Open innovation

Published on August 31, 2016   32 min

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Hello, my name is Eugene Buff. I'm the founder and the president of Primary Care Innovation Consulting, a firm that works with a lot of large and small companies and supports their open innovation projects. And this is what I want to discuss today. What is this business innovation? And what's the buzzword of open innovation? Where it came from? And how are we going to deal with it so we could continue and expand the growth of our companies?
There are a lot of changes that happened in the last couple of decades, a lot of them are connected with what's been called by Friedman, as the world becoming flat. Boundaries and borders geographically and politically changed. And, all the things get moving into a very different speed. And that includes the speed of business. I'm sure all of you are familiar with the Moore's Law. And, even though, in a recent Wall Street Journal publication, Intel is saying that they're trying to slow things down. But since 1958, the Moore's Law is going very effectively. And it basically says that every 18 to 24 months, the computer power roughly doubles. So since 1958, we've been at about 27 cycles of that speed-up. I think it's a very good illustration of how business moves these days, of what's happening and to get some sort of perspective of what it means. We can look at, say, the car speed and see what would happen with the car speed if it will continue doubling with the Moore's Law numbers. So, let's say if we started at five miles per hour and double every minute to emulate the Moore's Law. On the third minute, we will be already at 20 miles per hour, and we will be able to cover 1,760 feet for that period. Now, if we go back and remember, we are in the 27th cycle of the Moore's Law. So recalculating that to the car speed would make our current speed close to 700 million miles per hour. And, if that doesn't sound impressive, that means that by the 28th minute, we would cover 11 million miles. And at that speed, it will only take us about five minutes to get to Mars. So, this is really what happens when the speed of business changes. And, we're living in a situation where the business and the technology changes at about that speed.