CEOs admit less than half of all innovation projects are successful
The majority of leaders prefer to follow, rather than innovate
The majority (80%) of CEOs say less than half of all innovation projects are successful within their organizations, according to research.
The survey, carried out by Broadridge Financial Solutions and the G100 Network, was geared toward uncovering how executives discover and implement emerging tech.
When it comes to adopting emerging technologies such as artificial intelligence, blockchain, cloud and digital environments, CEOs across the board agreed that such tech can provide tremendous value to an organization.
Of those surveyed, 67% said improved client experience and retention was the biggest benefit of emerging tech, while 57% cited new revenue opportunities.
According to the survey, there are some hurdles to overcome when implementing these technologies. Respondents noted that the three biggest hurdles organizations face in terms of tech implementation are access to qualified talent (55%), legacy systems architecture (54%) and an internal culture that’s resistant to change (52%).
David Niles, President of G100 Network shared: "Forward-thinking CEOs will reassess assumptions about emerging technologies that might have previously been hindered by organizational resistance, regulations or customer adoption.
"Not all innovations will succeed, but companies that fail to adapt and change face eventual disruption. Successful transformation requires not only experimentation with emerging technologies but also a change in business processes and team alignment around a new way of doing business."
While the value of emerging technologies is clear, when it comes to adoption, only 42% of CEOs consider themselves "Fast Followers," meaning these CEOs have yet to establish a defined approach to experimentation and implementation of emerging tech.
Further, 26% of respondents consider themselves "Innovators" when it comes to using industry-leading technology. A quarter of respondents consider themselves "Experimenters".
In the midst of the current pandemic, many companies have been forced to accelerate and adapt their strategies. CEOs no longer have the privilege of a measured approach to their organization’s digital transformation, and instead, many have been pushed into digital leadership regardless of their preparation for such a task.
Though the survey was taken before lockdowns and stay-at-home orders, the outcome of the survey speaks volumes.
"Market uncertainty and volatility are creating immense pressures for companies across industry sectors, leading to an even greater reliance on new technology to drive change across the enterprise," said Tim Gokey, CEO of Broadridge.
"Forward-thinking CEOs who embrace next-generation technology to drive their business roadmap against specific success metrics are best positioned to succeed in this rapidly evolving environment. Recent events have also highlighted the importance of new technologies including Digital and Cloud to adapt to a changing world."