Several executive roundtables on open innovation conducted around the us and in the uk at the end of 2008 generated much debate. However, common themes developed around questions working with implementation, conflict over intellectual property, creating open innovation networks, and creating measurement systems. The following are my answers to the very top Five Questions in Open Innovation:
How could i implement open innovation during my organization?
The largest trouble with implementation is that you simply cannot simply copy another company. Many times a CEO mandates a wide open innovation initiative since it works for another company and thinks it might simply be duplicated. It simply doesn't work that way. Another issue comes on account of the lack of company-wide engagement. A go-getter director initiates a plan for a department, typically R&D, and the other clients are indifferent and even resistant against the changes.
Finally, implementation relates to an intangible problem created inside a company probably already in shock from way too many recent changes to the organization, turning it into cannot process a different restructure or corporate culture adjustment.
Every clients are unique and must develop an method to open innovation that will fit its needs. Make sure the engagements are the right size. In several cases clients expressed remorse an open innovation project took two full quarters to implement after which came the realization the market potential for the project is way too small, making the open innovation effort seem trivial.
How could i assemble a very good open innovation network?
Without having a network, open innovation is dead. We examined the different types of connections: solution bounty, internally prequalified, business partners, suppliers, and crowd sourcing:
1. An Answer Bounty provides a reward for offering a solution to a certain question. About the positive side, you can actually establish by using a third-party, and typically you will find an exceptionally many innovators connected. Some of the disadvantages are the tendency towards innovation against specification which is often too myopic. And transparent problem briefs signal strengths and weaknesses to the competitors.
2. Internally Prequalified typically stem from the greatest companies in OI. IP issues are handled upfront as well as the framework supports innovation-against-specification and mission innovation depending on the closer engagements in between the client and members.
3. Business Partners typically are abundant with resources compared to typical small innovators, and they are more inclined to consider bigger and know the innovation mission. Some detractors with engaging partners include the danger the partner can claim the joint project and you end up boxed out. Also, ensure IP issues are addressed up front.
4. Suppliers have inside information about your strategy, and ideally, will probably generate disruptive technology. Supplier relationships have a tendency to mitigate IP issues, too. Once they value your small business, they have a lot to reduce if something fails. So normally, suppliers do not squabble over IP so that they can maintain client relationships.
5. Its not all businesses have strong opportunities in Crowd Sourcing. In case you are in this particular business, crowd sourcing builds customer loyalty and practical knowledge of your value proposition. The primary detractor is the cost connected with managing customer-feedback processes.