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Examples of
Innovation
Building Blocks
in IBM Pietro Leo
IBM Italy CTO for Artificial Intelligence
Member of IBM Academy of Technology Leadership
@pieroleo
Source: Sam Palmisano, Former IBM
Chairman of the Board of Directors
new value
Do not look out only for
the new things – think
about another approach
to solve an existing
problem!
Do not limit
yourself – try
to think
about the
impossible!
“Innovation
occurs at the
intersection of
invention and
insight”
Innovation
=
Invention
+
Execution
Partnerships and	Alliances
R&D	Collaboration
Internal Innovation
View
Building	IP	&	Licensing
Acquisitions
Incubators,	Accelerators
&	Startups
Innovation	Building	blocks	in	IBM
Partnerships and	Alliances
R&D	Collaboration
Internal Innovation
View
Building	IP	&	Licensing
Acquisitions
Incubators,	Accelerators
&	Startups
Innovation	Building	blocks	in	IBM
Regardless	of	the	source	or	type	of	innovation,	you	need	rigorous	
innovation	management	to	really	be	successful
Innovation	Management	Framework
Review and
discussion
Idea generation: Inn ovation
programs, event, ideas,
sources
High level
description
Common sense
check at idea capture
Decision on
shortlist for
proposals
Approved transition to
project deployment
Ideas
Initial
pipeline
review
Detailed
project
proposals
Scope of Innovation Management Processes & Governance Portfolio Mgmt
Project life cycle
management
Final validation
Approval; sponsor
& funding
identified
Incubation / Refinement
Valid	idea
Not	worth	pursuing
Idea	with	potential
Filter
IBM	Italy /	©	2018	IBM	Corporation 5
Internal Innovation View
We support multiple innovation
programs internally in IBM.
Innovation and Open Innovation
are quite wide topics that see
initiative at global as well as
local level.
Internal	Innovation	View
IBM	Italy /	©	2018	IBM	Corporation 6
Internal Innovation View
We support multiple innovation
programs internally in IBM.
Innovation and Open Innovation
are quite wide topics that see
initiative at global as well as
local level.
Communities
Global Technology Outlook
Connections
InnovationJamsIBM 5 in 5help change our lives
within five years
(Partial View)
Global	Technology	Outlook	(GTO)	
Identifies	significant	technology	trends	and	identifies	high-impact	disruptive	technologies	
leading	to	game-changing	products	and	services
Reviews
Socializations
February	- April May June-October November
Idea	Solicitation Topic	Formation Topic		Evolvement GTO	Socialization
• Strategy	priority
• Economic	trends
• Industrial	trends
• Client	needs
• Common	trends	
identification
• Idea	grouping
• Umbrella	story	
articulation
• Monthly	review	
with	executives
• Business	impact
• Technology	
differentiation
• CEO	and	Senior	
Vice	President	
Briefing
• Briefings
• Execution	plan
Hundreds of initial ideas Dozens of topics 5-7 final topics Final readout
Cadence to Insight:
Developing
core AI
Reimagining
computing
Transforming
industries
through science
and AI
Defining and
optimizing
blockchain
2017 Research Priorities
7
IBM 5 in 5
Hyper VisionHyper listening
and reading
Macroscope
2017 2018
The	2016	IBM	“Cognitive	Build”	sparked	innovation	by	
involving	the	employees:	>250K	IBMers submitted,	
prototyped	and	”invested”		in	ideas
Top level sponsorship Winning ideas to be implemented
9IBM	Itala/	©	2018	IBM	Corporation
Prepare Build LaunchInvestTeam
Feb
5
Feb
22
Feb Mar
22 18
Mar Apr
25 8
May
3
Agile Innovation
IBM	Italy /	©	2018	IBM	Corporation
11
8,361Teams joined to propose and generate ideas
275,000 IBMers all around the world who engaged in the Cognitive Build.
Imagine a digital cognitive system to help you do something
important in your personal or professional lives
Team to design it and advocate for it, and then everyone votes
BlueMix
WatsonAPI
13
Finalist teams traveled
from all over the world
to the IBM Design Studio
in Austin, Texas for 2
days
Over 2,700 teams
passed feasibility
reviews – coaches
assigned
Several hundreds
millions iFundIT dollars
to select the 50 finalist
teams
8 final winner
prototypes implemented
Involving	communities	is	a	good	idea	anyway…
Our internal technical leader
community IBM Academy of
Technology has driven innovation and
influenced the IBM technical strategy for
more than a quarter century.
1989
Founded to provide
technical advice &
criticism, innovation
and cultural change
1994
4 new productideas
identified, e.g. smart home,
DNAsequencing
2002
Explored machine
intelligence
2007
Instrumented planet
study
2013/14
Influence on IBM Global
TechnologyOutlook,e.g.
through genomic
medicine, wearable
computing
2016
Further evolution of
Blockchain
Spark IoT –
a monthly
Think Tank
Program (and
experiment!)
for the best
and brightest
IoT ideas
inside IBM –
quarterly
Spark Tank
with an
Executive panel to evaluate the best ideas and
recognize them
14IBM	Italy /	©	2018	IBM	Corporation
Partnerships and	Alliances
R&D	Collaboration
Internal Innovation
View
Building	IP	&	Licensing
Acquisitions
Incubators,	Accelerators
&	Startups
Innovation	Building	blocks	in	IBM
R&D Collaboration (Global)
The MIT-IBM Watson AI Lab is focused on fundamental artificial
intelligence (AI) research with the goal of propelling scientific
breakthroughs that unlock the potential of AI. The Lab is focused on
advancing four research pillars: AI Algorithms, the Physics of AI, the
Application of AI to industries, and Advancing shared prosperity
through AI.
P Morgan Chase,
Daimler,
Samsung,
JSR,
Barclays,
Keio University,
Honda,
University of Oxford,
University of Melbourne,
Hchi Metals
Nagase
Oak Ridge National Lab,
Cambridge Quantum
Computing (CQC),
1QBit,
QC Ware,
Q-CTRL,
Zapata Computing,
Strangeworks,
QxBranch,
Quantum Benchmark.
Corporation & Universities Startups
Quantum
Computing
Ecosystem
Leveraging long term partnerships and research collaborations both with leading universities as
well private institutions is a strong supported model at corporate level.
R&D Collaboration (Local - Italy)
The R&D collaboration strategy includes partnerships models both at global scale as well as at
local level.
IBM and POLIMI
Collaboration
Innovation Center
on Big Data and
Cognitive
IBM Active
Intelligence
Lab - Bologna
IBM and Istituto
Italiano di
Tecnologia –
Joint Lab Social
Robotics
IBM, POLIBA &
Uniba
Digital
Transformaton
Lab
Act as a catalyzer to
capture OPEN INNOVATION
& NETWORK: fostering
partnerships and joint
collaborations with the
Italian University &
Research Ecosystem in Italy
and abroad
Bring IBM
INNOVATION to
clients and public
organizations and
tackles complex real-
world industrial
problems in the areas
of human well being
IBM INNOVATION + OPEN INNOVATION
In Italy We are pioneering an innovative operating model.
R&D
Innovation Projects
Global IBM Research & Labs
2. Venture capitalist, Investors,
Startup Incubators, Startups
1. Top Universities & Research
centers in Italy and abroad
3. Funded Projects European
Union, Italian Government,
Regions
IBM Italy
Research &
Business Unit.
CURATE, DEVELOP & ADAPT
Inventions and Solutions
CAPTURE
Complex Problems & Challenges
IBM Italy
Customers
Tokio
China
Australia
India (2)
Africa
Haifa
Zurigo
Irlanda
Watson
Brasile (2)
Almaden
Austin
Tokio
China
Australia
India (2)
Africa
Haifa
Zurigo
Irlanda
Watson
Brasile (2)
Almaden
Austin
Partnerships and	Alliances
R&D	Collaboration
Internal Innovation
View
Building	IP	&	Licensing
Acquisitions
Incubators,	Accelerators
&	Startups
Innovation	Building	blocks	in	IBM
IBM	Italy/	©	2018	IBM	Corporation 21
>100.000 Patents in 25 years
2017
Building	IP	&	Licensing
Partnerships and	Alliances
R&D	Collaboration
Internal Innovation
View
Building	IP	&	Licensing
Acquisitions
Incubators,	Accelerators
&	Startups
Innovation	Building	blocks	in	IBM
Incubators,	Accelerators	&	Startu-ps
We are continuously looking for outstanding entrepreneurs and promising early-stage innovative projects to add to our growing digital health
community, while offering them 360° support in order to fulfill their vision.
MindUP’s multi-faceted support enables our entrepreneurs to create companies with a clear competitive edge and expedited time-to-market.
Incubators,	Accelerators	&	Startu-ps
•Up to $120k of free IBM Cloud services
•Go-to Market & New Customer Acquisition:
Connect with enterprise customers, open new
markets and distribution channels with promotion in
the key markets.
•Business Mentorship: Pairing your company with
expert mentors from IBM and our network of VC,
angel investors and serial entrepreneurs to
accelerate the growth of your business – no matter
what stage of the journey you’re in.
•Technical Support
•Business Service Discounts - every penny
counts so we have worked with a range of service
providers to extend discounts to you, such as office
supplies, hotels, car rental and more.
Rivoluzione Baby Care: il ruolo delle nuove tecnologie digitali, 3-4 Dicembre 2016
Incubators,	Accelerators	&	Startu-ps
Rivoluzione Baby Care: il ruolo delle nuove tecnologie digitali, 3-4 Dicembre 2016
Incubators,	Accelerators	&	Startu-ps
Partnerships and	Alliances
R&D	Collaboration
Internal Innovation
View
Building	IP	&	Licensing
Acquisitions
Incubators,	Accelerators
&	Startups
Innovation	Building	blocks	in	IBM
Partnerships	and	Alliances
We use to create partnerships with customers and technical partners.
We have in place a number of models and examples in all kind of industries.
The overall objectives is to create joint Go to market approaches by combining right resources, information and infrastructure
Partnerships and	Alliances
R&D	Collaboration
Internal Innovation
View
Building	IP	&	Licensing
Acquisitions
Incubators,	Accelerators
&	Startups
Innovation	Building	blocks	in	IBM
IBM	Italy/	©	2018	IBM	Corporation 30
Acquisitions &	Investments
IBM
31
1
Thank You!
Pietro Leo
IBM Italy CTO for Artificial Intelligence
Member of IBM Academy of Technology Leadership

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