What is Open Innovation?

audiojungle we are living at a time where innovation is a driving power in every industry new ideas are crucial to the competitiveness of every business venture and if today a company is not constantly innovating then it is also getting constantly outdated as a consequence organizations cannot grow or win new opportunities here comes the need for innovation there are two types of innovation closed and open innovation the traditional way to achieve innovation is within a company's own research and development department we call it the closed innovation process closed innovation is based on the organization's complete control over the whole innovation process however this means that the organization is strictly keeping the developed IP out of external reach but what are the shortcomings large investments for supplying the internal research and development departments high levels of patent costs slow innovation process ideas down the drain limited market share larger risk for companies during their innovation process due to long term planning of resource allocation the new concept that opposes closed innovation is open innovation open innovation is based on permitting the free flow of organizations internal knowledge and benefiting from external innovative solutions but how would these models work as sharing and gaining knowledge is always secured by IP rights today misleading perceptions are that open innovation means actually open to everybody or that open means for free or even that open means IP free zone all of these are wrong open innovation is about exchanging knowledge and ideas between business partners customers universities scientific actors and public institutions legal instruments such as shared IP rights allocation of Rights through licensing agreements or even joint ownership agreements are used licensing is an issue of strategic IPR management which translates into trade of intellectual assets between different actors patents trademarks there are different general models of open innovation outside in inside out and coupled outside in open innovation draws external knowledge provided by the business and science environment to improve organizations own innovation performance inside out open innovation looks for possibilities to share already available in-house knowledge with the external environment in a way which will add value to the organization this includes not only out licensing and transfers of rights but also promoting spin-offs turning to open-source etc coupled open innovation is a model that combines the first two it is often narrowed down to joint development of new knowledge through collaborative partnerships where partners share their existing intellectual property in order to create new joint ownership on intellectual assets coupled open innovation can take forms of joint research consortiums joint venture agreements etc these practices are part of what we call today the open innovation culture which is also known as the cards on the table approach in a more connected world open innovation offers opportunities to reduce research costs increase differentiation in the market and create new revenue streams it is the new way for achieving bigger and greater success for business as well as social advancement all these questions of focus of the mapping project for more information please visit the site below

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