Open Innovation- new paradigm of cooperation between science and industry

Marcin Dudojc Expert in the field of innovation projects,

Research and Innovation Centre Pro-Akademia

In 2002 anthrax tainted envelopes were delivered all over United States, thru homeland postal system.

Was flooded by desperate requests from:

• Corporations • Postal services • and private personnel

That were seeking for help and solution…

Was flooded by desperate requests from:

• Corporations • Postal services • and private personnel

That were seeking for help and solution…

ANY SOLUTION!

Unfortunately 4.1 billion $ company had nothing to offer…

To avoid the crisis they established special team of engineers

82 ideas

1

CLOSED PARADIGM

• Innovation took place within four walls of certain company.

• IP was highly guarded

• Company had full control over whole process

• Some ideas might not make it to the market

What we can loose?

OPEN PARADIGM

Now its time for something new

Now its time for something new

• We have increase in education level

• Many small enterprises has been established

• Shelf life and marketing time is decreased

• Migration of employees

OPEN vs. CLOSED

Closed innovation Open innovationThe smart people in the field work for us. Not all the smart people in the field work for

us. We need to work with smart people inside and outside the company.

To profit from R&D, we must discover it, develop it, and ship it ourselves.

External R&D can create significant value: internal R&D is needed to claim some portion

of that value.

If we discover it ourselves, we will get it to the market first.

We don't have to originate the research to profit from it.

The company that gets an innovation to the market first will win.

Building a better business model is better than getting to the market first.

If we create the most and the best ideas in the industry, we will win.

If we make the best use of internal and external ideas, we will win.

We should control our IP, so that our competitors don't profit from our ideas.

We should profit from others' use of our IP, and we should buy others' IP whenever it advances

our business model.

1990 1998 20100

50

100

150

200

15

100

173

USA Patent licenseing revenue

USA Patent li-censeing revenu

Year

$ [

billion

s]

So what really is Open Innovation?

open access to own technologies strategic IPR management

outsourced R&D strategic R&D

technology only both technology and business model

technical invention commercial innovation

appropriating value win-win partnership

new ventures core product development process

partnerships only innovation ecosystem building

cutting research costs improving R&D Return on Investment

How to embrace it?1) Networking and Collaboration

How to embrace it?1) Networking

• It will allow you to rapidly fill in any specific knowledge.

• It is time and cost saving

It allows to establish Deep and Wide ties that can be used later on.

2) Corporate entrepreneurship

• Invest in new business – new innovation source

• Invest in your employees – creating autonomous teams

3) Intellectual Property

Don’t keep your findings to yourself

External ideas

Internal ideas

So what seems to be a problem?

COMMUNICATION

and

WILL

Thank you for attention