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HEPTech Workshop on Open Innovation. Introduction to the Open Innovation Model: What, why and trend. The Open Innovation model Trends and benefits Open?. Content. The open innovation model. B. Denis – EC DG JRC Unit A4 / CERN KT group. Innovation. Research. Development. License in.
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HEPTech Workshop on Open Innovation Introduction to the Open Innovation Model: What, why and trend B. Denis – Bucharest 7th October 2013
The Open Innovation model • Trends and benefits • Open? Content B. Denis – EC DG JRC Unit A4 / CERN KT group
The open innovation model B. Denis – EC DG JRC Unit A4 / CERN KT group
Innovation Research Development B. Denis – EC DG JRC Unit A4 / CERN KT group
License in Buy Cross-license Sell Open innovation Open Innovation: The new imperative for creating and profiting from technology, H. Chesbrough 2003 License out B. Denis – EC DG JRC Unit A4 / CERN KT group
Increasing role of Intellectual Property Increasing role of Public Research Open Innovation B. Denis – EC DG JRC Unit A4 / CERN KT group
Buy Industry PP institute CERN and HEP Community CERN B. Denis – EC DG JRC Unit A4 / CERN KT group
License out Collaborative R&D Knowledge transfer B. Denis – EC DG JRC Unit A4 / CERN KT group
Trends and benefits B. Denis – EC DG JRC Unit A4 / CERN KT group
Survey Report Executive survey on open innovation 2013 H. Chesbrough, US Berkerley S. Brunswicker, Fraunhofer Institute for Industrial Engineering Emailed survey on open innovation to senior executives at the headquarters of more than 2840 large and stock market listed firms, in Europe and US, with revenues annually in excess of US$250 million and more than 1000 employees Managing open innovation in large firms B. Denis – EC DG JRC Unit A4 / CERN KT group
“… the purposive use of inflows and outflows of knowledge to accelerate innovation in one’s own market, and expand the use of internal knowledge in external market respectively.” Definition B. Denis – EC DG JRC Unit A4 / CERN KT group
Source: Managing Open Innovation in Large Firms, H. Chesbrough, S. Brunswicker, 2013 Average = 78 91% 86% 83% 82% 80% 69% 55% 40% Adoption of open innovation across different industries B. Denis – EC DG JRC Unit A4 / CERN KT group
Source: Managing Open Innovation in Large Firms, H. Chesbrough, S. Brunswicker, 2013 IP in-licensing Customer & consumer Co-creation Contracted R&D services Specialized open Innovation intermediaries Crowdsourcing Inbound Publically funded R&D consortia Idea & start-up competitions Supplier innovation awards University research grants Informal networking Direction Participation in standardization (public standards) Joint-venture activities Spin-offs Outbound Corporate business incubation Selling market-ready products Donations to commons or nonprofits IP out-licensing Modes of open innovation Pecuniary Financial flows Non-pecuniary* B. Denis – EC DG JRC Unit A4 / CERN KT group * Without full compensation
Source: Knowledge Networks and Markets, OCDE STI Policy Papers, No7, 2013 Prospective knowledge Existing knowledge • Disembodied IPR-based mechanisms: • IP licensing • IP rights pooling agreement • Sale of assignment • Franchise agreement • Know-how contract • Sourcing solutions: • Service and consultancy purchase agreement • Consultancy services • Research service • Co-development: • Co-development programmes • Research joint venture • Research alliances • Private-public partnerships • Secondments • Hiring of R&D personnel • Network membership agreement • Embedded knowledge transactions: • Transfer of rights to IP and other knowledge-based capital through M&A • Acquisition of equipment • Material / data transfer agreements Type of knowledge B. Denis – EC DG JRC Unit A4 / CERN KT group
Source: Managing Open Innovation in Large Firms, H. Chesbrough, S. Brunswicker, 2013 4.43 4.38 4.19 3.82 3.73 3 4 5 7 2 6 1 not important highly important Importance (inbound practices) B. Denis – EC DG JRC Unit A4 / CERN KT group
Source: Managing Open Innovation in Large Firms, H. Chesbrough, S. Brunswicker, 2013 3.71 3.37 2.66 2.64 2.34 3 4 5 7 2 6 1 not important highly important Importance (inbound practices) B. Denis – EC DG JRC Unit A4 / CERN KT group
Source: Managing Open Innovation in Large Firms, H. Chesbrough, S. Brunswicker, 2013 5.54 5.17 4.88 4.51 4.30 4.22 3 4 5 7 2 6 1 Importance of open innovation partners not important highly important B. Denis – EC DG JRC Unit A4 / CERN KT group
Source: Managing Open Innovation in Large Firms, H. Chesbrough, S. Brunswicker, 2013 3.82 3.82 3.67 2.54 2.47 2.13 3 4 5 7 2 6 1 Importance of open innovation partners not important highly important B. Denis – EC DG JRC Unit A4 / CERN KT group
Source: Managing Open Innovation in Large Firms, H. Chesbrough, S. Brunswicker, 2013 5.42 5.35 4.84 4.67 4.24 3.96 3.65 Strategic objectives 3 4 5 7 2 6 1 highly important not important B. Denis – EC DG JRC Unit A4 / CERN KT group
Source: Managing Open Innovation in Large Firms, H. Chesbrough, S. Brunswicker, 2013 On balance, firms take more “freely revealed” information from others than they provide to others. Firms are “net-takers”. Pecuniary aspects B. Denis – EC DG JRC Unit A4 / CERN KT group
Source: Managing Open Innovation in Large Firms, H. Chesbrough, S. Brunswicker, 2013 4.39 4.38 4.10 3.82 3.59 3.59 3 4 5 7 2 6 1 Measuring open innovation highly dissatisfied highly satisfied B. Denis – EC DG JRC Unit A4 / CERN KT group
Source: Managing Open Innovation in Large Firms, H. Chesbrough, S. Brunswicker, 2013 4.39 4.38 4.10 3.82 3.59 3 4 5 7 2 6 1 Measuring open innovation highly dissatisfied highly satisfied B. Denis – EC DG JRC Unit A4 / CERN KT group
Source: Managing Open Innovation in Large Firms, H. Chesbrough, S. Brunswicker, 2013 44.7% 18.5% 15.4% 9.23% 7.69% 4.62 Satisfaction with open innovation highly dissatisfied highly satisfied B. Denis – EC DG JRC Unit A4 / CERN KT group
Open? B. Denis – EC DG JRC Unit A4 / CERN KT group
Open Innovation Open Source Open Science Open Access B. Denis – EC DG JRC Unit A4 / CERN KT group
o.pen |ˈōpən| adjective 1 allowing access, passage; not closed or blocked up open 2 exposed to the air or to view; not covered 3 officially admitting customers or visitors; available for business 4 frank and communicative; not given to deception or concealment 5 freely available or accessible; offered without restriction 6 with no restrictions on those allowed to attend or participate Definition B. Denis – EC DG JRC Unit A4 / CERN KT group
Innovation jointly developed by different contributors available royalty free to anyone and without significant restrictions on how they are to be used. • Possible restriction is that derivative work also has to be provided on the same basis. • Examples: Open source software, Open source hardware Open = 5. freely available or (source code) accessible; 6. with no (significant?) restrictions on those allowed to attend or participate. Open source B. Denis – EC DG JRC Unit A4 / CERN KT group
The Sociology of Science, R. Merton, 1973 • Norms: • Originality • Communalism • Universalism • Disinterestedness • Skepticism Priority system Incentives Sharing results Cumulativeness Quality of research Open = 4. frank and communicative; 5. freely available or accessible; 6. with no restrictions on those allowed to attend or participate. Open Science B. Denis – EC DG JRC Unit A4 / CERN KT group
The practice of providing unrestricted access via the Internet to peer-reviewed scholarly research. It is most commonly applied to scholarly journal articles, but it is also increasingly being provided to theses, book chapters and scholarly monographs (Wikipedia) Open = 5. freely available or accessible; Open Access
o.pen |ˈōpən| adjective 1 allowing access, passage; not closed or blocked up open 2 exposed to the air or to view; not covered 3 officially admitting customers or visitors; available for business 4 frank and communicative; not given to deception or concealment 5 freely available or accessible; offered without restriction 6 with no restrictions on those allowed to attend or participate ? ? Open innovation B. Denis – EC DG JRC Unit A4 / CERN KT group
Thank you… B. Denis – EC DG JRC Unit A4 / CERN KT group