Research findings released today have shown that smaller Australian businesses value innovation more than larger businesses.
The results, revealed by the Commonwealth Bank Business and Innovation Study, also showed that roadblocks to innovation include a lack of ideas, time and resources, business partners who are all talk and no action, and a lack of data to help them make better business decisions.
While almost 74 per cent of businesses with a turnover of less than $1 million said that innovation was critical to the future of the Australian economy, the figure decreases to 65 per cent for businesses with a turnover exceeding $25 million.
According to Adam Bennett, Group Executive, Business and Private Banking, Commonwealth Bank, the study shows a need for mid-sized businesses to think more like start-ups when it comes to innovation.
Mr Bennett 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.”
While 30 per cent of businesses with a turnover of $1m-$5m and 37 per cent of businesses with a turnover of $6m-$25m said they don’t have the data required to plan ahead or support strategic business decisions, 30 per cent of respondents said a partner that is ‘all talk, no action’ or that doesn’t understand their business were the key causes of stifled business innovation.