Innocentive

Definition

Innocentive is an online crowdsourcing platform that connects organizations seeking innovative solutions to problems with a global community of problem solvers. This model leverages open innovation by allowing companies to post challenges and offer rewards for solutions, enabling diverse individuals and groups to contribute their ideas and expertise. Innocentive fosters collaboration beyond traditional organizational boundaries, enhancing creativity and resourcefulness.

5 Must Know Facts For Your Next Test

1. Innocentive was founded in 2001 and has facilitated collaboration between organizations and problem solvers from various fields, including science, technology, and business.
2. The platform operates on a reward-based system where companies post challenges and offer monetary prizes or other incentives for the best solutions.
3. Innocentive allows organizations to tap into a vast pool of talent and knowledge, significantly increasing the chances of finding effective and innovative solutions.
4. The platform supports both public challenges, accessible to anyone, and private challenges, limited to selected individuals or groups.
5. Innocentive has successfully solved numerous complex problems across industries such as pharmaceuticals, consumer goods, and environmental sustainability.

Review Questions

• How does Innocentive utilize crowdsourcing and open innovation to solve complex organizational problems?
  • Innocentive utilizes crowdsourcing by allowing organizations to post specific challenges that they need solutions for, drawing on the collective intelligence of a global community. By engaging a diverse group of individuals with varying expertise and backgrounds, Innocentive encourages creative thinking and innovative problem-solving. This approach exemplifies open innovation by integrating external ideas into the organizational workflow, which can lead to more effective and novel solutions than those generated internally.
• Discuss the implications of using Innocentive for companies seeking innovative solutions compared to traditional R&D methods.
  • Using Innocentive allows companies to access a broader range of ideas and perspectives than traditional R&D methods typically permit. By leveraging the collective knowledge of a global network, organizations can find innovative solutions faster and often at lower costs. This method also reduces the risks associated with internal innovation processes by diversifying the input sources. However, it may require a shift in mindset for companies accustomed to relying solely on in-house expertise.
• Evaluate how Innocentive’s model could reshape future business strategies regarding innovation and problem-solving.
  • Innocentive’s model could significantly reshape future business strategies by promoting an open innovation framework that values external contributions as much as internal resources. Companies may begin to adopt more collaborative approaches by integrating crowdsourcing platforms into their innovation strategies, ultimately leading to faster problem resolution and enhanced competitiveness. Furthermore, as more organizations recognize the value of diverse perspectives in driving innovation, we might see a cultural shift towards transparency and collaboration across industries.

Related terms

Crowdsourcing: The practice of obtaining ideas, services, or content from a large group of people, typically through the internet, to solve problems or generate innovations.

Open Innovation: A business model that encourages organizations to use external ideas and technologies in addition to their own internal efforts to advance innovation.

Challenge-Based Innovation: A structured approach that invites innovators to solve specific problems posed by organizations, often involving financial incentives for successful solutions.