Top management in open innovation(odf)
description
Transcript of Top management in open innovation(odf)
MOOI Theme 2:
Top management in
open innovation
Prof. Henry Chesbrough, University of California, Berkeley & ESADE
Prof. Wim Vanhaverbeke,Hasselt University, ESADE & National University of Singapore
Dr. Nadine Roijakkers, Hasselt University
January 7, 2013
Top Management in Open Innovation:
Overview Innovation: Overview
Findings
Support from top management is important
Needs the right skills
OI managed top-down or bottom-up?
Implications
Top management has to be committed
Top management has to empower the OI Team
Create OI strategy aligned with corporate strategy
Have a CEO mandate
FINDINGS
Top Management in Open Innovation:
Overview Innovation: Overview
Findings
Support from top management is important
Needs the right skills
OI managed from the Top or Bottom up?
Implications
Top management has to be committed
Top management has to empower the OI Team
Create OI strategy aligned with corporate strategy
Have a CEO mandate
Top Management Finding 1:
Support from top management is important ovation:
Overview
Findings
Senior management support of an OI initiative is crucial to
allocate resources and ensure there is both motivation and a
mandate for culture change [Rutledge H., 2012]The support of top
management is absolutely essential and we have it on a daily
basis
[Thoen, 2011]
Senior leaders must understand and apply open innovation [Slowinski &Sagal, 2010]
Executive-level leadership is required, as is constant focus to reinforcing the message, and a clear understanding of the stakes [Bingham &Spradlin, 2011]
Top management support is instrumental in achieving OI rollout across the whole organisation [Mortara et al., 2009]
Executive sponsorship needed (remove roadblocks and mandate participation) [Sloane, 2012]
Link with Culture
Top Management in Open Innovation Innovation: Overview
Findings
Support from top management is important
Needs the right skills
OI managed top-down or bottom-up?
Implications
Top management has to be committed
Top management has to empower the OI Team
Create OI strategy aligned with corporate strategy
Have a CEO mandate
Top Management Finding 2:
Needs the right skills ovation: Overview
Findings
Senior leaders must develop and support the necessary skills [Slowinski & Sagal, 2010]
Link with skills development
Source:Slowinski and Sagal (2010): Senior Management Roles in Open Innovation
Top Management in Open Innovation Innovation: Overview
Findings
Support from top management is important
Needs the right skills
OI managed top-down or bottom-up?
Implications
Top management has to be committed
Top management has to empower the OI Team
Create OI strategy aligned with corporate strategy
Have a CEO mandate
Top Management Finding 3:
OI managed top-down or bottom-up
vation: Overview
Findings (1/5)
Real change is possible when managed from the top [Bingham & Spradlin, 2011]
Only CEO and board of director can drive the change needed to become a Challenge Driven Enterprise [Bingham & Spradlin, 2011]
Occasionally, senior management sees the need for OI, but mostly it is launched at the department level [Sloane, 2012]
Sources:Bingham A - Spradlin D.(2011): The Open Innovation Marketplace
Sloane P, (2012): A guild to open innovation and crowd sourcing
Top Management Finding 3:
OI managed top-down or bottom-up
vation: Overview
Findings (2/5)
TBX (O) approach [Lindegaard, 2011]
Top down: get executives on board and require personal commitment
Bottom up: Value creation begins with people. Involve and engage employees
X: across: middle management has focus on their own profit-and-loss responsibility
Outsiders: external partners will bring knowledge, skills, experience,..
4 Ways to Open innovation [Mortara et al., 2009]
Top-down, strategically-driven, centralised activities (mature)
Top-down, strategically-driven, distributed activities
Bottom-up, evolutionary, distributed activities (mature)
Bottom up, evolutionary, centralised activities
Sources:Bingham A - Spradlin D.(2011): The Open Innovation Marketplace
Sloane P, (2012): A guild to open innovation and crowd sourcing
Top Management Finding 3:
OI managed top-down or bottom-up
vation: Overview
Findings (3/5)
TBX (O) approach [Lindegaard, 2011]: You need to work with 3 + 1 organizational approaches.Top down:
Get executives on board and make them personally commited to the innovation activities. Without executive support, no change occurs
Bottom up: Value creation begins with people, one by one, team by team. Nothing happens unless you get employees engaged and involved.
X: across:The biggest challenges will come from middle management placed across e organiation due to a narrow focus their own profit-and-loss responsibility
Outsiders: External partners will bring knowledge, skills, experience, Include external resources as you move towards OI
Sources:http://www.slideshare.net/StefanLindegaard/open-innovation-summit-stefan-lindegaard-presentation-2645946
Top Management Finding 3:
OI managed top-down or bottom-up
vation: Overview
Findings (4/5)
4 Ways to Open innovation [Mortara et al., 2009]Top-down, strategically-driven, centralised activities
Top-down, strategically-driven, distributed activities
Bottom-up, evolutionary, distributed activities
Bottom up, evolutionary, centralised activities
Sources:Bingham A - Spradlin D.(2011): The Open Innovation Marketplace
Sloane P, (2012): A guild to open innovation and crowd sourcing
Interactive poll 1
What are the three most difficult roles of top management in implementing OI?
Allocate resources for OI initiatives
Ensure there are incentives for a cultural change
Continuous support from top management
Top management should understand OI
Top managements role in achieving OI rollout across the organization
Executive sponsorship (remove organizational roadblocks)
Executive support for the development of the necessary skills
Sources:Mortara, L. et al. (2009): How to implement Open Innovation
Lindegaard S. (2011): The Open Innovation Revolution
implications
Top Management in Open Innovation Innovation: Overview
Findings
Support from top management is important
Needs the right skills
OI managed top-down or bottom-up?
Implications
Top management has to be committed
Top management has to empower the OITeam
Create OI strategy aligned with corporate strategy
Have a CEO mandate
Top Management Implication 1:
Commitment
vation: Overview
CEO must be deeply committed [Lindegaard, 2011]
Top of organization must be committed in no uncertain terms and see it through to the end [Bingham & Spradlin, 2011]
Demonstrating commitment and support, top management holds the key to sway the opinion of those who feel less inclined to accept the new approach to innovation [Mortara et al., 2009]
Executives must not only understand but also buy into the value proposition [Sloane, 2012]
Commitment from the top down helps building the culture for OI [Sloane, 2012]
Leaders must promote innovation and an entrepreneurial culture across the organization by being personally involved in establishing and implementing clear and relevant ways to support innovation [Igartua 2010]
Sources:Mortara, L. et al. (2009): How to implement Open Innovation
The Open Innovation Marketplace (Bingham A - Spradlin D.) (2011)
Sloane, P. (2012): A guide to Open Innovation and Crowdsourcing
Lindegaard S. (2011): Making Open Innovation Work
Igartua, J. I., Garrigs, J. A., & Hervas-Oliver, J. L. (2010). How innovation management techniques support an open innovation strategy. Research Technology Management, 41-52.
Top Management in Open Innovation Innovation: Overview
Findings
Support from top management is important
Needs the right skills
OI managed top-down or bottom-up?
Implications
Top management has to be committed
Top management has to empower the OI Team
Create OI strategy aligned with corporate strategy
Have a CEO mandate
Top Management Implication 2:
Top Management has to empower the OI Teamvation: Overview
Top management gives the fundamental push to establish an OI implementation team [Mortara et al., 2009]
Create and empower the CDE task force [Bingham & Spradlin, 2011]
The innovation mandate should lay out the resources and authority given to the innovation team [Lindegaard, 2010]
Innovation leaders must feel full support from executives [Lindegaard, 2010]
Link with OI team
Sources:Mortara, L. et al. (2009): How to implement Open Innovation
The Open Innovation Marketplace (Bingham A - Spradlin D.) (2011)
Sloane, P. (2012): A guide to Open Innovation and Crowdsourcing
Lindegaard S. (2011): Making Open Innovation Work
Igartua, J. I., Garrigs, J. A., & Hervas-Oliver, J. L. (2010). How innovation management techniques support an open innovation strategy. Research Technology Management, 41-52.
Top Management in Open Innovation Innovation: Overview
Findings
Support from top management is important
Needs the right skills
OI managed top-down or bottom-up?
Implications
Top management has to be committed
Top management has to empower the OI Team
Create OI strategy aligned with corporate strategy
Have a CEO mandate
Top Management Implication 3:
Align OI strategy with corporate strategy: Overview
Top management should understand and buy into the creation of a tight link between innovation strategy and the overall corporate strategy [Lindegaard, 2010]
Establish the CEO mandate [Bingham & Spradlin, 2011]
Successful CEOs focus the organization on a small number of key initiatives and some choose a single theme or strategy that defines their administration
A CEO mandate makes that everyone in the organization will understand the importance and commitment attached to this program by the CEO
Never launch without a mandate from the CEO. [Open Innovation] cannot succeed if its cordoned off in R&D. It must be a top-down, companywide strategy [Huston & Sakkab, 2006].
Sources:Lindegaard, S. (2010): The open innovation revolution
Bingham A - Spradlin D.(2011): The Open Innovation Marketplace
References
Bingham A & Spradlin D. (2011): The Open Innovation Marketplace
Igartua, J. I., Garrigs, J. A., & Hervas-Oliver, J. L. (2010). How innovation management techniques support an open innovation strategy. Research Technology Management, 41-52.
Lindegaard, S. (2009)/
http://www.slideshare.net/StefanLindegaard/open-innovation-summit-stefan-lindegaard-presentation-2645946
Lindegaard, S. (2010): The open innovation revolution
Lindegaard S. (2011): Making Open Innovation Work
Mortara, L. et al. (2009): How to implement Open Innovation
Interview Rutledge H (Head of OI GSK) (2012)
Sloane P (2012): A guide to open innovation and crowd sourcing
Slowinski and Sagal (2010): Senior Management Roles in Open Innovation
Interview Chris Thoen (P&G) by Shaugnessy (2011)
Interactive poll 2
What are the three most important actions for top management to maximize impact?
Commitment
Financial support
Support to build culture for OI
Good understanding of OI
Establishment of OI-team
Link between (open) innovation strategy and corporate strategy
Sources:Mortara, L. et al. (2009): How to implement Open Innovation
Lindegaard S. (2011): The Open Innovation Revolution
Q&A
Click to edit the title text formatTitelstijl van model bewerken
Click to edit the title text formatTitelstijl van model bewerken
Click to edit the outline text formatSecond Outline LevelThird Outline LevelFourth Outline LevelFifth Outline LevelSixth Outline LevelSeventh Outline LevelEighth Outline Level
Ninth Outline LevelKlik om de tekststijl van het model te bewerken
Tweede niveau
Derde niveau
Vierde niveau
Vijfde niveau
5/9/14
Click to edit the title text formatTitelstijl van model bewerken
Click to edit the outline text formatSecond Outline LevelThird Outline LevelFourth Outline LevelFifth Outline LevelSixth Outline LevelSeventh Outline LevelEighth Outline Level
Ninth Outline LevelKlik om de tekststijl van het model te bewerken
5/9/14