The innovation and change management distinguishes, the best from the rest. A first-class innovation system that follows a strategy, is implemented uniformly and is adaptable enough to produce success in series through a continuous innovation journey.
Across industries, technology changes everything. It is becoming an integral part of products and services and is essential for core processes and the provision of services. CEOs and business leaders must ask themselves: How can we manage digital innovation, digitize and support core business, and reduce complexity and risk? How do we accelerate digital change? How do we create value with our technology function – now and in the future?
Innovations are essential for survival. Almost 75% of all companies name innovation as one of the three most important areas for management, and 35% even give it top priority. This is not surprising. A convincing innovation strategy – in conjunction with the right innovation system – can make a big difference. Since 2005, the 50 most innovative companies in the world have delivered a two percentage point higher Total Return on Stock (TSR) than the global market as a whole.
But innovation is difficult. Only about 30% of companies consider themselves to be innovative. And being innovative is becoming increasingly difficult. The digital and data age forces even the most innovative companies to constantly acquire new skills and establish faster, more agile research and development processes.
The change in the business environment has reached an unprecedented scale. And whether it’s due to new technologies and digitization, globalization, the shifting of industry boundaries, changing regulations, the dynamics of the energy sector, or other factors, the message is clear: transformation is not an opportunity, it’s a business necessity. Forward-thinking companies, even when they dominate a market, rely on transformation and realign themselves to stay ahead of the curve. In doing so, a transformation must be goal-oriented and sustainable and produce measurable results.
First, we look at the company both from the inside and the outside to develop an innovation strategy that fits in with the overall corporate strategy. Externally, we find out which trends shape the economic conditions of customers and demand and which areas offer the greatest potential for innovation. Internally, we learn about the strengths and weaknesses of the company’s innovation system. The strategy focuses on the most important investment areas, thus creating the conditions for the innovation system to develop its dynamism.
A first-class innovation strategy is necessary but not sufficient. The half-life of products and business models is getting shorter and shorter, so value creation requires decisive action and speed. We develop and launch MVPs (Minimum Viable Products) that fit the strategy together with our customers in a sprint-based approach. In this way, we test and learn, continuously develop the products further – and drop the less successful ones at some point to free up resources for other projects.
To maximize the return on innovation investments, a company must quickly identify which products fit the market and quickly scale the projects with the greatest potential. We help our clients make the transition from experimentation to implementation of a new product, service or business model.
Today, anyone who wants to be successful with innovations must increasingly be able to build up new innovative capabilities or bring them into the company. We help organizations determine what skills they need and how best to get them – whether through corporate ventures, partnerships, mergers or internal development.