Saturday 20 October 2018

Irish firms fear failure to innovate will put them out of business in two years

Gary Hopwood, Managing Director, Ricoh Ireland
Gary Hopwood, Managing Director, Ricoh Ireland
Louise Kelly

Louise Kelly

Irish companies fear that they will go out of business in the next two years if they fail to respond to fundamental changes in their sectors.

According to recent research, one third of respondents believe that a lack of innovation in reaction to digital disruption, regulatory requirements and economic shifts could negatively impact them.

While the majority (94pc) recognise the potential beneficial impact of digital disruption for their industry, almost two thirds (61pc) are not ready to take advantage.

A total of 150 Irish business leaders were surveyed in the new research, commissioned by Ricoh and conducted by Coleman Parkes.

Competitive advantage, increased productivity, improving growth and winning new customers were named as the top benefits of innovation by respondents.

But almost a quarter believe they won't be able to react quickly enough to changing government regulations; and 35pc revealed that more government support is required for companies.

Gary Hopwood, Managing Director, Ricoh Ireland, said that it’s "very worrying" that the future of so many Irish organisations are at risk because of their failure to innovate.

"Change is happening and it’s happening now, which is why it’s vital that business leaders take action as soon as possible and formulate a strategy that enables them to embrace digital disruption," he said.

Increasing automation was cited as a significant driver of change for 88pc of firms but less than one third of these believed that they are ready for automation now.

"Organisations can’t afford to stand still if they want to remain competitive and continue to grow. They must think about how they are empowering employees, supporting creativity, helping customers and boosting business performance," said Mr Hopwood.

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