Showing papers on "Open innovation published in 2011"
TL;DR: In this article, the authors explore the limits in our understanding of the open innovation concept and address the questions of what (the content of open innovation), when (the context dependency) and how (the process).
1,635 citations
TL;DR: In this paper, the authors have formulated the functions, constituents, activities, factors and boundaries of the system of innovation for better policy formulation and application in practice, by assessing closely the existing work on systems of innovation and by going beyond the current literature.
Abstract: The national system of innovation approach has attracted both academics and policy makers. There has been different emphasis laid by those who both originated the concept and developed it further for policy learning applications. From the firm level to the global innovation networks, the varieties and differences in system of innovation functions, activities and factors continue to attract debate amongst the leading scholars. The main challenge is to translate the system of innovation from a conceptual framework to theory that feeds a concrete practice. By assessing closely the existing work on systems of innovation and by going beyond the current literature, I have formulated the functions, constituents, activities, factors and boundaries that the system of innovation provides for better policy formulation and application in practice.
1,293 citations
TL;DR: An analysis of the current landscape of smart city pilot programmes, Future Internet experimentally-driven research and projects in the domain of Living Labs, common resources regarding research and innovation can be identified that can be shared in open innovation environments.
Abstract: Cities nowadays face complex challenges to meet objectives regarding socio-economic development and quality of life. The concept of "smart cities" is a response to these challenges. This paper explores "smart cities" as environments of open and user-driven innovation for experimenting and validating Future Internet-enabled services. Based on an analysis of the current landscape of smart city pilot programmes, Future Internet experimentally-driven research and projects in the domain of Living Labs, common resources regarding research and innovation can be identified that can be shared in open innovation environments. Effectively sharing these common resources for the purpose of establishing urban and regional innovation ecosystems requires sustainable partnerships and cooperation strategies among the main stakeholders.
1,007 citations
TL;DR: In this article, the authors assess the economic viability of innovation by producers relative to two increasingly important alternative models: innovations by single-user individuals or firms and open collaborative innovation and conclude that both models increasingly compete with and may displace producer innovation in many parts of the economy.
Abstract: In this paper, we assess the economic viability of innovation by producers relative to two increasingly important alternative models: innovations by single-user individuals or firms and open collaborative innovation. We analyze the design costs and architectures and communication costs associated with each model. We conclude that both innovation by individual users and open collaborative innovation increasingly compete with and may displace producer innovation in many parts of the economy. We explain why this represents a paradigm shift with respect to innovation research, policy making, and practice. We discuss important implications and offer suggestions for further research.
767 citations
TL;DR: In this paper, the authors present a conceptual framework that provides the foundation for discussing critical open innovation processes and their implications for managing open innovation at the organizational, project, and individual level.
Abstract: Executive Overview The concept of open innovation has recently gained widespread attention. It is particularly relevant now because many firms are required to implement open innovation, despite the difficulties associated with managing these activities. After providing a definition of open innovation delimiting it from open source, an overview of prior research is given, which identifies the following important topics of earlier open innovation research: technology transactions, user innovation, business models, and innovation markets. In light of current controversial debates about the value of the open innovation framework, we evaluate the literature and assess whether open innovation is a sustainable trend rather than a management fashion. On this basis, we present a conceptual framework that provides the foundation for discussing critical open innovation processes and their implications for managing open innovation at the organizational, project, and individual level. Thus, we assess the multilevel de...
701 citations
TL;DR: In this paper, a case study of an Italian leading cement manufacturer has been conducted to understand the relevance of Open Innovation beyond high-tech industries and study how firms implement Open Innovation in practice.
497 citations
TL;DR: In this article, the authors look at the network structures as a source of jointly value creation and open innovation through access to new skills, knowledge, markets and technologies by sharing risk and integrating complementary competencies.
Abstract: Strategic networks such as collaborative networked organisations (CNOs) and virtual customer communities (VCCs) show a high potential as drivers of value co-creation and co-innovation. Both look at the network structures as a source of jointly value creation and open innovation through access to new skills, knowledge, markets and technologies by sharing risk and integrating complementary competencies. This collaborative endeavour is able to enhance the adaptability and flexibility of CNOs and VCCs value creating systems in order to react in response to external drivers such as collaborative (business) opportunities. Strategic business networks are active entities continuously adapting to their environment in order to enhance their capabilities to respond to short-term business opportunities, and therefore allow their business ecosystems to follow the rhythm of industry dynamics, and customers’ changing needs and preferences. Value co-creation is the new trend in open-business models trying to integrate or...
446 citations
TL;DR: In this article, the adoption of open innovation in the bio-pharmaceutical industry is investigated, studying through which organisational modes it is put into practice and how these modes are interwoven with the different phases of drug discovery and development process.
432 citations
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TL;DR: In this article, the authors investigated how OI dimensions have an impact on the innovative performance of SMEs in comparison to large companies and found that the effects of OI practices in SMEs often differ from those in large firms.
Abstract: Few studies on open innovation (OI) have addressed OI practices in small and medium sized enterprises (SMEs) and how their use of OI and resulting benefits differ from large enterprises. The lack of resources in SMEs to engage in looking outward is said to be a barrier to OI, but at the same time this shortage is cited as a motive for looking beyond organizational boundaries for technological knowledge. We investigate how OI dimensions have an impact on the innovative performance of SMEs in comparison to large companies. The key finding is that the effects of OI practices in SMEs often differ from those in large firms. SMEs are more effective in using different OI practices simultaneously when they introduce new products on the market whereas this is less the case for large firms. Turnover from new products in SMEs is driven by IP protection mechanisms while large firms in this case benefit more from their search strategies. However, the strengths of these differences between SMEs and large firms.
417 citations
TL;DR: In this paper, Burt's social capital theory complements Coleman's theory and shows that, in the presence of strong ties, weak network architectures (structural holes or a peripheral network position) have no value without strong ties whereas strong ties have some value without weak network architecture but are leveraged by this type of structure.
350 citations
TL;DR: In this paper, the authors analyze how the innovative performance is affected by the scope, depth, and orientation of firms' external search strategies and apply this analysis to firms using STI (science, technology and innovation) and DUI (doing, using and interacting) innovation modes.
TL;DR: In this article, the influence of co-operation practices and the use of internal and external information sources on the propensity of firms to introduce new to the market innovations in the service sector was identified.
TL;DR: In this article, the authors investigate the paradox that arises when firms simultaneously share and protect their knowledge in an alliance with other organizations and identify which strategies can be developed to cope with this tension.
Abstract: Purpose – The purpose of this paper is to investigate the paradox that arises when firms simultaneously share and protect their knowledge in an alliance with other organizations. The goal of this paper therefore is to explore this tension field in such a coupled open innovation process and to identify which strategies can be developed to cope with this tension.Design/methodology/approach – The study was initially guided by a literature review and exploratory interviews, and it ultimately develops an inductive framework based on a multiple case study approach. The paper presents eight cases of a focal firm involved in a particular R&D collaboration. The case studies are based on a variety of data sources, including a number of semi‐structured interviews.Findings – This paper unravels the tension field of knowledge sharing and protection in R&D collaborations, with the knowledge characteristics at the core and with the knowledge embodiment and relational dimension as mediating factors. These forces are in t...
TL;DR: In this paper, the authors argue that the firm-level concept of co-opetition might also be relevant for an innovation's success on the individual level within contest communities, as numerous user discussions and comments improve the quality of submitted ideas and allow the future potential of an idea to shine through the so-called "wisdom of the crowd".
Abstract: Following the concepts of crowdsourcing, co-creation or open innovation, companies are increasingly using contests to foster the generation of creative solutions. Currently, online idea and design contests are enjoying a resurgence through the usage of new information and communication technologies. These virtual platforms allow users both to competitively disclose their creative ideas to corporations and also to interact and collaborate with like-minded peers, communicating, discussing and sharing their insights and experiences, building social networks and establishing a sense of community. Little research has considered that contest communities both promote and benefit from simultaneous co-operation and competition and that both types of relationships need to be emphasized at the same time. In this article, it is argued that the firm-level concept of co-opetition might also be relevant for an innovation's success on the individual level within contest communities. Our concept of ‘communitition’ should include the elements of competitive participation without disabling the climate for co-operation, as numerous user discussions and comments improve the quality of submitted ideas and allow the future potential of an idea to shine through the so-called ‘wisdom of the crowd’.
TL;DR: In this paper, the authors explore how the motivation and knowledge of individuals participating in innovation projects broadcast on the Internet affect their contribution performance and identify the most valuable contributors as those who combine high levels of intrinsic enjoyment in contributing with a cognitive base fed from diverse knowledge domains.
TL;DR: In this paper, a sample of 43 cross-sector firms were reviewed for their OI implementation approaches, and the authors analyzed how firms moved from practising closed to open innovation, classifying the adoption path according to the impetus for the adoption of the OI paradigm and the coordination of the implementation.
TL;DR: In this paper, the authors explore the causal links between service firms' knowledge investments, their innovation outputs and business growth based on a bespoke survey of around 1100 UK service businesses and find that the importance of external openness in the initial, exploratory phase of the innovation process and the significance of internal openness in later stages of the process.
TL;DR: In the context of the quadruple and quintuple innovation helices, the concept of open innovation diplomacy (OID) has been proposed in this paper, which encompasses the concept and practice of bridging distance and other divides (cultural, socioeconomic, technological, etc.) with focused and properly targeted initiatives.
Abstract: The traditional Triple Helix innovation model focuses on university–industry–government relations. The Quadruple Helix innovation systems bring in the perspectives of the media-based and culture-based public as well as that of civil society. The Quintuple Helix emphasizes the natural environments of society, also for the knowledge production and innovation. Therefore, the quadruple helix contextualizes the triple helix, and the quintuple helix the quadruple helix. Features of the quadruple helix are: culture (cultures) and innovation culture (innovation cultures); the knowledge of culture and the culture of knowledge; values and lifestyles; multiculturalism, multiculture, and creativity; media; arts and arts universities; and multi-level innovation systems (local, national, global), with universities of the sciences, but also universities of the arts. The democracy of knowledge, as a concept and metaphor, highlights and underscores parallel processes between political pluralism in advanced democracy, and knowledge and innovation heterogeneity and diversity in advanced economy and society. The “mode 3” knowledge production system (MODE3KPS; expanding and extending the “mode 1” and “mode 2” knowledge production systems) is at the heart of the fractal research, education and innovation ecosystem. MODE3KPS universities or higher education systems are interested in integrating and combining mode 1 and mode 2. The concept of open innovation diplomacy (OID) encompasses the concept and practice of bridging distance and other divides (cultural, socioeconomic, technological, etc.) with focused and properly targeted initiatives to connect ideas and solutions with markets and investors ready to appreciate them and nurture them to their full potential. In this sense, OID qualifies as a new and novel strategy, policy-making, and governance approach in the context of the quadruple and quintuple innovation helices.
TL;DR: In this article, the influence of an open outside-in innovation management strategy on companies' innovativeness and innovation performance was examined empirically using survey data collected from stock-listed companies in Germany, Switzerland and Austria.
Abstract: – The purpose of this paper is to examine the influence of an open outside‐in innovation management strategy on companies' innovativeness and innovation performance. Specifically, it focuses on the adoption of the open innovation paradigm in practice and the extent of collaboration with different stakeholders., – The proposed hypotheses are tested empirically using survey data collected from stock‐listed companies in Germany, Switzerland and Austria. The data include the complete responses from 141 R&D managers for the period from 2004 to 2008., – The openness of the outside‐in process in R&D management is of crucial importance for achieving high direct and indirect innovation output effects. In particular, openness towards customers, suppliers and universities has a significant positive impact on the different innovation performance measures. Regarding openness towards cross‐sector companies, the analysis reveals a significant negative effect on innovation performance., – The utilization of cross‐sectional data and its dependency on the perceptions and experiences of the respondents has its limitations. Thus, future research should be based on a more longitudinal design that emphasizes quantitative measurement techniques., – To date, the adoption of open innovation in practice has not been examined in depth. This study provides empirical insights into the open innovation approaches in German‐speaking countries and, by drawing important conclusions for managers involved in the R&D processes, fills a gap in the innovation management literature.
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TL;DR: In this paper, the authors discuss the impact of social media on customer co-creation in the innovation process and develop conceptual arguments how social media can impact the relationships among customers involved in cocreation as well as the relationship between customers and the hosting firm.
Abstract: The objective of this paper is to discuss the impact of social media on customer co-creation in the innovation process. Customer co-creation denotes an active, creative and social collaboration process between producers and customers (users), facilitated by a company, in the context of new product or service development. We propose a typology of co-creation activities in order to develop conceptual arguments how social media can impact the relationships among customers involved in co-creation as well as the relationship between customers and the hosting firm. Social media can make economic-exchange relations more collaborative and social, but interestingly may also turn relations formerly based on social-exchange into "money markets" with strong competition among actors. As a result, we develop a set of questions that can lead future research in these regards.
TL;DR: In this article, the authors analyze the importance of increasing degrees of openness for NPD performance and find that the use of internal and external relationships is highly correlated and that these interact with each other.
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TL;DR: In this paper, the authors investigate the underlying drivers of openness in innovation, and find that the most important factors that increase the degree of openness are a firm's need for financial funding in innovation and the effectiveness of its IP protection mechanisms.
Abstract: The degree of openness in innovation, ranging from closed to multiple levels of openness, is a key strategic decision for managers. Therefore, this study aims to carefully investigate the underlying drivers of openness. A major result of this study is that the degree of openness underlies separate mechanisms for being closed in innovation and higher degrees of openness. The factors that prevent firms from being open are a lack of market and technological knowledge (knowledge gaps), ineffective intellectual property (IP) protection mechanisms, and competitor threats such as market entries and imitation. The most important factors that increase the degree of openness are a firm’s need for financial funding in innovation and the effectiveness of a firm’s IP protection mechanisms.
TL;DR: In this article, a review of current European trends on smart cities in the context of open innovation is presented, which draws from analyses of key European Union (EU) programmes, four international projects and related activities.
Abstract: This article critically reviews current European trends on smart cities in the context of open innovation. It draws from analyses of key European Union (EU) programmes, four international projects and related activities. These initiatives are framed by the EU's strategic policies on Competitiveness and Innovation, Smart Cities, the Future Internet and Living Labs with the aims to foster smarter, sustainable and inclusive cities. The article probes similarities and differences in the programmes and projects examined and their challenges towards EU strategies, including the i2020 agenda. The analysis shows that a new approach to open innovation is emerging, which links technologies with people, urban territory and other cities and that this approach is likely to be increasingly influential over the next period of time. It is suggested that this approach of using open innovation for sharing visions, knowledge, skills, experience and strategies for designing the delivery of services, goods and policies in cit...
TL;DR: A growing number of companies pay close attention to users as a source of valuable feedback and relevant use experiences as discussed by the authors, and one of the most important recent trends is the progressive inclusion of users in firms' processes where value is co-created.
Abstract: Today’s organizations need a constant flow of novel ideas while competing through emergent technologies. A growing number of companies pay close attention to users as a source of valuable feedback and relevant use experiences. Companies in all industries agree that integrating users in the innovation process – to learn from and with them – is crucial. Moreover, one of the most important recent trends is the progressive inclusion of users in firms’ processes where value is co-created, as described in the November 2009, December 2009, and March 2011 issues of this publication (http://timreview.ca/issue-archive). Co-creation with users helps firms better address their customers’ latent needs. It reduces market risk in the launch of new products and services, and it improves return on investment and time to market. Firms involve users in the coproduction of brands, experiences, design, marketing strategies, and products or services.
TL;DR: In this article, the authors investigate how and how much open innovation is used across Europe and provide comprehensive empirical evidence for the adoption of inbound and outbound open innovation activities in Europe.
Abstract: Purpose – The purpose of this paper is to investigate how and how much open innovation is used across Europe. The goal of this study is therefore to provide comprehensive empirical evidence for the adoption of inbound and outbound open innovation activities in Europe.Design/methodology/approach – Data from 180 European companies were used to test three hypotheses on open innovation adoption and the role of internal R&D. Data were collected in 2009 and the sample comprises companies from different industries and 24 European countries.Findings – It is found that 30.3 per cent of European companies are very open to innovation and 38.7 per cent are semi‐open. The results show that inbound open innovation is more commonly used than outbound open innovation, which can be explained by insufficiencies of the market or the organization. Finally, it is found that the type of innovation strategy (vertically integrated, inbound, outbound, or mixed) is related to the R&D intensity.Originality/value – This paper provid...
TL;DR: In this article, the authors bring together distinguished scholars from different disciplines: economics, organization theory, innovation studies and marketing in order to provide an improved understanding of how technological as well as symbolic value is created and appropriated at the intersection between online communities and firms.
Abstract: The advent of Internet marked a significant change in how users and customers can be involved in the innovative process. History is rife with examples of how users innovate, but Internet and its associated communication technologies brought radically new means for individuals to interact rapidly and at little cost in communities that spur new innovations. These communities are initiated and governed by people that differ in their motivations for taking part and participate to varying degrees. Such communities are outside the immediate control of companies seeking to develop open innovation strategies aimed at harnessing their work. This book brings together distinguished scholars from different disciplines: economics, organization theory, innovation studies and marketing in order to provide an improved understanding of how technological as well as symbolic value is created and appropriated at the intersection between online communities and firms. Empirical examples are presented from different industries, including software, services and manufacturing. The book offers food for thought for academics and managers to an important phenomenon that challenges many conventional wisdoms for how business can be done. This book was published as a special issue of Industry and Innovation.
TL;DR: In a quantitative study, the importance of the experience in encouraging active participation in the innovation tasks is examined and it is found that when participants experience an inspiring, intrinsically motivating, involving and fun co-creation experience, they participate more intensely.
TL;DR: Examining how a network of municipalities in Sweden transforms value creation and service delivery by collaborating with each other and with external parties to accelerate the creation and exploitation of innovation concludes that open innovation practices represent a more radical manifestation of transformational government than previously envisaged.
Abstract: Extant research demonstrates that e-Government initiatives often fall short of achieving innovative forms of government and governance due to a techno-centric focus that limits such initiatives to minor improvements in service delivery. While it is evident that innovation is central to modernising and transforming governmental organisations, and that the co-creation of services by public authorities and community groups is an essential component of realising the benefits of investment in information and communication technology, there is little research focusing on the nature of innovation in transforming governmental organisations and services. Addressing this gap in the literature, this paper explores how open innovation strategies can transform public administration by examining how a network of municipalities in Sweden transforms value creation and service delivery by collaborating with each other and with external parties to accelerate the creation and exploitation of innovation. Using a case study with embedded units of analysis, four emerging typologies of governmental transformation based on open innovation are identified. The paper illustrates how these open innovation typologies (i) transform the organisation of the municipalities and (ii) help them deliver high quality co-created services to citizens. By examining the strategic and operational aspects that facilitate such activities, the analysis reveals the impact of open innovation on the business models of public authorities. The paper concludes that open innovation practices represent a more radical manifestation of transformational government than previously envisaged; signalling not only fundamental change in the nature of value creation and service delivery by public authorities, but potentially in the nature of their organisation.
TL;DR: Results show that user collaboration enhances idea quality and that inducing user collaboration is a viable design element for making idea competitions more effective.
Abstract: Open innovation research shows that idea competitions are a promising approach for integrating customers and that most innovations are a result of intensive collaboration (Franke and Shah, 2003; Gasco-Hernandez and Torres-Coronas, 2004; Nemiro, 2001; Sawhney et al., 2005). Thus, fostering collaboration among idea contributors might be a fruitful approach for unleashing the customers' entire creative potential and making idea competitions even more successful. This paper reports on a field study in which idea contributors could collaborate in an IT-based idea competition using the wiki technology. We tested whether user collaboration positively influences the quality of the submissions applying an in-depth analysis of idea quality. Our results show that user collaboration enhances idea quality and that inducing user collaboration is a viable design element for making idea competitions more effective. This contributes to a more successful design, implementation and operation of idea competitions, as well as to better outcomes. The article concludes with a discussion of customer groups collaborating in idea competitions (extrinsically and intrinsically motivated customers).
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TL;DR: In this paper, the characteristics of 238 patents on 94 "inventions" contributed by major multinational innovators to the "Eco-Patent Commons" were explored, which provides royalty-free access to third parties to patented climate change related innovations.
Abstract: This paper explores the characteristics of 238 patents on 94 “inventions” contributed by major multinational innovators to the “Eco-Patent Commons”, which provides royalty-free access to third parties to patented climate change related innovations. By comparing the pledged patents to other patents in the same technologies or held by the same multinationals, we investigate the motives of the contributing firms as well as the potential for such commons to encourage innovation and diffusion of climate change related technologies. This study, therefore, indirectly provides evidence on the role of patents in the development and diffusion of green technologies. More generally, the paper sheds light on the performance of hybrid forms of knowledge management that combine open innovation and patenting.