Perspectives on Innovation

By Dwayne Spradlin, CEO of InnoCentive

In our book “The Open Innovation Marketplace: Creating Value in the Challenge Driven Enterprise” published this year by FT Press, Alph Bingham and I explored Open Innovation and the Challenge Driven Enterprise. As we continue our discussion of Challenges and why they are profoundly important in this four part series, we turn our attention now to Challenges as a better way to organize and distribute work.

There are many kinds of work. There’s work on the assembly line, analyzing water for impurities, delivering newspapers, and fighting wars. And loosely speaking, Challenges may have a role to play in all these kinds of activities. And there is a different kind of more intellectual work requiring more creativity and invention, whereby a need is identified and a solution sought. Examples include development of a marketing strategy, a new plastic material for manufacturing, or an innovative approach to engaging customers.

In this latter kind of work, well-defined Challenges represent a powerful tool for organizing human activity and motivating innovative outcomes.

Organizations have spent years defining efficient organizational forms, writing Standard Operating Procedures (SOPs), crafting job descriptions, and even developing robust platforms for planning and tracking work. And they are becoming more efficient. Use of contract labor and outsourcing of work, even whole functions, is more commonplace than ever. These approaches have often improved the bottom lines of businesses by increasing flexibility, lowering costs, and enabling projects to be accelerated. However with notable exceptions, these exercises in efficiency and shifting labor costs have done little to fundamentally change the rules of the game—to create anything like a “step change” in business performance and breakthrough innovation. In most instances, the 20th-century approach is essentially institutionalized resource planning and labor arbitrage that is simply commoditizing work and trading high cost labor for lower cost alternatives. It is not creating a unique competitive advantage. And it is certainly not tapping the creative capacity of organizations and the world to innovate. In some cases, it has actually achieved the opposite effect. Consider how many companies arguably lost their innovative edge by focusing so singularly on cost reduction that they lost the very resources and capabilities needed to be competitive over time (for example, Dell, General Motors). Some even created their next generation competition by turning their suppliers and partners into the only true sources of innovation (for example, semiconductors). Read the rest of this entry »

As we turn the page on 2011 and turn our eyes to 2012, I wanted to reflect on some of the remarkable things we accomplished together this past year.

In 2011, we added many thousands of people to our Global Solver Community.  We distributed more than $2m in Challenge awards.  And we welcomed Popular Science and EDF as strategic partners, resulting in a wealth of new Challenges for Solvers to tackle and an expanded pool of diverse minds for our Seekers to tap into.  We elevated Novel Molecule Compound (NMC) Challenges, providing higher award amounts and introducing fingerprinting technology, which resulted in greater uptake in Solver engagement and renewed confidence from our Seekers, ultimately leading to a doubling of NMC Challenges posted and solved as compared to 2010.

But we did something much more important. We accomplished the goal we set for ourselves when we embarked on this journey together – and I don’t say this lightly – we changed the world.  Together we brought solutions to light that would never have been uncovered any other way.  Below are a few of the Challenges that were awarded in 2011 that I’m particularly proud of.

Prize4Life – this was our “walk on the moon” Challenge.  The big, audacious goal that we weren’t sure was even achievable, but was so important that it carried a $1m award.  First launched in 2006, the Prize4Life Challenge sought a biomarker for ALS, also known as Lou Gehrig’s Disease – a rare disease with such a rapid rate of advancement that there was literally no way to measure its progression.   In 2011, Solver Seward Rutkove was awarded the full $1m for his biomarker, which used a method called electrical impedance myography (EIM)  to measure the flow of a small electrical current through muscle tissue.  This biomarker has the potential to reduce the cost of Phase II clinical trials by more than 50%, and by correlating closely with disease progression, to remove one of the primary obstacles to industry investment in potential ALS therapies.

EDF Nitrate Capture System – PhD candidate Patrick Fuller submitted an innovative solution for the capture of toxic nitrates – and won the award on his first Challenge.  This solution could mitigate the 50-80% of fertilizer applied to commercial crops in the U.S. that is not absorbed by plants and is instead lost to water and air, causing dangerous environmental and health impacts in a growing number of watersheds around the country.

Cincinnati Children’s Hospital Games for Health – anyone who has cared for a chronically sick child knows the challenges that adolescence brings.  The increasing need for independence and social interaction makes following a prescribed health regimen difficult.  Cincinnati Children’s Hospital came up with a unique approach to inspire teenagers and pre-teens to take care of themselves – a video game.  The solution to this Challenge has the potential to dramatically improve health care outcomes for sick kids.  We’ll have more news on this solution in the coming weeks.

Humanitarian Air Drop – The Challenges posted by the Air Force Research Labs have truly captured the attention of our Solvers and of the media.  Of the seven posted so far, the humanitarian air drop Challenge hits closest to home for me.  The notion that distribution of aid to the most vulnerable communities, often in the middle of a war zone, could actually cause harm to people needing that aid, is difficult to accept.  Two Solvers, one from Indonesia and one from Peru, solved the Challenge, one of them referencing a well-known mechanism for moving coal from a mine shaft.  This is a perfect example of diversity and the uniquely prepared mind at work, as my colleague and InnoCentive Co-Founder Alph Bingham might say.

These Challenges represent just a few of the highlights of 2011.  The year 2012 is positioned to be even more impactful – we’ll be awarding new delivery options for the polio vaccine, better sanitation for billions of people in developing countries, and viable disposal options for environmentally toxic electronics.  Over the coming weeks and months we’ll be posting new Challenges that promise to be just as interesting, fulfilling, and earth shattering as those we saw in 2011.

Thank you for your continued participation in the InnoCentive Solver Community.

Warmest regards,
Dwayne

We recently announced a Challenge to advance research in childhood obesity with the Foundation for Prader-Willi Research.  The Challenge is very personal to the Foundation, which is composed of parents of children with Prader-Willi Syndrome.  A solution to this Challenge will have a direct and immediate impact on thousands of children who are currently suffering from the effects of the disorder.  We talked to Shawn about the Challenge, his personal experience with Prader-Willi Syndrome and the overall benefit the Challenge solution will have on the field of obesity research.

Hi Shawn.  Prader-Willi Syndrome (PWS) is a relatively rare disorder that may be unfamiliar to many of our Solvers.  Can you tell us a bit about it? What are the biggest challenges faced by children with PWS and their families?

Prader-Willi syndrome is a genetic disorder that occurs in approximately one out of every 20,000 births. PWS affects males and females with equal frequency and affects all races and ethnicities. PWS is recognized as the most common genetic cause of life-threatening childhood obesity.  The syndrome is genetically characterized as an abnormality of chromosome 15.

Common characteristics of PWS include small hands and feet, abnormal growth and body composition (small stature, very low lean body mass and early onset childhood obesity), hypotonia (weak muscles) at birth, insatiable hunger, extreme obesity, intellectual disability and mental illness.

The symptoms of Prader-Willi syndrome are thought to be caused by dysfunction of a portion of the brain called the hypothalamus. The hypothalamus is a small endocrine organ at the base of the brain that plays a crucial role in many bodily functions, including hunger and satiety, temperature and pain regulation, sleep-wake balance, fluid balance, emotions, and fertility

The biggest challenge for kids with PWS is the extreme desire to eat.  This insatiable hunger greatly reduces their quality of life and impacts areas such as learning and social interaction.  We’ve all had times in our lives where we missed a meal; maybe you missed a lunch because you needed to make a deadline at work.  As the hunger continues and that feeling of starvation increases, all you can think about is getting your next meal.  It’s difficult to think of anything but food.  Image having that feeling of hunger all day and for the rest of your life, no matter how much you eat.  That is what our kids face.

The stress level for a family with a child who has PWS is very high.  A big part of the stress is the constant supervision required to keep our kids safe from food.  Because they have an inability to regulate their food intake, this task falls on the parents and others that care for them.  Parents often have to lock up their cabinets and refrigerators to manage food consumption.  Unfortunately there have been many cases where a child has died because of overeating and every parent is aware of this risk.  In our society food is a big part of our culture and trying to balance this while protecting our children from food is very difficult and stressful.

How has PWS affected you personally?

It was Friday, a couple of days before Mother’s Day when we got the diagnosis that Ellie (our first child) had PWS.  It was the hardest piece of information I have ever received.  I was completely confused and scared about what this diagnosis meant.  The physical and emotional pain I felt at that moment was like nothing I had ever felt before.  It’s hard to explain unless you have gone through it but when I heard the words Prader-Willi syndrome I knew our lives would never be the same.  She would never be able to have children, going to college was very unlikely and she would not be able to live an independent life.  Those life expectations that we take for granted were gone.  You don’t really realize how important they are to you until they are gone.  Life had changed.

Ellie and our family have been through a lot.  She has required physical and speech therapy almost from birth to today.  Things that come easily for her peers and her baby sister are difficult for her.  She is almost 5 years old and as she gets older I sense that she realizes things are more difficult for her.  She has OCD and autistic like behaviors.  Though she is thin (because of her strict diet and daily physical activity) she is increasingly interested in food.  She talks about it a lot and it’s getting worse.  Food is becoming the most important thing in her life.  Before it was baby dolls, now it’s pizza or birthday cakes.  Almost as soon as she finishes her dinner she is asking her Mommy what’s for dinner tomorrow or when is her next meal.  As a parent, hearing the words “I’m hungry” from Ellie hurts every time I hear it.  And I hear it constantly throughout the day.  Ellie can’t help it but it doesn’t lessen the pain because I know it’s that insatiable appetite that will prevent her from living an independent life.

What would a solution to this Challenge mean for children with PWS? Read the rest of this entry »

Every year we look forward to reviewing the submissions we receive in our annual video Challenge – and they never disappoint.  They come from all over the world and are created using everything from sophisticated camera equipment and editing software to mobile phones and title cards.  Some of the best videos we’ve ever seen have been made by Solvers or groups of Solvers with nothing but a Flip camera to capture the passion they feel about solving important problems, in humorous or dramatic ways.

This year’s theme, “Unlikely Innovation”, is particularly interesting for us.  We know what you can do when given a difficult problem to solve.  Now we’re asking you to name the problem you’d like to see solved.  It can be serious or silly, world changing or relevant only to you.  Capture it on film and you could join the ranks of others who have won this Challenge – and have seen their videos published and promoted to their peers.

Need a little inspiration?  Here’s a list of interesting innovations proposed over the years, courtesy of Life magazine:

1. Rocket Mail – send mail from Berlin to New York in 24 minutes with this device.
2. Self-Saluting Hat – tired of taking the time to tip your hat when the occasion requires?  Here’s a hat that will do it for you.
3. Car Cooker – cook your meal while you drive with a stove that’s connected to your car’s exhaust pipe.
4. Mechanical Pea Eating Device – for when eating peas from a fork is too taxing.
5. Food Storage Suit – a suit of armor that could store enough food for a month.  Under water.
6. Shaving Robot – this one is just too terrifying to contemplate.  Never trust a robot that won’t look you in the eye.

The InnoCentive video Challenge closes on the 13th – don’t miss your chance to show us what innovation you’d like to see in 2012!

We recently announced a Challenge with the London School of Hygiene and Tropical Medicine (LSHTM) to improve sanitary conditions for more than a billion people in the world using pit latrines.  We asked the Director of Sanitation Ventures, run by LSHTM, to provide a bit of background on the problem at the heart of this Challenge.

Hi Walter.  Can you tell us a bit about Sanitation Ventures and how you’re connected to the London School of Hygiene and Tropical Medicine?

Good sanitation is one of the greatest advances in public health, yet it remains unavailable to billions of poor people in developing countries. Around 1.7 billion people worldwide still use one of the most basic forms of on-site (non-piped) sanitation, the pit latrine. And they face a recurring problem: the contents don’t decompose fast enough or fully, and the pits fill up. This seriously undermines people’s health and quality of life.

Sanitation Ventures is a three-year project to tackle these problems, run by the London School of Hygiene and Tropical Medicine (LSHTM) and funded by the Bill & Melinda Gates Foundation. I was involved in developing the proposal with LSHTM and the UK development agency Oxfam. We’re a diverse team of business professionals, scientists, academic researchers and innovation specialists, who want a world where safe, sustainable sanitation is accessible to everyone.

Our approach is based on two core beliefs:

• Many recent scientific advances, particularly in biotechnology, can be readily applied to improving sanitation in sustainable, affordable ways
• Market-led approaches are the best way to provide novel, sustainable interventions to address key development challenges.

Building on the latest advances in science and technology, we’re generating new knowledge about pit latrines and developing innovations in on-site sanitation that will offer longer-lasting, affordable sanitation for low-income users. The BSF larvae approach is just one of several we’re exploring. We’ll then help make sure these solutions are successfully brought to market, where they can have sustainable impact on users’ lives.

Your Challenge is essentially seeking a way to keep pit latrines from overfilling, using black soldier fly (BSF) larvae.  How did this idea of using BSF come about and has it been proven to work elsewhere? Read the rest of this entry »