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Case study 3: Lego vs P&G – open innovation

The following discussion questions are based on the primary reading below:

Discussion questions

  1. How is Lego using the knowledge and expertise of its customers to innovate ?
  2. Identify the key factors that motivated P&G to seek innovation outside the company
  3. Identify the primary differences between the approaches to open innovation used by Lego and P&G
  4. What are likely to be the management challenges that face a firm trying to implement a form of open innovation ?

Primary reading

Tidd, J and Bessant, J (2009), Lego case study,

Huston, L and Sakkab, N (2006), Connect and develop: Inside Proctor & Gamble’s new model for innovation, Harvard Business Review, March pp58-66 [ link is for EBSCO – you will need your Athens log-in to access it ]

Background reading

Lego Factory (‘DesignByMe’)

Oliver, K, Samakh, E and Heckmann. P (2007), Rebuilding Lego, strategy+business, i48 Autumn

Wray, R (2010), Psion’s new take on internet business, The Guardian, April 14th

Stefan Lindegaard’s open innovation site – – is worth perusal. Free downloads of a couple of the chapters from his book and lots of links and blog comments on open innovation.

* New Materials

Bingham, A and Spradlin, D (2011), The Open Innovation Marketplace [book chapter], Innocentive

Stern, S (2011), A Co-creation Primer, Harvard Business Review blog, Feb 28th

Skibsted, JM and Hansen, RB (2011), User-Led Innovation Can’t Create Breakthroughs; Just Ask Apple and Ikea, Fastco Design, Feb 15th

Chesbrough, H (2011), The Next Big Thing in Managing Innovation, Harvard Business Review blog, Jan 18th

Kincaid, J (2010), OpenInvo: A Marketplace For Innovation, TechCrunch, Dec 30th