How to foster one oriented toward growth

There are certain companies that stand out as industry leaders for their ability to continuously push boundaries and reshape industries. Netflix, Amazon and Nvidia to name a few. But what’s the secret sauce driving these transformative companies’ success? Whether they’re established titans or industry disruptors, these organizations pair big ambitions with big action plans to back them up—even in an uncertain economic climate.

Korn Ferry recently surveyed nearly 400 senior executives across 52 industries and multiple continents to identify five specific principles that elevate organizations from mere contenders to industry leaders. These findings underscore how successful companies prioritize investments in their greatest asset: their people. This dedication extends beyond financial or technological investments; it encompasses cultivating a company culture that nurtures growth, values talent and empowers individuals to collectively propel the company toward excellence.

Transformation isn’t a one-time event; it’s a mindset and constant process that informs every aspect of the business. Below are several strategies that many companies can implement as they look for the recipe to a secret sauce for driving growth.

Driving growth through a company culture of innovation

Staying ahead in today’s market requires constant innovation and adaptation. Whether innovating new products and services (56%) or improving existing ones (46%), leading companies prioritize innovation as key growth strategies.

But “innovation” shouldn’t live in one department. Instead, 67% of the executives think innovation should be a shared responsibility of the entire company. Companies that develop a decentralized culture of innovation that supports and values employee contributions are more likely to drive performance by leveraging cross-functional teams to execute on innovation initiatives. While speed to market is, of course, critical, giving innovations time to marinate is important too. Three-quarters of executives also say that they’re patient with promising ideas, even if the return isn’t immediate.

Prioritizing customer experience

Elevating customer experiences (CX) has emerged as a transformative force in driving value, with 52% of companies identifying it as their second most important strategy to drive growth behind technology. Additionally, customer centricity and adding new customer segments are seen as key to driving growth.

Many companies have an opportunity to enhance CX through close collaboration between teams across marketing, sales and customer experience departments. Adopting a customer-centric mindset allows businesses to cultivate loyalty right from the beginning of the sales cycle, enabling a deeper understanding of new customer drivers and goals amidst a competitive landscape.

Reigniting mergers and acquisitions

Driving growth through strategic mergers and acquisitions (M&A) is reemerging as an essential strategy for nearly a third (32%) of the executives. An additional 51% of the executives forecast that 1%-9% of their company’s growth over the next five years will be achieved through M&A.

Increasingly in M&A transactions, executives are recognizing the importance of maintaining the core business and prioritizing readiness from the day the transaction closes. Leaders have learned in past transactions that leadership alignment and creating a unified company culture are key for managing change effectively.

Accelerating digital adoption

Driving growth through technology and digital adoption has become the foremost strategy for many companies, with 51% prioritizing technology as their top growth lever. The integration of AI is pivotal in this technological advancement, with 86% of leading companies believing that AI will enhance productivity and profit margins. However, interestingly, only 51% can currently see ways for generative AI to produce new revenue streams, presenting a significant opportunity for organizations to gain competitive advantage

By embracing AI, businesses can transform their operations, enabling smarter, more efficient work processes. This involves cultivating a mindset where AI is viewed not as a threat but as an enabler of success that serves the company’s mission while creating better outcomes for the customer.

Partnering talent with technology

At their core, the world’s leading companies believe in the power of people. While cutting-edge technology provides the tools and infrastructure for progress, 82% of leaders say that talent is more important than tech for driving growth. After all, technology is only as good as the people who wield it.

However, barriers persist as speed in adapting to change (49%) and talent and skills gaps (43%) are common roadblocks. Through continuous reskilling and upskilling, companies can adapt to evolving market demands and empower their teams with tools and technology to set them up for success.

The leading companies of the world show us that there is more than one way to drive innovation. From prioritizing talent and technology to fostering a culture of innovation and leveraging M&A as a growth engine, these principles provide valuable insights for businesses seeking to replicate the success of industry leaders.