Why Don’t Companies Innovate?

by Michael Cropper | Nov 29, 2016 | Client Friendly, Thoughts | 0 comments

This is a question that has been bugging me for a while, and you know what, I still don’t have the answer to this fully. You see, working with technology and user experience on a daily basis while improving digital platforms for companies, I can’t help but get used to continually improving all aspects of a business. Yet when I look around at most companies, I see the same old companies doing the same old things time and time again, often getting busier and busier without being more efficient or growing. Now here’s the thing, it is not like there is a barrier to entry to using technology throughout a business. Costs have come down quite considerably over the last few years and there is now more than ever an enormous pool of digital expertise to tap into. Albeit, there is a hugely varying quality of digital expertise, but there is a lot available never the less. So why is it that companies fail to innovate?

I decided to write this blog post after seeing another “Look at how amazing our new website is, let us know what you think…” post on LinkedIn by a proud owner of a business. So I decided to chip in. The site was WordPress based, so far so good. Then it all kind of went to the usual problems, not using Child Themes and not using HTTPS, both of which are an absolute minimum when building WordPress websites. Yet still, the business owner shrugged off the feedback stating that they are working with a “world leading company, I’m sure they know what they are doing”. And in this case, I can honestly only say that this is purely ignorance that is leading this particular company not to innovate. Look, I’m not saying that building a website is in any way innovative, but it does tell you a lot about a company based on the way their website is built. Firstly, in this instance I can tell you that this website was put together on the cheap in an “all fur coat and no knickers” type of way. I see this a lot, and we generally work with companies around 2-3 years after they have gone down this route and realised that it doesn’t work. And what that tells me about companies who go down this approach is that they are still very much in the mindset of cost over value. Purchasing anything based on cost is a losing battle and one that will cause you no ends of problems in the long run, businesses who eventually realise this start to enormously innovate throughout their organisation which starts them on a path to significant growth as an organisation.

This is by no means a lone example though. I’d argue that most organisations fail to innovate throughout their organisation. And this is not because the innovative technology, processes or systems are either not available or expensive. I’d argue that it is because people are so busy doing what they have always done or busy talking about how busy they are that they fail to realise the opportunity that sits right next to them as a solution to their many problems. This clearly is not a technology problem, it is a people problem. It is the decisions that people make on a day to day and minute by minute basis which prevent their own organisation from innovating by keeping their self busy doing the same old same old. This is by no means a unique situation though, this is what is known as the productivity problem in the UK and something which the UK government is looking at as a priority to grow the economy. Businesses need to step up and as what one minister said “Stop being lazy”.

For anyone who is too busy to look at new opportunities, I wish you well, but for those smart enough to stop and take 5 minutes to look at new opportunities, you will be amazed about what is available when you open your mind a little and speak with companies who can help your organisation significant improve throughout. Happier, leaner and more innovative companies are the companies that people like to work with. What is clear to me on a regional basis is that cities like London and Manchester are clearly leading the way when it comes to implementing innovative solutions throughout their organisations, whereas non-city regions and counties are often much slower to adapt. I’ve come to the conclusion that this is due to the majority of businesses being run by small teams and/or families that they struggle to think differently because they make decisions purely based on their own personal past experiences, which limits their thinking. As the quote goes, “To the man with a hammer, the solution to every problem is a nail”. Often true innovation comes from talking with people who are significantly different to you, even if you completely disagree with their way of working and their beliefs. I know that personally, some of the more innovative solutions that we have implemented have been a direct result of the random conversations I have had with people who I normally wouldn’t connect with. Instead these ideas have come based on making time to speak with different people and learn from their experiences. You can learn an awful lot from others when you stop and think about a problem together.

Innovation is key throughout every aspect of your business and the more businesses I speak with I can guarantee that I could walk into any organisation and improve their efficiencies throughout their organisation, whether that is through digital solutions or process improvements. This is not being over confident, this is based on seeing so many problem which are blatantly obvious to me that never seem to get fixed or improved. Often its the simple things that make the biggest difference. The challenge is always getting companies to change. As they say, you can lead a horse to water…. To finish, I’d like to open this invitation to any businesses who is stuck in their ways and unsure what to do to grab a coffee with me. Let’s look at how we can re-shape your organisation to become more efficient whether that is through digital technologies or otherwise. We can’t do this for you, but we can help you open your mind. Let’s chat.

We’re working on exciting projects with forward thinking companies as always. Becoming a forward thinking company is simply a mindset change required from those at the top of the organisation.