Why does corporate innovation often fail?
Insufficient autonomy
Too often, building new business needs the sign-off or sponsoring from the mothership down to the smallest investment decisions. Transformational innovation and experimentation requires autonomy and the right governance.
No strategic alignment
Many projects and initiatives are stopped because goals weren’t clearly defined or sufficiently backed up by the strategic agenda and key stakeholders. Initial strategic considerations that are aligned with the mothership are vital for success.
Wrong metrics to track success
Profitability is not the right metric for measuring the success of innovation in the short run (in the long run, it usually is though). Instead, venture capital metrics are needed to focus on a real problem to solve, a good team, an even better product, and early signs of traction.
Lack of balance on the team
Staffing innovation departments with subject-matter-experts from the mothership is a common faux pas. Innovation requires cross-fuctional teams that can think along first principles.
Too often, building new business needs the sign-off or sponsoring from the mothership down to the smallest investment decisions. Transformational innovation and experimentation requires autonomy and the right governance.
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Build new businesses that deliver substantial growth.
Armed with a capital-efficient portfolio approach, the right venture development process & blueprints, expert teams, and by leveraging corporate assets many reasons for innovation failure can be avoided, mitigated, or identified much earlier.
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Corporate partners engaged
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New business ideas
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New businesses created
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Incredible people staffed
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Autonomous business units created
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Million in business case value generated
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