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Monday, October 10, 2005

CEOs and Innovation - The Big Disconnect

A recent BCG survey shows a disquieting gap between CEOs and their top managers over the criticial issue of innovation.

Here's a peak at some of the results:

  • 81% of CEOs believe innovation is a top priority for their companies while only 63% of lower-level execs share this view.
  • 76% of CEOs believe their companies foster a culture of innovation, but 51% of lower level execs and employees disagree.
  • 66% of CEOs say their senior management teams share a common view on managing innovation but only 53% of non-CEOs agree.
  • Some 56% of CEOs believe their companies have the right organization structure already in place to generate innovation, while 56% of lower-level people do not agree.

Why the disconnect?

It looks like many CEOs are naive when it comes to operationalizing innovation in their own companies. They're not getting it -- and perhaps not providing the resources (Discipline III - Align Systems) to develop it.

And many managers many don't understand how imporant innovation is (Discipline V. Innovate Purposefully) as a strategic imperative . It appears that senior managers of most companies are out of alignment (Discipline III-F Align People) when it comes to innovation.

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