PA Consulting Group’s Open Innovation work has been profiled in The Independent in an article looking at how, with growth in most major industrialised countries likely to be modest for some time, organisations cannot rely on "business as usual" to see them through. Companies need to come up with products and services that are fresh and exciting.
According to the article, the problem is "that even companies with well-established and successful product-development processes are unlikely to have all the skills and insights necessary to achieve this on a regular basis. PA Consulting, the management consultancy, says that rapid rate of scientific, technological and socio-political change over the last decade is forcing most global companies to access a much broader range of ideas, talent and intellectual property to drive their businesses."
The article goes on to look at how Open Innovation is increasingly seen as a sensible approach for businesses of all sizes and in a variety of sectors. The article quotes PA’s definition of Open Innovation as "a model enabling businesses to create an innovation ‘eco-system’ that uses networks of external partners and focuses on developing core internal competencies only in areas where they can add real value. As such, it builds on past management thinking, including business process re-engineering (with its emphasis on breaking a business down to its component parts in order to streamline the processes) and outsourcing (with its focus on highlighting core strengths and hiving the more commodity-like facets to specialist providers)."
The article concludes that, while there is a growing realisation that the modern world is increasingly collaborative, nobody should see Open Innovation as a quick fix. A genuine strategy, a commitment to Open Innovation as well as a culture of openness are all key for Open Innovation to succeed.
You can read the article in full here.
To view PA pages on Open Innovation, please click here.