In just the past 25 years or so, new technologies like that for automated DNA sequencing have enabled us to begin to understand the language that encodes our biological lives. This is the language of the genome- in which our genes are sentences made up of DNA letters and words that are used as molecular instructions to each of our cells. What proteins should be made to build a heart muscle? What enzymes should be produced to control our blood sugar? What building blocks are needed to make new connections in our brains so that we remember what we’ve learned? Our current knowledge and understanding of the human genome is made possible by technological advances that scientists use to detect, measure, analyze, and compile new information obtained through experimentation in the field of molecular biology. We know what many of our genes are for; we also know some of what happens if a gene has a mistake in it, or is damaged. Such mutations can lead to innocuous individual variations, to inherited conditions, or to diseases like cancer, among others. It is this knowledge about specific genes that has allowed genetic tests to be developed that can predict the likelihood that you may develop certain diseases, like breast cancer.

On a broader level, complete genomes have been recorded from several individuals so that we know exactly what DNA sequences describe these people. The cost of compiling this information has ranged from $2.7 billion for the first one in 2003 to $1,500 today, according to Wired magazine’s online article, and is predicted to go even lower. As far as I can tell, even these numbers don’t take into account the time and cost of all the technological innovations required to enable researchers to do the work! But the idea that every one of us could soon have our own genome “read” so that we can learn more about our sensitivity to certain drugs, or about how effective our medications are likely to be, is the subject of new fields called pharmacogenetics and pharmacogenomics- perhaps better known as personalized medicine. These new fields address how your genes control the way you respond to certain drugs, and why different people (with genetic variations) will respond to a certain drug in different ways.

New technologies are going to be required to allow us to personalize our healthcare to adapt to our individual genetic variations. Inexpensive genome sequencers are in the works, and at NineSigma, I’ve seen an incredible variety of new medical devices and diagnostic technologies presented in response to challenges we’ve posted on behalf of global clients.  What is especially exciting for me, and something that NineSigma prides itself on, is that we often find a technology from one area that may be relevant to a completely different industry. Advances in personalized medicine, while valuable and even essential for human health and well-being, might be applicable in other sectors. A tiny genetic lab-on-a-chip might be useful for an individual’s medical diagnosis, but may also be useful to detect microbial contamination in an industrial setting.  As personalized medicine moves forward, this is an exciting time to be part of the innovation world!

Open Innovation (OI), a well proven strategy for CTOs, marketing and R&D, is now gaining advocates amongst the CIOs, strategic business planning teams and CFO level financial management inside Global 500 companies.

Changing culture and the way organizations have always done things is a leader’s greatest challenge and I’m anxious to assess how well corporations can adopt OI across the customer facing operations side of the business.

I believe that the opportunity to quickly acquire new knowledge for services, business process, CRM (Customer Relationship Management) and new business models can exceed the value or competitive market share gain from OI for a new product.  Costco can adopt a Bank’s branch office customer service ideas or automobile manufacturers can adopt a new business process model from Starbucks for the automobile dealerships service department.  And the software to support the processes and assess business metrics for the CFO can be acquired as well and implemented by the CIO.

In some cases a business offering services is competing against a business providing products.  John Deere and other equipment manufacturers could begin losing lawn care product sales as the lawn care service provider sells lifestyle choices and long term cash flow as a reason to not buy the new mower.  John Deere needs to look outside the manufacturing industry for the next innovation to win market share from the lifestyle choices available to their customers.  And, what industry would John Deere look to for managing the financial risk issues in the transition process?  Perhaps the automobile manufacturing industry that adopted Starbucks business process model for auto services.

     Attending the WBT conference in Dallas last week reminded me of roaming a traditional outdoor marketplace or Middle Eastern bazaar.  Unlike other conferences where deal making occurs in the shadows of learning and under the guise of “networking”, the focus of WBT is to bring together buyers and sellers.  

     The sellers are ambitious and creative inventors of intriguing technologies.  Although some are wizened pros and others are as “green” as the technologies they hawk, they all promote feverishly, convinced that the perfect investor is just one elevator pitch away. 

     The buyers look the part of the moneyed elite, surveying the marketplace with feigned disinterest.  Circles of VC guys boast about companies in their portfolios like cards in a winning poker hand.  Corporate types swagger down the aisles knowing that the Fortune 500 employer on their nametags tantalizes the inventors like designer labels to a crowd of teens.

     In our high tech world of virtual marketplaces, nothing can replace the energy of the marketplace, where buyers and sellers face-off, live and in real-time. 

After working with a number of management consulting firms in the areas of process improvement, benchmarking, sales training, and pharmaceutical thought leadership, I was intrigued by the concept of Open Innovation (OI) to find solutions to companies’ challenges from very different industries.  As a consultant,  I had worked across multiple industries and had participated in adapting solutions from one industry to another but the challenge was usually in finding solutions that were available to share with clients.   I was, therefore, very excited when the opportunity arose to join NineSigma whose business it is to connect the world to innovation and, in so doing, to help people find solutions to problems that had eluded them.

Stepping into the world of OI with the NineSigma team is inspiring, exhilarating, and absolutely fascinating.  The internal team of Program Managers who conduct the research are highly intelligent and curious people and are the heart of the company.  They happily share their current Open Innovation projects from diverse industries, all of which touch our lives – consumer products, automotive, healthcare, industrials, energy-- and the list goes on and on. No two projects are alike but the needs from the client are the same, i.e. to “help us find solutions to the problems we’re facing.”   As these Program Managers talk about their projects and share the results of their work, a newcomer can only be amazed at the unexpected connections that are so often the outcome of these projects and inspired by the results that OI produces.  So far I've hear about connections between electronics and butterflies, industrial fibers and CAT scans, biomedical needs and marine animals, and more. Some of these results can even change the world.  It’s hard to believe that ‘going to work’ can get better than that.

Many of our clients use their corporate website to highlight strategic and tactical needs as a way to solicit solutions from the global science and innovation community.  Today, I wanted to highlight a website from a client of ours, Johnson Controls, Inc. (JCI).  Their Open Innovation website, launched in mid 2009, is interesting because although many similar websites exist within the packaged food and consumer packaged goods industries, I am not aware of any other automotive OEM or Tier One supplier doing this today.  Below is a summary of a few questions I've been bouncing off the Johnson Controls Automotive Experience team (the division behind the OI website).

Kevin:  First, can you give some background - who is Johnson Controls?

JCI:   Johnson Controls is a global leader in energy and operational efficiency for buildings, innovative interiors for vehicles and advanced vehicle power solutions.  The Automotive Experience business of Johnson Controls provides automotive seating, interiors and electronics components and systems to almost every automaker globally. Our seating products include: seat trim, foam, metals and mechanisms, as well as complete seat systems. Our interior components include: door panels; overhead systems, sun visors, overhead consoles; in addition to center and floor consoles and instrument panels. Our electronics products include integrated electronics - displays, instrument clusters, connectivity systems and body electronics; as well as electrical energy management and the HomeLink Wireless Control System.

Kevin: How do people submit solutions, and what process do you have in place to review submissions?

JCI: As with most of these websites, in order to keep the flow of information clean and to avoid disclosure of proprietary information, all submitters must have issued patents or patent applications for their technology.  To review submissions, we have established an expert review process.  Each idea submitted is available to all experts for review, but individual ideas are categorized and sent to the appropriate experts to ensure the right people are notified immediately that an idea in their area of expertise has been submitted for their review. Inventors are notified if there is interest, typically within three months.

Kevin: What technology interests are you seeking from your website?

JCI: We are particularly interested in a few key technology areas.  These include surface / thin-film technology, new cover materials, bio-polymers and natural fiber materials, advanced high strength steels and structural composite materials and the associated technologies to form and join these materials, “smart” materials, injection mold tooling technology that reduces cycle time, technologies to reduce component assembly time and cost (such as unique fastening, assembly automation and in-plant logistics), sensor and actuator technology for electronification of interior features, unique technology to achieve downsized mechanisms like recliners and adjusters, and software tools to improve predictive analysis and design optimization.  We're also always interested in solutions that can reduce product weight, costs, and/or improve environmental sustainability.

Kevin: Why is your product set a good one for Open Innovation, and what kinds of solution providers are you seeking?

JCI: Our broad product scope requires solutions from an array of technologies to create successful systems. For example, many of our products serve a structural role and are important for performance and safety.  But what are ways to weld/join different kinds of components and materials?  This is something that is being addressed in a variety of industries (not just automotive), and therefore, new approaches are always of interest. As for the types of solution providers, we are looking to this website to communicate differently with our traditional supply base, but also of significant interest is the ability to extend our network to the many academic and non-profit research institutions, as well as to inventors working in diverse technologies and other companies searching to license applicable technology.

Kevin: What kinds of results/successes are you already seeing?

JCI: We are pleased with what we’ve seen so far. The submissions have been steadily coming in, and our internal network of experts has been enjoying the experience of reviewing the ideas and connecting with the inventors who have made the submissions to our site.  More than a few submissions have been technologies that have potential for application in more than one product area.  These submissions have been particularly exciting for us.  For example, just last week we had a series of meetings with potential solution providers, and we had a particularly interesting company in for a visit to explore their technology as it might be applied to automotive seating and interiors.

Kevin: What were your biggest obstacles in getting this initiative complete, and what advice would you have for other companies considering creating an Open Innovation-focused needs website?

JCI:  As you know, Kevin, executive support of Open Innovation is important for the success of these initiatives.   Innovation is a core value for Johnson Controls, and we have had great support from our leadership team, so getting this initiative up and running was not a significant challenge. Our challenge is to make connections with the innovative people outside of our organization with whom we have not yet met.  We want every inventor with technology applicable to Johnson Controls to know that we are open to their ideas and know how to share them with us. 

As for advice for other companies, I suggest that having a robust process for reviewing the ideas once they are received is critical.  We are seeing successes, in part, because we have a system in place to ensure that, while all of our experts have access to the submissions, individual experts are specifically notified when an idea in their area of expertise is received.  The initiative can’t be successful if the review process doesn’t expose the best ideas for follow through.

Did you hear the one about the automotive sensor manufacturer who found oil-level sensor technology from the dairy industry?  How about the time we connected a candy manufacturer with enabling dispenser technology to impact an appliance manufacturer?  Or the one where the crash sensor radar/imaging technology was applied for inspection of heat-sealed pouches for food products to detect a failed seal?  

Storytelling is the life blood of Open Innovation (and NineSigma, too), and cross-boundary/cross-industry connections not only make fantastic stories but validate day after day how powerful a structured Open Innovation program can be towards delivering results.  This comes to mind today, because during my staff meeting this morning, we spent part of it filming our technical team in order to capture and document just a handful of the amazing project stories among the 1600+ client engagements.  This is always a tricky exercise to showcase an interesting outcome, while protecting client confidentiality, but the passion surrounding the stories engaged everybody, and the excitement was infectious.  We look forward to finding better ways of sharing success and stories with the NineSigma community...  What other stories are out there?