The Invisible Gap: Why Mid-Level Managers Hold the Key to Inclusive Innovation

Inclusive innovation isn’t a department. It’s not a job title or a laminated poster on a wall. It’s a system. And like all systems, it either amplifies insights from across the business—or quietly silences them.

Right now, too many organisations are falling into a trap. They’re investing heavily in top-down innovation while overlooking the leaders best positioned to make it real: their mid-level managers.

These are the people who translate strategy into execution, insight into action, and vision into traction. Yet they often feel stuck, under-leveraged, and unheard.

And that’s not just a waste. It’s a risk.

Mid-Level Managers: The Most Underestimated Tier in Business

Mid-level managers are the glue in every organisation. They understand the friction points on the ground floor and the shifting priorities of the C-suite. They see what data misses and what people aren’t saying. They are, quite literally, the insight engine of the business.

Yet they’re often excluded from major innovation discussions. Decisions are made in executive retreats and innovation hubs, then handed down to middle managers to “execute.” No surprise, then, that so many strategies stall at rollout.

Research from CEB (now part of Gartner) revealed that 50-70% of change initiatives fail due to lack of engagement from mid-level management. Not because they resist change, but because they weren’t included in shaping it.

They can’t champion what they weren’t invited to help build.


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What Does “Inclusive” Really Mean in Innovation?

Inclusion isn’t just about who’s at the table inside your organisation. It’s about who you’re innovating for—and with.

True inclusive innovation puts the consumer at the heart of every decision. Mid-level managers are often the closest to both frontline teams and the consumers they serve. When their voices are included, the result isn’t just internal engagement—it’s relevance, resonance, and real-world traction.

Consumer-led innovation requires internal alignment across departments and hierarchy. And the middle layer plays a crucial role in translating external insight into internal action.

Inclusive Innovation Needs Insight from the Middle

When innovation is designed only by the top 10% of an organisation, you get brilliant strategies that don’t work in practice. When it’s co-created with people from across the business—especially the middle tier—you unlock feasibility, relevance, and momentum.

The companies that outperform their peers on innovation ROI are those who actively gather and use insights from across all levels, including mid-level leaders. According to McKinsey, companies with top-quartile ethnic and cultural diversity are 36% more likely to outperform on profitability. But here’s the nuance: diversity without inclusion does nothing. It’s the inclusion of diverse perspectives, particularly at middle layers, that drives innovation outcomes.

So why are so many companies still treating middle management like a channel, not a source?

Three Innovation Bottlenecks Caused by Mid-Level Exclusion

  1. Stalled Initiatives: When initiatives are “pushed” down without mid-level involvement, teams question the why, feel
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How to Innovate Successfully (What You’re Still Getting Wrong!)

I’ve written a number of posts on innovation and yet I still get client requests to further help them innovate successfully!

One of the favourite articles here on C3Centricity about the topic is “Improving Ideation, Insight & Innovation: How to Prevent Further Costly Failures.” 

Despite all the great ideas and tips it includes, I believe there is still more I can share. That’s why I am adding to last week’s post on marketing in general, with a post specifically about improving your innovation. In particular, I wanted to help those of you who may be unable to complete all the “best-practice” actions I recommend, through a lack of resources, be it time, money or people.

Not every organisation has access to large market research or marketing departments and extensive budgets. In fact, in many companies these roles are being handled by one and the same person with very few resources; is that your case? If so then you will definitely find this post of interest. But even if you’re one of the luckier ones with a good size team and plentiful budget, I’m sure you will still find value from the ideas shared.

Let’s start by taking a look at some of the reasons why new products fail. And then we’ll identify some creative ways to completely eliminate them from your next launch. Sounds good? Then read on.

Why your innovations fail

Did you know that the proportion of product launches which fail every year is generally “guesstimated” to be somewhere between 74% and 95%?

Why CEOs accept such abysmal levels and accept their organisations’ continued use of the same old innovation process is beyond me!

Book on innovating successfully

In this article in HBR, Saul Kaplan, author of “The Business Model Innovation Factory” shared five important reasons that explain why companies fail at business model innovation:

  1. CEOs don’t really want a new business model.
  2. Product is king. Nothing else matters.
  3. Cannibalization is off the table.
  4. ROI hurdles are too aggressive for fledgeling models.
  5. Rogues and renegades get no respect.

I find these five reasons spot-on. They are all based on fear of getting outside the organisation’s comfort zone. If you can identify yourself with even one of these, it might explain why your innovations are not as successful as you would like them to be.

Successful innovation involves change, and human beings don’t like being out of their comfort zone. It may involve challenging accepted ideas and ways of working too. No wonder so many innovations fail.

And with such odds, I think it is incredibly courageous to start a whole company based around just one new product idea, but that seems to be the norm for startups in many areas today.

Taking the organisational reasons mentioned above, I’d like to detail ten more ideas I have found in my work with clients as to why innovations fail:

#1 The process itself: Innovation is by definition a creative process, but many organisations use a well-worn, restrictive and uncreative process to develop … Click to continue reading

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