Open innovation & its added-value for eco-innovation

1. Open Innovation in Global Networks
OECD 2008
Joseph Iturbide - Econoving - Thursday, October 16, 2009

2. Outline
Open Innovation…
…in global networks… Position
…through different modes…
…is implemented, … Impact
…influences policy making…
…and is persuasive for us, eco-innovators, Influence
especially in the integration seminar!

3. Open Innovation (1/2)…
•From closed to open innovation => semi-permeable company boundaries.

4. Open Innovation (2/2)…
• Outside-in: sourcing & integrating the external knowledge
+ inside-out: bringing ideas to market
= open innovation
• From Intellectual Property to Intellectual Partnership?
• 3 types of open innovation:
- purchasing-based open innovation: purchase inputs from other
parties.
- collaborative open innovation: partnerships to innovate together
in view of a common goal.
- open access innovation: anyone can contribute to the innovative
process.
• From manufacture-centric innovation to user-centric innovation.
benefit from selling benefit from using

5. …in global networks (1/2)…
• A more open innovation model generates revenues from
knowledge developed in house that is largely unused by the
firms…
& generate cost & time savings by using external development.

6. …in global networks (2/2)…
• Global sourcing to sense new market and technology trends
=>geographic dispersion of MNEs to create rather than to diffuse
knowledge
• Location of new R&D facilities depends on the presence of other
firms and institutions, from which the investing firms can benefit
=> depends on the Regional Innovation System.
• The global networks are different depending on how radical the
innovation is and how similar the participating companies are.

7. …through different modes (1/2)…
• Depending on wether an industry is prone to Open Innovation
or not,
- globalisation
- technological intensity
- technology fusion
- new business models
- knowledge leveraging.

8. …through different modes (2/ 3)…
Depending on wether an industry is prone to Open Innovation or not,
the ways of open-innovating are different:
> strategic autonomy vs time
>

9. …through different modes (3/ 3)…
Depending on wether an industry is prone to Open Innovation or not,
the ways of open-innovating are different:
>suitability for core, non-core and unfamiliar markets and technologies

11. …is implemented,…
• …in Saint-Gobain: multi-sector/multi-center programmes
=>leverage cross-disciplinary expertise, identify and satisfy
common needs such as upstream competences (academia,
consultants) and downstream competencies (market
knowledge, contacts).
• Philips: Campus Eindhoven: technologically advanced firms
together on the same site.
=>attract new high-tech companies and research groups.
• Omron: Kyo-So: partners for collaboration from outside are
invited to have their own pilot office in the Kyo-So area
=> open and creative atmospere

12. …influences policy making,…
• Universities & public research organisations: source of basic
knowledge & potential partners.
• Balance research efforts and investments in specific fields.
• Networks remain important but integration across fields and
borders may require different interfaces and competencies.
• Sharing intellectual property may require different kinds of
management tools in firms and public research organisations.
• Invest in people, foster cross-functionality, mobility and a
culture of innovation.
• Public support for non-technological innovation, service firms
and for building market demand for innovation.
• Open national R&D programmes, capturing national benefits
from cross-border spillovers of the networks of innovative firms.
• Build a strong knowledge base to develop next-generation
innovation policies.

13. …is persuasive for us, eco-innovators, especially in our
seminar!
• The networks of innovation of multinational enterprises (MNEs)
create cross-border nodes between regional/national systems
of innovation.
• Larger firms innovate more openly than small firms.
• Geographical proximity matters in global innovation networks.
• Theft of intellectual property (IP) is perceived as the most
important risk to global innovation networks.
• Science, technology and innovation policies can no longer be
designed solely in a national context.
• Most companies possessed limited expertise for managing
innovation.

14. Bibliography
• Gassmann, O. (2006), « Opening up the Innovation Process:
Towards an Agenda », R&D Management 36 (3), p.223-228.
• Van Hippel, E. (2005), Democratizing Innovation, Cambridge,
Massachusetts.
• Conseil d’Analyse Economique (2008), « Innovation et
compétitivité des régions », La documentation Française,
• Claude Dupuy and Antje Burmeister (2003), « Entreprises et
territoires, les nouveaux enjeux de la proximité », les études
de la documentation Française.