Governance structures for open innovation: A preliminary framework

This research-in-progress paper presents a preliminary framework of four open innovation governance structures. The study seeks to describe four distinct ways in which firms utilize hierarchical relationships, organizational intermediaries, and the market system to supply and acquire intellectual property and/or innovation capabilities from sources external to the firm. This paper reports on phase one of the study, which involved an analysis of six open innovation exemplars based on public data. This phase of the study reveals that governance structures for open innovation can be categorized based on whether they (1) are mediated or direct or (2) seek to acquire intellectual property or innovation capability. We analyze the differences in four governance structures along seven dimensions, and reveal the importance of knowledge dispersion and uncertainty to the use of open innovation hierarchies, brokerages, and markets. The paper concludes by examining the implications of the findings and outlining the next phase of the study.