More than half of all innovations proposed by companies fail to become reality, and one third of organisations are overwhelmed by too many innovation projects, according to a survey by Oracle.
The survey of cloud and software decision makers found that while innovation is important to growth, many companies are struggling to manage their innovation programs.
Eighty-five percent of companies that are growing significantly are investing in innovation, but 38% of high growth companies reported an excess of parallel initiatives.
Companies also reported that lack of commitment from business (21%); lack of process (22%); lack of vision (22%) and underinvestment in technology (22%) are all holding up their innovation programs.
Twenty-two percent of respondents also reported that ideal workflows had not yet been properly implemented, and 19% of companies said they were being held back by a lack of suitable technology.
Organisations are moving away from traditional KPIs of employee productivity (53%) and revenue (53%), and increasingly looking towards customer experience (57%) as a measurement of ROI. However, this shift is drawing attention away from employee engagement, with only 44% looking at organisation pipeline as an innovation lever, and only 41% considering company culture.
"Employees will always be a critical factor in any innovation program - both coming up with new ideas that address real problems and seeing them through to fruition," said Neil Sholay, Vice president of Innovation, Oracle. "But they need an effective and supporting culture of innovation to be successful. This starts with a clear vision from leaders and the prioritization and funding of chosen projects. Being innovative isn't just about ideas, it's about execution."