Collaboration For Innovation
OPEN INNOVATION - TODAY'S R&D METHODS
“Open innovation is the use of purposive inflows and outflows of knowledge to accelerate internal innovation, and expand the markets for external use of innovation, respectively. [This paradigm] assumes that firms can and should use external ideas as well as internal ideas, and internal and external paths to market, as they look to advance their technology.”
– Open Innovation as described by Dr. Henry Chesbrough, author of Open Innovation: The New Imperative and Open Innovation: Researching a New Paradigm; co-founder of the Open Innovation Community, Executive Director of the Center for Open Innovation at the Haas School of Business at the University of California, Berkeley, where he is also an adjunct professor.
Why Open Innovation
Today, there’s easy access to information and advancements in technology go to market quicker which are both reasons why executives are more interested in Open Innovation as they realize the following:
- No one organization employees “all” of the smart people
- External R&D can create a significant value and internal R&D is needed to claim some of that value
- An organization doesn’t need to originate the R&D to profit from it
- If you make the best use of internal + external ideas, everyone wins
- An organization can profit from exporting intellectual properties, and buy intellectual properties when the purchase advances the business model
Because of its focus on insights generated from direct interaction with people, Open Innovation processes can also be characterized as Human Centered Innovation. This focus is a characteristic overlap between Open Innovation and Service Design.
Service Design is a useful framework for maintaining the perspective of the outside world of humans as the leading element in selecting and elaborating ideas for potential innovation, rather than internal focus on available technologies or company capabilities. Similar to Open Innovation, the Service Design approach aligns the strategic decisions within a project with the broader business goals of the organization.
Methods & Process
Two of the main methods used in Open Innovation processes are Lead User Research and Co-Creation Workshops. By combining the investigation of opportunities for innovation through Lead User Research with the development of ideas and rough concepts for new service propositions through Co-Creation Workshops, Open Innovation processes effectively bridge the research and design elements in all stages of the process.
- Select A Theme
- Lead User Research
- Identify Opportunities
- Co-Creation Workshop
- Finalize Concept & Prototype
- Concept Validation
- Finalize Business Plan