Presentation on #ECIS2013 in Utrecht on June 6, 2013.

1. Faculty of Business | Chair of Business and Information Systems, esp. Information Management | Prof. Schoop
External Knowledge in
Organisational Innovation
Paul Kruse (paul.kruse@tu-dresden.de)
Toward an Integration Concept

2. Faculty of Business | Chair of Business and Information Systems, esp. Information Management | Prof. Schoop
Agenda
Utrecht, 06.06.13 External Knowledge in Organisational Innovation | ECIS 2013
Paul Kruse
Slide 2
- Motivation
- Background
- Methodology
- Results
- Discussion
- Summary and Outlook

3. Faculty of Business | Chair of Business and Information Systems, esp. Information Management | Prof. Schoop
Motivation
Utrecht, 06.06.13 External Knowledge in Organisational Innovation | ECIS 2013
Paul Kruse
Slide 3
Motivation
- companies are increasingly tapping external knowledge for
innovation purposes
- Open Innovation as a paradigm shift toward an active integration of
external knowledge (Chesbrough, 2003)
Prior research has…
- identified various types of external knowledge (Kruse, 2012, Kang &
Kang 2009) and their specific influence on innovation (Kruse &
Geißler, 2012),
- highlighted difficulties with integrating such knowledge (Fichter,
2009), and
- emphasised increasing opportunities for integrating external
knowledge following the emergence of Web 2.0 (Belkahla & Triki,
2011)
Challenges remain…
- the multitude of integration approaches (Gassman & Enkel, 2006)
and
- the allocation of those approaches within the stages of the process of
innovation
- My focus: customer knowledge

4. Faculty of Business | Chair of Business and Information Systems, esp. Information Management | Prof. Schoop
BackgroundInnovation
•“Implementation of
novel technical,
commercial,
organizational, or
social solutions in a
business
environment.”
(Pleschak & Sabisch,
1996)
OpenInnovation
•Companies “use
external ideas as
well as internal
ideas, and internal
and external paths
to market, [in order]
to advance their
technology”.
(Chesbrough, 2003)
Innovationmanagement
•“Leadership and
Management [...] of
the whole process of
innovation”
(Disselkamp, 2005)
Utrecht, 06.06.13 External Knowledge in Organisational Innovation | ECIS 2013
Paul Kruse
Slide 4

5. Faculty of Business | Chair of Business and Information Systems, esp. Information Management | Prof. Schoop
Innovation processes
Utrecht, 06.06.13 External Knowledge in Organisational Innovation | ECIS 2013
Paul Kruse
Slide 5
Customers contribute to the
concept, design, testing or
validation of new products and
services (Gruner & Homburg
2000)
Lead users provide more
accurate data on future needs
of customers (von Hippel
1986)
- Companies benefit from
integrating external sources in
the innovation process
(Chesbrough 2003)
- IT allows broader integration
of external sources of
innovation (Gassmann 2006)
- OI positively influences
creation of products and
services (Enkel et al. 2005)
Background
Open Innovation
idea
generation
research
and
developmen
t
prototyping
manufac-
turing
marketing,
sales
diffusion
(cf. Xu et al. 2010, p. 581)

6. Faculty of Business | Chair of Business and Information Systems, esp. Information Management | Prof. Schoop
Methodology
Utrecht, 06.06.13 External Knowledge in Organisational Innovation | ECIS 2013
Paul Kruse
Slide 6
Approach
- Literature review (Webster & Watson 2002)
Planning
- How do companies currently integrate customer
knowledge through OI projects?
- How can best practices for integration concepts and
strategies be systematised?

7. Faculty of Business | Chair of Business and Information Systems, esp. Information Management | Prof. Schoop
Methodology
Utrecht, 06.06.13 External Knowledge in Organisational Innovation | ECIS 2013
Paul Kruse
Slide 7
Database
string
“open
innovation”
“open
innovation”
AND “best
practice”
“open
innovation”
and title:case
“open
innovation
project”
ACM Digital Library 212 7 0 4
Emeral Group 476 59 0 3
ScienceDirect 941 6 52 13
Wiley Online Library 757 154 18 11
sum 2386 226 70 31
Search strategy
- Population
- Resources
- Inclusion/exclusion criteria
• papers written in English language
• describe at least one OI case example or OI project
(RQ1)
• provide a systematisation/classification for approaches
(RQ2)

8. Faculty of Business | Chair of Business and Information Systems, esp. Information Management | Prof. Schoop
Results
Utrecht, 06.06.13 External Knowledge in Organisational Innovation | ECIS 2013
Paul Kruse
Slide 8
Example: research & development
Conclusions
- purpose: customers are invited to participate in the
conceptual design of new products
- output: sketches, designs, concepts
Company Year Name Description Source
Peugeot 2000 Peugeot Concours
Design
Design competition for cars Wei & Wei (2011)
Swarovski 2002 Crystal Tattoo Design Design competition for
jewellery
Füller (2006)
Audi 2006 Virtual Lab Design community for an
infotainment system
Füller, Bartl, Ernst, &
Mühlbacher (2006)
Swarovski 2008 Enlightened Design competition for
jewellery
Füller, Hutter, &
Faullant (2011)
Spar 2009 Spar Bag-Design
Contest
Design contest for shopping
bags
Bullinger et al. (2010)

9. Faculty of Business | Chair of Business and Information Systems, esp. Information Management | Prof. Schoop
Best practices
Utrecht, 06.06.13 External Knowledge in Organisational Innovation | ECIS 2013
Paul Kruse
Slide 9
• objective-centred
• marketing-focused
• hybrid
Results
Basic strategies
idea
generation
research
and
developmen
t
prototyping
manufac-
turing
marketing,
sales
diffusion
• idea contests
• ideation
• …
• R&D challenges
• problem
solving
• co-design
• …
• co-creation
• co-testing
• …
• participatory
marketing
• …
2
1

10. Faculty of Business | Chair of Business and Information Systems, esp. Information Management | Prof. Schoop
Results
Utrecht, 06.06.13 External Knowledge in Organisational Innovation | ECIS 2013
Paul Kruse
Slide 10
(own representation based on Xu et al., 2010, Bullinger et al. 2010)

11. Faculty of Business | Chair of Business and Information Systems, esp. Information Management | Prof. Schoop
Discussion
Utrecht, 06.06.13 External Knowledge in Organisational Innovation | ECIS 2013
Paul Kruse
Slide 11
There is a multitude of best practices.
- now: allocated within the process of innovation
There are different strategic approaches to OI
projects.
- main focus: marketing
- other perspectives: objective and hybrid
- mostly pilot projects
- not every approach covers the full path towards
innovation
The results are just a starting point for an integration
concept.

12. Faculty of Business | Chair of Business and Information Systems, esp. Information Management | Prof. Schoop
Summary & Outlook
Utrecht, 06.06.13 External Knowledge in Organisational Innovation | ECIS 2013
Paul Kruse
Slide 12
- implications for practice
- categories to distinguish between OI approaches and
their targeted outcome
- best practice collection for blue print development
- differentiation of strategic facets
- (opportunities through social software)
- implications for research
- starting point for quantitative research
- integration of other sources of external knowledge (?)
- future research:
• measure degree of innovation
• measure impact on innovativeness & competitiveness

13. Faculty of Business | Chair of Business and Information Systems, esp. Information Management | Prof. Schoop
Thank you for
your
attention.
Questions?
Discussion
Paul Kruse
Chair of Business and Information
Systems, esp. Information
Management
Technische Universität Dresden
Fon: +49 351 463 33098
Mail: paul.kruse@tu-dresden.de
twitter: @hoellenpaul (for slides)
Utrecht, 06.06.13 External Knowledge in Organisational Innovation | ECIS 2013
Paul Kruse
Slide 13

14. Faculty of Business | Chair of Business and Information Systems, esp. Information Management | Prof. Schoop
Sources
Utrecht, 06.06.13 External Knowledge in Organisational Innovation | ECIS 2013
Paul Kruse
Slide 14
Belkahla, W. and Triki, A. 2011. Customer knowledge enabled innovation capability: proposing a measurement scale. Journal of
Knowledge Management. 15, 4, 648–674.
Bullinger, A.C., Neyer, A.-K., Rass, M. and Moeslein, K.M. 2010. Community-Based Innovation Contests: Where Competition Meets
Cooperation. Creativity and Innovation Management. 19, 3, 290–303.
Chesbrough, H.W. 2003. Open innovation: the new imperative for creating and profiting from technology, Harvard Business Press, Boston.
Disselkamp, M. 2005. Innovationsmanagement: Instrumente und Methoden zur Umsetzung im Unternehmen, Gabler Verlag, Wiesbaden.
Fichter, K. 2009. Innovation communities: the role of networks of promotors in Open Innovation. R&D Management. 39, 4, 357–371.
Füller, J. 2006. Why consumers engage in virtual new product developments initiated by producers. Advances in Consumer Research. 33,
1, 639–646.
Füller, J., Bartl, M., Ernst, H. and Mühlbacher, H. 2006. Community based innovation: How to integrate members of virtual communities
into new product development. Electronic Commerce Research. 6, 1, 57–73.
Füller, J., Hutter, K. and Faullant, R. 2011. Why co-creation experience matters? Creative experience and its impact on the quantity and
quality of creative contributions. R&D Management. 41, 3, 259–273.
Gassmann, O. and Enkel, E. 2004. Towards a theory of open innovation: three core process archetypes. Proceedings of the R&D
Management Conference, 1–18.
Gruner, K.E. and Homburg, C. 2000. Does Customer Interaction Enhance New Product Success? Journal of Business Research. 49, 1, 1–
14.
Kang, K.H. and Kang, J. 2009. How Do Firms Source External Knowledge for Innovation? Analyzing Effects of Different Knowledge
Sourcing Methods. International Journal of Innovation Management. 13, 1, 1–17.
Kruse, P. 2012. Managing External Knowledge in Open Innovation Processes – A Systematic Review of Research. Proceedings of the 13th
European Conference on Knowledge Management, 592–601.
Kruse, P. and Geißler, P. 2012. Benefiting from External Knowledge in Open Innovation Processes. International Journal of Knowledge and
Systems Science. 4, 3, 16–27.
Pleschak, F. and Sabisch, H. 1996. Innovationsmanagement, Schäffer-Poeschel, Stuttgart.
von Hippel, E. 1986. Lead Users: A Source of Novel Product Concepts. Management Science. 32, 7, 791–805.
Webster, J. and Watson, R.T. 2002. Analyzing the past to prepare for the future: Writing a literature review. MIS Quarterly. 26, 2, xiii–
xxiii.
Wei, W. and Wei, F. 2011. The Impact of Product Complexity and Heterogeneity on Online Open Innovation Practices. Journal of System
and Management Sciences. 1, 2, 105–115.
Xu, J., Houssin, R., Caillaud, E. and Gardoni, M. 2010. Macro process of knowledge management for continuous innovation. Journal of
Knowledge Management. 14, 4 (2010), 573–591.