The father of "open innovation" is back with his most significant book yet. Henry Chesbrough’s acclaimed book Open Innovation described a new paradigm for management in the 21st century. Open Services Innovation offers a new approach that demonstrates how open innovation combined with a services approach to business is an effective and powerful way to grow and compete in our increasingly services-driven economy. Chesbrough shows how companies in any industry can make the critical shift from product- to service-centric thinking, from closed to open innovation where co-creating with customers enables sustainable business models that drive continuous value creation for customers. He maps out a strategic approach and proven framework that any individual, business unit, company, or industry can put to work for renewed growth and profits. The book includes guidance and compelling examples for small and large companies, services businesses, and emerging economies, as well as a path forward for the innovation industry.

"Whether you are managing a product or a service, your business needs to become more open and more inclusive in order to be more innovative. Open Services Innovation will be an invaluable guide to intrepid managers who commit to making that journey."
—GARY HAMEL, visiting professor, London Business School; director, Management Lab; and author, The Future of Management

"I tore out page after page to share with my leaders. Chesbrough has pioneered an entire rethink of business innovation that’s rich in concept, deeply explained, with tools ready to use in every industry."
—SCOTT COOK, founder and chairman of the executive committee, Intuit

"Focusing on core competence often tempts managers to keep continuing what succeeded in the past. A far more important question is what capabilities are critical in the future, and Chesbrough shows how to ask and answer these issues."
—CLAYTON CHRISTENSEN, Robert & Jane Cizik Professor of Business Administration, Harvard Business School, and author, The Innovator's Dilemma

"To thrive, businesses will need to master the lessons of open service innovation. Here is their one-stop guidebook with important lessons clearly and compellingly presented."
—JAMES C. SPOHRER, director, IBM University Programs World-Wide

"Open Innovation pioneer Henry Chesbrough breaks new ground with Open Services Innovation, a persuasive argument for the power of co-creation in the world of services."
—TOM KELLEY, general manager, IDEO, and author, The Ten Faces of Innovation, The Art of Innovation

"With his trademark style of beautifully explained examples, Henry Chesbrough shows how open service innovation and new business models can help you escape this product commodity trap and bring you to the next level of competition."
—ALEX OSTERWALDER, author, Business Model Generation

"Open Services Innovation shows how a business can redefine itself as a service organisation and tap into faster growth through shared innovation."
—SIR TERRY LEAHY, chief executive, Tesco

"Chesbrough shows how innovating openly with a services mindset can make you a market leader."
—CHARLENE LI, author, Open Leadership, and founder, Altimeter Group

In his landmark book Open Innovation, Henry Chesbrough demonstrated that because useful knowledge is no longer concentrated in a few large organizations, business leaders must adopt a new, “open” model of innovation. Using this model, companies look outside their boundaries for ideas and intellectual property (IP) they can bring in, as well as license their unutilized home-grown IP to other organizations.

In Open Business Models, Chesbrough takes readers to the next step—explaining how to make money in an open innovation landscape. He provides a diagnostic instrument enabling you to assess your company’s current business model, and explains how to overcome common barriers to creating a more open model. He also offers compelling examples of companies that have developed such models—including Procter & Gamble, IBM, and Air Products.

In addition, Chesbrough introduces a new set of players—“innovation intermediaries”—who facilitate companies’ access to external technologies. He explores the impact of stronger IP protection on intermediate markets for innovation, and profiles firms (such as Intellectual Ventures and Qualcomm) that center their business model on innovation and IP.

This vital resource provides a much-needed road map to connect innovation with IP management, so companies can create and capture value from ideas and technologies—wherever in the world they are found.

Open Innovation describes an emergent model of innovation in which firms draw on research and development that may lie outside their own boundaries. In some cases, such as open source software, this research and development can take place in a non-proprietary manner. Henry Chesbrough and his collaborators investigate this phenomenon, linking the practice of innovation to the established body of innovation research, showing what's new and what's familiar in the process. Offering theoretical explanations for the use (and limits) of open innovation, the book examines the applicability of the concept, implications for the boundaries of firms, the potential of open innovation to prove successful, and implications for intellectual property policies and practices. The book will be key reading for academics, researchers, and graduate students of innovation and technology management.

Companies have to innovate to stay competitive, and they have to collaborate with other organizations to innovate effectively. Although the benefits of "open innovation" have been described in detail before, underlying mechanisms how companies can be successful open innovators have not be understood well. A growing community of innovation management researchers started to develop different frameworks to understand open innovation in a more systematic way. This book provides a thorough examination of research conducted to date on open innovation, as well as a comprehensive overview of what will be the most important, most promising and most relevant research topics in this area during the next decade. "Open Innovation: Researching a new paradigm" (OUP 2006) was the first initiative to bring open innovation closer to the academic community. Open innovation research has since then been growing in an exponential way and research has evolved in different and unexpected directions. As the research field is growing, it becomes increasingly difficult for young (and even experienced scholars) to keep an overview of the most important trends in open innovation research, of the research topics that are most promising for the coming years, and of the most interesting management challenges that are emerging in organizations practicing open innovation. In the spirit of an open approach to innovation, the editors have engaged other scholars and practitioners to contribute some of their interesting insights in this book.Companies have to innovate to stay competitive, and they have to collaborate with other organizations to innovate effectively. Although the benefits of "open innovation" have been described in detail before, mechanisms underlying how companies can be successful "open innovators" have not be understood well. A growing community of innovation management researchers started to develop different frameworks to understand open innovation in a more systematic way.