Innovation is a key driver of business success, research finds
Innovation is currently the key driver of business success and will be in the future, according to 83 per cent of business leaders.
Research released today by Allianz Insurance highlights how business leaders believe that innovation can help their businesses to achieve higher profits, engage employees, stand out from competitors and deliver growth.
Despite the importance of innovation, there are signs that the challenging economic environment is causing leaders to refocus their attention.
Findings reveal that nearly one in four (24 per cent) reported that the double dip recession has pushed their innovation programmes further down their list of priorities.
Worryingly, the study suggests that innovation has become less important to UK business over the past year, as business leaders feel that barriers to innovation within their business are; a lack of money (27 per cent) and a focus on other business areas (18 per cent).
Allianz is encouraging UK businesses to devote time and energy to supporting innovation - a key driver of growth.
Allianz Insurance's CEO, Andrew Torrance, said: "It is understandable that some business leaders believe that in difficult financial times, innovation should become less of a priority. At Allianz, however, we will continue to foster an innovative spirit as we believe it makes us a better business in a number of ways, including engaging our employees and generating income, as well as making valuable operational savings."
The research conducted with 500 UK company leaders found that many recognise innovation as making a positive contribution to their organisation - 72 per cent of business leaders acknowledge that their business is innovative to some extent. An additional four in 10 believe their current focus on innovation makes them more successful and 26 per cent believe it helps them enter new business areas which is key to maintaining a competitive edge.
Torrance added: "Through our own experiences and understanding of innovation and the successes it can bring, we believe British businesses can use innovation as a weapon in their armoury to move through the double dip recession with optimism and excitement about what the future holds.
"In my view the creative spirit that innovation brings is something British businesses cannot afford to lose, even in the most difficult of financial climates."