Paul Sloane is a well-known author and speaker on open innovation. In this session, Paul will takes through the breadth of what open innovation can be for organizations and the value it can bring. Of course, innovation where other parties are involved means a different leadership approach. Paul takes us through keys to effective leadership when open innovation is part of our innovation strategy. In this session, you will learn: What is Open Innovation and why is it important for your business? Who is using Open Innovation? What are the main difficulties and impediments to OI and how can we overcome them? What is crowdsourcing and how can we use it?

1. The Leadership of
Open Innovation
With Paul Sloane

2. About the Conference
6 Education-packed sessions

3. About Paul Sloane
Paul Sloane
Paul Sloane is an author and keynote speaker on lateral
thinking and innovation. He is the author of many books
ranging from lateral thinking puzzles to the leadership of
innovation. He worked in Sales at IBM. He became
Marketing Director and then Managing Director for Ashton-
Tate UK and VP International for Mathsoft. He works with
corporate clients in UK, USA, Middle East and Germany.
His books include The Innovative Leader, The Leader's
Guide to Lateral Thinking Skills, A Guide to Open
Innovation and Crowdsourcing, and Think like an
Innovator.

4. What is……
• Open Innovation?
• Crowdsourcing?

6. Inbound OI
• "Outside In" OI is when you access other people's assets to add value
to the products and services that you deliver to the market.
6

7. Outbound OI
• ”Inside Out" OI is when others access your assets to add value to the
products and services that they deliver to the market.
7

8. OI – basic principles
• Your customers really don’t care where the solutions come from – why
should you?
• There are more smart people outside your organisation than inside
• OI increases the number & range of solutions to your technical & product
problems
• OI increases routes to market
• OI can be faster
8

9. Who is using OI?
• Unilever
• Kraft Foods
• Psion
• LG Electronics
• Nokia
• Intuit
• P & G
• IBM
• Reckitt Benckiser
• Dell
• Kimberley Clark
• Johnson & Johnson

10. Models for OI
Instructions
Invitations
Directed
None
Few Everyone

11. Models for OI
Instructions
Invitations
Directed
None
Few Everyone
Directed, Invitational
Suggestive,
Invitational
Directed, Participative
Suggestive,
Participative

12. Models for OI
Instructions
Invitations
Directed
None
Few Everyone
Directed, Invitational
Suggestive,
Invitational
Directed, Participative
Suggestive,
Participative
Dell’s IdeastormIBM’s Idea Jam
P&G C&D, Innocentive Deep Water Horizon

13. Dell and Starbucks
Dell Starbucks
Ideas Submitted 23300 150000
Votes 747000 2000000
Comments 101000
Ideas Implemented 549 277
% 2.4% 0.2%

14. Crowdsourcing Examples
• Challenges
• Naming Force
• Innocentive
• Topcoder
• Co-Creation
• Threadless
• Lego Ideas
• Finance
• Crowdcube
• Kickstarter

15. Innocentive.com

16. Threadless.com

17. Inbound OI at large
companies
17

18. P&G
• Open Innovation projects (external input >50%) reportedly achieve 70%
higher NPV than internal projects
• Goals for Connect & Develop
• C&D to triple its contribution to P&G’s innovation development by delivering $3
billion toward the Company’s annual sales growth
• P&G to become the Partner of Choice for innovation collaboration by consistently
delivering win=win relationships
18

19. P&G Connect and Develop

20. Unilever
• Target of 70% of the pipeline to be enabled by OI
• The objective is to “move to seamless”
20

21. Shell
• Gamechanger, seeking proposals for radical innovation
• External Technology Collaboration, primarily with suppliers
• Shell Technology Ventures, an investment fund for early stage companies
• Shell Techworks, looking to rapidly prototype technologies already
proven elsewhere
• Shell Ideas 360, a global idea competition for students
21

22. Soda-lo – Eminate and Tate & Lyle
• Challenge – reduce salt content in food
• Technology developed at Nottingham University with Eminate Ltd,
E.Midlands Food & Drink Network, Tate & Lyle
• Smaller crystals can reduce salt by 25-50% with same taste
• Patent – 2009
• License to T&L – 2011
• Launch 2012
• http://www.eminate.co.uk/projects/soda-lo-salt-microspheres/
• http://www.tateandlyle.com/ingredientsandservices/Chooseaningredientorser
vice/EuropeMiddleEastAndAfrica/Pages/SODA-LO®SaltMicrospheres.aspx

23. Ten Tips for OI Success
1. Define what you want to achieve
2. Set Goals
3. Measure your level of openness
4. Define your challenge

24. Ten Tips for OI Success
5. Choose your method
6. Design your portal
7. Think win/win

25. Ten Tips for OI Success
8. Put the right people on the case
9. Get a good legal agreement
10. Maintain high-level involvement

26. How Open are you?
• How many ideas from outside the organisation did you implement
last year?
• Could someone with a great idea for your company easily reach the
right person?
• How would they be handled?
• Are you actively looking outside for ideas?

28. Open Innovation & Crowdsourcing
Paul Sloane
psloane@destination-innovation.com
www.destination-innovation.com
@paulsloane

29. 29
Q&A

30. 30
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