Innovation Leader, a platform for corporate innovators, and KPMG recently released an innovation benchmarking report. The report says that 60% of all companies have emerging or ad-hoc innovation programs. These programs have a small team with a small budget, as a proving ground for driving value for the organization. As corporate R&D shrinks and development in technology accelerates is becomes imperative for companies to search outside for new sources of revenue, cost savings and operational improvement.
Case in point was in the news recently. Industrial giant General Electric has been taken out of the Dow Jones Industrial average, following 111 years of continuous membership on the index. GE will be replaced by drugstore chain Walgreens Boots Alliance. CNN Money reported that Walgreens is the most active pharmacy giant placing private market healthcare bets. We speculate that GE is suffering from a Poor Innovation Strategy, while Walgreens Boots were actively engaged with the startup ecosystem.
If you think your company is at risk or would like to get started with external innovation, contact us today.