EMERGING TRENDS IN

OPEN INNOVATION
ISPIM Budapest

Andy Zynga, CEO, NineSigma

Copyright 2015, NineSigma

06.15.2015
1

TO SET THE SCENE

Copyright 2015, NineSigma

OPEN & COLLABORATIVE INNOVATION IS:

A Management System: Its introduction requires

thoughtful Change Management.
A great way to manage risk and get to market
faster, but NOT a good way to reduce R&D
expenses.
NOT about being always open, but about opening
up when needed to accelerate development of IP,
or to solve problems.

Copyright 2015, NineSigma

JUST FOR CLARITY

The view expressed is based on NineSigmas experience & perspective, an
Intermediary practicing Broadcast Search.
SOLUTION PROVIDERS

NINESIGMA PH.D. TEAM

Universities

CLIENT

30%
Proposed
IP Solution
NON-CONFIDENTIAL

Technology Brief
summarizing the
need (RFP)
NON-CONFIDENTIAL

Industry

Proposed
IP Solution

60%

NON-CONFIDENTIAL

Proposed
IP Solution

10%

Labs

NON-CONFIDENTIAL

NineSigma Proprietary Search Methodology & Database

Copyright 2015, NineSigma

BROADCAST SEARCH

WHO WE ARE

OUR EXPERIENCE

DIVERSE CLIENTS

Innovation
Challenges

OVER 700 CLIENTS

3,500+

Multinationals
Middle Market

FROM 32 Industries

2+ MILLION
SOLUTION
PROVIDERS

Non-Profit
Government

HEADQUARTERS & PARTNER OFFICES

U.S.
Belgium

Japan
Korea

Australia
South Africa

Brazil
Canada

Netherlands

NINESIGMA NETWORK

52% Business

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34% Universities

14%
Government

Consultants

Inventors

Non-profit
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A SAMPLE OF OUR GLOBAL CLIENTS

REPRESENTING ALMOST EVERY SECTOR
The Coca-Cola Company

DENSO

OLYMPUS

NEC
SHISEIDO

OSAKA
GAS

TOSHIBA

IDEMITSU

suntory

MITSUBISHI MATERIALS

ISUZU MOTORS

SUMITOMO
HITACHI
CONSTRUCTION

SHOWA
DENKO

SUMCO

OMRON

DENKA

KIRIN HOLDINGS

TEIJIN
KOMATSU

Copyright 2015, NineSigma

ASAHI BREWERIES

EMERGING TRENDS

1) Increasingly organizations want to be very

public about engaging with the Global
Innovation Community.
2) Governments getting into open innovation in a
BIG way.
3) Mid-sized companies discovering benefits of
going beyond their existing networks.

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ORGANIZATIONS BEING MORE PUBLIC

20%

- Grand Challenges,
- Innovation Contests,
- Managed Innovation
Galleries

RFP

Still 80%
Anonymous

100

RFP

2009

Copyright 2015, NineSigma

80%
Anonymous

2014

INNOVATION CONTESTS & GRAND CHALLENGES

Seeking
Technology
Solution

Innovation
Contests
Grand
Challenges

Marketing
Messages

Societal
Impact

Copyright 2015, NineSigma

CASE STUDY: INNOVATION CONTEST

GE 3D PRINTING PRODUCTION QUEST

OVERVIEW
The 3D Printing Production Quest was a public Innovation Contest hosted
on NineSights to identify cutting edge technology that can produce
complex parts with high precision by additive manufacturing processes,
using high density, refractory metals.

PHASES
Phase 1: Mapping the Ecosystem: 22 proposals were received. The top 10
respondents each received a $5K cash prize and advanced to participate
in Phase 2 of the Quest.
Phase 2: Producing Test Coupons: Groups had 90 days to manufacture
test coupons from GE supplied materials that were then evaluated for
geometric precision, overall mass, and overall volume.

GE selected three fabricators with capabilities to produce complex medical

imaging device parts with high precisions based on statistical analysis as
well as several qualitative aspects.

KEY TAKEAWAYS
The Quest pushed the limits of additive technologies, and
identify production leaders that are operating at the forefront of
3D printing.
Identified technologies will drive greater product performance,
quality and cost savings for healthcare customers.

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CASE STUDY: GRAND CHALLENGE

HEAD HEALTH CHALLENGE

OVERVIEW & CHALLENGES
The GE NFL Head Health Grand Challenge is a $60 million program that
includes research and challenges to develop new solutions to help
advance understanding of mild traumatic brain injury.
The first $10 million Challenge invites proposals for scanning
technologies and biomarkers.
A second $10 million Challenge with Under Armour launched Fall 2013 to
find, fund, and develop new solutions to diagnose and protect against
traumatic brain injury.

APPROACH
Because GE and the NFL bring distinct resources to their partnership,
NineSigma worked closely with GE and the NFL to align their goals and
design a challenge program that would achieve each of their objectives.
With two challenge topics, and a diverse judging panel, the prize
strategy was a critical component that had to be defined and clearly
communicated to a broad technical and consumer audience.

KEY TAKEAWAYS
Translating each Sponsors objective into an integrated topic
and prize strategy is a critical first step which determines the
success of the program.
Even a large scale, multi-year Challenge such as this can be
defined, scoped and launched in a short period of time when
there is executive buy-in and support .

Copyright 2015, NineSigma

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CASE STUDY: GRAND CHALLENGE

THE BASF ENERGY CONTEST

OVERVIEW
Efficient energy storage is one of the key factors that will determine our
future quality of life. BASF is looking to find low-cost grid-scale energy
storage technologies that will provide reliable global energy reserves
and create a strong economic framework for energy production and
distribution.

PROGRAM AND AWARDS

Objective: The BASF Energy Contest seeks novel approaches to
provide stationary storage of energy that could bring power to isolated
regions.
Awards: Up to 5 winners will each win a 100,000 prize; and all
participants may also have the potential opportunity for further
discussions with BASF.

GOALS OF THE CHALLENGE

Copyright 2015, NineSigma

Identify new ways to store and release electricity.

Develop and deploy innovative, technical solutions that

will provide robust economic opportunities.

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CASE STUDY: INNOVATION CONTEST

AUTOMATED BAGGAGE HANDLING CHALLENGE

OVERVIEW
Baggage Handling is currently manual heavy labor and is time
consuming. KLM Royal Dutch Airlines and Schiphol Amsterdam
Airport are constantly striving to improve both the human factor as
well as efficiency, and believe that new technologies can be a
breakthrough in Baggage Handling.

PROGRAM AND AWARDS

Objective: To identify Automated Baggage Handling Systems to
transport Baggage between airport facilities and the airplanes that
improve upon current approaches by avoiding manual interference
and improve Baggage throughput.
Awards: Cash prizes of 10,000 each were awarded to four winning
respondents and will be invited to execute pilot projects with KLM and
Schiphol. In addition, successful participants may have the
opportunity to become a supplier to KLM for up to 30 Automated
Baggage Handling Systems.

KEY TAKEAWAYS
Upside opportunity for winners to market and demonstrate
successful solutions (together with KLM and Schiphol) to
other airports.

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NINESIGHTS
EXAMPLE CLIENT GALLERY SAMSUNG DISPLAY

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NINESIGHTS
EXAMPLE TECHNOLOGY OFFER GALLERY - XEROX

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TATA STEEL
MANAGED INNOVATION GALLERY

OVERVIEW
Tata Steels European operations recognized that it was essential to collaborate with innovative people globally in
order to maintain their competitive edge and decided to explore new ways to improve their organization, work with
others and create future opportunities.

QUICK FACTS

MAKING CONNECTIONS

GALLERY LAUNCHED:

April 2014

INDUSTRY:

Building & Construction

NEEDS CATEGORIES:

Steel production
Steel uses
By-product management
Product characterization

Copyright 2015, NineSigma

Since launching their Gallery, Tata Steel has executed

several non-disclosure agreements with potential
Solution Providers and partners in order to engage in
further conversation on the following projects:
NOVEL WASTE HEAT RECOVERY TECHNOLOGY
COATING FOR REFLECTIVE MIRRORED SURFACES
CHEMICAL SHIFT BY-PRODUCT GASES

VIEW GALLERY HERE: ninesights.com/web/tata-steel-gallery

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JOHNSON CONTROLS
MANAGED INNOVATION GALLERY

OVERVIEW
The Automotive team at Johnson Controls has launched this NineSights Gallery to enable outside inventors,
researchers, and innovators to more easily share their technology ideas with them. They believe that by partnering
with external technology providers, we can accelerate product development and innovation.

QUICK FACTS

MAKING CONNECTIONS

GALLERY LAUNCHED:

August 2012

INDUSTRY:

Automotive Interiors

NEEDS CATEGORIES:

Plastic Composites
Smart Textiles
Metal Technologies
Polyurethane Foam

Copyright 2015, NineSigma

Since launching their Gallery, JCI has funded three

co-development projects with those who made
submissions on NineSights. Numerous other
collaborations are ongoing. Examples of posted needs:
IMPROVED POLYURETHANE FOAM DAMPING
PERFORMANCE
HIGH-FLOW POLYPROPYLENE WITH ZERO POSTMOLD SHRINK

VIEW GALLERY HERE: ninesights.com/web/jci-automotive-gallery

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XEROX
TECHNOLOGY OFFERS GALLERY

OVERVIEW
Xeroxs research and engineering team in NY turns great ideas into real business value by providing companies and
organizations custom R&D, engineering services and 50+ years of innovation expertise. They help clients
differentiate their offerings, finding new revenue streams and simplifying the way work gets done in many different
industries including education, transportation, retail, print and healthcare.

QUICK FACTS

MAKING CONNECTIONS

GALLERY LAUNCHED:

January 2014

INDUSTRY:

High Tech

TECHNOLOGY OFFER
CATEGORIES:

Image Sensing
Predictive Analytics
Computer Vision
Ethnography

Copyright 2015, NineSigma

Launching a Technology Offers Gallery has

increased the knowledge of Xeroxs
capabilities both globally and within
NineSigma.
Xerox and Haier are in discussions now as a
result the Gallery program.

VIEW GALLERY HERE: ninesights.com/web/xerox-gallery

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GOVERNMENTS GETTING INTO OPEN

INNOVATION: MOTIVATIONS

Solving Challenges by involving the citizen solver

Economic Development
Improving Government itself through citizen
engagement (e.g. ideation)

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SOLVING CHALLENGES BY INVOLVING THE

CITIZEN SOLVER
U.S. Federal Agencies Challenges Conducted
100
80
60
40
20
0
2012

2013
Agencies

Competitions2

SOURCE: White House 2013 Federal Prize Authority Report

TRENDS IN THE U.S. PUBLIC SECTOR:

Growth in number of competitions and size of prizes
Increased focus on using prizes to identify novel solutions
Emphasis on creating a post-competition path to success for new solutions
More prizes for effective and low-cost software and IT solutions
New models for engaging in the public and building communities during competitions
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20

OI AS A MEANS OF ECONOMIC DEVELOPMENT

Piedmont Region / Italy

Country of Colombia
State of Ohio
Metro Atlanta Chamber of Commerce
EU Horizon 2020

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HOW OHIO PROGRAM IS STRUCTURED

OHIO DEVELOPMENT
SERVICES AGENCY
(ODSA)

NINESIGMA

Tech Search XYZ

INVOICE

Approves Client
eligibility
Matches Company fee
for technology search

Tech Search XYZ

INVOICE

Finds and educates

potential Clients

Provides funding to
NineSigma for
educating, selling,
marketing

Validates economic
impact (jobs created
etc.) with Client
Support Services
INVOICE

OHIO BASED MIDMARKET COMPANY

(=CLIENT)

Performs technology
searches

Reports results to
ODSA

Gets access to worlds

best technology
solutions to accelerate
innovation, get to
market faster
Pays fee for
technology searches

SALES
MARKETING
EDUCATION

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Copyright 2015, NineSigma

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MID-SIZED COMPANIES DISCOVERING OI

Significant uptick in demand partially triggered

through successful Ohio program (PR / Case Studies)
Traditional clients > 1B Revenue,
Mid-size 10M - 1B Revenue.
Price-sensitive but C-level VERY receptive &
driven to try new ways to accelerate Innovation.

Copyright 2015, NineSigma

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CASE STUDY

MAKING WOOD HYDROPHOBIC

CLIENT
TimberTech

CHALLENGE
Find a technology that will treat wood particles to
reduce water absorption

RESULTS
Over 30 proposals were evaluated and the Client
identified two alternative approaches that they
hadnt previously considered

KEY TAKEAWAY
The technology solution will lead to
an increase in sales and new jobs
within 6 months.

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CASE STUDY

HEATING THE INTERIOR OF ORGANIC OBJECTS

CLIENT
Global Supplier of Heating Equipment

CHALLENGE
Looking for a technology to accelerate cooking
time when frying food

RESULTS
Identified 2 companies of interest and are
currently moving forward with building a
prototype

KEY TAKEAWAY
Need articulation was so targeted
that 70% of the responses were on
target to address Client needs

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CASE STUDY

LIQUID SOAP DISPENSING: COMPLETE SYSTEMS

CLIENT
National Supplier of Industrial Formulations

CHALLENGE
Creation of pre-filled soap dispensing cartridges
to improve hygiene and reduce time lost from
spills and restocking

RESULTS
Currently engaging local mold builders and
injection molders

KEY TAKEAWAY
Results offered a business scope
larger than Client expectations and
will impact the entire local community

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CASE STUDY

PROTECTIVE THERMAL INSULATING COATINGS

FOR TOUCHABLE SURFACES

CLIENT
Leading Supplier of Consumer and Industrial
Fixtures

CHALLENGE
Find a coating that will protect exposed skin from
getting burned when in contact with low-grade
heat

RESULTS
Identified 2 coating companies to move forward
with, have completed formal testing and are
qualifying product for production

KEY TAKEAWAY
Looking outside of their typical
network provided new opportunities
for engagement

Copyright 2015, NineSigma

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THANK YOU
CONTACT INFORMATION
Andy Zynga | CEO, NineSigma
Email: zynga@ninesigma.com

STAY
STAYCONNECTED
CONNECTED
Copyright 2015, NineSigma

www.NineSigma.com

@NineSigma
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www.NineSigma.com
@NineSights
www.ninesigma.com/blog

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