ABSTRACT
Coming together is a beginning; keeping together is progress; working together is success.
Henry Ford
Open Innovation is the use and application of collective intelligence to produce a creative solution to a challenging problem, as well as to organize large amounts of data and information. The term refers to the use
Definition ........................................................................................................275 User ..................................................................................................................276 Often Used in the Following Phases of the Innovative Process ...............276 Tool Activity by Phase ...................................................................................276 How to Use the Tool ...................................................................................... 277
Twelve Steps to Follow ............................................................................. 277 Examples ......................................................................................................... 285
Internal ....................................................................................................... 285 External ...................................................................................................... 286
General Electric .................................................................................... 286 IBM ........................................................................................................ 287 Procter & Gamble ................................................................................ 287
Software .......................................................................................................... 287 References ....................................................................................................... 290 Suggested Additional Reading .................................................................... 290
of both inflows and outflows of knowledge to improve internal innovation and expand the markets for external exploitation of innovation. The central idea behind Open Innovation is that, in a world of widelydistributed knowledge, companies cannot afford to rely entirely on their own research, but should instead buy or license processes or inventions (i.e., patents) from other companies.
