Article at a glance:

How companies approach innovation: A McKinsey Global Survey

• Not surprisingly, executives say innovation is a top priority for driving growth, according to a McKinsey Global Survey. But respondents point out flaws in how their companies manage and govern innovation. Most companies don’t focus on innovations they say will have the greatest effect on performance, for example, and innovation is seldom part of leadership agendas.
• Top managers and other executives agree that successful innovation depends on having the right people but disagree when identifying the company’s current talent problems.
• Executives do agree on a few steps that will help, starting with a different approach by corporate leaders.
• In a follow-up online discussion, executives at companies that make innovation a priority say they focus on breakthrough innovation and that innovation counts only if it meets customer needs. Although the goals are clear, executives say they employ a startling range of approaches and practices.