American Productivity and Quality Center Best Practices Study: Using Open Innovation to Generate Ideas

The practice of Open Innovation (OI) has migrated quickly across all economic sectors into manufacturing; service-based industries including insurance, banking, and professional services; and is even starting to be seen in government groups. American Productivity and Quality Center (APQC) found 11 best practices regarding OI strategies, roles, processes, measures, and change management activities. It also found five common enablers that provide the foundation for successful OI efforts. This chapter presents the key findings illustrated by examples from best practices of Amway, British Telecommunications plc, and Cisco Systems Inc. OI in best-practice organizations has moved beyond basic idea screening of external sources to now use a large variety of tools and techniques. To increase the number of high-quality ideas sourced and generated, as well as to increase the speed of Open Innovation, the best-practice organizations embrace certain enabling practices, processes, and tools.