Innovation Insights Chapter Two: Innovation Ecosystem Building and Innovation Partnering
Innovation Insights explores how global organizations are taking novel approaches to manage innovation. In this article series, we delve into the key areas of the modern innovation process, look at the trends shaping the future of business, and profile some of the most innovative global organizations to understand what it takes to run a successful innovation program.
As new companies enter the global business ecosystem every day, they bring new technologies and business models that foster innovation.
Around us, we see a plethora of corporations, government entities, not-for-profit organizations, and universities building partnerships and ecosystems to drive innovation through interconnectedness.
In Chapter Two of Innovation Insights: A Guide to Managing Your Innovation Process, we explore how organizations from major global innovation hubs are developing partnerships and building ecosystems that are advancing innovation both in business and in the broader society and communities. We ask the question: What does it take to build a robust and integrated ecosystem that drives innovation?
What is An Innovation Ecosystem?
An innovation ecosystem is a network of organizations and individuals that are connected, usually through collaborations and partnerships, to foster creative problem-solving and teamwork. It is an interdependent system in which each component works together to create products, services, or business models that generate new competitive advantages for its members.
For example, companies within the same industry may partner up to create a research consortium or open-source project, universities may collaborate with corporations on research projects, and government entities can support innovation initiatives by providing funding and access to resources.
Studies have shown that collaboration is one of the best ways smaller companies can gain an innovative edge over mega corporations with more resources. At the same time, ecosystems help larger organizations foster innovation by helping It also promotes economic growth by creating jobs and stimulating investment in local businesses.
On the microscale, building an innovation ecosystem can help form long-lasting interpersonal networks for those within them and help foster creativity, skills, and a thirst for knowledge. They are excellent platforms for developing talent in technology-oriented fields, which have become increasingly important components in today’s global economy.
By utilizing shared resources and working together, stakeholders can develop far more innovative solutions than if they were working alone.
The Perfect Partnership
A full ecosystem can take years to foster, but it is made up of a myriad of partnerships that can be easier to conceptualize.
Innovation partnerships are essential to fostering and driving innovation. They provide an opportunity to break down silos and create cross-functional teams that can work together to develop new products, services, or processes.
By leveraging the strengths of each partner organization, innovation partnerships can help organizations build their capacity for innovative thinking by accessing external resources, knowledge transfer between partners, and access to a broader talent pool.
In addition, an innovation partnership can offer a plethora of benefits, including shared research and development costs and improved access to capital from external sources.
How to Build An Innovation Ecosystem
It's clear that building an effective innovation ecosystem is an excellent way to give your company a boost and improve the overall business landscape, but getting started can be overwhelming, especially for a new startup.
We spoke once again with Ivan Cazzol, Head of Innovation at Skipso, to hear the most important things a company should consider when building innovation ecosystems and partnerships.
Build a Compelling Value Proposition - And Deliver
When you are building an innovation ecosystem, the first step is to identify what value you can offer your partners. Having a clear and compelling vision of how you will create value for each partner involved in the ecosystem is important.
This could be through access to new technologies or business models, shared resources, or even networking opportunities. Once you have identified this value proposition, you must deliver on it – if not, partners are unlikely to stay engaged with the ecosystem.
Provide Curated Value
Innovation ecosystems are typically formed through a mix of partners who have different needs, interests, and capabilities. It's important to curate the value that you offer each partner so that it meets their specific needs and helps them realize their own innovation goals.
This could include providing tailored resources such as access to data or research, technology training opportunities, or hosting events for members of the ecosystem.
Build Channels for Communication Between Stakeholders
It's important to ensure that all stakeholders are connected and have regular opportunities to communicate with each other. This could be through in-person meetings, virtual events, or email updates.
These channels can help foster collaboration and ensure that everyone is on the same page when it comes to innovating together.
Promote the Initiative to Reach External Partners
Once you have established a compelling plan for your ecosystem, it's time to get the word out and promote the initiative to the right channels. This means finding ways to reach out to potential external partners who may not be aware of your ecosystem or who may be able to contribute new ideas and resources.
Leveraging social media, conferences, trade fairs, and other events can help spread awareness about your initiative. You can also touch base with your workforce and see if they have anyone in their network that might be a good fit. Ultimately, looking at the current business landscape and reaching out to individual groups with propositions will help build the ecosystem you need.
Clearly Define the Initiative’s Focus
When creating an innovation ecosystem, it's important to identify a specific focus area – not too broad or too narrow.
It should be something that all partners can relate to and add value to, such as emerging technologies, customer experience, industry trends, or sector-specific challenges. Make sure the focus has potential for growth and collaboration so that your partnerships can remain healthy and thrive long into the future.
Successful Ecosystems
Clearly, there's a lot that goes into curating strong partnerships, but it's not impossible. Skipso has helped countless organizations do just that. Let's take a look at a few case studies and see how powerful a fleshed-out ecosystem can be.
i3P: A Membership-Based Innovation Ecosystem
i3P is an organization that facilitates collaboration between infrastructure owners, contractors, and industry innovators/SMEs. To meet the needs of UK infrastructure players, i3P chose Skipso's powerful innovation management software as a customizable solution to provide workflows.
The portal update has been well-received by hundreds of new members due to promotion at events across the industry. Working with those members and finding the specific value they all bring to the system, i3P has been able to grow and serve companies all across the UK.
Catapult: A Government-Supported Innovation Ecosystem
The Catapult Network is committed to transforming great ideas into valuable products and services backed by Innovate UK. Their renowned network of tech and innovation centres across the country delivers tangible outcomes that drive growth in the UK economy, empowering businesses to succeed on a global scale.
With Skipso CPC developed the Connected Place Catapult Community platform, an end-to-end solution that would help to manage all its accelerator programs, cohorts and alumni. The platform has greatly streamlined accelerator data and operations, improved program efficiency, and greatly reduced overhead costs. Through the platform's flexibility, CPC can maintain sector-specific focus while following a unified strategy, mission, and vision.
Telefonica: Creating Regional Hubs for Innovation
Telefonica is one of the largest telecommunications companies in the world. Their Open Future program provides early-stage startups with the opportunity to benefit from an entrepreneurial ecosystem outside of major cities while also providing growth opportunities in regions.
To facilitate this, Skipso developed a multi-tenant platform that enabled Telefonica to source and evaluate applicants, manage project progress via KPIs and task tracking, and foster collaborative relationships between mentors and startups.
Conclusion
Developing an innovation ecosystem can be an arduous process, but one that is certainly worth the effort. By creating an environment in which people and businesses are encouraged to innovate, organizations can create more efficient and effective solutions to customer needs.
With the right tools, resources, and commitment from all stakeholders involved in developing this ecosystem, organizations can achieve their goals of increased innovation.
