Degree of Openness in Public Policies: A Conceptual Proposal

Degree of Openness in Public Policies: A Conceptual Proposal

Antonio Bob Santos (ISCTE-IUL, University Institute of Lisbon, Portugal)
DOI: 10.4018/978-1-4666-8833-9.ch017
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Research conducted around the topic of open innovation has been mainly empirical in nature and primarily focused on firms. For a better understanding of open innovation, it is important to conduct further research beyond the “firm environment”, particularly in areas related to public policy. This chapter addresses the topic of open innovation, relating it to public policy, analyzing the framework conditions that can stimulate the development of open innovation in organizations. More specifically, the chapter uses the Portuguese public policies as a case study. A methodology is proposed and discussed for analyzing the degree of openness in public policy, concerning policy orientation to support the development of open innovation.
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Background: Public Policies And Open Innovation - A Conceptual Overview

The term “open innovation” emerged in 2003 from the observation and analysis of innovation practices present in multinational companies (based in the United States of America - USA), where it was found that these practices functioned as an open system, with multiple interconnections with external actors. This work was initially developed by Professor Henry Chesbrough (2003a), which distinguished this open innovation model from the vertically integrated model – the dominant model in the twentieth century - in which companies had all the control of the innovation process - traditional innovation model (West et al., 2014).

The conclusions of Chesbrough indicated that large multinationals did not abandoned the traditional innovation model (vertically integrated) definitively, but that it was complemented with a set of external demand for technology and its incorporation in the company`s production process, as well as through the monitoring of the technology flows generated internally that were targeted to markets, through licensing processes, for example (Chesbrough, 2006, pp. 2-3). This form of organization of innovation has been designated by the term open innovation (original term):

Open innovation means that valuable ideas can come from inside or outside the company and can go to market from inside or outside the company as well. This approach places external ideas and external paths to market on the same level of importance as that reserved for internal ideas and paths to market during the Closed Innovation Era. (Chesbrough, 2003a, p. 43).

Chesbrough and Bogers (2014) introduced new insights to this definition, namely through the notions of pecuniary and non-pecuniary mechanisms associated with knowledge flows:

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