be in Australia to have that crucial conversation around the why, what and how of innovation, as triggered by the alarming research outcomes mentioned above.

But we’ll only be in Sydney once. So don’t miss this unique opportunity to join your tribe.

Your spend investment?

If you act fast, it’s only $AUD 950 for a Full 3-Day Access Pass.

Indeed, that's a tiny tiny tiny fraction of the costs of not innovating.

And as a bonus, you get 6 months of Innov8rs membership providing access to content from past and future events plus live sessions and community support, valued at $AUD 750 already.

Secure your seat at $AUD 1,000 discount, with code ANZNOTLEFTBEHIND1000  via this registration page (expires Aug 31^st, EOB).

We hope you’ll join the conversation, because it's too important and urgent to leave for later.

Image by ArliftAtoz2205 / Shutterstock.com. "Stagnation" is a sculptural artwork by Elyssa Sykes-Smith at the Sculpture by the Sea annual events in Sydney, Australia.