SlideShare una empresa de Scribd logo
1 de 4
1
Research Proposal
Open Innovation management strategy& implementation
in SMEs.
Companies consider innovation as a major engine to enhance their
performance and to strengthen their competitive position in the market. Many
firms have paid most of their management attention to a greater focus on
internal efficiencies of the development process, team structures, decision
making and cross functional interaction. However, as more and more
companies bring innovation straight to the heart of their corporate strategies,
developing internal innovation capabilities is no longer sufficient to gain and
sustain competitive advantage.
Since innovation strategies look increasingly similar and commoditized, more
and more organizations try to further improve their innovation performance
through intensifying collaboration across industry networks and
partnerships, opening up their innovation processes in line with the open
innovation framework.
Chesbrough defines open innovation as: “the use of purposive inflows and
outflows of knowledge to accelerate internal innovation, and expand the markets for
external use of innovation, respectively. Open Innovation is a paradigm that assumes
that firms can and should use external ideas as well as internal ideas, and internal
and external paths to market, as the firms look to advance their technology”
(Chesbrough, 2003).
Open innovation is characterized by the involvement of all company
functions, at different stages of the innovation process, not just R&D. Ideas
are investigated at the research stage and the best and most promising of
these make it to development and commercialization phases. Less promising
ideas are dropped.
Open innovation as a management model is currently gaining grounds in
many industries. For instance, open innovation modes have been identified as
one of the main trends in pharmaceutical innovation today. Since it is too
costly to have all competences in-house, pharmaceutical companies have
started to concentrate on core competencies evolving around technology
platforms and therapy areas, in the same time as collaborations with the right
partners is increasingly important. Balancing the right size and structure of
2
R&D is one of main objectives in R&D management today to analyze the
impact of open innovation on several parts of the organization. For example
Procter & Gamble is a company that has been a pioneer in this field of
innovation. They are global manufacturers and marketers of consumer
products with complex operational networks. P&G have been able to
maintain their position in the market by adopting various innovation
techniques and strategies.
The ideas of open innovation originated from experiences from open source
software (OSS) development where new principles for development projects
were identified and initially a lot of literature was based on technology
transfer and spin out/spin in, but the scope has rapidly broadened.
Today, open innovation is becoming a paradigm that connects research from
various parts of management sciences. The term is still being debated and
many authors agree that open innovation has a much broader application
than first proposed by Chesbrough. The research field is expanding in many
directions and the ongoing debates cover a multitude of areas connected
through the overall aim of understanding how firms can become more
innovative.
Open innovation has received increasingly attention in scientific research, but
so far it has mainly been analyzed in large, high-tech multinational
enterprises (MNEs) drawing on in-depth interviews and case studies. A few
studies have demonstrated that open innovation also exists in early stage of
implementation in smaller organizations.
Prior studies have not yet systematically analyzed the notion of open
innovation in SMEs. Hence, it still remains to a large extend an unanswered
question how small firms adopt to open innovation. In spite of increasing
interest in open innovation management strategy, discussion about the
concept and its potential application to the SME sector has been excluded
from mainstream literature. SMEs are the largest number of companies in an
economy, but they are under researched in the open innovation literature.
Open innovation research recognizes that small firm’s plays a prominent role
in the contemporary innovation landscape because are by nature more open.
In addition Open innovation strategies are discussed in the context of large
R&D intensive firms However, good practices from large organizations
cannot be transferred to SMEs directly.
Finally there is limited conceptualization of open innovation strategies. In
existing research openness is regularly treated as a binary variable. Despite a
3
large body of literature on innovation, there is little said on how the process
of innovation actually takes place. When attempts have been made, they have
often ended in descriptions and analyses on how you prepare for, and what
the contingency factors are.
Although the era of open innovation has begun for many firms, we still lack a
clear understanding of the mechanisms, inside and outside of the
organization, when and how to fully profit from the concept.
It might be helpful to address some of the research questions – knowledge
gaps in an interesting field – to develop such a theory: firstly, we know that
intellectual property will play a core role in open innovation, but the
determinants of successful tradable patents still need to be identified.
Patent valuation remains quite problematic, as most patent transactions are
not reported publicly, and patents are highly idiosyncratic by their very
construction. Secondary markets require better information on valuation if
they are to advance materially in the medium term. A longitudinal analysis of
an auctioning firm’s patents or of a patent fund might be very helpful.
Secondly, the next logical open innovation step is trading intellectual
property and, especially, patents, which holds huge potentials for both patent
owners as well as traders. But the crucial question for policy makers remains
whether this is good for the economy. It seems clear that some minimal
protection is essential to stimulate risk-taking, and it seems equally clear that
extremely strong patents strangle any follow-on inventions that build on
them. Balancing risk-taking and promoting cumulative innovation are
challenging social questions.
Thirdly, SMEs are the largest number of companies in an economy, but they
are under researched in the open innovation literature. There are large sample
studies that show that open innovation policies benefit (Laursen and Salter,
2006), but these same studies also show that larger size benefits.
A crucial question for SMEs is how they can manage open innovation despite
the liability due to their smallness. This is especially relevant when a firm is
dependent on a few strong customers, such as the automotive sector.
Fourthly, the existing work does not focus sufficiently on open innovation’s
spatial aspect. Opening up the innovation process creates a challenging
situation of managing dispersed virtual R&D teams. These teams are more
difficult to energize, coordinate and enable in their knowledge creation. The
operational functioning of open innovation depends on firms’ ability to
4
manage decentralized innovation processes and often includes participants
who are not even on the company’s payroll. At the same time, large firms
internationalize their own R&D with two dominant motives: to be closer to
their markets and lead users and to access the best talents worldwide by
increasing their absorptive capacity.
A great deal of management research has to be carried out to merge these two
young research fields. Last, but not the least, there is as yet no holistic model
of open innovation that includes the innovation process’s determinants and
industry specifics, as well as the limits to opening it up.
The field of open innovation is still at an early stage; it offers a wide field in
which academics, practitioners and policy makers can be active.
This proposal will be focused on the development of open innovation
management strategy support tools for Small and Medium Enterprises
(SMEs) in order to:
• Design and develop sustainable products and processes
• Service customers better through more sustainable business models
Today, open innovation has changed its status from the research interest of a
few to a mainstream research area. Initiated by scholars in the field
technology and innovation management, it is currently often also cited in
strategy, general management and organization behavior journals. The
question is: How far will open innovation go and how long will it last? A real
paradigm shift is irreversible and differs from fashion and science hypes in
terms of its long-term impact.

Más contenido relacionado

La actualidad más candente

Framework for Organization Corporate Innovation
Framework for Organization Corporate InnovationFramework for Organization Corporate Innovation
Framework for Organization Corporate InnovationUsama Malik
 
Grow Your Company in 60 Minutes
Grow Your Company in 60 MinutesGrow Your Company in 60 Minutes
Grow Your Company in 60 MinutesAmanda Boddington
 
Why and how do firms link with scientific research
Why and how do firms link with scientific researchWhy and how do firms link with scientific research
Why and how do firms link with scientific researchHoracio Gonzalez Zlatar
 
Ey beyondborders: unlocking value
Ey beyondborders: unlocking valueEy beyondborders: unlocking value
Ey beyondborders: unlocking valueFrédéric Barillet
 
R&D Research & Development Strategy & Management
R&D Research & Development Strategy & ManagementR&D Research & Development Strategy & Management
R&D Research & Development Strategy & ManagementChief Innovation
 
Strengthening Purdue's Innovation Ecosystem
Strengthening Purdue's Innovation EcosystemStrengthening Purdue's Innovation Ecosystem
Strengthening Purdue's Innovation EcosystemEd Morrison
 
Research questions revolving around oi in ict industry.
Research questions revolving around oi in ict industry. Research questions revolving around oi in ict industry.
Research questions revolving around oi in ict industry. psaradis
 
New Approach to Pharma R&D / PPM
New Approach to Pharma R&D / PPMNew Approach to Pharma R&D / PPM
New Approach to Pharma R&D / PPMKelvin Stott
 
Innovation Leadership2
Innovation Leadership2Innovation Leadership2
Innovation Leadership2reneznet105
 
R&D To Commercialisation - LSX C-Suite Challenges in Life Sciences Survey 201...
R&D To Commercialisation - LSX C-Suite Challenges in Life Sciences Survey 201...R&D To Commercialisation - LSX C-Suite Challenges in Life Sciences Survey 201...
R&D To Commercialisation - LSX C-Suite Challenges in Life Sciences Survey 201...Covance
 
Research & Development (R&D) in Real Estate
Research & Development (R&D) in Real EstateResearch & Development (R&D) in Real Estate
Research & Development (R&D) in Real EstateMuneer Azzam
 
A Year In - Economic Reopening Opportunities and Cautions for Scale-up Tech F...
A Year In - Economic Reopening Opportunities and Cautions for Scale-up Tech F...A Year In - Economic Reopening Opportunities and Cautions for Scale-up Tech F...
A Year In - Economic Reopening Opportunities and Cautions for Scale-up Tech F...Dave Litwiller
 

La actualidad más candente (20)

Framework for Organization Corporate Innovation
Framework for Organization Corporate InnovationFramework for Organization Corporate Innovation
Framework for Organization Corporate Innovation
 
Grow Your Company in 60 Minutes
Grow Your Company in 60 MinutesGrow Your Company in 60 Minutes
Grow Your Company in 60 Minutes
 
Creating an Innovation Strategy
Creating an Innovation Strategy Creating an Innovation Strategy
Creating an Innovation Strategy
 
Why and how do firms link with scientific research
Why and how do firms link with scientific researchWhy and how do firms link with scientific research
Why and how do firms link with scientific research
 
Ey beyondborders: unlocking value
Ey beyondborders: unlocking valueEy beyondborders: unlocking value
Ey beyondborders: unlocking value
 
R&D Research & Development Strategy & Management
R&D Research & Development Strategy & ManagementR&D Research & Development Strategy & Management
R&D Research & Development Strategy & Management
 
Practises in R and D
Practises in R and DPractises in R and D
Practises in R and D
 
Strengthening Purdue's Innovation Ecosystem
Strengthening Purdue's Innovation EcosystemStrengthening Purdue's Innovation Ecosystem
Strengthening Purdue's Innovation Ecosystem
 
Research questions revolving around oi in ict industry.
Research questions revolving around oi in ict industry. Research questions revolving around oi in ict industry.
Research questions revolving around oi in ict industry.
 
New Approach to Pharma R&D / PPM
New Approach to Pharma R&D / PPMNew Approach to Pharma R&D / PPM
New Approach to Pharma R&D / PPM
 
Innovation Leadership2
Innovation Leadership2Innovation Leadership2
Innovation Leadership2
 
The Next Innovation Opportunity in China
The Next Innovation Opportunity in ChinaThe Next Innovation Opportunity in China
The Next Innovation Opportunity in China
 
Ijis 5 4 el rayyes
Ijis 5 4 el rayyesIjis 5 4 el rayyes
Ijis 5 4 el rayyes
 
127.pdf
127.pdf127.pdf
127.pdf
 
R&D To Commercialisation - LSX C-Suite Challenges in Life Sciences Survey 201...
R&D To Commercialisation - LSX C-Suite Challenges in Life Sciences Survey 201...R&D To Commercialisation - LSX C-Suite Challenges in Life Sciences Survey 201...
R&D To Commercialisation - LSX C-Suite Challenges in Life Sciences Survey 201...
 
Research & Development (R&D) in Real Estate
Research & Development (R&D) in Real EstateResearch & Development (R&D) in Real Estate
Research & Development (R&D) in Real Estate
 
SSRN-id1874666.pdf
SSRN-id1874666.pdfSSRN-id1874666.pdf
SSRN-id1874666.pdf
 
A Year In - Economic Reopening Opportunities and Cautions for Scale-up Tech F...
A Year In - Economic Reopening Opportunities and Cautions for Scale-up Tech F...A Year In - Economic Reopening Opportunities and Cautions for Scale-up Tech F...
A Year In - Economic Reopening Opportunities and Cautions for Scale-up Tech F...
 
IPR and Wind
IPR and WindIPR and Wind
IPR and Wind
 
TheKharkovians
TheKharkoviansTheKharkovians
TheKharkovians
 

Similar a Oi in sme's remarks

How any organisation can drive culture and design systems to pursue practical...
How any organisation can drive culture and design systems to pursue practical...How any organisation can drive culture and design systems to pursue practical...
How any organisation can drive culture and design systems to pursue practical...Toby Farren
 
skip to main contentmenuMy HomeTIM-7001 V3 Changing Times Ma.docx
skip to main contentmenuMy HomeTIM-7001 V3 Changing Times Ma.docxskip to main contentmenuMy HomeTIM-7001 V3 Changing Times Ma.docx
skip to main contentmenuMy HomeTIM-7001 V3 Changing Times Ma.docxjennifer822
 
Sse open innovation and strategy group2b_2011
Sse open innovation and strategy group2b_2011Sse open innovation and strategy group2b_2011
Sse open innovation and strategy group2b_2011Lulu Lei
 
Article # 3 /7 The Design Management Series Management Challenges
Article # 3 /7 The Design Management Series  Management Challenges Article # 3 /7 The Design Management Series  Management Challenges
Article # 3 /7 The Design Management Series Management Challenges Brigitte Borja de Mozota
 
The Design Management series 3/7 Challenges of Management
The Design Management series 3/7  Challenges of Management The Design Management series 3/7  Challenges of Management
The Design Management series 3/7 Challenges of Management Brigitte Borja de Mozota
 
Leading_Innovation_Change
Leading_Innovation_ChangeLeading_Innovation_Change
Leading_Innovation_ChangePraveen Gupta
 
Managing innovation within firms-Chapter 4 (Paul Trott).pptx
Managing innovation within firms-Chapter 4 (Paul Trott).pptxManaging innovation within firms-Chapter 4 (Paul Trott).pptx
Managing innovation within firms-Chapter 4 (Paul Trott).pptxAartiPandey63
 
02 trend-report-summary
02 trend-report-summary02 trend-report-summary
02 trend-report-summaryUNU-MERIT
 
Aula 3. artigo durand (2000). forms of-incompetence
Aula 3. artigo durand (2000). forms of-incompetenceAula 3. artigo durand (2000). forms of-incompetence
Aula 3. artigo durand (2000). forms of-incompetenceKarlla Costa
 
Open Innovation: The R&D model for the 21st century
Open Innovation: The R&D model for the 21st century Open Innovation: The R&D model for the 21st century
Open Innovation: The R&D model for the 21st century Ericsson Latin America
 
CONCEPTS OF INNOVATION MANAGEMENT2 Conce.docx
CONCEPTS OF INNOVATION MANAGEMENT2    Conce.docxCONCEPTS OF INNOVATION MANAGEMENT2    Conce.docx
CONCEPTS OF INNOVATION MANAGEMENT2 Conce.docxpatricke8
 
Scaling together
Scaling together Scaling together
Scaling together FabMob
 

Similar a Oi in sme's remarks (20)

Innovation At 3M
Innovation At 3MInnovation At 3M
Innovation At 3M
 
How any organisation can drive culture and design systems to pursue practical...
How any organisation can drive culture and design systems to pursue practical...How any organisation can drive culture and design systems to pursue practical...
How any organisation can drive culture and design systems to pursue practical...
 
Electrolux Open Innovation
Electrolux Open Innovation Electrolux Open Innovation
Electrolux Open Innovation
 
Open innovation: Past, Present and Future Aspects
Open innovation: Past, Present and Future Aspects Open innovation: Past, Present and Future Aspects
Open innovation: Past, Present and Future Aspects
 
skip to main contentmenuMy HomeTIM-7001 V3 Changing Times Ma.docx
skip to main contentmenuMy HomeTIM-7001 V3 Changing Times Ma.docxskip to main contentmenuMy HomeTIM-7001 V3 Changing Times Ma.docx
skip to main contentmenuMy HomeTIM-7001 V3 Changing Times Ma.docx
 
Sse open innovation and strategy group2b_2011
Sse open innovation and strategy group2b_2011Sse open innovation and strategy group2b_2011
Sse open innovation and strategy group2b_2011
 
Open innovation wp fv
Open innovation wp fvOpen innovation wp fv
Open innovation wp fv
 
Article # 3 /7 The Design Management Series Management Challenges
Article # 3 /7 The Design Management Series  Management Challenges Article # 3 /7 The Design Management Series  Management Challenges
Article # 3 /7 The Design Management Series Management Challenges
 
The Design Management series 3/7 Challenges of Management
The Design Management series 3/7  Challenges of Management The Design Management series 3/7  Challenges of Management
The Design Management series 3/7 Challenges of Management
 
Entrepreneurship
EntrepreneurshipEntrepreneurship
Entrepreneurship
 
Leading_Innovation_Change
Leading_Innovation_ChangeLeading_Innovation_Change
Leading_Innovation_Change
 
Managing innovation within firms-Chapter 4 (Paul Trott).pptx
Managing innovation within firms-Chapter 4 (Paul Trott).pptxManaging innovation within firms-Chapter 4 (Paul Trott).pptx
Managing innovation within firms-Chapter 4 (Paul Trott).pptx
 
AlessandroAmarri
AlessandroAmarriAlessandroAmarri
AlessandroAmarri
 
02 trend-report-summary
02 trend-report-summary02 trend-report-summary
02 trend-report-summary
 
Aula 3. artigo durand (2000). forms of-incompetence
Aula 3. artigo durand (2000). forms of-incompetenceAula 3. artigo durand (2000). forms of-incompetence
Aula 3. artigo durand (2000). forms of-incompetence
 
Open Innovation: The R&D model for the 21st century
Open Innovation: The R&D model for the 21st century Open Innovation: The R&D model for the 21st century
Open Innovation: The R&D model for the 21st century
 
Ent. Innovation
Ent. InnovationEnt. Innovation
Ent. Innovation
 
CONCEPTS OF INNOVATION MANAGEMENT2 Conce.docx
CONCEPTS OF INNOVATION MANAGEMENT2    Conce.docxCONCEPTS OF INNOVATION MANAGEMENT2    Conce.docx
CONCEPTS OF INNOVATION MANAGEMENT2 Conce.docx
 
scaling_together_
scaling_together_scaling_together_
scaling_together_
 
Scaling together
Scaling together Scaling together
Scaling together
 

Último

ANIn Coimbatore March 2024 | Agile & AI in Project Management by Dhilipkumar ...
ANIn Coimbatore March 2024 | Agile & AI in Project Management by Dhilipkumar ...ANIn Coimbatore March 2024 | Agile & AI in Project Management by Dhilipkumar ...
ANIn Coimbatore March 2024 | Agile & AI in Project Management by Dhilipkumar ...AgileNetwork
 
HR for Non HR_Learning and Development.
HR for Non HR_Learning  and Development.HR for Non HR_Learning  and Development.
HR for Non HR_Learning and Development.azischin
 
Empowering Resilience & Strategic Growth: Insights for Emerging Leaders
Empowering Resilience & Strategic Growth: Insights for Emerging LeadersEmpowering Resilience & Strategic Growth: Insights for Emerging Leaders
Empowering Resilience & Strategic Growth: Insights for Emerging LeadersMahmoud Rabie
 
Forget Fiverr : Fractional Employment the ins and outs
Forget Fiverr : Fractional Employment the ins and outsForget Fiverr : Fractional Employment the ins and outs
Forget Fiverr : Fractional Employment the ins and outsStephan Koning
 
An Important Step Toward Process Improvement
An Important Step Toward Process ImprovementAn Important Step Toward Process Improvement
An Important Step Toward Process ImprovementCIToolkit
 
Analyzing and Monitoring Processes through Time Value Mapping
Analyzing and Monitoring Processes through Time Value MappingAnalyzing and Monitoring Processes through Time Value Mapping
Analyzing and Monitoring Processes through Time Value MappingCIToolkit
 
Improving Operations through Observation and Gemba Walks
Improving Operations through Observation and Gemba WalksImproving Operations through Observation and Gemba Walks
Improving Operations through Observation and Gemba WalksCIToolkit
 
A3 Thinking: A Structured Approach to Problem Solving
A3 Thinking: A Structured Approach to Problem SolvingA3 Thinking: A Structured Approach to Problem Solving
A3 Thinking: A Structured Approach to Problem SolvingCIToolkit
 
Organizations in a Future with Generative AI
Organizations in a Future with Generative AIOrganizations in a Future with Generative AI
Organizations in a Future with Generative AIKye Andersson
 
How the Heck do you Teach Level Design? Educating in the Studio
How the Heck do you Teach Level Design? Educating in the StudioHow the Heck do you Teach Level Design? Educating in the Studio
How the Heck do you Teach Level Design? Educating in the StudioChristopher Totten
 
Performance Management Notes for MBA Students
Performance Management Notes for MBA StudentsPerformance Management Notes for MBA Students
Performance Management Notes for MBA StudentsManickam Gajapathy
 
Value Stream Map: A Visual Approach to Process Optimization
Value Stream Map: A Visual Approach to Process OptimizationValue Stream Map: A Visual Approach to Process Optimization
Value Stream Map: A Visual Approach to Process OptimizationCIToolkit
 
Tackling Fake Agility w/ Johanna Rothman
Tackling Fake Agility w/ Johanna RothmanTackling Fake Agility w/ Johanna Rothman
Tackling Fake Agility w/ Johanna RothmanStefan Wolpers
 
From Command Line to Reporting Line: The Diary of a First-Time EM
From Command Line to Reporting Line: The Diary of a First-Time EMFrom Command Line to Reporting Line: The Diary of a First-Time EM
From Command Line to Reporting Line: The Diary of a First-Time EMGloria Chow
 
Roadway to GDSC- Session 1 Powerpoint Presentation
Roadway to GDSC- Session 1 Powerpoint PresentationRoadway to GDSC- Session 1 Powerpoint Presentation
Roadway to GDSC- Session 1 Powerpoint Presentationgdscghrcem
 
The Role of Fishbone Diagram in Analyzing Cause and Effect
The Role of Fishbone Diagram in Analyzing Cause and EffectThe Role of Fishbone Diagram in Analyzing Cause and Effect
The Role of Fishbone Diagram in Analyzing Cause and EffectCIToolkit
 
Test_document_upload_SQL_minimum_fourteen
Test_document_upload_SQL_minimum_fourteenTest_document_upload_SQL_minimum_fourteen
Test_document_upload_SQL_minimum_fourteenolgaz9
 
Making Sense of Multiple Ideas with Affinity Diagrams
Making Sense of Multiple Ideas with Affinity DiagramsMaking Sense of Multiple Ideas with Affinity Diagrams
Making Sense of Multiple Ideas with Affinity DiagramsCIToolkit
 
Applying the PDCA Cycle: A Blueprint for Continuous Improvement
Applying the PDCA Cycle: A Blueprint for Continuous ImprovementApplying the PDCA Cycle: A Blueprint for Continuous Improvement
Applying the PDCA Cycle: A Blueprint for Continuous ImprovementCIToolkit
 

Último (20)

ANIn Coimbatore March 2024 | Agile & AI in Project Management by Dhilipkumar ...
ANIn Coimbatore March 2024 | Agile & AI in Project Management by Dhilipkumar ...ANIn Coimbatore March 2024 | Agile & AI in Project Management by Dhilipkumar ...
ANIn Coimbatore March 2024 | Agile & AI in Project Management by Dhilipkumar ...
 
HR for Non HR_Learning and Development.
HR for Non HR_Learning  and Development.HR for Non HR_Learning  and Development.
HR for Non HR_Learning and Development.
 
Empowering Resilience & Strategic Growth: Insights for Emerging Leaders
Empowering Resilience & Strategic Growth: Insights for Emerging LeadersEmpowering Resilience & Strategic Growth: Insights for Emerging Leaders
Empowering Resilience & Strategic Growth: Insights for Emerging Leaders
 
Forget Fiverr : Fractional Employment the ins and outs
Forget Fiverr : Fractional Employment the ins and outsForget Fiverr : Fractional Employment the ins and outs
Forget Fiverr : Fractional Employment the ins and outs
 
An Important Step Toward Process Improvement
An Important Step Toward Process ImprovementAn Important Step Toward Process Improvement
An Important Step Toward Process Improvement
 
Analyzing and Monitoring Processes through Time Value Mapping
Analyzing and Monitoring Processes through Time Value MappingAnalyzing and Monitoring Processes through Time Value Mapping
Analyzing and Monitoring Processes through Time Value Mapping
 
Improving Operations through Observation and Gemba Walks
Improving Operations through Observation and Gemba WalksImproving Operations through Observation and Gemba Walks
Improving Operations through Observation and Gemba Walks
 
A3 Thinking: A Structured Approach to Problem Solving
A3 Thinking: A Structured Approach to Problem SolvingA3 Thinking: A Structured Approach to Problem Solving
A3 Thinking: A Structured Approach to Problem Solving
 
Capacity2 - Briefing and Facilitation training slides
Capacity2 - Briefing and Facilitation training slidesCapacity2 - Briefing and Facilitation training slides
Capacity2 - Briefing and Facilitation training slides
 
Organizations in a Future with Generative AI
Organizations in a Future with Generative AIOrganizations in a Future with Generative AI
Organizations in a Future with Generative AI
 
How the Heck do you Teach Level Design? Educating in the Studio
How the Heck do you Teach Level Design? Educating in the StudioHow the Heck do you Teach Level Design? Educating in the Studio
How the Heck do you Teach Level Design? Educating in the Studio
 
Performance Management Notes for MBA Students
Performance Management Notes for MBA StudentsPerformance Management Notes for MBA Students
Performance Management Notes for MBA Students
 
Value Stream Map: A Visual Approach to Process Optimization
Value Stream Map: A Visual Approach to Process OptimizationValue Stream Map: A Visual Approach to Process Optimization
Value Stream Map: A Visual Approach to Process Optimization
 
Tackling Fake Agility w/ Johanna Rothman
Tackling Fake Agility w/ Johanna RothmanTackling Fake Agility w/ Johanna Rothman
Tackling Fake Agility w/ Johanna Rothman
 
From Command Line to Reporting Line: The Diary of a First-Time EM
From Command Line to Reporting Line: The Diary of a First-Time EMFrom Command Line to Reporting Line: The Diary of a First-Time EM
From Command Line to Reporting Line: The Diary of a First-Time EM
 
Roadway to GDSC- Session 1 Powerpoint Presentation
Roadway to GDSC- Session 1 Powerpoint PresentationRoadway to GDSC- Session 1 Powerpoint Presentation
Roadway to GDSC- Session 1 Powerpoint Presentation
 
The Role of Fishbone Diagram in Analyzing Cause and Effect
The Role of Fishbone Diagram in Analyzing Cause and EffectThe Role of Fishbone Diagram in Analyzing Cause and Effect
The Role of Fishbone Diagram in Analyzing Cause and Effect
 
Test_document_upload_SQL_minimum_fourteen
Test_document_upload_SQL_minimum_fourteenTest_document_upload_SQL_minimum_fourteen
Test_document_upload_SQL_minimum_fourteen
 
Making Sense of Multiple Ideas with Affinity Diagrams
Making Sense of Multiple Ideas with Affinity DiagramsMaking Sense of Multiple Ideas with Affinity Diagrams
Making Sense of Multiple Ideas with Affinity Diagrams
 
Applying the PDCA Cycle: A Blueprint for Continuous Improvement
Applying the PDCA Cycle: A Blueprint for Continuous ImprovementApplying the PDCA Cycle: A Blueprint for Continuous Improvement
Applying the PDCA Cycle: A Blueprint for Continuous Improvement
 

Oi in sme's remarks

  • 1. 1 Research Proposal Open Innovation management strategy& implementation in SMEs. Companies consider innovation as a major engine to enhance their performance and to strengthen their competitive position in the market. Many firms have paid most of their management attention to a greater focus on internal efficiencies of the development process, team structures, decision making and cross functional interaction. However, as more and more companies bring innovation straight to the heart of their corporate strategies, developing internal innovation capabilities is no longer sufficient to gain and sustain competitive advantage. Since innovation strategies look increasingly similar and commoditized, more and more organizations try to further improve their innovation performance through intensifying collaboration across industry networks and partnerships, opening up their innovation processes in line with the open innovation framework. Chesbrough defines open innovation as: “the use of purposive inflows and outflows of knowledge to accelerate internal innovation, and expand the markets for external use of innovation, respectively. Open Innovation is a paradigm that assumes that firms can and should use external ideas as well as internal ideas, and internal and external paths to market, as the firms look to advance their technology” (Chesbrough, 2003). Open innovation is characterized by the involvement of all company functions, at different stages of the innovation process, not just R&D. Ideas are investigated at the research stage and the best and most promising of these make it to development and commercialization phases. Less promising ideas are dropped. Open innovation as a management model is currently gaining grounds in many industries. For instance, open innovation modes have been identified as one of the main trends in pharmaceutical innovation today. Since it is too costly to have all competences in-house, pharmaceutical companies have started to concentrate on core competencies evolving around technology platforms and therapy areas, in the same time as collaborations with the right partners is increasingly important. Balancing the right size and structure of
  • 2. 2 R&D is one of main objectives in R&D management today to analyze the impact of open innovation on several parts of the organization. For example Procter & Gamble is a company that has been a pioneer in this field of innovation. They are global manufacturers and marketers of consumer products with complex operational networks. P&G have been able to maintain their position in the market by adopting various innovation techniques and strategies. The ideas of open innovation originated from experiences from open source software (OSS) development where new principles for development projects were identified and initially a lot of literature was based on technology transfer and spin out/spin in, but the scope has rapidly broadened. Today, open innovation is becoming a paradigm that connects research from various parts of management sciences. The term is still being debated and many authors agree that open innovation has a much broader application than first proposed by Chesbrough. The research field is expanding in many directions and the ongoing debates cover a multitude of areas connected through the overall aim of understanding how firms can become more innovative. Open innovation has received increasingly attention in scientific research, but so far it has mainly been analyzed in large, high-tech multinational enterprises (MNEs) drawing on in-depth interviews and case studies. A few studies have demonstrated that open innovation also exists in early stage of implementation in smaller organizations. Prior studies have not yet systematically analyzed the notion of open innovation in SMEs. Hence, it still remains to a large extend an unanswered question how small firms adopt to open innovation. In spite of increasing interest in open innovation management strategy, discussion about the concept and its potential application to the SME sector has been excluded from mainstream literature. SMEs are the largest number of companies in an economy, but they are under researched in the open innovation literature. Open innovation research recognizes that small firm’s plays a prominent role in the contemporary innovation landscape because are by nature more open. In addition Open innovation strategies are discussed in the context of large R&D intensive firms However, good practices from large organizations cannot be transferred to SMEs directly. Finally there is limited conceptualization of open innovation strategies. In existing research openness is regularly treated as a binary variable. Despite a
  • 3. 3 large body of literature on innovation, there is little said on how the process of innovation actually takes place. When attempts have been made, they have often ended in descriptions and analyses on how you prepare for, and what the contingency factors are. Although the era of open innovation has begun for many firms, we still lack a clear understanding of the mechanisms, inside and outside of the organization, when and how to fully profit from the concept. It might be helpful to address some of the research questions – knowledge gaps in an interesting field – to develop such a theory: firstly, we know that intellectual property will play a core role in open innovation, but the determinants of successful tradable patents still need to be identified. Patent valuation remains quite problematic, as most patent transactions are not reported publicly, and patents are highly idiosyncratic by their very construction. Secondary markets require better information on valuation if they are to advance materially in the medium term. A longitudinal analysis of an auctioning firm’s patents or of a patent fund might be very helpful. Secondly, the next logical open innovation step is trading intellectual property and, especially, patents, which holds huge potentials for both patent owners as well as traders. But the crucial question for policy makers remains whether this is good for the economy. It seems clear that some minimal protection is essential to stimulate risk-taking, and it seems equally clear that extremely strong patents strangle any follow-on inventions that build on them. Balancing risk-taking and promoting cumulative innovation are challenging social questions. Thirdly, SMEs are the largest number of companies in an economy, but they are under researched in the open innovation literature. There are large sample studies that show that open innovation policies benefit (Laursen and Salter, 2006), but these same studies also show that larger size benefits. A crucial question for SMEs is how they can manage open innovation despite the liability due to their smallness. This is especially relevant when a firm is dependent on a few strong customers, such as the automotive sector. Fourthly, the existing work does not focus sufficiently on open innovation’s spatial aspect. Opening up the innovation process creates a challenging situation of managing dispersed virtual R&D teams. These teams are more difficult to energize, coordinate and enable in their knowledge creation. The operational functioning of open innovation depends on firms’ ability to
  • 4. 4 manage decentralized innovation processes and often includes participants who are not even on the company’s payroll. At the same time, large firms internationalize their own R&D with two dominant motives: to be closer to their markets and lead users and to access the best talents worldwide by increasing their absorptive capacity. A great deal of management research has to be carried out to merge these two young research fields. Last, but not the least, there is as yet no holistic model of open innovation that includes the innovation process’s determinants and industry specifics, as well as the limits to opening it up. The field of open innovation is still at an early stage; it offers a wide field in which academics, practitioners and policy makers can be active. This proposal will be focused on the development of open innovation management strategy support tools for Small and Medium Enterprises (SMEs) in order to: • Design and develop sustainable products and processes • Service customers better through more sustainable business models Today, open innovation has changed its status from the research interest of a few to a mainstream research area. Initiated by scholars in the field technology and innovation management, it is currently often also cited in strategy, general management and organization behavior journals. The question is: How far will open innovation go and how long will it last? A real paradigm shift is irreversible and differs from fashion and science hypes in terms of its long-term impact.