In today’s technology age, competition and informatics conditions are in a transformation. Businesses are also keeping up with this transformation by changing and improving their business methods. The concepts of R&D and innovation emerged in this direction. Starting from the concept of innovation, the concept of open and closed innovation has taken place in companies.
In this article:
– What is open innovation?
– What is closed innovation?
We will answer your questions together.
Closed Innovation is based on the belief that solutions can emerge from existing internal sources. Ideas often come from project managers and leaders. Because of these characteristics, it is necessary to ensure that the best talent (researchers, technicians, experts, etc.) is recruited and retained, which is often very expensive.
There is a prevailing belief that it is necessary to present the best ideas to lead the competition. The winner is the person who first brings the innovation to the market. The process from generating ideas to development and marketing takes place exclusively within the company.
Therefore, it is impossible to go outside. Innovations are improved only within clearly defined company boundaries. Know-how, technology, processes, and intellectual property are under the control of the innovative company.
Open innovation is a structure that uses both internal and external resources to develop new products and approaches. This ranges from promising academic researchers to employees at other companies.
Open Innovation seeks the best wherever it may be. It provides knowledge-based imports and exports to improve and accelerate their own innovations. It encourages the exchange of ideas and experiences beyond company boundaries. Organizations leverage their best talents and look for reinforcements in the market (universities, consultants, business partners, etc.). They make maximum use of internal and external ideas. The leadership of the competition isn’t about presenting the best ideas, it’s about making the most of the ideas that come up.
Jr. Digital Marketing Specialist