open innovation: the important of tapping into external expertise

Creativity for All – Everyone Creates a New Business

HAND ON - Open Innovation 18 March 2014

Göran Nybom & Henrik Hedlund

JOIN Business & Technology ABwww.join.se

Goal

During the session:

What to learn from experience – a case story

How to manage open innovation

How to manage the creative process

Learning by doing – hands-on & focus!

After the session:

Feel confident to go ahead on your own missions!

A Case Story

Open Innovation – a case story

Conclusions

Closed approach (customer):In-house specialists - proud and full of confidenceLife long employmentsBenchmark railcars’ construction every 10th year to be sure using the ‘right solutions’Learning by doing - complicated mistakes

Open approach (JOIN): Search for information in the subject identify sourcesSearch for organizations working in the fieldEngage in many group activitiesLearning by making – simplicity and rapid prototypingNDA and IP strategy in place for all contributors

Conclusions

Closed approach (customer): Vertical - ‘Closed’In-house specialists - proud and full of confidenceLife long employmentsBenchmark railcars’ construction every 10th year to be sure using the ‘right solutions’Learning by doing - complicated mistakes

Open approach (JOIN): Lateral – ‘Open’Search for information in the subject identify sourcesSearch for organizations working in the fieldEngage in many group activitiesLearning by making – simplicity and rapid prototypingNDA and IP strategy in place for all contributors

The Creative Process

A viewpoint on ideas

“If at first, the idea is not absurd, then there is no hope for it” (Albert Einstein)

Pattern recognition

The brain is a self-organizing system!

Thinking

Mainstream versus lateral thinking

Thinking

Types of thinking

Vertical thinking

With vertical thinking one uses information for its own sake in order to move forward to a solution.

Lateral thinking

With lateral thinking one uses information not for its own sake but provocatively in order to bring about repatterning.

Problems

Types of problem

(1) The first type of problem requires for its solution more information orbetter techniques for handling information.

(2) The second type of problem requires no new information but a rearrangement of information already available: an insight restructuring.

(3) The third type of problem is the problem of no problem. One is blockedby the adequacy of the present arrangement from moving to a much better one.

The first type of problem can be solved by vertical thinking

The second and third type of problem require lateral thinking for their solution

Method

De Bono’s Thinking Hats

The Creative Process

Shake lose –Tell a story!

Lateral thinking & thinking hats (Edvard de Bono et al)

Working alone

Working in groups

Corner Stones

• PROVOCATION• MOVEMENT• …postpone the critical judgement

Provocation…losing track

Movement… transformation

Real world is superior as a source of inspiration

Learning by Doing

A Challenge

The challenge

Sweden has a lot of unemployed young people

Youth unemployment - Sweden 2014

Youth unemployment - Europe 2014

Pisa Points Rating

Children Dream Occupations

Youth Dream Occupations

Unemployment vs Education Level

Unemployment vs Age Level

Work Force Needs

Key problems (hypotheses)

Lot of available industrial and craftsman work positionsLot of unemployed youth not interested in industrial and craftsman careers

Lot of available healthcare and education work positionsLot of unemployed youth not interested in healthcare and educational careers

To achieve a work position increased amount of education is needed, but over all school result is decreasing

Problem areas

(1) How to make industrial and craftmans work more attractive to the youth (WORK SECTOR)

(2) How to make healtcare and education work more attractive to the youth (WORK SECTOR)

(3) How to prepare youth for the work challenges in the future (PREPARATION)

(4) How to invent new work positions and new ways of working (NEW WORK)

Backup Material

Transformations - Checklist

Adapt: What can be adapted for us or can we copy, modify or suggest any other from this idea?

Combine: Solutions from other problems, purposes, ideas, principles, methods, groups, units, components

Magnify: Add Larger, higher, wider, longer, duplicate, multiply, exaggerate, extra value

Minify: Subtract smaller, lower, shorter, lighter, miniature, omit

Source: Creative design of mechanical devices books/google.se “Checklist mechanical idea design” by Hong-Sen Yan

Transformations - Checklist

Modify: Change motion, contours, shape, layout, pace, place, pattern

Reverse: Up instead of down, positive instead of negative, inside instead of outside

Substitute: What other power, part, materials, process, theory or method can be used?

Put to other uses: What other uses does it have? What other uses are there if the idea is modified

Source: Creative design of mechanical devices books/google.se “Checklist mechanical idea design” by Hong-Sen Yan

Intuitive & creative processing

Recognition is the first realization or recognition that a problem exists

Preparation is a deliberate effort to understand the problem by collecting facts about it and analyzing them from different aspects

Incubation is a period when the problem is undergoing an organizational process in the subconscious. The process runs even if you do something else, and even during sleep.

Illumination is the (often sudden) awareness and recognition of the key idea, and the formulation of and compare when you get a bright idea.

Verification is the hard work to develop and test the idea. The solution depth and detailed by a comparison with various restrictions and requirements on the problem

Mind map

• Mind maps are tools that help us think and remember better, creatively solve problems and take action.

• Download Freemind and go.

Open Innovation

Definition(Chesbrough & Schwartz, 2007)

”The use of purposive inflows and outflows of knowledge toaccelerate internal innovation and expand the markets for external use of innovation, respectively.”

“Usage of internal and external ideas and internal and external paths to markets.”

Open Innovation

ProcessProcess

Konkretisering Resultat

NeedsProblems

OpportunitiesIssues

RequirementsCriteria

RegulationsMarkets

TechnologiesModels

New ideasPerspectives

CreativityEnergy

Out-of-the-boxNew markets

New technologiesNew modelsCreative briefStoryboard

OverviewUnderstanding

IntelligenceData collectionComparisons

CriteriaPriorities

Idea selectionsStrategies

PlanningResourcesConcepts

Product ideasService ideasDevelopment

TestingPrototypes/Pilots

SpecificationsBusiness models

ProductsServices

Business planMarket plan

Sales channelsDecisionsProductionLaunches

Key accountingSales

Facilitation

Stakeholders Stakeholders Stakeholders Stakeholders Stakeholders

Needs Idea generation Idea development Realization Results

Working in groups

• Brainstorm– Short, long, repeated, …

• Rapid innovation event

• Product workshop

Mind Shift

Mind shift is a method that stimulates all participants in parallel creativity

Thank you!