Open Innovation: A critical success factor when you build your innovation journey

We are currently experiencing one of the most significant transformations of our history. In 2030, 75% of the global employees will be “digital natives,” who grew up surrounded by mobile devices, mobile communication and the Internet. “The Internet of Things” has become a reality and more than 1 billion users are online in social networks everyday, influencing products and brands. Their interactive behavioral patterns are constantly shifting and a pre-digital world is now inconceivable.

The process of Digital Transformation is not a new phenomenon – it started many years ago and we understand it as a phenomenon with two major dimensions:

  • Technological change (and digital data processing as one part of it).
  • A large scale transformational process that is comprised of strategic, organizational and socio-cultural changes as the second part.

The combination of these processes has a major impact on the way we work and the way we lead. Digital transformation challenges established new business models and management approaches. Therefore, when we talk about digital transformation, we refer to all the changes that are driven by the rapid development of digital technology.

Most of the companies we talk to have to ask themselves two key questions: What do we need to be successful in the digital age? and How can we change the way we work and the way we interact with our customers, to ensure that we know their needs at all times to respond in an agile and fast way?

As a consequence there is not a “one size fits all” solution – each company needs a unique plan to drive innovation and change successfully. However, there are some proven measures with high impact on revenue growth, cost and time savings and improved effects on customer satisfaction – one of them Open Innovation (also known as crowdsourcing). Recently in the Gartner 2016 CIO Survey, they discovered that crowdsourcing is one of the most effective, leased used digital innovation practices, which correlates with the highest digital return.

I encourage each company (regardless of size and industry) to discover the power that can be generated by working with a crowd to develop and improve solutions and service offerings. That crowd can be comprised of your employees, your clients or your ecosystem. However, successful innovation management goes beyond the research and development department. On the contrary, it aims to involve each individual – a major step towards cultural change in the digital age!

Don’t leave innovation to chance. Digital technology has changed the possibilities open to clients – and they utilize those possibilities by changing the rules. They now expect simple, seamless and personalized user experiences – anytime, anywhere and on any device. A company’s success therefore depends on maintaining a dialogue with the outside world. This goal can only be achieved by working closely together in a sustainable way – crowdsourcing allows you to do just that.

Embedded in your overall corporate strategy, Open Innovation is one key success criteria of your innovation journey and your chance for instant change. Want to learn more? Check this out: Silicon Valley meets Europe – Innovation Tour.

 This blog is a re-post of an original that appeared on Linkedin Pulse
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