At the heart of transformation: the impact of an open innovation mindset on measurable business success

At the heart of transformation: the impact of an open innovation mindset on measurable business success

A recent study by the Bertelsmann Foundation shows that innovative companies in Germany declined by 6% last year. At the same time, research has shown that companies that focus more on innovation achieve a higher net return on sales and experience above-average employment growth. This raises the question: Why aren’t more companies investing in innovation? Especially in economically uncertain times, as highlighted by the recently published McKinsey study, investing countercyclically could prove to be a smart strategy.

Overcoming human barriers to innovation

However, it is often human barriers that stand in the way of innovation. The idea of developing something completely new and abandoning tried-and-true paths can create uncertainty and psychological hurdles, especially in a hectic work environment with limited mental capacity. But innovation goes hand in hand with collaboration. To be efficient and innovative, sharing knowledge and experiences is crucial. Often, there is already a wealth of knowledge lying dormant within the company that can be used to drive process or product innovation. In addition, the knowledge of customers, suppliers and competitors can also be used in a targeted manner, and the idea of an ecosystem is becoming increasingly important. Here, a clear strategy and carefully defined guard rails for knowledge sharing are crucial.

Knowledge sharing and collaboration as the key to innovation

It is understandable that it can be alienating at first to openly share one’s own knowledge and experiences with others. The fear that others might do better and the fear of being replaced are not uncommon. Nevertheless, research shows that solutions are often found more quickly and in a more nuanced way when people work together. If lack of time and high workloads are the biggest challenges, it’s time to break down the barriers and accept that shared knowledge is not lost. On the contrary, it empowers others to multiply and improve it, and allows one to benefit from the questions and new perspectives of others and grow in one’s own domain.

Research shows that you can change and systematically develop your attitude toward innovation and collaboration, the so-called open innovation mindset (Engelsberger et al., 2021, 2022). To do this, it is crucial to understand which influencing factors set the right priorities and how to develop and integrate them in everyday life. Targeted and continuous development of this open innovation mindset not only increases employee satisfaction, but also strengthens networking and promotes the emergence of new ideas and process innovations in the long term.Even in our increasingly digitalized world, personal contact remains a crucial factor for business success. The importance of face-to-face meetings and networking events cannot be underestimated. In this era of virtual meetings and emails, it’s easy to lose the human touch from business relationships. But especially now, as the business world continues to change and become more competitive, face-to-face relationships can make all the difference.

Ready to take the next step in developing your Open Innovation Mindset? In this article, you’ll learn how to work specifically on the OI mindset of your employees and drive innovation in your organization. Deepen your understanding of this critical mindset that makes all the difference in today’s business environment.

Face-to-face meetings: The importance of face-to-face communication

The advantages of face-to-face meetings are many. They make it possible to build trust, create synergies and establish real connections. In face-to-face meetings, you can perceive nuances that are lost in written communication. You can interpret body language and tone of voice, which can be critical to understanding the true needs and expectations of your business partners.

In addition, face-to-face meetings can help resolve conflicts and clear up misunderstandings. In such situations, it is often easier to clear up misunderstandings and find solutions together. This helps strengthen the business relationship and nip potential problems in the bud.

Remember that face-to-face meetings are not only designed to strengthen existing business relationships, but also to create new opportunities. Networking events and conferences provide a great opportunity to meet potential customers, partners or investors. Face-to-face meetings allow you to better showcase your company and ideas to expand your network.

Innovation and Collaboration: The Formula for Business Success

In a time when time is precious, it’s important to invest it in face-to-face meetings. This investment can pay off in the long run and give your business a crucial competitive edge. So, don’t hesitate to include face-to-face meetings in your business strategy and reap the benefits of personal connections.

Overall, it turns out that awareness of the Open Innovation Mindset and purposeful development of that mindset is critical to long-term business success in an ever-changing business world. As a business owner, if you foster a willingness to innovate and collaborate in your workforce, you can not only increase efficiency, but also secure long-term competitive advantage. Remember that innovation and collaboration go hand in hand, and those companies that empower and inspire their employees are often the ones that achieve the greatest success. So be open to new ideas, foster a culture of knowledge sharing, and see change as an opportunity to take your business to the next level.

With this in mind, set out on the path to the Open Innovation Mindset and actively shape your future in the corporate sector.

Further Reading:

Engelsberger, A., Halvorsen, B., Cavanagh, J., & Bartram, T. (2022). Human resources management and open innovation: The role of open innovation mindset. Asia Pacific Journal of Human Resources, 60(1), 194-215.

Engelsberger, A., Bartram, T., Cavanagh, J., Halvorsen, B., & Bogers, M. (2023). The role of collaborative human resource management in supporting open innovation: A multi-level model. Human Resource Management Review, 33(2), 100942.

Deloitte Consulting Blog (2023: Focusing on Better Value Sooner Safer Happier (BVSSH) Outcome

Laloux (2015): Reinventing Organizations

McKinsey (2023): Performance through people: Transforming human capital into competitive advantage