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Speed, Value, and the Power of the Innovation Flywheel

BCG · Article · 9 Jan 2024 · Empirical research · Editor's rating: No stars

Digital leaders innovate at speed because their operating model builds in a learning loop of product teams, digital solutions and supportive governance, while siloed incumbent models suppress experimentation.

Summary

Using a multiyear Digital Acceleration Index study, the authors show that leading digital businesses run an operating model they call the innovation flywheel. It combines product teams, digitally powered solutions and a supportive culture and governance, creating a learning loop for continuous innovation while keeping cost control. Most legacy incumbents, by contrast, restrict broad experimentation, and 85% admit to siloed structures. The

Editor's opinion

Digital leaders innovate at speed because their operating model builds in a learning loop of product teams, digital solutions and supportive governance, while siloed incumbent models suppress

Key concepts

Innovation flywheel · Digital operating model · Test-and-learn culture

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