As companies begin to focus on growth, innovation has once again become a priority, based on a recent McKinsey Global Survey. While 84% of executives say innovation is extremely or very important to their companies’ growth strategy, many of the challenges—finding the right talent, encouraging collaboration and risk taking, organizing the innovation process from beginning to end—are remarkably consistent.

The authors offer some suggestions on how companies can be more successful at innovation: “In particular, they can formalize processes for setting priorities and commercializing products and integrate innovation into their strategic-planning efforts.”

That’s where Foresight can help:

• Foresight can enable improved innovation processes and tactics, by uncovering gaps in processes.
• Foresight can accelerate the time to review good ideas, by 50% or more.
• Strategic planning and innovation are both aided with the type of forecasting guidance and collective thought leadership offered by Foresight, enabling improved business impact.

A key graf on trends and challenges:

The results also show that the approach companies use to generate good ideas and turn them into products and services has changed little since before the crisis, and not because executives thought what they were doing worked perfectly. Further, many of the challenges—finding the right talent, encouraging collaboration and risk taking, organizing the innovation process from beginning to end—are remarkably consistent. Indeed, surveys over the past few years suggest that the core barriers to successful innovation haven’t changed, and companies have made little progress in surmounting them.

Gartner’s much-reviewed Hype Cycle shows prediction markets progressing toward mainstream adoption. We’re expecting that this signal of maturity means that they will continue to make game-changers out of the companies that employ them as innovation management tools.

After all, the authors of the summary are optimistic:

More positively, the results also suggest some ways that companies can become more successful at innovation. In particular, they can formalize processes for setting priorities and commercializing products and integrate innovation into their strategic-planning efforts.

Here’s where our Foresight platform stands to benefit survey respondents most:

Another consistent pattern is that far fewer respondents say their companies are good at the specific processes and tactics frequently tied to successful innovation—such as generating breakthrough ideas, selecting the right ideas, prototyping, and developing business cases. Respondents say their companies are best at adapting once they’re in the market, with 58 percent claiming to be successful. As in the past, executives have the most difficulty stopping ideas at the right time, with only 26 percent of respondents to this survey saying they do this well.

If you were one of the 2,240 executives who responded to McKinsey’s survey and expressed anything less than confidence about your company’s abilities in innovation management, it’s time we heard from you.

Gartner has released their Hype Cycle for Social Software, 2010 report. We agree that the interest and meaningful use of prediction markets are on the rise. In addition, Sherrilynne Starkie has an excellent summary of the identified trends.

She identifies two of our strengths in trends on the rise:

Idea Marketplaces: enable organisations to source innovative ideas, technologies, products and services by connecting them to innovators and solution providers from around the world.

Social Analytics: the process of measuring, analysing and interpreting the results of interactions between brands and consumers and/or businesses across digital channels in the context of specific goals and objectives.

Sliding into Gartner’s infamous Trough of Disillusionment, though, are prediction markets, sandwiched in between mobile social networks (aka Facebook) and unified communications (aka IP telephony and video conferencing):

Prediction Markets: are speculative markets created for the purpose of making predictions. Assets are created whose final cash value is tied to a particular event (e.g., will the next US president be a Republican) or parameter (e.g., total sales next quarter). The current market prices can then be interpreted as predictions of the probability of the event or the expected value of the parameter. Prediction markets are thus structured as betting exchanges, without any risk for the bookmaker.

We agree that prediction markets are maturing, and our customers continue to use our versatile platform to make better decisions earlier. We’re glad Gartner is conducting detailed analysis of this important enterprise software domain, and support the forward movement towards mainstream business use. We also know the importance of services and already offer them to our customers—something that Gartner projects does not happen until technologies reach the slope of enlightenment.

Fortunately, the versatility of our Foresight platform—which allows for idea management, social analytics, and decision markets—has us and our customers and partners optimistic about the future.