Bangalore, India - July 28, 2011:
With the blurring of geographic boundaries and the need to expand in global emerging markets, business leaders at the world's largest companies see strategic innovation as crucial to their future growth plans, according to an exclusive Wipro-Forbes Insights survey. The in-depth insight study examined and summarized the views of over 300 CEOs and other C-level executives at global enterprises (Defined as corporations with USD 500 million-plus in annual revenues).
"Global CXO Outlook: Growth Strategies for 2012 and Beyond" found that fully two thirds of surveyed executives believe that innovation is more critical than ever, particularly as a way to differentiate their businesses following the 2008-09 downturn. In addition to innovation, the study also examines C-suite attitudes towards two other key areas of future revenue growth: sustainable or "green" business practices, and opportunities in emerging markets such as China and India. The survey was conducted by Forbes Insights in association with Wipro.
"Traditionally, R&D was one of the first casualties in times of business distress," said Rajan Kohli, Chief Marketing Officer of Wipro's Global IT business. "But with innovation being pushed to the fore of growth strategy, companies are willing to overcome budgetary constraints and invest prudently, yet confidently on this business imperative. Bucking the trends of the past, we see innovation, sustainability, and emerging markets as the three pillars of growth that CXOs will rely on in the coming years."
Other key findings from the study include:
- Speed-to-market is necessary for successful innovation. More than 80% of survey respondents agreed that getting a product or service swiftly out to market is a critical business innovation tactic.
- Cost remains the biggest hurdle to fostering innovation. It topped the list of innovation barriers cited by C-level executives, followed by issues related to the regulatory environment, and finding and retaining top talent.
- Paying attention to best practices is the most effective way to foster innovation. Other innovation tactics promoted by C-level executives included technology, data-based decision making, and customer collaboration.
- Executives see a very clear business case for using "green" practices, and more than 70% have embraced green business practices as part of their corporate innovation strategies. Green IT is a priority for more than three quarters of companies. Their strategies in this area include reducing data center footprints, greater use of server virtualization, and greater use of cloud computing.
- Executives see investment and expansion into emerging markets as crucial to their strategies today and in the near future. More than half believe China holds the greatest opportunity, followed by India, Southeast Asia, and Eastern Europe.
- Expansion into emerging markets is being driven by lower costs and a higher rate of growth, according to executives surveyed. Potential barriers to strategic success in these areas include poor distribution channels, unstable political environments, and a shortage of skilled talent.
About "Growth Strategies for 2012 and Beyond"
"Global CXO Outlook: Growth Strategies for 2012 and Beyond" was conducted by Forbes Insights (www.forbes.com/forbesinsights), the strategic research practice of Forbes Media, publisher of Forbes magazine and Forbes.com. It is based on a global survey of 122 CEOs and 186 other C-level executives at large global enterprises with annual revenues of more than US$500 million. About a third worked for companies with annual revenues of $US5 billion or more. Respondents represented a wide range of industries, including manufacturing (28%), banking/financial services (23%), retail (10%), telecommunications (10%), insurance (7%), energy (7%), and others. Geographically, 37% of respondents were located in the U.S., 6% were located elsewhere in the Americas, 39% were from Europe/Middle East/Africa, and 18% were from Asia Pacific.
About Wipro Technologies
Wipro Technologies, the global IT business of Wipro Limited (NYSE:WIT) is a leading Information Technology, Consulting and Outsourcing company, that delivers solutions to enable its clients do business better. Wipro Technologies delivers winning business outcomes through its deep industry experience and a 360 degree view of "Business through Technology" – helping clients create successful and adaptive businesses. A company recognized globally for its comprehensive portfolio of services, a practitioner's approach to delivering innovation and an organization wide commitment to sustainability, Wipro Technologies has 120,000 employees and clients across 54 countries. For more information, please visit www.wipro.com
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