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Open Innovation and Strategy

Open Innovation and Strategy. MOOI Theme # 1 – presentation & discussion December 3, 2013. MOOI Theme 1: Open Innovation and Strategy. Prof. Henry Chesbrough , University of California, Berkeley & ESADE Prof. Wim Vanhaverbeke , Hasselt University, ESADE & National University of Singapore

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Open Innovation and Strategy

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  1. Open Innovation and Strategy MOOI Theme # 1 – presentation & discussion December 3, 2013

  2. MOOI Theme 1:Open Innovation and Strategy Prof. Henry Chesbrough, University of California, Berkeley & ESADE Prof. Wim Vanhaverbeke, Hasselt University, ESADE & National University of Singapore Dr. Nadine Roijakkers, Hasselt University December 3, 2013

  3. Statements about OI and strategy • … the need to align open innovation with the organizational strategy • …. firms need to audit the current status of their innovation strategy and identify areas where value could be added by open innovation • Innocentive project: • “Quantitative Model to Aid Strategy Decisions When Applying Open Innovation” • Crowdsourcing applied to the link strategy & open innovation 3

  4. Overview • OI and corporate strategy • OI and business strategy • OI and strategy types • A process view on the link between strategy and OI 4

  5. OI and corporate strategies 5

  6. OI and corporate strategy • Corporate strategy: • Long-term growth of the company • in which industries/technologies a firm wants to be active – new business development • OI and cap ability building (dynamic view): • Absorptive capacity/connective capacity/desorptive capacity (Lichtenthaler and Lichtenthaler, JMS 2009) • OI as instrument to drive cognition of future strategy (Itami & Numagami, SMJ 1992). OI frames and drives the way managers think – try to integrate it in the corporate strategy formulation process 6

  7. The McKinsey Growth Model 7

  8. McKinsey Model & innovation strategy 8

  9. McKinsey model and OI • Innovation efforts aimed at all three time horizons • H1: Current business: • BM determined/clear • Incremental innovations with existing partners • Market related partners more important? • Short OI innovation cycles with low uncertainty 9

  10. McKinsey model and OI • H2: Related businesses • H3: New businesses or disrupting businesses • Work on the three horizons simultaneously 10

  11. BCG matrix – Adapted for OIFrank Mattes - Applied Innovation management - nr 3 – 2011 (p. 13) 11

  12. Deloitte’s Growth Framework 12

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