Enhancing Innovation ROI through Strategic Resource Reallocation PPT

This PPT slide, part of the 28-slide Innovation Effectiveness Curve PowerPoint presentation, presents a case study focusing on Bayer Healthcare AG’s Consumer Care Division, illustrating the challenges faced by incremental innovators. The key issue highlighted is that the current capabilities of the division are insufficient to meet its growth objectives. This situation necessitates a strategic approach to innovation investment.

The graphical representation on the slide depicts 2 curves: the original innovation curve and the adjusted innovation curve following resource reallocation. The x-axis indicates total annual innovation investments, while the y-axis shows the return on innovation investment (ROI). The original curve illustrates a decline in ROI over time, suggesting diminishing returns on innovation efforts. In contrast, the adjusted curve demonstrates an upward trend after resources were strategically reallocated, indicating improved returns.

The highlighted area labeled "Resource Reallocation" signifies a critical intervention point where investment strategies were modified. This adjustment led to a noticeable increase in overall innovation returns and an acceleration in growth rates. The slide emphasizes the importance of identifying root causes behind recurring issues, suggesting that a thorough analysis of resource allocation can lead to significant improvements in innovation effectiveness.

For potential customers, this slide serves as a compelling example of how strategic adjustments in resource management can drive better outcomes in innovation. It underscores the necessity for organizations to continuously assess their innovation strategies and adapt them to align with growth goals. The insights provided here are not just theoretical; they are grounded in practical application, making them relevant for executives looking to enhance their innovation capabilities.

This slide is part of the Innovation Effectiveness Curve PowerPoint presentation.

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