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  • Open models for innovation: an accounting-based perspective

    April 16, 2015 Editor 0

    The paper suggests an accounting-based framework for defining open innovation adoption modalities through the analysis of annual reports. Five models are described, depending on the costs, revenues, new investments and divestments in intangibles and knowledge assets related to open innovation. The framework is applied to a sample of 271 world top research and development (R&D) spending companies in the bio-pharmaceutical and the technology hardware and equipment industries. Annual reports data are examined for the period 2010-2012, with 813 statistical units analysed after a cross-section perspective. Results show that bio-pharmaceutical companies are twice open than technology hardware and equipment firms; the former mainly adopt a collaborative model for open innovation, by jointly developing research programmes with external parties, the latter prefer to incorporate other companies through the use of spin-ins. The paper contributes to the existing research by suggesting a pecuniary approach to evaluate open innovation adoption modalities. The framework can be used by companies for both monitoring their own open innovation positioning and benchmarking it with those of competitors.
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