PLM Library · Book
Open Innovation
The New Imperative for Creating and Profiting from Technology
- Author
- Henry Chesbrough
- Publisher
- Harvard Business School Press
- Year
- 2003
Summary
Chesbrough contrasts the traditional 'closed' model of innovation, in which companies generate, develop and commercialize ideas entirely in-house, with an 'open' model that deliberately uses external ideas and external paths to market.
Drawing on cases such as Xerox PARC, IBM and Intel, the book explains how intellectual property, partnerships, licensing, spin-offs and the business model determine how much value a company captures from its technology.
Our verdict
Recommended reading. The book that defined open innovation — still the clearest explanation of why external knowledge, IP strategy and business models matter as much as internal R&D.
Who should read it
- —Innovation and R&D leaders shaping partnering and IP strategy
- —Executives deciding what to develop in-house versus source externally
- —PLM leads supporting collaboration with suppliers, partners and startups
How it relates to your work
- —Frames why PLM must support secure collaboration and IP protection with external partners.
- —Helps connect product development decisions to licensing and business-model choices.
Keep in mind
- —Strategic and case-based; it offers no process or tooling guidance.
- —Examples date from the 1990s–2000s; later work by Chesbrough updates the ideas.