Hong Kong is currently ranked 16th in the Global Innovation Index and corporate innovation has never been more important in the region than it is now. This innovation is being driven by leaders across many different industries. Following on from our write-ups on insights from Singaporean and Malaysian innovation leaders, find below insights from their neighbours in Hong Kong.

What is the biggest barrier to corporate innovation you’ve encountered and how did or are you overcoming it?

Peter Dingle

Head of Innovation, HSBC Retail Banking and Wealth Management

“In my humble opinion, the biggest barrier to any type of innovation is a clear definition of the problem statement.

As organisations grow larger they become more complex and often the powerbase focuses on keeping the business running rather than looking out into the future, understanding customers, and falling in love with the problem they were originally designed to solve.

As a result the organisation becomes unbalanced.

The balance falls in favour of processes that deliver existing products in more efficient ways.

Cost saving and efficiency is important in running machine, and one role of innovation players is to automate or simplify these processes.

But that is not the only role innovation needs to play with them and organisation.

Taking new ideas into the organisation from the outside is also an important role to play.

Egos or 'not invented here syndrome' often get in the way and block these external ideas. Many corporate teams do not look outside the industry.

And most commonly people consider innovation to be invention.

There must be resources and time dedicated to thinking about how unique the organisation is, the problems that customers are currently facing and will face in the future, and new inventions that could solve these challenges.”

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Matthias Hendrichs

Expert in Corporate Innovation

“By far the biggest barrier to innovation is us, the human factor. Change management is a key hurdle that needs to be addressed from the beginning of any corporate innovation effort. There are a few components that are critical to consider. The leadership team and specifically the CEO needs to be openly supportive of the innovation program and demonstrate it to the entire staff. Key members of the organization need to be part of the innovation process so that their involvement early on and can support the implementation later on.

Especially in more traditional industries, the rollout plan requires careful consideration and should include hands on participation in the rollout such as learning and application session. Overall communication is important to accompany the entire innovation process and help demystify potential areas of uncertainty.

In summary, understanding how to change behavior and cater to the needs of the individuals who will be directly and indirectly affected by the innovation efforts is an often underestimated part of many innovation programs. However, especially this aspect can determine the adoption and hence the success of the entire program.”

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Chris Leong

CMO, Schneider Electric

“Traditional ways of thinking and working can often be big barriers. The speed of change in the world is demanding companies shift their mindset and move faster when it comes to innovation.

Leveraging digitization allows Schneider Electric to be more agile and work faster. It enables us to redefine how we work on a project, throughout the lifecycle of an installation and engage various communities. Co-innovation is very central to Schneider’s Innovation DNA. We believe the power of a strong partner ecosystem unleashes infinite possibilities. With EcoStruxure, our IoT-enabled architecture and platform, we made it an open ecosystem so developers can meet and exchange ideas and innovation.

We don’t innovate just to create more technology or products, we want to anticipate and solve customer problems. Domain expertise plays a critical role here. Schneider holds leadership positions in our core businesses: low voltage, medium voltage, industrial automation and secure power. Additionally, we have a balanced geographic footprint with 28% of our 2017 revenue from Asia Pacific, 27% Western Europe, 27% North America and 18% rest of world. This domain expertise and balanced presence allows us the relevance, coverage and agility to help our customers leverage the power of energy management and automation for business impact.”

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Liam Gilligan

Head of eXellerator Lab, Standard Chartered Bank

“The biggest barrier I’ve found to successfully driving corporate innovation is ensuring you find and maintain the right balance. Err too far one way and you risk alienating yourself from the organisation, or too far the other and you fail to inspire, excite and drive real and meaningful change.

Balance between those ideas that are a bit too out there, and those that fail to excite and inspire. Balance between testing out experimental technology or business models that may shape our industry in 5-10 years and having a real impact on the bottom line today. Balance between strong leadership and powerful network of empowered intrapreneurs with the tools and the space to drive change in their business areas. Balance between taking the time to bring key business stakeholders with you to spread innovation capability and executing at pace. Last but not least, balance between the risk averse culture in banking that has built large amounts of trust with customers over decades and embracing risk and failure as key ingredients in the modern business world.

Find that balance and you can create a sustainable and impactful innovation program.”

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Michelle Mak

Senior Director, Customer Education at Dun & Bradstreet

“Most organizations have a vision, though primarily demonstrated by a statement rather than a culture employees live by; an instruction from the management, instead of an achievable roadmap passionately owned and embraced by everyone.

To build a culture of innovation, a company must get the buy-ins across levels so every team member is on board. Innovation is more than a manifesto; it is a lifestyle, a mindset that is deep-rooted. Without a shared vision, innovation is translated to involuntary changes- People would rather stay in their cocoons without breaking through, while some get lost in transition or eventually in power struggle.

As a change agent, I am constantly reflecting if I am inspiring the stakeholders around me, if I have the tenacity to withstand resistance and not be overcome by forces against the corporate values. In reality, there are countless barriers to corporate innovation. Determination is what breaks them all, the determination to win as a leader, and as a team.”

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