By Kate Vitasek | January 13, 2015
Innovation is often perceived as the result of a sudden, individual brainstorm—a “light bulb” moment. However, in reality, groundbreaking ideas frequently emerge from collective efforts and sustained collaboration among diverse individuals.
While many organizations strive to be both innovative and collaborative, they often treat these as separate endeavors. Research from the University of Tennessee reveals that innovation and collaboration are not mutually exclusive; instead, they reinforce each other. Leading companies harness innovation not only from internal teams but also by engaging external partners, including suppliers and even competitors.
In 2000, under CEO A.G. Lafley, Procter & Gamble (P&G) adopted a collaborative strategy known as “Connect & Develop.” The goal was ambitious: derive half of new product ideas from external sources.
This approach led to the successful launch of the Swiffer Duster. P&G’s R&D team discovered a superior handheld duster developed by Japan’s UniCharm. Recognizing its potential, P&G acquired rights to the product outside Japan, resulting in $100 million in sales within four months.
Further embracing collaboration, P&G partnered with Jones Lang LaSalle (JLL) in 2003 to manage real estate and facilities. They shifted from traditional outsourcing to an outcome-based model, focusing on innovation and shared goals. This partnership earned P&G the International Association of Outsourcing Professionals’ 2014 Global Excellence in Outsourcing Award for Innovation.
Modern business models increasingly rely on complex, cross-company collaborations to drive innovation. Success favors those who cultivate win-win relationships, leveraging collective expertise rather than waiting for solitary breakthroughs.
Organizations struggling with innovation should reconsider their approach, integrating collaboration and innovation as interconnected strategies rather than isolated initiatives.