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Alberto Di Minin Open Innovation and IP Strategy Building Appropriability Advantage 25-03-13 Flanders Business School www.diminin.it

Intellectual Property in Open Innovation Times

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  • 1. AGENDA1. Open Innovation (OI) 2. OI & IP3. Appropriability Advantage 4. Take-Aways

2. 1. OPEN INNOVATIONKEY IDEAS 3. TWO MAIN IDEAS ABOUT OI 1) Not all smart people work for me2) My company mightnot be the best tocarry on a project 4. 2. OPEN INNOVATION& INTELLECTUAL PROPERTY 5. So, Henry: tell us is IP a concern? Courtesy of reportonbusiness.com 6. OI & IP: Why should we care1. Open Free2. Align Business Models3. Rules of the game throughout an interaction, alliance, tech transfer 7. 3. BUILDING CONDITIONS FORAPPROPRIABILITY ADVANTAGE 8. WEST COAST vs. EAST COASTAPPROPRIABILITYUSER-LEDINNOVATION 9. Conditions for AppropriabilityWe define appropriability advantage as actors ability to outperform competitorsin terms of taking possession of and extracting value from knowledge andtechnology for productive activities.Alberto Di MininDries Faems 10. THREE DIMENSIONS 11. DIMENSION 1. Managing tensions betweenTechnological Integration and IP Fragmentation New product development asks for theintegration of many different technologies fromdifferent domains Firms engage in collaborative transactions withexternal partners to bring together the necessarytechnological assets and skills Dense web of overlapping IPRs are becoming the norm instead ofan exception Different actors use their IPRfor different reasons 12. DIMENSION 2. Increasing Return on IP Investment The application, maintenance andenforcement of intellectual property alsotriggers substantial costs The legendary Rembrandts in the attic,waiting to be exploited for competitiveadvantage (rather than for profit) New tricks to extract more value 13. DIMENSION 3. Organizing IP Implementation Establishing routines to effectively implement IP-based strategies Bringing together of different business functions(i.e. technical, legal and managerial) in order tobe on top of IP-related opportunities or toneutralize potential threats. Lack of consolidated guidelinesregarding the positioning ofIP responsibilities within firmscorporate structure 14. Appropriability Advantage: Open Innovation and Intellectual Property4. TAKE THESE AWAY 15. Courtesy Daily Telegraph 16. Appropriability is about Connecting the DotsStrategic IntegrationIntegrationOrganizationalof IP assetsIntegration 17. DO NOT MISS: CALIFORNIA MANAGEMENT REVIEWSPECIAL ISSUE ON IP MANAGEMENT AND PRACTICES (SUMMER 2013)A. Di Minin & D. Faems (Eds.)Appropriability Advantage: Open Innovation and Intellectual PropertyTHANK YOU FOR YOUR ATTENTION