This document discusses open innovation and two models for facilitating it - Discover and Jam. Discover starts with a specific problem and uses a competitive process to generate solutions. Jam starts by finding partners to explore opportunities and uses an iterative, cooperative process. The document provides examples of companies that have used open innovation and lessons learned, such as starting with broad interests, trusting communities, and communicating ambitious goals. It concludes with thanks and contact information.

1. Open Source JunctionOxford 29th March 28/03/2011 1

2. 28/03/2011 2 100%Open is dedicated to open innovation. Our network & know-how helps you co-innovate better, cheaper and faster. Introducing 100%Open

3. Some of our clients… 28/03/2011 3

4. 28/03/2011 4 Innovating with partners by sharing the risks and the rewards. What is open innovation?

5. March 28, 2011 5 Know-How & Know-Who?

6. 28/03/2011 6 (Reluctant) PioneersLEGO Lego Mindstorms is LEGO’s most successful product range ever and has helped shift their strategy from a toy manufacturer to an innovation platform.

7. Local Motors & Threadless Threadless have sold out of every single new range they have every produced and Local Motor’s customers are significantly less likely to default on their repayments. 28/03/2011 7

8. Mozilla 28/03/2011 8 Mozilla is a global non-profit dedicated to keeping the internet free, open and accessible to all, and shaping the future of the Web for the public good.

9. TopCoder Topcoderis the world's largest competitive software development community with 288,314 developers representing more than 200 countries. 28/03/2011 9

10. Android Android is a mobile operating system based on a modified version of the Linux kernel, and is the fastest growing smartphone OS, & accounts for 29% of the market (Nielsen March 2011). 28/03/2011 10

11. 28/03/2011 11 Wikipedia – Order through Chaos Anarchy Democracy Meritocracy Aristocracy Monarchy

12. Models 28/03/2011 12

13. 28/03/2011 13 Explore > Extract > Exploit “Open innovation is a U-Shaped Process.” Paul Vanags, OXFAM

15. Uncover unmet needs or spot new opportunities for innovation

16. Co-create compelling new ideas, products or services

17. Filter the ideas and prototype innovations

18. Build and motivate collaborative teams

19. Create investable propositions with evidenced business plans

20. Form new collaborative business arrangements

21. Obtain the resources and commitments necessary

23. Open Business Models 28/03/2011 16 Co-branding Spinout Alliances Delivery partnership Proprietary supplier Minority stake Out-licensing Joint venture In-licensing Collaboration Majority stake Royalties Co-Creation Crowd sourcing R&D Acquisition Market research Cooperation Ideas competition Closed Creative commons Suggestion schemes Customer feedback Open source

24. 28/03/2011 17 Discover & Jam ‘What?’ or ‘Who?’

26. Is a competitivemarketplaceamongst customers, suppliers or users

27. The innovation process is mediated by a Trusted Agent

28. Innovations are extracted through a linear process

30. Build an innovation community March 28, 2011 20 © 100%Open 2010

31. Develop propositions in an airlock March 28, 2011 21 © 100%Open 2010

32. Internal route to markete.g. license deals or acquisitions March 28, 2011 22 © 100%Open 2010

34. Is a cooperative community & process , with customers, suppliers or users

35. The innovation process is facilitated through a Catalyst

36. Innovations are built using an iterative process

38. March 28, 2011 25 Find broad platforms of mutual interest Happy people are healthier. Britain is less happy than in the 1950s yet three times richer. Home & family, stability & calm have increased in importance for consumers.

39. Host a jam session on or offline 28/03/2011 26

40. External route to market e.g. joint venture or delivery partnership. March 28, 2011 27 © 100%Open 2010

42. Is a competitivemarketplaceamongst customers, suppliers or users

43. The innovation process is mediated by a Trusted Agent

44. Innovations are extracted through a linear process

45. Tend to be internal routes to market (e.g. license deals)

46. Starts with a ‘who’ question: finding partners to explore a broad opportunity

47. Is a cooperative community & process , with customers, suppliers or users

48. The innovation process is facilitated through a Catalyst

49. Innovations are built using an iterative process

51. 28/03/2011 30 The Open Innovation Landscape Extract Customers Suppliers Partners

52. Trust the community to do the heavy lifting. 28/03/2011 31 Case Study 1

53. Case Study 1E.ON Power to the People is a customer-led innovation programme from E.ON that launched in October 2010 seeking new £10m ideas, products or ventures. 28/03/2011 32

54. Askinteresting questions. 28/03/2011 33 Case Study 2

55. Case Study 2Orange 28/03/2011 34

56. 28/03/2011 35 Start at the end. Case Study 3

57. 28/03/2011 36 Procter & Gamble P&G invited the UK’s design community to respond to two briefs on fabric care (narrow) and wellness (broad), to find global new markets worth $100 million.

59. Start with What? & Who?

60. Find your top 1% and understand what motivates them.

61. Start at the end.

62. Trust the community to do the heavy lifting.

63. Ask interesting questions.

64. Develop your peripheral vision.

66. 28/03/2011 39 Find your top 1%, and understand what motivates them. Case Study 4

67. 28/03/2011 40 Virgin Atlantic V-Jam Virgin Atlantic’s return on investment has been 10:1, better value than using a commercial third party for system development, and for more radical ideas.

68. “The future reveals itself through the peripheral.” JG Ballard 28/03/2011 41 Case Study 5

69. 28/03/2011 42 Case Study 5McLaren & NATS McLaren’s predictive F1 software allows air traffic controllers to predict how aircraft are likely to act at airports, overcoming costly and dangerous uncertainty.

70. Communicate ambitious targets widely. 28/03/2011 43 Case Study 6

71. 28/03/2011 44 Case Study 6Oracle Led to a major collaboration, Wellbe, between Oracle, BT, Pfizer and the NHS to provide a health incentive scheme for the UK to be launched for the 2012 Olympics .

72. 28/03/2011 45 What are we ‘actually’ going to do? “The only thing harder than starting something new, is stopping something old.” Russell Ackoff

74. Start with What? & Who?

75. Find your top 1% and understand what motivates them.

76. Start at the end.

77. Trust the community to do the heavy lifting.

78. Ask interesting questions.

79. Develop your peripheral vision.

81. 28/03/2011 48 Thank you Roland Harwood Co-Founder & Networks Partner South Building | Somerset House | Strand |London | WC2R 1LA Phone: +44 (0)20 8133 1006 Email: roland@100Open.com|david@100open.comWeb: www.100Open.com Twitter: @rolandharwood | @deeyesbee

82. 28/03/2011 49 “Networking is only a letter away from not working.” Chris Powell Know-How or Know-Who?

83. March 28, 2011 50 Constellations

84. Favourite Toys When We Were Seven 28/03/2011 51

85. Opening Up The thing you are most proud of having collaborated on. What it taught you about your skills & attributes. Your most developed innovation qualities. 28/03/2011 52 www.brickartist.com

86. Innovation Qualities – You & Oxfam 28/03/2011 53 Risk Taking Responsive Connected Reputation Resilience Empathy

87. 28/03/2011 54 The 100%Open Innovation ProcessOutline Tools and Services Explore Extract Exploit Networks Jams Top 1% AdVenture Propositions Explore Extract Exploit Engage Create Blueprint Prototype Grow Platforms Airlock Online Jams Crowds Deal