From Innovation to Open Innovation in Filtration & Separations

1©yet2.com Inc., 2015 CONFIDENTIAL

From Innovation to Open Innovation…in Filtration and Separations

Bob MillerVice President, Innovation Services

Plenary Session 6Wednesday, October 7, 2015


Me.yet2.

This talk.


• What is innovation…and what is it not?

• Is innovation important…and why?

• What is the state of innovation in filtration and separations?

• What are technology roadmaps and why are they, alone, insufficient for developing breakthrough products?

• Can my company improve its ability to innovate?

• What is Open Innovation?


If my company does not introduce new products or services…

“…we’ll do just fine with our existing products.”



“…we can blame marketing.”



“…we’ll go out of business and I will lose my job.”



“…maybe we’ll get acquired; that always works out well…right?”


Q: Is innovation important?


Survival of the Fittest


*Source: S&P500 Analysis


Only 68 (14%) remain.

How? They grew…profitably.How? They innovated.


Q: Is innovation important?

A: Only if you wish to survive!


Innovation


Innovation is…not creativity.

Innovation Defined


“Ideas are useless unless used. The proof of their value is in their implementation. Until then, they are in limbo.”



Ken RobinsonAuthor/educatorCreativity expert Sir Ken Robinson challenges the way we’re educating our children. He champions a radical rethink of our school systems, to cultivate creativity and acknowledge multiple types of intelligence.


Innovation is…not (just) research.

Innovation Defined



(Business) innovation… is an organization's process for

introducing new ideas, workflows, methodologies,

services or products that make their businesses better.

Innovation Defined


Innovation Growth

Opp


Innovation in Filtration & Separations


…is alive and well!


Market Growth


Since 2010: 140Grant Type No. Range of Values

Phase I 393 $80K - $225K

Phase II 143 $491K - $1.1M


• Thermo-Mechanically Stable Tungsten Powders as Solid Catchers for the Fast Release of Stopped Rare Isotopes

• Corona Discharge Vortex Agglomerator for Improved Separation of Fine Sand/Dust Particles in Turbine Engines

• STTR Phase I: Nanofiber Fabrication vis Melt Coextrusion for Fuel Filter Membranes

• SBIR Phase II: The Development of Higher Voltage, Longer Life and Lower Cost Activated Carbon Materials for Supercapacitors

• SBIR Phase I: A high-efficiency and compact blood filter for enhanced removal of toxins during hemodialysis

• SBIR Phase II: Asymmetric Block Copolymer Membranes for Ultrafiltration

• Multiple-stage activated-char filtration• SBIR Phase II: Novel Zeolite Membranes for Olefin/Paraffin Separation

Select SBIR/STTR Awards - 2014


Venture Capital Funded Start-ups

Company Count: 60VC Funds Raised: $250 millionNo. of Employees: 1,100

Company Universe: VC-backedKeywords: FiltrationOwnership Status: Privately-held


Dynamic Start-up Environment


However, many large companies are not realizing the growth that

comes from successful innovation.

So, aren’t you nervous about outrunning that lion?

Not really. I just need to outrun you!



TechnologyRoadmapping


Growth Strategy Roadmapping

Many, many large and mid-sized companies have used technology roadmaps, which are linked to their product roadmaps, which, in turn, are linked to their growth goals.


Technology Roadmapping

• Roadmaps are used to ensure that innovation/ technology development is aligned with customer needs and address external threats that may erode market share.

• Roadmaps clearly define short-term projects and investments and shape the direction of longer term development activities.


Growth Strategy Roadmapping

Limited Expertise

Core Expertise

No Expertise

Core Expertise


The Case for Open Innovation


Copyright © 2012 by IGI Global. SMEs and open innovation: global cases and initiatives / Hakikur Rahman and Isabel Ramos, editors.


Your organization is probably really good at developing certain types of products using certain types of technologies.


“It is tempting, if the only tool you have is a hammer, to treat everything as if it were a nail.”

-Abraham Maslow




1Chesbrough, Henry William (1 March 2003). Open Innovation: The new imperative for creating and profiting from technology. Boston: Harvard Business School Press.

Open innovation… is the purposeful use of inflows and outflows of knowledge to accelerate

internal innovation and to expand opportunities for the external use of

innovation.1

Open Innovation Defined




Competition You

Competition

You and your external network


“Not invented here”must become

“Proudly found elsewhere”


Open Innovation:

Technology Scouting


Technology scouting is a process of identifying both emerging and existing technologies in the wider world.

•Technologies come from universities and research institutes, individual inventors, and other companies, small and large.

•Internal and/or external technology scouts search competitors, patent databases, and academic literature and network at relevant technical and business conferences.

•Some Open Innovation services firms are experts in technology scouting, where their extensive networks can lead them to discover very interesting solutions from the above sources and from completely different industries.

Technology Scouting Defined


Technology Scouting Methodologies

TechnologyDeal Flow

Unique access to step-change growth

opportunities in broader interest areas

Topic-specific Scouting

Broad Global Searches against Specific Technical

Problems

InnovationTours

Geography-specific, in-person tours to meet and evaluate 10-20 potential

technology partners

CrowdsourcingAccess and build ideas

through the power of “the crowd’

OI PortalsTaking the “pain” and the risk out of Corporate Idea

Submission programs

SubscriptionDatabases

Use a wide variety of subscription sources of technical and market

information

PatentMining

Use of publicly-available and/or subscription

patent services

InternalScouts

Use of internal research, market development

and/or corporate development staff


Recap


Summary

• Companies need to innovate to survive, no less thrive

• Strong evidence exists that innovation is alive and well in filtration and separations

• Technology roadmaps are wonderful…but only if executed by identifying and filling gaps in internal development capabilities

• Technology scouting is a critical element of innovation execution

• Open Innovation services firms can be effective technology scouts


Leadership & Management

From Innovation to Open Innovation in Filtration & Separations