industry Open innovation in the food and beverage Edited by Marian Garcia Martinez

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1 Woodhead Publishing Series in Food Science, Technology and Nutrition: Number 243 Open innovation in the food and beverage industry Edited by Marian Garcia Martinez Oxford Cambridge Philadelphia New Delhi Woodhead Publishing Limited, 2013

2 Contributor contact details xiii,. Woodhead Publishing Series in Food Science, Technology and Nutrition xix,.. Foreword by J. Hyman xxvii Foreword by W. H, Noordman and E. M. Meijer xxxiii Part I The changing nature of innovation in the food and drink industry 1 Trends in the acquisition of external knowledge for innovation in the food industry 3 M. Acosta, D. Coronado ande. Ferrdndiz, University of Cadiz, Spain 1.1 Introduction 1.2 Reasons for open innovation in the food industry Measuring open innovation in the food industry Sources and types of data Results of the open-innovation study Conclusions Acknowledgements References 1.9 Appendix: concordance between agri-food technological sectors and International Patent Classification (IPC) The tension between traditional innovation strategies and openness: Lindt's controlled open innovation approach 25 V. Laziarotti andr. Manzini, Cattaneo University -LIUC, Italy 2.1 Introduction 2.2 Literature review 2.3 Research method for Lindt case study Open and closed innovation at Lindt

3 vi 2.5 Lindt's open-innovation approach in practice: the innovation project Noccior Results of controlled open innovation in the Lindt case Conclusions References 36 3 The role of open innovation in the industry convergence between foods and pharmaceuticals 39 S. BrUring, University of Applied Sciences Osnabriick, Germany and Wageningen University and Research Centre, The Netherlands 3.1 Introduction A brief literature review on industry convergence Convergence-related challenges and the role of open innovation Evidence for industry convergence between foods and pharmaceuticals Open innovation in order to cope with convergence in the neutraceuticals and functional foods (NFF) sector...«>!-, > Conclusion. 5;;6,,«3.7 Future trends References 59 4 Accelerating the innovation cycle through intermediation: the case of Kraft's melt-proof chocolate bars 63 R. Wielens, NineSigma, Belgium 4.1 Introduction From research to search in company innovation Key capabilities in open innovation From idea-driven innovation to need-driven innovation Case study: melt-proof chocolate bars from Kraft Conclusions Future trends References 72 5 The impact of open innovation on innovation performance: the case of Spanish agri-food firms 74 C. Bayona-Sdez, T. Garcia-Marco and M. Sanchez-Garci'a, Unh>ersidad Ptiblica de Navarra, Spain and C. Cruz-Cazares, University ofbarcelona, Spain 5.1 Introduction: the agri-food sector and innovation How innovative are Spanish agri-food firms? Measuring open innovation in Spanish agri-food firms The effect of openness on the innovative performance of firms Conclusions References 93

4 LIUC, vii Part II Partners and networks for open innovation 6 Partnering with public research centres and private technical and scientific service providers for innovation: the case of Italian rice company, Riso Scotti 97 ~ V. Lazzarotti and R. Manzini, Cattaneo University Italy 6.1 Introduction The role of private technical and scientific service (TSS) providers: advantages and limitations The role of universities and public research centres: advantages and limitations Riso Scotti case study Conclusions and managerial implications References Consumers as part of food and beverage industry innovation S. E. Kemp, Consultant, UK 7.1 Introduction Understanding food and beverage consumers and their world Ill 7.3 Consumer-centric company culture for innovation Consumer-driven innovation process Consumers as co-creators Conclusion Future trends Sources of further information and advice References Co-creation of value with consumers as an innovation strategy in the food and beverage industry: the case of Molson Coors' 'talking can' 139 M. Garcia Martinez, Kent Business School, University of Kent, UK 8.1 Introduction Co-creation of value with consumers Research design Molson-Coors Brewing Company UK (MCBC-UK): the need for consumer-driven innovation The discover style of open innovation The 'talking can': co-creating value with consumers Discussion Conclusion References 151

5 viii 9 Collaborative product innovation in the food service industry. Do too many cooks really spoil the broth? 154 A. /. A. Costa, The Catholic University ofportugal, Portugal 9.1 Introduction A review of open-innovation practices in the food industry Collaborative product innovation (CPI) in the food-service industry: the path of diffusion of sous vide cooking in the US Conclusions and future trends References Effectiveness of cluster organizations in facilitating open innovation in regional innovation systems: the case of Food Valley in the Netherlands 174 S. W. F, Omta, Wageningen University and Research Centre, The Netherlands and F. T. J. M. Fortuin, Food Valley Organization,, The Netherlands and Wageningen University and Research Centre, The Netherlands 10.1 Introduction Theoretical background The Dutch agri-food sector and Food Valley Organization Conclusions Future trends Sources of further information and advice References Appendix 1: the four main functions of Food Valley, including fifteen services, activities and information sources Appendix 2: assessment of small to medium-sized enterprises and large companies of the importance of Food Valley functions Appendix 3: member company assessment of the importance of Food Valley functions by company type The importance of networks for knowledge exchange and innovation in the food industry 189 B. Ktthne, V, Lefebvre, C. Cochez and X. Gellynck, Ghent University, Belgium 11.1 Introduction Knowledge exchange and innovation and the importance of networks Network methodology, a case study approach Results of the three Flemish case studies Conclusions and future trends References 208

6 ix Part III Establishing and managing open-innovation partnerships and networks 12 Managing open-innovation communities: the development of an openinnovation community scorecard 215 /. Blohm, University of St. Gallen, Switzerland, J, M. Leimeister, Kassel University, Germany and H. Krcmar, Technische Universitctt MUnchen, Germany 12.1 Introduction Introduction to open-innovation communities and their management Development of an open-innovation community scorecard Implementation of the open-innovation scorecard Conclusion and future trends References Appendix 1: data sources of success measures Appendix 2: member survey The evolution of partnering in open innovation: from transactions to communities 235 K. G. McFarthing, Innovation Fixer Ltd, UK 13.1 Introduction Identifying and securing partners Building and structuring relationships Ecosystems Human factors Building a community Conclusion Acknowledgements References Managing co-innovation partnerships: the case of Unilever and its preferred flavour suppliers 254 M. Tepic and S. W. F. Omta, Wageningen University and Research Centre, The Netherlands, F. T. J. M. Fortuin, Food Valley Organiza tion, The Netherlands and Wageningen University and Research Centre, The Netherlands and A. Saris, Wageningen University and Research Centre, The Netherlands 14.1 Introduction Co-innovation The co-innovation partnership between Unilever and flavour suppliers Implementation and development of the Flavour Operating Framework partnership Conclusion Future trends References 272

7 x 15 Managing asymmetric relationships in open innovation: lessons from multinational companies and SMEs 276 D. Oughton, University of Cambridge, UK and L. Mortara and T. Minshall, IfM Centre for Technology Management, UK 15.1 Introduction: the importance of large and small company partnerships in the food industry The difficulties of open innovation, Culture, complexity and communication problems The importance for companies of focusing on risk, reward and balance Overcoming obstacles to achieve successful company partnerships Collaborations between companies: case studies Conclusion Acknowledgements References Challenges faced by multinational food and beverage corporations when forming strategic external networks for open innovation... L. Tolhurst and J. Brown, Oakland Innovation, UK Introduction Strategic external networks for open innovation Research methodology Findings Discussion Future trends Conclusions and recommendations References 310 Part IV Open innovation tools, process and managerial frameworks 17 The 'want find get manage' (WFGM) framework for openinnovation management and its use by Mars, Incorporated 315 M. Garcia Martinez, Kent Business School, University ofkent, UK 17.1 Introduction History of open innovation at Mars, Incorporated Mars'open-innovation model The open-innovation framework: 'want find get manage' Conclusions References Crowdsourcing: the potential of online communities as a tool for data analysis 332 M. Garcia Martinez and B. Walton, Kent Business School, University of Kent, UK 18.1 Introduction Predictive modelling competitions 333

8 LIUC, xi 18.3 Design and management of. predictive modelling competitions Case study: Kaggle Conclusions References The role of information systems in innovative food and beverage organizations 343 J, G. Caudill, University of Tennessee, USA 19.1 Introduction The role of technology in innovation Innovative technologies in agriculture and food production Technology's support of innovation Free tools for innovation Future trends Conclusion Sources of further information and advice References Effective organizational and managerial frameworks to support open innovation: overview and the case of Heinz V. Lazzarotti and R. Manzini, Cattaneo University Italy 20.1 Introduction 356 2Q.2 The need for organizational and management tools to support open innovation Case study: Heinz's strategy, business and organization Conclusions and managerial implications References Innovating with brains: the psychology of open innovation 369 B. A. Sabel, University ofmagdeburg Medical School, Germany and Institute of Automation, China, K. Sabel, Consulting-Berlin, Germany and J. T, Preston, TEM Capital and Continuum Energy Technologies, USA 21.1 Introduction Innovation is all about psychology Phases of innovation The influence of soft factors on the success of innovation The psychology of the innovation team The innovative environment of academia Start-ups and small to medium-sized enterprises (SMEs): open innovation by default Predicting innovation success: the 'Preston' equation Future trends References 387 Index 389