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Global economic pressures, new routes to market, 24x7 connectivity and higher expectations from tech-savvy consumers are pressuring IT to deliver innovative business services faster than ever before. How can you exploit opportunities and become a leader in driving innovation for your organization? A recent survey of 800 IT and business leaders from 8 countries explore the latest research from CA Technologies and IDG to learn what you can do to respond to the Innovation Imperative.
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In this survey we define innovation as a
“practice, process or technology that is demonstrably new and different and has a
measurable positive impact on an organization’s success”
CA Technologies and IDG Research recently sponsored an in-depth survey of 800 IT and business executives from large organizations in the U.S., Brazil, U.K., France, Germany, Australia, Japan and Singapore.
The research explored key topics in innovation, and the evolving role of IT as a key driver of innovation for their organization
The results may surprise you!
Insight from your peers
Copyright © 2012 CA. All rights reserved.
State of innovation: 48% report that innovation is widely practiced, while 20% say it is minimal or nonexistent
None: Innovation is nice-to-have and largely unsupported
Minimal: Pockets of innovation, culture does not support or reward
Moderate: Pockets of innovation and supporting culture
Frequent: widely practiced and encouraged
Established and Formulized
4%
16%
32%
35%
13%
Current State of Innovation
Copyright © 2012 CA. All rights reserved.3
48%
20%
1. Current state and
best practices
Q1: Which of the following best describes the current state of innovation in your organization? Base: Total 800
33% of organizations in the U.S. report that innovation is minimal or nonexistent
For technology projects, “iteration” is much more prevalent than “disruption”
Technology disruption
Route to market/channel innovation
Business process innovation (e.g., supply chain)
Business model innovation (e.g., pricing models)
Design innovation
Service innovation
Technology iteration/evolution
30%
34%
35%
38%
40%
43%
46%
Percent indicating innovation projects fall under each category frequently
Copyright © 2012 CA. All rights reserved.4
1. Current state and
best practices
Q3: Thinking of past, current or planned innovation projects within your organization, how frequently do these projects fall under each category? Base: WW 750 (Those who report at least minimal levels of innovation at their organizations)
Bleeding edge innovation
Mobility: device, mobile workforce New ways to enter new market Attracting new revenue Provide new services Boosting customer satisfaction
5 Copyright © 2012 CA. All rights reserved.
A great idea is not enough
Taking existing product and services and make it better
Evaluate customer needs and analyzing current process, customer satisfaction
Sometimes, the best innovation is in what you already have
Collaboration is key
Copyright © 2012 CA. All rights reserved.
Q21: Which of the following benefits has your organization achieved or is it expecting as a result of innovation? Base: WW 800
Benefits achieved and expected as a result of innovation
Decrease in capital investments
Competitive advantage
Higher employee satisfaction
Identified growth opportunities
Increase in revenue/market share
Increase in profit
Ability to enter new markets
Increased speed to market
Higher customer satisfaction
22%
28%
29%
29%
30%
31%
31%
32%
33%
45%
53%
50%
52%
53%
54%
51%
47%
53%
26%
14%
16%
14%
12%
11%
14%
16%
10%
5%
5%
5%
5%
4%
5%
5%
4%
Benefit Achieved Benefit Expected Benefit Not Achieved or Expected Don't know
Copyright © 2012 CA. All rights reserved.7
2. Triggers, obstacles
and benefits
Q6: Which group or function is the single biggest roadblock to innovation for your organization? Base: Total 800, NA 150; EMEA 300; APAC 275; LA 75
LOB employees and exec management are biggest roadblocks
Copyright © 2012 CA. All rights reserved.
Customers15%
Exec Mgmt26%
IT19%
LOB employees26%
Competitors14%
Biggest Roadblock to Innovation
IT Leader’s role
More innovative C-levels have closer collaboration relationship (with line of business, marketing, financial and all teams)
Bring ideas forward
Ability to drive the conversation and put IT on the business roadmap
Major obstacles are budget and time
Q7: What are the major obstacles to innovation at your organization? (Please select up to three.)Base: Total 800, NA 150; EMEA 300; APAC 275; LA 75
Copyright © 2012 CA. All rights reserved.
Tips to overcome
Formalizing process
Align budget with business goals
Extracting budget you already have: self-funded
Transform IT & Free up resources (people and budget)– organically fund innovation projects
Q5: Which group or function is the single biggest instigator of innovation for your organization? Base: IT 399 Bus Execs 401
Who is the biggest instigator of innovation? 20 point gap
Competitors
LOB employees
Top management
Customers
IT
0% 10% 20% 30% 40%
10%
14%
20%
22%
34%
Competitors
IT
LOB employees
Customers
Top management
0% 10% 20% 30% 40%
9%
14%
17%
20%
30%
Copyright © 2012 CA. All rights reserved.12
4. IT Report Card
IT Respondents Business Executive Respondents
Close the perception gap between business and IT Collaborate and alignment – Don’t just do it for the sake of
doing it Innovation is NOT just about the flash of brilliance – analyze,
apply practice to support business growth IF YOU DON’T INNOVATE: you won’t survive!
Key take away
13Copyright © 2012 CA. All rights reserved.
Assess innovation priorities Formalize innovation process Start a dialogue with your business counterparts, enroll
them in your plan Formalize innovation that is connected to business
Key steps
14 Copyright © 2012 CA. All rights reserved.