Innovation

Future proof your company

Leading companies embrace the future faster than others. How?

By changing their core business while scaling new ones—before they are forced to.

In the face of massive change, Accenture pioneered the practice of Wise Pivot, and doubled its market cap in just five years to more than $100 billion.

Pivoting to the new wisely calls for a different approach to change: one that will help today’s companies manage the dynamic tension between transforming the legacy while expanding into new businesses, continuously and synchronously.

We live in an age that demands companies stay in a permanent state of change.

A Wise Pivot also requires the right INVESTMENT STRATEGY to ensure that the timing, scale and direction of investments are calibrated adequately.

1. Transform the core business … to drive up investment capacity
2. Grow the core business … to sustain the fuel for growth
3. Scale new business … to identify and scale new growth areas at pace

The Wise Pivot survey of top executives showed that Malaysian companies are leading among our ASEAN neighbours in generating revenue from new businesses in the past 3 years—62 percent of Malaysian companies surveyed generate 26-50 percent of revenue from new businesses.

Furthermore, 13 percent of those surveyed expect to generate 51 percent to 75 percent of their revenue from new businesses in the next 3 years.

The sight is surely set on the new. However, Malaysian companies lag in driving greater efficiencies in their core business. The low percentage of executives who placed high importance on activities that can transform and grow their core business means it will be challenging for them to scale new businesses without strong performance from the core.

They need to unlock trapped value not just through new businesses but within the core. And to do that, innovation needs to be used pervasively. The transformation agenda must be owned from top to bottom throughout the organisation.

Are you ready to make your Wise Pivot?

The success stories of tomorrow will be determined by C-level executives who know how and when to focus on innovation-led initiatives that can release value fast in the legacy and new businesses. Rather than waiting, these courageous leaders will tilt toward the future before others do—and in doing so, reinvent their organisations on their own terms.