Tapping Talents To Create Growth And Innovation
Like a broken record we are learning that innovation starts with combining many ideas, expertise, and talents across a diverse blogosphere. The chapter in Wikinomics just shed more light on how businesses have expanded their capacity to provide products and services faster by opening up their intellectual properties to the world to help solve problems that they could not do from within, and like the title of my last post; two heads are better than one. This is especially helpful when the budget is tight. Like InnoCentive, NineSigma, Innovation Relay Centers, and Eureka Medical that "post R & D problems on their web site, [while] solvers submit their solutions in a bid to capture cash prizes ranging from $5,000 to $10,000 (Wikinomics, pg. 98), are prospering using these global marketplaces or "ideagoras" to push past the closed silo idea that, "retain[ing] all of your best people internally" (Wikinomics pg. 99) is the best solution.
Revenue has boomed within companies that are willing to open up their resources to the world and are presently breaking down monopolies that rely on outsourcing alone. For every action there is a re-action. Does this mean that companies that take full advantage of open source networking will down-size or lay-off their existing employees from within? If this new innovative strategy helps to rake in more money annually, and costs less, what are they paying their employees for, who cannot come up with such qualified solutions? Where do businesses draw the line between who they want to keep and who they want to get rid of? I would imagine that these employees are kept on their toes by these new innovation strategies. "The corporate R & D process must look two ways: toward its internal projects and competencies, and toward the external marketplace to leverage new IP and capabilities" (Wikinomics pg. 123). So I think it is safe to say that businesses need to have a happy medium between both to prosper and not just one or another.