ow2con 2011: open source innovation factory

OW2Con 2011, November 23 -24, Orange Labs, Pariswww.ow2.org

Open Source Innovation FactoryPaolo Ceravolo, Università degli Studi di Milano

in cooperation with Engineering Group

[Our Framework equipped with Innovation Metrics can dramatically reduce the time required to transfer an innovative project to a real environment]


Outlook

� Open Issues in Open Innovation

� Our Proposal

� Our Framework

� Future work


Innovation

� 72% of company executives rank innovation in their top 3 priorities (Boston Consulting Group, 2006)

� 80% of new product results will tend to come from only 20% R&D projects (Eduardo, 2003)

� successful companies cancelled as many innovation projects as non-successful companies. However, successful companies were able to cancel unattractive projects much earlier in the process (Ogawa & Ketner, 1997)


Open Innovation

� The central idea behind open innovation is that in a world of widely distributed knowledge, companies cannot afford to rely entirely on their own research, but should instead buy or license processes or inventions (i.e. patents) from other companies. In addition, internal inventions not being used in a firm's business should be taken outside the company (Chesbrough, 2003).


Open Innovation


Open Issues in Open Innovation

� Reduce time to identify unproductive projects

� Understand the synergy that are potentially relating different projects

� Represent Innovation Activity

� Measure Innovation Activity

� Report on Innovation Activity


Open Source Innovation Factory

� Mixes three complementary approaches: 1. Innovation Factory Metamodel (IFM), proposed in

the ARISTOTELE project (www.aristotele-ip.eu)

2. Open source platform SpagoBI(www.spagobi.org), OLAP and Reporting

3. Knowbots, advanced tools for the acquisition of concepts from internal and external knowledge sources


Open Source Innovation Factory


Innovation Factory Metamodel


Innovation Metrics

� Goal 1: Innovation Level Improvemento Q1.1: Which is the level of innovative knowledge exploited in the Organization?o Q1.2: How much are innovative the new products?� Goal 2: Quality of Innovation Sourceso Q2.1: Which is the quality of sources of innovation process?� Goal 3: Open Innovation Permeabilityo Q3.1: To what extend the customer contribution is exploited?o Q3.2: To what extend the concepts coming from competitors' sites are exploited?o Q3.3: Evaluate the level of technologies that are transferred by the analysis of

competitorso Q3.4: How much internal proposals influence innovative products?� Goal 4: Return of Innovation Investmento Q4.1: How much innovation process produces profits?o Q4.2: How much innovation process costs?o Q4.3: Indirect Advantages


.

www.ow2.org.

Innovation Metrics

Goal 1: Innovation Level ImprovementQ1.1: Which is the level of innovative knowledge exploited in the Organization?

M1.1.1: no. accesses to blog/forum marked as innovation sourcesM1.1.2: no. concepts transferred from innovation sources to produced documents (e.g. cut&paste)

Q1.2: How much are innovative the new products?M1.2.1: no. tags describing new functionalities / no. concepts in innovative sources tag cloudM1.2.2: no. requirements covered by new products


Innovation Metrics

Goal 2: Quality of Innovation SourcesQ2.1: Which is the quality of sources of innovation process?

M2.1.1: % of external requirements, coming from outside the organization (e.g. analyzing innovative sources)M2.1.2: % of internal requirements, coming from inside the organization (e.g. from internal meetings)M2.1.3: % of customer requirements, coming directly from the customerM2.1.4: % of new products implementing external requirementsM2.1.5: % of new products implementing internal requirementsM2.1.6: % of new products implementing customer requirementsM2.1.7: % of human resources that contribute to the innovation process


Innovation MetricsGoal 4: Return of Innovation Investment

Q4.1: How much innovation process produces profits?M4.1.1: no. new products sold per monthM4.1.2: no. new products sold per weekM4.1.3: no. new customersM4.1.4: % revenue from new productsM4.1.5: % new product within deadline

Q4.2: How much innovation process costs?M4.2.1: time-to-market of new productsM4.2.2: time-to-market of changes to existing productsM4.2.3: budget spent on human resources trainingM4.2.4: no. competences involved in innovation processM4.2.5: no. human resources involved in innovation processM4.2.6: no. man-months spent to realize new productM4.2.7: no. man-months spent to realize changes to existing productsM4.2.8: average number of training hours per human resource

Q4.3: Indirect AdvantagesM4.3.1: % customer satisfaction with new productsM4.3.2: % of human resources reaching desired competence level after trainingM4.3.3: % difference in productivity before and after training


SpagoBI


KnowBots

• KB consists of two distinct modules which interact with each other

• One module is running locally in the workspace of the worker

• A second module is a remote server module that interrogates various database services across the network and provides the results to a user agent running in the local workspace

• This way we can track the information that are provided by the Knowbots and are used in the workspace


Scenario: AVIO

• AVIO traditionally run two separate business:

• Plant in Torino selling engines

• Plant in Brindisi providing overhaul services

• AVIO has no foresight on the mid-term arrivals of engines and is unable to optimize plans and procurement processes.

• FLEET MANAGEMENT

• centralizing engine monitoring and scheduling their overhaul process

• optimizing the flow of engines in arrival and reducing congestion or underutilization


Lesson Learned

• Access to data

• process (competences, requirements)

• products (requirements, ROI)

• Define Innovation Profile based on successful story to support comparability among past and running processes


This work is co-funded by the European Commission as part of the ARISTOTELE project

(FP7-ICT-2009-5 –257886)

ow2con 2011: open source innovation factory

Technology