Where Organization’s Innovations Come From, and How to Foster Them

There is a general rule of thumb: “80% of process innovations come from inside companies whereas 80% of product and services innovations come from partners and clients“.

The French futurist Denis Ettighoffer underlines: “too often, the utilization of networks by companies remains limited to productivity development rather than the development of creativity processes that are key to the development of value“.

I do also observe how much the “not invented here” syndrome, combined with a very low permeability of conventional organization’s borders, conspire to make companies cut off from the most precious source of innovation: clients, partners and other interested stakeholders. The development and maintenance of a highly connected network of followers is not just for one-way marketing, it needs for two-way value creation. Organizations need to get (and maybe reward) value from their clients, partners and suppliers.

This requires a deep change of strategic approaches to external partnerships. Is your organization ready for the change?

Source: very interesting article (in French) on ParisTech Review on ‘the Company of the future‘. Translation by Fourth Revolution Blog.