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Open Innovation @ Whirlpool. Company overview. EUROPE REGION ~$3.2B Sales 12,000 Employees. NORTH AMERICA REGION ~$9.6B Sales 29,000 Employees. ASIA REGION ~$900 M Sales 5,000 Employees. LATIN AMERICA REGION ~$4.7B Sales 25,000 Employees. Every Room … Every Home … Everywhere.

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company overview
Company overview

EUROPE REGION

  • ~$3.2B Sales
  • 12,000 Employees

NORTH AMERICA REGION

  • ~$9.6B Sales
  • 29,000 Employees

ASIA REGION

  • ~$900 M Sales
  • 5,000 Employees

LATIN AMERICA REGION

  • ~$4.7B Sales
  • 25,000 Employees

Open Innovation @ Whirlpool

every room every home everywhere
Every Room … Every Home … Everywhere

Bedroom(s)

Clothes revitalization

Room air conditioning

Dehumidifiers

Air coolers

Kitchen / Dining

Laundry Room

Ventilation

Portables

Cookware

Washer, dryer, sink

Clothes revitalization

Laundry storage solutions

Refrigeration

Dishwasher

Cooking

Outdoor

Garage

Grills

Cooking centers

Storage

Appliances

Workstations

Flooring

Basement

Storage

Water filtration

HVAC

Freezers

Air treatment

Open Innovation @ Whirlpool

whirlpool global open innovation context
Whirlpool global open innovationcontext

COMPETITIVE ENVIRONMENT IS FORCING TO INNOVATE THE WAY WE INNOVATE

OPEN INNOVATION

Difficulties to master internally all the competences / technologies needed

Leverage external resources to increase the productivity of AD & XP internal resources.

AD = Advanced Development: Whirlpool R&D department

XP = Cross Products categories: internal R&D categories that serve different product categories

Open Innovation @ Whirlpool

open innovation organization and skills
OPEN INNOVATION ORGANIZATION AND SKILLS

ORGANIZATION

SKILLS

  • Cross category accountable to manage Open innovation projects of all research categories
  • Open Innovation team manages also publicly funded projects
  • Open Innovation reports to VP of research and development
  • Strong technical competences
  • Business skills are required to consider different value proposition
  • Administrative roles are required, mainly for public funded projects

Open Innovation @ Whirlpool

open innovation process
OPEN INNOVATION PROCESS

AD Product cat and X Product

Understanding of internal knowledge needs

Tech Scouting

Opportunity assessment with internal PP

Seedbed into C2C

Partnership Management

Open Innovation @ Whirlpool

open innovation process internal gap
OPEN INNOVATION PROCESS: internal Gap

AD Product cat and X Product

Understanding of internal knowledge needs

Tech Scouting

Opportunity assessment with internal PP

Seedbed into C2C

Partnership Management

  • Consider knowledge needs  Evaluate external opportunities to cover the needs
  • Many solutions are already there  find it!

Open Innovation @ Whirlpool

open innovation process tech scouting 1 2
OPEN INNOVATION PROCESS: tech scouting 1/2

AD Product cat and X Product

Understanding of internal knowledge needs

Tech Scouting

Opportunity assessment with internal PP

Seedbed into C2C

Partnership Management

CROWDSOURCING

ScoutingTools

IP Scan,

OI networks, Intermediaries (Ninesigma, innocentive), Leverageexisting Network

  • Crowdsourcing can represent an opportunity for tech scouting

Open Innovation @ Whirlpool

open innovation process tech scouting 2 2
OPEN INNOVATION PROCESS: tech scouting 2/2

AD Product cat and X Product

Understanding of internal knowledge needs

Tech Scouting

Opportunity assessment with internal PP

Seedbed into C2C

Partnership Management

TECHNOLOGY FORUMS

ScoutingTools

IP Scan,

OI networks, Intermediaries (Ninesigma, innocentive), Leverageexisting Network

team of Whirlpool people expert in a field and working allover the world –who meet to discuss a specific technical competency area to achieve alignment around

  • Leverage the knowledge of your employee

Open Innovation @ Whirlpool

open innovation process opportunity assessment
OPEN INNOVATION PROCESS: opportunity assessment

AD Product cat and X Product

Understanding of internal knowledge needs

Tech Scouting

Opportunity assessment with internal PP

Seedbed into C2C

Partnership Management

  • Potential drivers to be considered:
  • Impact of the collaboration on innovation pipeline (both in terms of ideas and project),
  • Speed of execution
  • Access incremental resource
  • Knowledge generated
  • Expected business returns.
  • Different indicators should be considered to evaluate external opportunities
  • Different skills required to take into account different aspects

Open Innovation @ Whirlpool

open innovation process opportunity management
OPEN INNOVATION PROCESS: opportunity management

AD Product cat and X Product

Understanding of internal knowledge needs

Tech Scouting

Opportunity assessment with internal PP

Seedbed into C2C

Partnership Management

  • Link Open Innovation initiatives to your innovation processes
  • Apply Project Management to manage partnerships

Open Innovation @ Whirlpool

open innovation key learnings
OPEN INNOVATION: KEY LEARNINGS
  • TOP MANAGEMENT COMMITMENT
  • MAKE OPEN INNOVATION VISIBLE: ad hoc organization provided with different skills
  • MAKE OPEN INNOVATION WORK: ad hoc and tailored process
  • CONSIDER WHAT ALREADY EXIST: Importance of tech-scouting
  • DEMONSTRATE THE VALUE OF OPEN INNOVATION ACTIVITIES THROUGH APPROPRIATE METRICS
  • LEVERAGE PUBLIC FUNDING OPPORTUNITIES

Open Innovation @ Whirlpool

open innovation and public funding
OPEN INNOVATION and public funding

Publicly funded projects (e.g. 7th framework program) represent an embryonic form of Open Innovation since they force firms to collaborate for achieving innovative outcomes. However they present pros and cons.

  • PROS
  • Stimulate long term research
  • Force multinational collaborations
  • Possibility to obtain financial support to “your” research projects
  • CONS
  • Rigid rules in the consortia creation
  • Risk to pursue a “financial” strategy
  • Management of projects is complex
  • Publicly funded projects can constitute an interesting trigger for Open Innovation
  • Publicly funded projects present some drawbacks that need to be managed

Open Innovation @ Whirlpool

open innovation results
OPEN INNOVATION: RESULTS

Participations to several publicly-funded projects from 2009:

Creation of strategic partnerships in different knowledge domains:

Energy

Motors

Materials

Electronics

Technology district for the innovation in food processing and preservation

Creation of strategic partnerships with a leading academic institution :

Open Innovation @ Whirlpool