This document discusses open innovation and creating an innovation culture within organizations. It emphasizes that open innovation is key to becoming competitively unpredictable in today's business environment. The document provides examples of open innovation practices from various companies and discusses some of the challenges of changing an organization's culture to embrace open innovation and experimentation. It stresses that developing the right skills and mindsets among employees is important for fostering a strong innovation culture.

1. www.15inno.com
15inno by Stefan Lindegaard at LinkedIn Groups
stefanlindegaard@me.com
Twitter: @lindegaard
Open Innovation: New Opportunities,
New Challenges
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3. Faster pace, shrinking window of opportunity,
less time for cash cows
Open innovation and biz model innovation is
key for becoming competitively unpredictable!
We need a more holistic approach to innovation!

4. What is open innovation?
“…a philosophy or a mindset that they should
embrace within their organization.
This mindset should enable their organization
to work with external input to the innovation
process just as naturally as it does with
internal input”
Open innovation as a term will disappear in 5-
7 years!

5. Employees SuppliersManagers Academics /
institutions
Executives VCsAlumni Startups
Business unit
/ function
Users /
consumers
Government
Competitors Inventors
Educate internally and externally – there’s
no point being alone on the playground!

6. NineSigma Alliances /
joint ventures
Campaigns
(Comm / Public)
Entrepreneur
Day
Consortia
MyStarbucks
Idea.com
Campaigns
(Comm / Public)
Supplier
Summit
CREDIT: OVO Innovation

7. P&G PHARMAMEDTECH
Cycle time, money, IPR, conservatism and
internal readiness

8. Go beyond the obvious areas!
Participation is the new brand
We have no choice!

10. Current pilot projects:
• "People are much more likely to act their way into a new way of
thinking, than think their way into a new way of acting."
• Richard Pascale
• Therefore we run pilot projects
• - in our production area (solving hard, “unsolvable” problems)
• - on improving the core LEGO experience through crowdsourcing
• - on how to improve core HR processes
• - on an Open Innovation platform

11. Develop the right conditions and framework
Be competitively unpredictable
Change how we innovate

12. 110 sites identified, 50% unknown, 80% produced
Australian groups developed 3-D map of the mine
Goldcorp shared all their data in March 2000
1,000+ people joined; many from outside industry

14. Inditex / H&M: Value
chain innovation on
steroids
Microsoft Kinect: New
technology, new markets
Better Place: Establishing
new ecosystem
Premium Ingredients: Mini-
factories and communities
Apple
P&G
GE
Natura
Grundfos
Rolls-Royce

21. You can download my workbook on
15inno.com

22. Better internal collaboration, less silo mentality
= internal open innovation?
Don’t invite guests if you house is not in order!
What is open innovation? Where do we start?
Are small companies afraid of us? Who is in
the driver’s seat and who is in the back?

23. Upgrade your innovation mindset and toolbox!
Identify the types of external input / value pools
that fit your situation!
Start innovating on how you innovate
(experimentation, small bets, quick wins)
Work the internal and external stakeholders!
Become better communicators!

24. Let’s talk about an (open) innovation culture!

25. No networking culture? No innovation culture!
- future winners get communities to work!
Organizations must embrace experimentation
– and the failures that come along with it!
Only a truly burning platform or fully aligned
executives can change an innovation culture!

26. Grass-root: Big potential if supported properly!
Open up: Difficult, but the only way forward!
20% free time: You can’t copy this!
Top-down: Go from event to capability to culture!

27. Intrapreneurship is an overlooked tool:
“Intrapreneur: a person within a large
corporation who takes direct responsibility for
turning an idea into a profitable finished
product through assertive risk-taking and
innovation.”
American Heritage Dictionary, 1992

28. The Danfoss Group (Case Study)
• A leader in development and production of mechanical and electronic
products and controls
• 26,000 people and 3,7 billion EUR in revenues
• 3 main divisions

29. “I believe we possess all the resources and talents necessary. But the facts of the
matter are that we have never made the national decisions or marshaled the
national resources required for such leadership. We have never specified long-
range goals on an urgent time schedule, or managed our resources and our time
so as to insure their fulfillment.”

30. The Man on The Moon competition
• To identify and develop new ventures thatcreatessignificantgrowth
and/orstrategicadvantages
• To spot and develop talent
• To change the culture and establish”intrapreneurship” as a fourthcareerpath

32. Discovery – Incubation – Acceleration: Have
the right people at the right time!

33. “…an intrapreneur must have the ability to see and pursuepossibilities by
piecingtogether innovations acrossthreeor more business
functionssimultaneously.”
Paul Campbell, former VP, HP

34. A career path for trouble-makers?
“When someone tries to innovate within a traditional
organization,few will understand what he/she is doing,
but everybody will understand who is a trouble-maker.
After the innovation has been embraced by the
organization,few will remember who started it,
but everybody will remember who was a trouble-maker.
This is the dilemma encountered by many intrapreneurs
-they risk punishment for success.”
David Nordfos, Stanford

36. You need a common language / under-
standing to frame and work with the issues!

40. Every corporate culture is innovative! Find the
pockets, build the foundation and perception

42. No networking culture? No innovation culture!
- future winners get communities to work!

44. Only network if you have a purpose!
Know your needs – different types / efforts!
Committed executives and high-level managers!
Social media is a key networking tool today!

45. Direction, training, time – and courage to
leave comfort zone, experiment, be visionary!

46. Organizations must embrace experimentation
– and the failures that come along with it!

47. Small failures are accepted, but not big ones:
47 %
Failure is not accepted here:
7 %
More than half of the companies do not
recognize failure as an inherent part of an
innovation culture!

48. “Two types of failure:
- honorable failure is where an honest attempt at
something new or different has been tried
unsuccessfully and
- incompetent failure where people fail for lack of
effort or competence in standard operations.”
Credit: Paul Sloane

49. There are no quick fixes because the top
executives that got us into this mess are not
ready to lead us out of it!

50. Too much focus on products, technology
Silo rather than collaborative approaches
Poorly defined innovation strategy (if any)
Lack of resources (budget, people, infrastructure)
Unrealistic expectations on time, resources

51. Organizations must identify skills and mindset
needed for a stronger innovation culture

52. Most corporate innovation teams play catch-up!
Where is the vision and drive?

53. They lack communication skills and efforts!
They lack the courage to speak up!
They do not innovate on the innovation process!
They do not develop their mindset and toolbox!

56. 1) Intrapreneurial skills
2) Networking talent
3) Communication skills
4) Strategic influencing
5) Adaptive fast learner
6) Balanced optimism
7) Tolerance for uncertainty
8) Passion

59. It must be a key objective for corporate innovation
teams to educate – up as well as down!

61. If you want to change a culture, you should
reward behaviors as well as results!
TBX(O) – Sometimes middle-managers hinder
innovation just by doing their job!
People first, processes next, then ideas!

62. Get in touch!
www.15inno.com
15inno by Stefan Lindegaard at LinkedIn Groups
stefanlindegaard@me.com
Twitter: @lindegaard
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