7 barriers to overcome when considering innovation

June 26, 2024

8 Min Read

Sajid A. Khan

CEO, Microagility

As Founder & President of MicroAgility, Sajid is responsible for the firms strategy and direction. With over three decades of experience, Sajid is a seasoned professional in business transformation. His knowledge and understanding of organizational dynamics have made him a trusted advisor and strategist.

Table of Contents

In a Nutshell

Innovation is what drives growth and keeps businesses competitive, but let's face it—it’s not always smooth sailing. Barriers to innovation can be frustrating, but the good news is, they’re not impossible to overcome. The key is to understand these challenges, confront them head-on, and develop strategies to break through. In this guide, we’re taking a closer look at seven common barriers to innovation and offering practical ways to move past them.

Ready to get your organization innovating again? Let’s dive in.

1. Overcome Resistance to Change by Engaging Your Team

Resistance to change is something every organization has to deal with. People naturally resist what they’re not familiar with, and that’s a big hurdle when it comes to innovation. The truth is, change can be uncomfortable, but it’s necessary for growth. From what we’ve seen, the most successful companies are the ones that tackle this resistance early on by getting people on board and making them part of the process.

McKinsey reports that 70% of change initiatives fail due to resistance.

Overcoming this barrier isn’t just about getting buy-in; it’s about making sure everyone understands that innovation isn’t just happening to them—it’s happening with them.

Here’s How to Get Your Team On Board with Change
  • Communicate the Benefits:

Don’t just talk about what’s changing—talk about why it’s changing and how it will benefit everyone.

  • Involve Employees in the Process:

When people feel like they’re part of the journey, they’re more likely to embrace the destination.

Resistance is natural, but involving people in the change process can turn skeptics into supporters.
Focus on showing how innovation positively affects not just the business, but their daily work as well.

2. Make the Most of Limited Resources by Prioritizing Key Projects

We hear it all the time: “We’d love to innovate, but we just don’t have the resources.” And sure, innovation requires resources—time, money, and talent. But here’s the thing: successful innovation isn’t about having unlimited resources; it’s about using the resources you do have wisely. Strategic prioritization is the name of the game here.

Harvard Business Review suggests that 83% of organizations struggle with resource allocation when pursuing innovation.

The key is being strategic, not just about what you spend, but where you spend it.

Here’s How to Innovate with Limited Resources
  • Prioritize Investments:

Don’t spread your resources too thin. Focus on the innovation efforts that will have the biggest impact on your strategic goals.

  • Seek External Support:

Sometimes, you need to look outside your organization for the help you need—whether it’s through partnerships, grants, or even crowdsourcing ideas.

Resistance is natural, but involving people in the change process can turn skeptics into supporters.
Focus on showing how innovation positively affects not just the business, but their daily work as well.

3. Break Free from Siloed Thinking to Foster a Culture of Innovation

When teams operate in silos, innovation stalls. It’s as simple as that. Innovation thrives in environments where ideas can flow freely across the organization, but too often, departments are so focused on their own goals that they forget to collaborate. Breaking down those silos is critical if you want innovation to become part of your company’s DNA.

Deloitte research shows that companies with high levels of cross-functional collaboration are 1.5 times more likely to innovate successfully.

Breaking down silos is about more than just teamwork—it’s about creating a culture where innovation is everyone’s job.

Here’s How to Break Down Silos and Encourage Collaboration
  • Foster Cross-Functional Collaboration:

Create spaces—physical or virtual—where people from different teams can come together to share ideas and work on projects collaboratively.

  • Break Down Barriers:

Encourage open communication across all levels of your organization. When people feel free to share ideas, innovation happens naturally.

Siloed thinking can block innovation, but encouraging cross-functional collaboration opens up new avenues for creative ideas.
Open communication across teams ensures that innovation isn’t just a department—it’s a mindset.

Point of View

At its core, innovation is about people. Technology, processes, and strategies are all important, but it’s the people behind the ideas that make innovation happen. We believe that creating an environment where people feel empowered to share ideas, take risks, and collaborate openly is the key to overcoming barriers to innovation. When employees are engaged and supported, they’re more likely to think outside the box and drive the innovation that leads to long-term success. It’s about fostering a culture where innovation isn’t just encouraged—it’s part of your company’s DNA.

4. Reduce the Fear of Failure by Encouraging a Culture of Learning

Let’s be real—fear of failure is one of the biggest innovation killers out there. When people are afraid of making mistakes, they don’t take risks, and without risk, there’s no innovation. But failure is part of the process. The companies that innovate best are the ones that see failure not as a setback, but as an opportunity to learn and improve.

Forbes reports that 42% of employees cite fear of failure as a significant barrier to innovation.

Creating a culture where failure is seen as a stepping stone to success is crucial for fostering creativity and growth.

Here’s How to Create a Safe Space for Experimentation
  • Create a Safe Environment:

Make it clear that failure is okay—as long as it comes with lessons learned. Encourage your team to experiment and take calculated risks.

  • Celebrate Learning:

When something doesn’t go as planned, focus on what you can take away from it. Celebrate the fact that your team tried something new, and figure out what’s next.

Fear of failure can paralyze innovation, but creating a culture that celebrates learning and experimentation frees people to take risks.
Innovation requires risk-taking—without it, your organization will struggle to move forward.

5. Balance Short-Term Wins with Long-Term Innovation Goals

When you’re constantly chasing short-term results, it’s hard to see the bigger picture. Innovation takes time, and if you’re only focused on immediate returns, you’ll miss out on the long-term benefits. Balancing short-term goals with long-term innovation is key to staying competitive.

According to McKinsey, 86% of executives say that short-term pressures compromise their ability to pursue long-term innovation.

Finding the right balance between the two is essential for sustainable growth.

Here’s How to Balance Immediate Needs with Future Innovation
  • Balance Short-Term and Long-Term Goals:

t’s not an either-or situation. You need to find a way to invest in innovation while still meeting immediate needs.

  • Communicate the Importance of Innovation:

Help your team and stakeholders understand that while short-term wins are important, long-term innovation is what will keep the company competitive in the future.

A short-term focus can limit innovation efforts, but balancing immediate needs with long-term investments will keep your organization on track for future success.
It’s important to communicate the value of long-term innovation to stakeholders who may be focused on quick wins.

6. Gain Leadership Support to Drive Innovation from the Top

Innovation needs champions, and that starts at the top. Without strong leadership backing, even the best ideas can fall flat. Leaders set the tone for the organization, and if they’re not fully on board with innovation, it won’t be prioritized.

PwC research shows that companies with strong leadership support for innovation are 2.4 times more likely to succeed.

Getting leadership buy-in isn’t just helpful—it’s essential.

Here’s How to Secure Leadership Buy-In for Innovation
  • Secure Leadership Buy-In:

Make the case for innovation by showing how it aligns with the company’s overall goals. When leaders see the connection between innovation and success, they’re more likely to support it.

  • Involve Leaders in the Process:

Bring leadership into the innovation process, whether it’s through brainstorming sessions or by giving them a stake in innovation initiatives.

Without leadership support, innovation struggles to gain traction. Securing buy-in ensures that innovation becomes a priority across the organization.
Involving leaders in the innovation process gives them a stake in its success and helps drive commitment from the top.

7. Upgrade Outdated Processes and Technology to Fuel Innovation

Outdated processes and technology can be major roadblocks to innovation. When your tools are holding you back, it’s hard to move forward with new ideas. Innovation requires modern tools and processes that support efficiency and creativity.

Gartner reports that companies investing in modern technology are 3 times more likely to drive successful innovation.

Updating your tools and processes is an investment in your organization’s future.

Here’s How to Modernize Your Tools and Processes
  • Invest in Modern Tools:

Don’t let outdated technology limit your ability to innovate. Investing in the right tools can make all the difference.

  • Encourage Process Innovation:

Encourage Process Innovation:

Outdated technology and processes can hinder innovation, but modern tools and continuous process improvements can help remove these barriers.
Investing in the right resources ensures that your team has what it needs to innovate effectively.

Sajid A. Khan

CEO, Microagility

Sajid Khan is the President at MicroAgility and has over three decades of management and consulting experience. He leadss the offorts in many project including operational improvement, cost reduction, and managing growth. Sajid stives to help others succceed and to create opprtiunities that are sustainable and uplifting for hummanity-alwasys guided by the virtues of hard work, quality, and kindness

Conclusion

Successful strategy execution requires more than just a well-thought-out plan. It’s about clarity of vision, leadership alignment, effective communication, and accountability—all underpinned by a culture that valuInnovation is crucial for staying competitive, but it doesn’t come without challenges. By understanding and overcoming the seven common barriers to innovation, businesses can unlock their full creative potential.es adaptability and collaboration.

Whether it’s addressing resistance to change, securing leadership support, or modernizing technology, breaking through these barriers is key to driving growth and staying ahead of the competition.

CONTACT US

Let's turn your challenges into opportunities