Open Innovation. Digital World. in a. Albert MEIGE. March 16 th,
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1 Open Innovation in a Digital World Albert MEIGE March 16 th, 2017 albert.meige@presans.com
2
3 The Parrot AR.Drone case: story of the autodidact visionary CEO meeting a young innovative genius in his garage!
4 New territory exploration: a success! GAMING AEROSPACE SPORT Pascal Zunino ROBOTICS AUTOMOTIVE Parrot The sine qua non conditions of success were: an innovative CEO, knowledge seeking, rapid sourcing of external bricks and rapid experimentations. Is this possible in large companies?
5 Presans: on-demand teams of experts for innovation
6 An overview of recent, disruptive trends that induce changes in the way large corporations deal with innovation. INNOVATION INTELLIGENCE Commoditization. Digitalization. Acceleration. Major Pressure on Innovation Drivers. Albert MEIGE Jacques P.M. SCHMITT Prefaces: Marc Giget President, European Institute for Creative Strategies and Innovation and Jean-François Minster Senior Vice President Scientific Development, Total
7 NO MAGIC (Before you ask)
8 PART one 3 fast disruptive changes: or how opening to academia and startups became essential
9 Knowledge growth rate and acceleration Million / year One century of scientific papers Data from Chemical Abstracts patents books papers 0
10 Venture Capital: the rise of SME technologies B$ 122 B$ 174 B$ # employees - - < 1k 1k< - - < 5k 5k< - - < 10k 10k< - - <25k 25k < - - Relative distribution of R&D effort in US companies according to the company size (data from NSF)
11 Knowledge: from scarcity to distributed commodity It is less risky, less costly, and less time consuming to seek for new knowledge outside. Time is critical (in particular because of the barbarians of the web).
12
13 Kano s model Customer satisfaction Excitement MISSING Product functionality WELL IMPLEMENTED
14 Michelin does NOT sell tires... they sell kilometers Why? Because the end user wants kilometers. What does it mean? That Michelin sells a service. What does it imply? That it is changing not only the business model, but also the underlying product. What do you mean? I mean: new materials. IOT also!
15 Permanent fight against commoditization Even the most complex systems become commoditized. FASTER & FASTER. Product complexity is leaning towards services. Knowledge is not only about technological bricks, but also human values. Innovation is the art of assembling bricks.
16 How Apple caught with the music sharing wave they had missed Step 1: itunes Apple hired Jeff Robin to make itunes from SoundJam in 4 month (Jan. 2001). Step 2: ipod Apple created a dream team to create the ipod in 8 months (Q4 2001) including one from outside the organization. Step 3: itunes Music Store Apple introduced the itunes Music Store in 2002 to solve the piracy issues. The product was an integrated system and ecosystem: itunes + ipod + ipod software + itunes Music Store. Most technological bricks were sourced outside of the organization.
17 Your have liked the GAFAs, you will love the NATUs GAFA: Google Amazon, Facebook, Apple NATU: Netflix, Airbnb, Tesla, Uber They have impacted strongly historical industrial sectors, and yours is currently at risk! Sell and buy stuff Buy music Listen to music Stay somewhere Buy books and more Go somewhere
18
19 Accelerate the world s transition to sustainable energy Elon Musk: Mission of Tesla-SolarCity
20 At the intersection of people, machines, big data, and analytics stands Predix: The cloud-based platform powering innovative Industrial Internet apps that turns real-time operational data into insight for better and faster decision-making.
21 What could be the Uber of Oil & Gas? Leverage your data to better serve you. Suppliers of Total, such as GE (Predix), are putting more and more sensors: they own the data. Leverage your data to better squeeze you. Geoscience data collected by Total is owned by the states. In a context of open data, certain states could decide to make this data available to others to get the best services. Leverage your know-how to help competitors. IBM could help Total with its Artificial Intelligence system Watson. Training the system with proprietary know-how could lead to its diffusion.
22 What are the sinequa non conditions to the Digital Barbarians success? 1 Data is gold 2 Open is key 3 Fast & Furious is the rule Who owns the data wins the battle They think in terms of system and ecosystem. They make others work for them. You should think the same, but remember rule #1 Digital players are fast. They have introduced new methods that start to diffuse in more hardware areas. Use digital companies to be as fast, but remember rule #1
23 Disruptive digital tsunami Digital Barbarians attack from everywhere. In all traditional sectors. They steal your customer relationships and your margins. And they are fast. Very fast
24 1 Knowledge: from scarcity to distributed commodity 2 Permanent fight against commoditization 3 Disruptive digital wave OPEN INNOVATION COMPLEX PRODUCTS & DRIFT TOWARD SERVICE FAST AND FURIOUS Companies must combine multiple and disparate areas of knowledge outside of their core businesses, and they must do it faster and faster. Data is gold. Open is key. Fast & Furious is the rule.
25 PART two 3 recent levers: or how to get the velocity and agility of the startup with several tens or hundreds thousands of collaborators
26 Concentration and focusing 50s to mid-70s Bell Labs (Murray Hill - New Jersey) Experts are isolated strong diggers choosing themselves where to dig deep Researchers push their own research. Best experts are the diggers themselves. Very little collaboration between researchers. The organization fishes in its own thinking tank and innovations pop up. Big corp s have plenty of time for deploying industrially their basic discoveries.
27 Cross-fertilization mid-70s to late 90s What s new? Getting to the bottom of the silo takes to much time and industrial systems are more and more complex. Xerox Parc (Palo Alto California) Experts from various fields dig sideways to tackle specific needs Rise of a new type of system-oriented researchers. Best experts have their network to track novelties. Fertility arises from collaborative interactions between various fields.
28 Connection Beginning of the 21 th century What s new? Knowledge inflation and the Internet. Industry has discovered that it is cheaper and faster to get new knowledge outside the walls of the company. Apple Campus (Palo Alto California) Experts are knowledge scouts who can gear shift on new sector of knowledge with speed and talent Knowledge is out-there and it is fluid. The new high-value of research in companies is to scout and organize knowledge. Experts are experienced in changing topic (and therefore faster to enter a novel areas). Back to the Philosophie des Lumières.
29 Steve Sasson NEW TERRITORIES
30 1Identify new territories 2Leverage rapid experimentation 3Create a business (potentially killing existing business)
31 Proximity of the CEO Rise of Innovation Transversality (not only technology)
32 Métier Enable Conviviality Opportunity Platform Augmented Home Entertainment Project Gutenberg Drives Intelligence to detect phenomena (megalopolis, womanempowerment, digital etc.)
33 A new place: the Innovation Lab and many others
34 Labs: is it a fade, or the Darwinian response to rapid environmental changes?
35 Kill your business Jack Welsh
36 Summary
37 1 Lean towards services Acceleration (commoditization & digitalization) 2 Rapid Experimentation Use Labs for agile and real-life feedback Dynamic and open, project-oriented 3 and digital enabled companies Towards new form of organizations
38 Some of my slides are available on my LinkedIn. Friend me! linkedin.com/in/meige To go further, read this Innovation Intelligence Amazon (2015) Parrot Harvard Business Review France (2015) Vers la mort des grandes entreprises? Les Echos (2016) Vers une uberisation des métiers de l entreprise? les Echos (2016) Luc Ferry et Albert Meige discutent du transhumanisme dans l oeuvre de Michel Houellebecq Table Ronde sur le Transhumanisme (2016) En 2033, on ne travaille plus, on transfer, TEDx Talk Ecole Polytechnique (2016)
39 REMIX 57 rue Turbigo Paris France
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