Realization of Open Innovation: A Case Study in the Manufacturing Industry

Abstract

Continuous innovation is regarded as an imperative for most companies. In this regard, open innovation suggests a successful approach to new product development, wherein the emphasis is on external collaboration. Previous research has provided examples from some industries, whereas mature and traditional companies such as manufacturing firms have gained limited interest. Thus, this paper seeks to answer two critical questions: why should manufacturing companies shift toward open innovation approaches and how can they adopt open innovation for product development. Based on case study in two companies, a list of opportunities, challenges, and efforts for organizational change toward open innovation are discussed.

KEYWORDS:

• open innovation
• people
• process
• technology
• challenges
• opportunities
• organizational issues
• framework
• aerospace industry
• manufacturing industry