A Commonwealth Bank study released this week says innovation is valued more by smaller Australian businesses than larger ones.
The Commonwealth Bank Business and Innovation Study also showed that roadblocks to innovation include a lack of time and resources, business partners who are 'all talk and no action', and a lack of data to help them make better business decisions.
The majority (70 per cent) of Australian businesses surveyed say innovation is critical to the future of the Australian economy. However, close to one-in-ten (seven per cent) have declared that innovation is not important to the success of their business.
Almost three quarters (74 per cent) of businesses with a turnover of less than $1 million cited innovation as critical to the Australian economy. This figure decreases as business size grows, landing at 65 per cent for businesses with a turnover of more than $25 million.
The findings show a need for mid-size businesses to think more like start-ups when it comes to innovation,” Adam Bennett, group executive, business and private banking, Commonwealth Bank, said.
“Innovation starts with asking questions about how to do things simpler and more efficiently. While business owners often think of innovation as involving the use of technology, more often it involves thinking critically to better understand business challenges and opportunities,” he said.
“These findings show an interesting change in priorities from small-to-medium enterprises. It is vital that as businesses grow, they continue to think like a start-up or the small challenger that they once were. This means constantly questioning the norm, and reflecting on how they can better meet the needs of their customers and even be a disruptive force in their industry,” Bennett said.
