1. BSI Open Innovation andWhatitMeanstoYou Marketing 2.0 Conference, Paris 2010

2. Jointheconversation MARKETING 2.0 CONFERENCE www.marketing2conference.com

3. M2C Conference: March 22nd, 2010 Open Innovation and What it Means to You Bonnie Kiesling VP Marketing InnoCentive, Inc.

4. O•penIn•no•va•tion1. n. a methodology for harnessing collective intelligence in a world of widely distributed knowledge 2. adj. a creative approach for encouraging fresh thinking to accelerate the development of breakthrough ideas

5. Entire Planet of Problem Solvers I have a problem I have a solution

6. Crowdsourcing isn’t New … LONGITUDE PRIZE Offered by the British government through an Act of Parliament in 1714 for a simple and practical method for the precise determination of a ship's longitude. In total, over ₤100,000 was given in the form of encouragements and awards, the significant winner was John Harrison who received ₤14,315 for his work on chronometers from 1737 to 1764. Source: Wikipedia John Harrison’s Chronometer H5

7. Another Example … ORTEIG PRIZE $25,000 reward offered in 1919 by hotel owner Raymond Orteig to the first allied aviator(s) to fly non-stop from New York City to Paris or vice-versa. By1924, aviation technology had advanced to the point that numerous competitors vied for the prize. Relative-unknown Charles Lindbergh won the prize in 1927 in his aircraft Spirit of St. Louis. Lindbergh became the first solo pilot to cross the Atlantic non-stop in a fixed-wing aircraft Source: Wikipedia Charles Lindbergh and Raymond Orteig

9. The CEO decided they should share all available company-owned geological data (the proprietary crown jewels) of the mine with everyone on the Internet

11. Goldcorp drilled 4 of the winners' targets and have hit on all 4

12. The prize winner? Fractal Graphics, a software firm based in Perth – never seen a mine, doesn't understand the gold business

13. The company shot from US$100 million to US$9 billion in revenueThe GoldCorp Story

14. Our Opportunity to Use Open Innovation and Crowdsourcing on a Massive Scale is … Why Now? The Perfect Storm! (Don Tapscott) Technology Revolution Demographic Revolution Social Revolution Economic Revolution

15. The InnoCentive Open Innovation Marketplace Seekers works with InnoCentive to formulate aChallenge and award InnoCentive posts Challenge on its public Marketplace of 200,000 global Solvers Solvers view Challenges and submit solutions Seeker selects winning solution &awards Solver Solver transfers intellectual property to Seeker

16. Solutions from Unlikely Places 1989 Exxon Valdez Oil Spill Oil Spill Recovery Institute (OSRI) formed shortly thereafter and is chartered with developing recovery techniques. Oil Remains on Floor of Prince William Sound Today Brightest minds in the industry could not solve the problem of separating frozen oil from water in collection barges. 2007 OSRI Buys Game Changing Solution for $20,000 Construction Engineer from Midwest suggested a technique used in the concrete industry for keeping cement fluid during large pours.

17. Magic in Diversity 12 Marginal Impact of Problem Distance and Probability of Creating a Winning Solution 20% 10% Probability of Solving Inside Outside Winning Solutions most likely from 6 disciplines away from problem!

18. Reality, Diversity, and the “Long Tail” 13

19. The InnoCentive Community & Marketing

20. Solutions for Marketing Problems Over 2,00 people worked on project Received over 200 submission Solvers included: PhD in Genetics Aircraft Engineer Organizational Dev Prof. Seeker gave 6 awards!!!! Solvers included: Authors Doctors Students

21. Crowdsourcing for T-shirts

22. Crowdsourcing for Designs

23. Crowdsourced Advertising Agency

24. Open Innovation is Powerful and Here to Stay New and Open Old and Closed Linear, Slow Proprietary Knowledge Hire the best and solve within Wisdom of experts Exponential, networked, quick Shared Knowledge Find and use the best minds anywhere Wisdom of the crowds

25. The Marketing opportunities are limitless….Questions? THANK YOU! Bonnie Kiesling VP of Marketing InnoCentive, Inc.