Innovation Vs Closed Innovation

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There are two approaches to innovation as discovered in relevant literature. These are; - Closed Innovation (Traditional) - Open Innovation 2.1 Closed Innovation: The conventional model for innovation is commonly referred to as a “Closed Innovation model”. The closed innovation model focuses on the innovation of products and processes with the use of internal resources and complete control of all assets in the production process, including Intellectual property (PRESANS, 2009). This model was largely used in the period between World War II and the 1980’s where corporate espionage and sensitivity of competition was at an all-time high (PRESANS, 2009). Fig 2.1 Closed Innovation Source: (Chesbrough, et al., 2006) The above diagram explains…show more content…
2.3 Closed Vs. Open Innovation Closed Innovation Open Innovation Internal Idea sources Internal and External Idea sources One Entry and Exit point Multiple Entry and Exit points Protection of Intellectual Property Commercialisation of spill overs like Intellectual Property (IP) through Licensing and Technology spin offs One Income Stream Additional Income Stream The points above highlights the advantages Open Innovation has over closed innovation, but an argument could be made that one of the most important advantages is the ability to take into recognition and integrate the users’ involvement in the innovation process. 2.4 Cognitive Engineering A lot of research has been invested towards the field of Human Computer Interaction (HCI) which is an avenue for the application of cognitive engineering principles in the development of technology innovations (Pirolli,…show more content…
Devi Prasad Shetty has implemented a flurry of various innovative ideas that have revolutionised the medical and most especially the cardiac operation field (Oxbridge Biotech Roundtable, 2014). By employing economies of scale, adopting a people centric model and acclimatising to the tough economic and environmental climate of Bangalore India, Narayana Hrudayalaya hospital have been able to drive down the average costs of cardiovascular surgeries from as high as $50,000.00 in the United states of America to as little as below $3000 in India (Wharton University of Pennsylvania, 2010). Referred to as a production line for heart surgery by BBC author Morris (2010), Narayana Hrudayalaya hospital takes. a people focused approach by employing a model which includes strategies that foster innovation in not only technology but human factors and processes. This model

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