Open Innovation: Challenges of Integrating New Forms of Innovation in SMEs

Open Innovation is a phenomenon widely researched in the context of large high-tech enterprises, but in recent years SMEs have shown a growing interest in engaging in open innovation activities. They have tremendous economic power, but each category (micro, small, medium-sized) is different and has its characteristics that need to be taken into account when planning to implement new forms of innovation activities. However, qualitative research on open innovation in micro, small or medium-sized enterprises is still scarce. Therefore this qualitative empirical case study addresses the question: How do small enterprises handle the process of integrating open innovation initiatives into the company? The findings show there are three main areas essential for the integration of an open innovation initiative in small enterprises, all of which interact with each other: Communication, culture, and innovation. These areas led to the identification of four relevant, influential factors: Technical-operational management competence, operational-social management competence, social-technical management competence and the factor “words and deeds”. The results confirm that existing approaches regarding open innovation in large mostly high-tech enterprises and SMEs do not fit the specifics of small enterprises. That means a differentiated assessment of open innovation activities is necessary and needed for different firm sizes. Based on these findings, the presented study offers a starting point for developing an appropriate approach regarding open innovation activities in the context of SMEs, especially small enterprises. The results provide new insights for theory as well as practice by making specific recommendations in relation to implementing and establishing open innovation in small enterprises.