- Case title
Connect and Develop
About how P&G changed its R&D strategy in the light of open innovation.
- Abstract on the method
This article includes the key ideas and provides an overview of how the concepts work in practice. For generations, Procter & Gamble generated most of its phenomenal growth by innovating from within--building global research facilities and hiring the best talent in the world. Back when companies were smaller and the world was less competitive, that model worked just fine. However, in 2000, newly appointed CEO A.G. Lafley saw that P&G couldn't meet its growth objectives by spending greater and greater amounts on R&D for smaller and smaller payoffs. Therefore, he dispensed with the company's age-old "invent it ourselves" approach to innovation and instead embraced a "connect and develop" model.
- Case nature
- OI considered
- Key question
why_organisation, what_practices, how_implemented, what_effects
- Key industry
- Teaching level
Innovation matrix, Open Innovation, Procter & Gamble, Tim Kastelle