How open innovation shapes strategy: an explorative multiple case study in the ICT industry

Abstract

Purpose of the paper: This paper explains to what extent open strategy draws on open innovation, and how different degrees of open strategy exist because of the adoption of open innovation. Methodology: Since the relationship between open innovation and open strategy represents an empirically under-explored research area, we adopt an exploratory multiple case study design to develop new theoretical and empirical insights pertaining to this topic. Findings: The present study reveals that open strategy is grounded in the implementation of an open innovation approach and that, once developed, it may, in turn, affect open innovation implementation. Moreover, our results show how the degree of “openness” of the strategy depends on the extent to which the firm shares information with external stakeholders and transforms external inputs in open strategy actions/interventions. Research limits: Given the exploratory nature of this study, the conceptual linkages between open innovation and open strategy may represent a starting point for future research in this area, which requires further empirical validation. Practical implications: Our theoretical framework may be useful for practitioners to approach an open strategy starting from open innovation implementation. Furthermore, it displays two variables, i.e. stakeholder engagement and open communication, that managers should control to regulate the openness of their strategy. Originality of the paper: The present study represents a first attempt to explore a theoretical connection between open innovation and open strategy from the firm’s perspective.