Apparently so, according to a new study on innovation by futurethink. Specific combinations of organizational size and styles are dictating innovation success they say.
“This is not a proverbial case of David versus Goliath, rather a case of David and Goliath,” emphasizes Lisa Bodell, chief executive officer of futurethink in an article on Reliable Plant. “Our results demonstrate that actually it is both the largest (50,000-plus employees) and smallest (500 and under employees) organizations that are most effective when it comes to innovation.”
One wonders if those in the middle -- apparently stuck in their innovation efforts -- are more focused on maturing their processes and structures as they grow from being smaller, more entrepreneurial players to more established firms. There are always those points when firms have to stop, breathe, and reorganize what they do. However, the large span of the gap -- from relatively tiny to giant -- would argue against that being the issue. Perhaps instead is that small firms need to be innovative in order to survive, get funding, etc. and the largest firms have gotten to that point by being successful innovators. In other words, you have to be innovative at the start and then only the innovative survive to get large.
More distressing, the research reports that the average innovation score at reporting companies was 8.3 out of a possible 20. As they say, the only way to go is up.
What do you think? Tell us now or tell us in person at Burning Questions 2007: Leading for Innovation.