Lack of innovation will certainly put your company at risk.

  • March 15, 2022
  • 6 minutes of reading

You may be left behind when everyone around you is running miles ahead because they decide to innovate.

Does the lack of interest in changes remind you of a stage in life?

Whenever we think of stubbornness or difficulty adapting to new trends, we almost automatically remember our grandfathers and grandmothers, who (generally) do not adapt to innovations.

With organizations, the scenario is no different, this stubbornness or lack of a keen eye for market innovations can be dangerous, as it means you can be left behind while everyone around you is running miles ahead (because they decided to innovate ), and of course, it can give an image of being outdated in your market. Briefly, this behavior can put you in a dangerous position, especially when everyone around you is innovating at an ultra-fast speed.

Innovation is synonymous with evolution!

Taking the risks that innovation poses is a strategic move, as your company's present and future growth literally depends on it. History shows us that those who do not anticipate changes suffer from them, while those who ride the wave of change find opportunities to even scale their businesses to proportions that would not have been possible before.

If you are a business leader looking to manage risk, it would be wise to start and maintain a program continuous innovation. Programs consist of projects and through projects you will change your culture. If you don't know how to start innovation projects, get training and assistance. Your innovation projects are insurance policies for your company's future – so make sure you're aware of the risks.

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It’s vital that business leaders foster an environment where innovation is a natural part of the company's culture.

“It’s vital that our organizations are able to attract people with the right technology skills, but also develop those skills in-house. In addition to recruiting people with digital skills, organizations need to focus on training their employees to be adaptable, creative, critics and flexible thinkers.” PwC President and Senior Partner Kevin Ellis..

Why is business innovation so important?

  • First let's get to the facts, you can go broke in the blink of an eye!
    That's right, companies like Blackberry, Yahoo, Kodak, MySpace simply went out of business or lost much of their value due to lack of attention or resistance to innovations.
  • Low employee productivity and retention difficulties.
    In a survey published by Valor Econômico with more than 12 thousand people, more than half of those who work in outdated companies (52%) say they feel frustrated with employers because of the technological devices they have access to, and 13% say that this contributes to the desire to work elsewhere. In companies with a high level of technology, only 3% feel frustrated.

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  • Risk with the manipulation of internal information, that’s, your company exposed!
    Research indicates that one of the consequences of technological backwardness is that employees can act on their own – which can result in security risks for companies. In Brazil, more than half of the interviewed professionals use personal smartphones and 30% use their own notebooks to work, numbers above the global average. 

    The vast majority (71%) also downloaded applications and software without the authorization of the company or the support of the IT team, considering that they are better than what was available or because the company did not offer any alternative. A majority also admit to bypassing security protocols to be more productive.
  • Business innovation is important for one simple reason: value. 
    For your business to thrive, it's crucial to continually innovate and improve. Successful business innovation means finding new revenue opportunities, optimizing existing channels and, ultimately, generating greater profits. It should also give companies an edge over their competitors.
  • Loss of competitiveness and opening of space for competition.
    The main problem we see for corporations that leave innovation in the background is the loss of competitiveness in the market. Without exploring its possibilities, the company always remains the same, while its competitors invest in evolution. Thus, the corporation ends up being left behind.

    For example: “Everything invented in the last 150 years will be reinvented using AI in the next 15 years,” predicts Randy Dean, business director at San Francisco-based Launchpad.AI. So how will it be possible to keep up with such a technological reality in such a short time if I don't have a plan to deal with it?

With the possibility of increasingly exploring the potential made available by digital technologies along industrial value chains, even sectors that apparently do not have much affinity for innovations, such as mining, for example, show concern about how they expect to position in the future so they don't see their business being swallowed up by competitors.

For a simple reason: it can mean the difference between staying in the game with chances to stand out or disappear. For 60% of the executives interviewed, their businesses will disappear or will only survive if investments are not made in new technologies.

In a PwC study of global chief executives, nearly 25% had innovation at the top of their list of priorities for the next year.

And you, are you already preparing your business for the era of innovation? Your competitors probably already are!

Access below to understand the main consequences and risks you run due to the lack of a systemic vision in your operation.

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