Product Development

Insights from PDMA Essentials: Open
Innovation Tools for New Product

Development
Charles Noble
Serdar Durmusoglu
Abbie Griffin
Product Development and Management Association
Closed Innovation
(Innovation often Top Secret until revealed to the world focus on internal
development!)
Open Innovation: Porous Firm Boundaries

Regarding Innovation!
Why this book?

Demystifying this fundamentally
different approach to innovation
Clear & Implementable tools
Expert, first hand insights
Tales from the front
A focus on keys to success and
challenges
Organizing the Work
Generate
Design
Evaluate
1
0
11
Develop
6
12
Deliver
Major Sections
Open Innovation
in the Fuzzy Front End
in the Development Stage
with Universities
for really big initiatives
Best Practices and Advice for Open Innovation
Highlighting Some Great Contributions

Keeping up with the Virtual Voice of the
Customer Social Media Applications in
Product Innovation
Dubiel, Brexendorf & Glockner
On to the Experts!
User Collaboration Through
Private Online Communities
Troch & De Ruyck
Thomas Troch is Senior

Research Innovation Manager
at InSites Consulting. With a
background in product and
service design and a passion for
understanding people, Thomas
connects global brands like
Heineken, Unilever, Vodafone,
and Philips with their
consumers through new
technologies like private online
communities.
Catalyzing Tacit Knowledge Exchange

with Visual Thinking Techniques to
Achieve Productive Open Innovation
Collaborations
Kreutz & Benz
Karen Kreutz is a chemical engineer and

product development professional who
is passionate about innovating how we
innovate. She spent 28 years at P&G in
Open Innovation capability
development and in the design of
consumer-inspired products and
marketing messaging. She is aspiring to
make a difference in how the world
collaborates for innovation by offering
knowledge modeling services via
ILUMINOV, LLC.
How to Work with Small Companies

to Expand Your Open Innovation
Capabilities
Rainone, Rainone & Musial
Louise Musial is Vice President of Business

Development at PCDworks, where she
continues to build the company brand and
connect the dots between engineering, open
innovation and industry trends. She has
authored numerous articles for technical
magazines, is a regular contributor to Product
Design and Development (PD&D) magazine,
and recently hosted a 20-episode web series
on up-and-coming innovative companies.
Rainone also lectures regularly on the topics of
Innovation, Open Innovation and business
trends in R&D. In addition, she sits on the
board of PCDworks and Backcountry Medical
Guides.
10
Thanks!
11
PDMA PIM 2014 Conference

Denver, CO
October 2014
I made it
myself
The IKEA effect

Labor enhances affection for its results,
when it is fruitful.
A world of
Crowd-Everything
Broadcasting
Oliver records songs in his home studio and publishes them on his YouTube channel.
Improving
Kalifa improves the engine of his 1972 Citron SM and uses online instructions to do so.
Crowdfunding
Ian raises money to produce the film hes featuring in.
Presumers
Consumer involvement before launch.
The crowds got talent

User-generated Muji products outperform their designer-generated counterparts.
Watch out for a
parallel universe
Be Open
Be Agile
From Crowd-everything
to Co-everything
Open Innovation
New Product Development Essentials from the PDMA
USER COLLABORATION
THROUGH PRIVATE
ONLINE COMMUNITIES
Uncover new insights
On a quest for universal insights

Mobilizing urban parents around the world for Quinny
120 urban parents, 7 cities

Suddenly mobility in the city becomes limited

Generate and craft ideas and concepts
Creating a branded innovation playground

Heineken Open Design Explorations
From insight to idea

Heineken Open Design Explorations
EXPERT
YOUR LOUNGE
THE
ROOM
JOURNEY
CHALLENGE
LETS GET SOCIAL
High
involvement
Independent
innovators
Social
influencers
Social
independence
Interpersonal
influence
Laggards
Followers
Low
involvement
Up to 40% sales increase

Heineken Designed for the Night program
Prototype and prelaunch the proposition
Vodafone smartphone applications

Users get access to beta versions of Vodafone services to fine-tune them together.
Vodafone smartphone applications

Users get access to beta versions of Vodafone services to fine-tune them together.
Structural collaboration.
Match the iterative cycles of the NPD process
Generate and craft ideas and concepts

Uncover new insights
Prototype and prelaunch the proposition
Session Date:
Tuesday, October 21st, 2014
Session Time:
2:00 pm to 5:00 pm
Session Room:
Mount Columbia
Meet Karen & Kim
Innovation
Whats
Needed
!
Consumer Centric
Solution Space
Whats
Possible
Insight
Innovation
is a
human activity
that occurs as a
heuristic process
in a
social context.
Tacit Knowledge Exchange Challenges

1
1
1
1
Got Trust?
Two Branches of Visual Thinking

Graphic Group Processes
Architecture of
knowledge display
is
determined by
templates
or
by the flow of
captured
conversations
Knowledge Modeling
Architecture of
knowledge
organization
emerges
organically from
the themes and
patterns in the
elicited
knowledge
Kreutz/Benz
Copyright 2014
Choice
Engage
Fulfillment
Your Next Steps

Choose to be
proactive
about catalyzing
Tacit
Knowledge
Exchange
OPEN INNOVATION TOOLBOOK:

Working with Small Business in Open
Innovation
Presented by
Louise Rainone- Musial
A lot of people in our industry

haven't had very diverse
experiences. So they don't have
enough dots to connect, and they
end up with very linear solutions
without a broad perspective on
the problem. The broader one's
understanding of the human
experience, the better design we
will have.
Steve
Jobs
WHO IS THIS WOMAN AND WHY IS SHE

HERE?
Director of Strategy and Business Development PCDworks

I am not an Innovator - I am a connector
I am a people champion! I believe that anything is possible if you put
the right group together.
What is PCDworks?
NPD and Innovation Firm - Immersive Innovation in house
methodology
Specialize in highly technical problem solving
We works across industries Oil and Gas, Medical, Consumer, Industrial,
Military, etc.
2 successful spin off companies 1 acquisition working on 3rd launch
Q2 2015
We dont claim to have the answers but we are trained to dig for them
Our campus is imperative to our success in Innovation.
Definitions
Why do we have to define our terminology?
Unique perspectives
Different Experiences
Same words different meaning
Open InnovationThe use of external ideas, individuals, and
companies, along with ideas, tools, and
opportunities internal to the corporation, to
advance technology development to create
value.
What OI can include:
Crowdsourcing NineSigma, Innocentive
Portals P&G Connect and Develop, Clorox
Universities Technology Transfer Offices
Consulting Companies
Challenges with Corporate Innovation Today
Reactive Not Proactive about Innovation

Near sighted in NPD
Beholden to Shareholders
Risk Adverse Fear of Failure
Innovation is Gray Corporate Accountants Do NOT like Gray
Why Small Companies are Great Open Innovation Partners

Agility
Quick Decision Making Ability
Less Bureaucracy Less Red Tape
Entrepreneurial by Nature so they
have to Adapt Quickly
Decisions are made daily due to the
speed that Innovation happens
Do or Die Mentality
Motivated Leaders A must do
attitude
Comfortable with Risk Typically run
by Entrepreneurs so they
understand how to handle risk
Freedom to Execute on Vision
A PASSION FOR THE WORK Onward
through the fog
All things yield to persistence
No internal R&D
group can possibly
predict, evaluate or
cover all the possible
designs or competitive
positions
James Brian Quinn,
Outsourcing Innovation: The New
Engine of Growth
Why Small Companies are Great Open Innovation

Partners
Employee Retention
Everyone plays an important role in small organizations
Creates Ownership
Collaborative by necessity
Innovators in small companies typically get to have a hands
on experience.
A lot to gain by the successes.
Fresh Perspective
See a spectrum of industries
New Eyes from outside can help open your eyes to the
possibilities
Practice Makes Perfect well not exactly
Practice is the key to being good at anything from sports to
music to innovation
An Environment in which Innovation and Smart Failure is
Celebrated is KEY to Innovation.
Cost Effective
Product
and Management
Association
NotDevelopment
necessarily cheap
but what does
it cost you to hire
someone internally?
Google X -
PLEASE Remember:
OI is a tool not a Magic Bullet for
your Innovation
Define your needs for Innovation
and Open Innovation
This will help you find the right
partner
OI is NOT A ZERO SUM GAME
Keep in mind people create

innovations not
companies

Product Development

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Insights from PDMA Essentials: Open

Innovation Tools for New Product

Product Development and Management Association

Product Development and Management Association

Open Innovation: Porous Firm Boundaries

Product Development and Management Association

Why this book?

Product Development and Management Association

Organizing the Work

Product Development and Management Association

Highlighting Some Great Contributions

Product Development and Management Association

Thomas Troch is Senior

Catalyzing Tacit Knowledge Exchange

Karen Kreutz is a chemical engineer and

How to Work with Small Companies

Louise Musial is Vice President of Business

Product Development and Management Association

Product Development and Management Association

PDMA PIM 2014 Conference

Product Development and Management Association

Product Development and Management Association

Product Development and Management Association

The IKEA effect

Product Development and Management Association

Product Development and Management Association

Product Development and Management Association

Product Development and Management Association

Product Development and Management Association

Product Development and Management Association

Product Development and Management Association

Product Development and Management Association

The crowds got talent

Product Development and Management Association

Watch out for a

Product Development and Management Association

Product Development and Management Association

Product Development and Management Association

Uncover new insights

Product Development and Management Association

On a quest for universal insights

Product Development and Management Association

120 urban parents, 7 cities

Product Development and Management Association

Suddenly mobility in the city becomes limited

Product Development and Management Association

Product Development and Management Association

Generate and craft ideas and concepts

Product Development and Management Association

Creating a branded innovation playground

Product Development and Management Association

From insight to idea

LETS GET SOCIAL

Product Development and Management Association

Product Development and Management Association

Product Development and Management Association

Up to 40% sales increase

Product Development and Management Association

Prototype and prelaunch the proposition

Product Development and Management Association

Vodafone smartphone applications

Product Development and Management Association

Vodafone smartphone applications