Why ‘open innovation’ is old wine in new bottles

Why ‘open innovation’ is old wine in new bottles

The concept of ‘open innovation’ has received a considerable amount of coverage within the academic literature and beyond. Much of this seems to have been without much critical analysis of the evidence. In this paper, we show how Chesbrough creates a false dichotomy by arguing that open innovation is the only alternative to a closed innovation model. We systematically examine the six principles of the open innovation concept and show how the Open Innovation paradigm has created a partial perception by describing something which is undoubtedly true in itself (the limitations of closed innovation principles), but false in conveying the wrong impression that firms today follow these principles. We hope that our examination and scrutiny of the ‘open innovation’ concept contributes to the debate on innovation management and helps enrich our understanding.

Weeknotes #226

This week I did:

Kanbanning it

We’re going to start using Kanban for our product development process from next week. It’s been a few years since I’ve used it and I’m a bit excited. We’ve been discussing things like what the work in progress limits should be for each part of the process and how to communicate this way of working to stakeholders.

The evolution of technology and innovation policy

This week’s lecture was about the evolution of technology and innovation policy, patterns of uneven technological development and innovation amongst countries, the role of the state and innovation policy and the market failure argument. I find these kinds of ‘interplay’ topics quite interesting. What is the relationship between the state and the market in creating innovation? How is technology development and policy creation connected in driving innovation? Where is innovation investment most effective, in improvements and efficiency gains to existing technologies and business models or on higher risk new new innovations? Utilisng new technology has two aspects, the knowledge about the technology, which is a public good that no one can be excluded from gaining, and the non-codifiable tacit capability which is dependent on organisational routines to make use of the knowledge. That’s an interesting interplay too.

Qualitative data analysis

The other subject of study this week was thematic coding for qualitative analysis. I found this more interesting than I thought I would. The process of formalising an informal body of information, but doing so in a way that is unique to you, is interesting to me. It connects with some of the thinking around note-taking methods like Zettelkasten and Building a Second Brain. I guess the difference is that in academic research the coding must be done after the information is collected to avoid any bias whereas most note-taking methods recommend coding at the same time as creating the note.

30 to go

My digital tools list is up to 470, making the target of 500 by the end of the year easily reachable. At some point I’m going to have to decide what to do with the list. I can either continue to add to it in Notion where no one else really knows it exists or uses it, or I can think about how to make it more public and usable.


Thought about:

Which project?

With so much of my time spent on studying recently I haven’t done very much on any of my side-projects (other than think of a few others to go on the list). I feel uncertain about how to choose which ones to work on, and about starting new projects without ever getting close to finishing any. I like LaunchMBA’s idea of launching twelve products in twelve months but I know I’m not going to have time for the next ten months. And maybe that isn’t the right approach for me because it is about finishing things and maybe what I want is just the creative expression of playing with these ideas.

Layers of abstraction

I’ve wondering about how you might represent the layers of abstraction in product thinking. At the most real and elementary level the digital products we build are just a bunch of electrons that are represented (or abstracted) by 1’s and 0’s in binary code, which is further abstracted through various levels of programming languages to create a graphical user interface that people can interpret and abstract through their actions into ideas that fit into mental models at the highest level of abstraction. However you slice the layers there has to be translation between each layer. How good that translation is matters. Our ideas make electrons move. And electrons move our ideas.

Design principles

How important are design principles? Or any principles for that matter? Does having vague concepts help to provide direction, make decisions, achieve anything? One of Yves Béhar’s principles for design in the age of AI, “Good design works for everyone, everyday”, for example, looks like it makes sense. It’s hard to see how or why anyone would disagree with it. But it’s also hard to see how it could be achieved in practice. Is that the point? Are principles meant to be aspirational, a representation of something we value and so aim towards, even if we never achieve it? But then, how do you stop a principle being a cliché, or just some that sounds good but is meaningless?

Pressure junkie

Under less pressure I’m achieving less. I used to sleep five hours a night, work 15 hours a day, and get lots done. Now, with so much less pressure I’m not being anywhere near as productive. Relying on self-motivation to get myself to do things I’m not too bothered about doing isn’t working. Maybe it’s a good thing. Maybe its time to learn to live without the pressure.

Audience building

The basic business model for the internet indie maker is to start with building an audience, which means figuring out what you want to be known for and by who. I did a bit of thinking about how my audiences might be, one for digital charity stuff and the other for indie maker stuff. All the stuff I’ve written and the ideas for products I’ve started have always been purely for my interest, so thinking about audience building brought up the question, ‘Do I need an audience’? It’s a prerequisite aspect of a business model, you need to have someone to sell to, and based on the thinking expressed in Courtland’s tweet below, everyone should have their own business model.

Permissionless apprenticeship

Permissionless apprenticeship is an idea from Jack Butcher, that if you want to grab the attention of folks that you admire – start apprenticing under them without even asking for permission. It’s interesting on many levels, from the obvious of using it as a way to learn from someone and (perhaps) get their attention, to seeing how the maker community responds. Of course, as is right with the indie maker ways of working in the open and sharing ideas, people from the community jump on the idea and build-out their own ways products from video courses to worksheets.


And read:

What makes a good cucumber?

I read about Gherkin Syntax to remind myself about the behaviour-driven development approach and writing acceptance criteria.

What makes a good charity?

NPC’s guide to charity analysis by Ruth Gripper and Iona Joy from 2016 is really interesting. With statements like: “The starting point when looking at any charity is to understand how it wants to change the world”, “Scale is not necessarily a sign of success”, and “the digital maturity of an organisation is likely to be constrained by its size, budget and leadership”, it seems to take a pragmatic view.

What makes an excellent charity?

The King’s Fund’s ‘Modelling excellence in the charity sector’ report from 2017 with it’s characteristics of GSK IMPACT Award winners list reads like a a bit of a how to guide for making an excellent charity. It includes ‘services strongly rooted in the community’ , ‘strategic partnerships where charities play an active role in identifying issues and finding solutions’, and ‘board skills that reflect the changing nature of the charity sector’. One of the ideas I found interesting was the mention of the ‘added-value’ charities could provide, so that when commissioned to provide a specialist service they also offer more generic related services. In the commercial world this might be called cross-sell.

Service dominant logic

In Systems Thinking in Design: Service Design and self-Services, John Darzentas and Jenny Darzentas state that, “Services have moved from being a peripheral activity in a manufacturing centred economy, to an engine for growth and society-driven innovation… Known more commonly as ‘Service Science’ its aims are to integrate findings from these different disciplines to achieve better understandings, tools and techniques for creating innovative services… Vargo and Lusch (2004) argue that services require a change of perspective or ‘logic’. having been based on a model of exchange they term ‘goods-dominant logic’. In this view, services are being treated as products, as tangible resources with intrinsic values and with a basis in transaction. That is, the customer obtains the goods/services in exchange for money, and that is the end of the interaction with the provider. In contrast, ‘service dominant logic’ (SDL) describes services as intangible resources. Providers do not provide value, but ‘value propositions’; that is customers decide whether or not to make value out of those propositions or offerings, in effect they ‘co-create’ with the service providers.

Triangulation in research

Triangulation is a method used to increase the credibility and validity of research findings. Credibility refers to trustworthiness and how believable a study is; validity is concerned with the extent to which a study accurately reflects or evaluates the concept or ideas being investigated. Triangulation, by combining theories, methods or observers in a research study, can help ensure that fundamental biases arising from the use of a single method or a single observer are overcome.” I wonder how much of the user research that is used to make decisions about websites, digital services, product development and business direction has been triangulated to any level of robustness?


Some people tweeted:

I’m a business, man

Courtland Allen, tweeted “You’re not an employee, you’re a business. We just changed all the names. Posting your resume is marketing, interviewing is sales, salary negotiation is pricing, your employer is your customer“. Like Jay-Z said, “I’m not a businessman, I’m a business, man.” It’s really interesting to think of individuals in this way as it changes the power dynamic between organisations and individuals (which is changing anyway).

Invest in your future self

Julian Shapiro, tweeted, “Judge your days by how much you invested in your future self. Judge your years by how much you cashed in on that investment“. It’s not about getting stuff done, it’s about getting stuff in service of future leverage and benefit.

Nocode, no problem

Whit tweeted, “Want to build your side project for less than $100? It’s very possible. We’ve done it 6 times in the last 3 months.” and goes on the explain the tech stack for each of the side-projects. Of course, building products is the easy part. Building an audience, building them something they want, and selling it to them, that’s far more difficult.

No future but what we make

Jason Crawford offers “Some visions of the future based on different views of technology“, which of course aren’t mutually exclusive unless you state ‘when’ the future is, but all take a dualistic opinion of technology being either good or bad. Perhaps the future for humanity and technology, as we learn more about complexity and systems thinking, is to move away from simplistic narratives.

The By-Product of Networks

The By-Product of Networks

https://www.100open.com/the-by-product-of-networks/

“People working in innovation often refer to “the innovation process” as if producing an innovation was just one more business process that can be engineered for maximum efficiency. This traditional approach attempts to manage innovation as a linear “stage gate” process. This is often referred to as “over the wall” – meaning I did my bit, now I throw it over the wall to the next fellow to work on. Unfortunately this process mindset is problematic because it isn’t how innovation really works.”

Verna Allee

Weeknotes #223

This week I did:

Stopped and went back

We’ve been prototyping the new product and had been coming up against lots of questions where our discussions revealed very different understanding, so we stop for a day and went back to re-work the wireframes to ensure we all had a shared understanding. Sometimes, stopping and taking a backwards step helps you move forward more quickly.

I had lots of fun using logic statements to describe how content will be displayed based on the ranked order of variables and the combinations of values. It’ll be interesting to see long the final statement is.

I’ve been experimenting with reporting using Microsoft Planner, exporting the current state to a spreadsheet and having formulas to generate a status update report. If I ever get time I’d like to create Google Sheets version of the report for others to use.

Statistics

This week’s lecture was about statistics. It feels like the most difficult subject we’ve studied in the entire Masters programme. Perhaps because there are lots and lots of new concepts to learn whereas all the other lectures were about one big concept, and perhaps because there is a right answer when it comes to using statistics, which again is different from all the other stuff we’ve learned about.

Build Better Systems Chatbot

I started mapping out the flow for the Build Better Systems chatbot. The chatbot (if I ever finish it) will allow someone to select aspects of a internet business model such as distribution channel and revenue model and then it asks them to decide what to do in situations one of their Twitter followers launching a copy of their business idea, and how many paying customers do they want to reach before they consider their business idea to be validated. Based on the answers they select their business will either succeed or fail. The point is to prompt makers to think about how they construct their business model in the digital age and making it robust to respond to challenges. There are lots of variations in the flows so it’s going to be the most complex chatbot I’ve ever built.

300 Digital Tools

My Digital Tools list has reached 300 and I’ve set myself the target of 500 by the end of the year.


I read:

Innovation in the charity sector

I’ve been collecting research papers as part of the literature review for my dissertation on innovation in the charity sector, including one from 2016 on using Facebook as a fundraising tool (it’s effective depends on how you measure: direct impact on income is low, impact on connecting with supporters (presumably some make donations) is high) and another that looked at the metrics charities use to measure their marketing activities. Aside from these being interesting in their own right, I haven’t yet found anything that relates to my field of study.

Innovation as an emergent product of a value network.

I listen to a talk by Roland Harwood about entrepreneurial activism with lots of interesting ideas about how to use entrepreneurialism in places like South Africa, which has huge wealth inequality, to establish small businesses in deprived areas which kick-start economic growth and make corporate organisations invest in those areas in order to grow the market. He talked us needing a pragmatic vision of the future and mentioned quotes such as “Innovation is a byproduct of networks” from Verne Allee.


Thought about:

The difference between meetings and workshops

Meetings might be led, but often not. Workshops are facilitated.

Meetings are meandering. Workshops are structured.

Meetings are about ‘something’. Workshops are for ‘something’.

Meetings create more meetings. Workshops generate outputs.

Give and tech

If we say that civil society is characterised by individuals choosing to use personal resources for collective gain, from donating time and money to a charity, but often with no gain for themselves (arguable, as there are very different types of value but anyway…). And if tech ethics discussions are around what we and others give up in return for what we and others gain, such as data in a network effects system where the more data we all contribute the more benefits that data can lead to for everyone. Both involve us understanding ourselves as part of a complex system of other people and technology with non-linear effects.


Some some people tweeted:

Heads together

Wayne tweeted: “Thinking of creating a cross sector working group looking at transformation from every angle. Digital. Strategy. Fundraising. NPD. Wellbeing. Etc. Each month we pick a problem, put our heads together and try to solve it. For free. Anyone interested?” This made my think about Nesta’s Collective Intelligence Design Playbook and how some of the techniques in it could be used to record the outputs of all those heads coming together to solve problems in ways that can be used and built upon by more charities, perhaps a bit like Catalyst’s Service Recipes.

Regulate

Philliteracy tweeted, The Charity Commission’s recent efforts to win friends and influence people <ahem> got me thinking about why we have a stand-alone charity regulator here in the UK.” and went into a really interesting thread about the history of the idea and application of an organisation responsible for charity regulation. How the state introduces and manages controls within the civic space (and market for that matter, given all the talk about regulating the tech industry) is important when thinking about what problem regulation is designed to solve, and who it solves for.

The future hasn’t arrived yet

David Mattin tweeted a thread about “the Four Futures framework, and it’s an amazingly powerful tool for thinking about what comes next“. The thread goes on to explain how, based on the work of professor James Dator, all predictions for the future fall into one of four categories; Growth: the present order continues to develop along its current trajectory, Collapse: our current trajectory comes to a sudden halt; the present order falls apart, Discipline: new restraints are imposed on the present order to prevent collapse, or Transformation: entirely new systems are found; we transcend the present order. The stories will tell ourselves about the future of anything always falls into these narratives.