21.04.2021 It is incredibly important for corporations to conduct regular innovation activities: develop new ideas and technologies, test and implement them within their business model, constantly optimize these activities and increase their efficiency. Without all this, the corporation runs the risk of losing its position in the market, losing even loyal customers and, as a result, being out of business.
The traditionally established model assumes work with closed innovations.
Historically, divisions and departments were formed within large companies, the main purpose of which was research and development work (R&D). In such departments, the whole process took place from the idea to the finished product, all stages were within the organization.
Benefits of closed innovation:
- All work on innovations is under the full control of the top management of the company.
- Information about innovative developments does not spread to the outside world, which means that it creates additional competitive advantages in the form of technologies that are unique for the market.
Disadvantages of closed innovation:
- New technologies in this model of corporate innovation are developed with limited corporate resources. The same employees of the department, no matter how talented they are, cannot endlessly generate new ideas.
- The corporation is left without external expertise, which often helps to refine the idea and product before the innovation goes to market. Without such expertise, the risks of failure increase significantly.
A more modern model of open innovation involves outsourcing, experts, innovators and technology. This model makes it possible to solve the problems of internal innovation faster and much more efficiently. For companies that do not have their own department for innovations, the open innovation model becomes the only solution to the problem of effective innovative developments.
Benefits of open innovation:
- The process of developing innovations becomes much more efficient and faster.
- There is no need to maintain an entire department of employees on a permanent basis, which means that the costs of innovation are significantly reduced.
- Opportunity to get an objective expert assessment from the outside.
- Ability to choose among numerous startups and projects.
Disadvantages of open innovation:
- Openness to the market logically gives rise to a number of risks associated with information leakage that gives competitive advantages in the market. In addition, the risks in terms of corporate cybersecurity should not be forgotten.
- There are always risks of making the wrong choice among startups and companies offering innovative products and technologies and making financial investments that will not bring results.
- Another disadvantage of innovation openness is the risk that talented employees of the corporate innovation team may be lured into competing companies.
So, which is better?
Irina Kalashnikova, co-founder and CEO of GoTech Innovation: “Our experience of cooperation with corporations shows that the most effective use of a hybrid model that combines internal and external tools for working with innovation. For example, a corporation independently develops innovative technological solutions internally, but at the same time uses external resources (startups or expertise) to test and optimize the product. In any case, in order to keep up with the rapid technological progress, corporations need to strengthen internal resources with effective external practices”.
Retail Innovation Tech Alliance (RITA) has completed
the sixth selection of startups to implement joint projects with the largest retail and technology corporations in Russia and Kazakhstan. There are 3 days left until the end of
the selection of startups conducted by Retail Innovation Tech Alliance (RITA). October 20, 2021 Moscow – The Retail Innovation Tech Alliance (RITA) announces the sixth selection of startups to implement joint projects with the largest retail and technology corporations in Russia and Kazakhstan. On October 14, the pitch sessions of the finalists of the Finlanding took place. 12 companies
presented their projects to the experts of Helsinki Centre, NewCo Helsinki and Helsinki Business Hub.
2020 was a record year for investments in startups in Finland. 10 years ago, the amount of financing for young companies was 8 times less.
MoreOn September 20, the acceptance of applications for technological projects within the Finlanding program ended. We would like to share its results with you.
MoreFinlanding, a program to support technology companies, continues to accept applications. Representatives of the program organizers – the Helsinki Center in St. Petersburg and the Helsinki Business Hub – talked to Evgenia Barchenko, the chief of operating officer of GoTech Innovation consulting company, about what helps Russian startups to develop in Finland, and how to successfully pass the current selection.
MoreHelsinki is one of the leading cities in the world in terms of infrastructure development to support startups. Every year, new institutions for the development of young companies appear in the region, where future unicorns, known all over the world, grow up.
MoreToday we want to share the stories of Verspeak and Suomzilla. Co-founder and CEO of GoTech Innovation Irina Kalashnikova spoke with the founder and CEO of Verspeak Ruslan Musin and a board member of Suomzilla Alexander Krylov about why they decided to go to Finland, what they have already done over the past year in a new country for themselves, what advice they can give other entrepreneurs.
MoreFor the first year of Retail Innovation Tech Alliance (RITA), M.Video-Eldorado’s innovative division managed to select more than 20 technological solutions, with which it is actively working. RITA was initiated in February 2020 by X5 Group, Beeline, M.Video-Eldorado Group, and Hoff to scout and adopt innovations. GoTech Innovation acted as a scouting operator in Russia, CIS, Europe in spring and autumn 2020.
MoreGoTech
team has been working with startups for more than 10 years. If you want to run a corporate accelerator, prepare to hold a contest, conference, hackathon, pitch-session or any other event, where it comes to startups and technologies – let’s get acquainted, we will be glad to help. GoTech is a leader in the field of technology scouting. Our funnel numbers more than 12 000 startups from 50
countries and is constantly updated. Experienced team and international partner network allow finding solutions for corporate tasks and startups for investment in Russia, CIS, Europe, Asia, and Latin America. We use our own TechScout platform to work with startups. Now it is available for wide use. With the help of TechScout, you will be able
to collect applications from startups on your website, manage the pipeline, organize the work of experts and monitor the results of the assessment.