journal about community engineering

8/14/2019 Journal About Community Engineering

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Communityengineeringforinnovations:theideascompetitionas

amethodtonurtureavirtualcommunityforinnovationsii

WinfriedEbner1,

JanMarcoLeimeister2andHelmutKrcmar3KK

1DeutscheTelekomAG,Friedrich-Ebert-Allee71-77,

53113Bonn,Germany;[email protected],Nora-Platiel-Stra!e4,34127Kassel,Germany;

[email protected],Boltzmannstra!e3,85748Garchingbei,


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Munich,Germany;[email protected]

Crowdsourcing iscurrently

oneofthemostdiscussedkeywordswithintheopeninnovationcommunity.The

majorquestionforbothresearchandbusinessishowtofindandlever

theenormouspotentialofthecollectivebraintobroadenthescopeofopen

R&D .BasedonaliteraturereviewinthefieldsofCommunity


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BuildingandInnovationManagement,thisworkdevelopsan

integratedframeworkcalledCommunityEngineeringforInnovations .Thisframeworkisevaluatedinan

ActionResearchprojectthecaseofanideascompetitionforanERP

Softwarecompany.ThecaseSAPiens includesthedesign,implementationandevaluationofan

IT-supportedideascompetitionwithintheSAPUniversityCompetenceCenter(UCC)User


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Group.Thisgroupconsistsofapproximately60,000people

(lecturersandstudents)usingSAPSoftwareforeducationalpurposes.Thecurrentchallengesare

twofold:ontheonehand,thereisnotmuchactivityyetinthis

community.Ontheother,SAPhasnotattemptedtosystematicallyaddressthishighly

educatedgroupforideagenerationorinnovationdevelopmentsofar.Therefore,


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theobjectiveofthisresearchistodevelop

aframeworkforacommunity-basedinnovationdevelopmentthatgeneratesinnovations,processandproduct

ideasingeneralandforSAPResearch,inparticular,combiningtheconceptsof

ideacompetitionsandvirtualcommunities.Furthermore,theconceptaimsatprovidinganinterface

toSAPHumanResourcesprocessesinordertoidentifythemost


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promisingstudentsinthisvirtualcommunity.Thispaper

isthefirsttopresentanintegratedconceptforIT-supportedideacompetitionsin

virtualcommunitiesforleveragingthepotentialofcrowdsthatisevaluatedina

real-worldsetting.ss

1.Introductionatsolvingproblems,fosteringinnovation,comingto

wisedecisions,evenpredictingthe1.1.Openinnovationandthewisdom


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offuture(Surowiecki,2005).crowdsLLarge

GroupsofpeoplearesmarterthananSurowiecki sbestsellerTheWisdomofCrowds

elitefew,nomatterhowbrilliantbetterhighlightsthepotentialofa

newparadigm:OpenOO

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GarsingtonRoad,OxfordOX42DQ,UKand350

MainStreet,Malden,MA02148,USA.


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9

Innovations.Traditionally,researchanddevelopmentdepartmentsare

themaindriversofacompany sinnovations.Now,thetendencytoopenup

tootherresourcesofinnovationshasbecomemoreandmoreimportante.g.,

employees,suppliersoruniversities(Surowiecki,2005).22

JeffHowecapturesthisnew

approachwiththephraseCrowdsourcing . Hedescribesthisphenomenonaseveryday


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peopleusingtheirsparecyclestocreatecontent,

solveproblems,evendocorporateR&D(Howe,2006).22

Theliteraturedescribes

theintegrationofcustomersasoneofthebiggestresourcesforexternalinnovations

(cp.GassmannandEnkel,2006;WagnerandPrasarnphanich,2007).Customerintegrationisa

modeofvaluecreationinwhichcustomerstakepartinboth


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operationalandinnovationvalue-creatingactivities,whichusedto

beseenasthedomainofthefirm(cp.TsengandPiller,2003;

PillerandWalcher,2006;ReichwaldandPiller,2006).Drawingontheseresults,Chesbrough

(2003,b)arguesthattheclosedinnovationparadigmhasbecomeobsoletedueto

fourerosionfactors:ff

.Theincreasedavailabilityandmobility


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ofskilledtechnologyworkers..Theexpansionof

theventurecapitalmarket..Externaloptionsforunusedtechnologies(sittingonthe

developmentshelf)..Theincreasedsupplyofhighlycapableexternalsuppliers.Heillustrates

thenewparadigminthecontextofindustrialresearchanddevelopmentwithinFigure

1.Therearetwocriticalassumptions:aa

.Crowdsourcingopens


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thecompany sinnovationfunnelthescopefor

screeningideas.Therefore,thecompanygainsmoreideasforinnovations..Weis

smarterthanmeisthebasicassumptionofopeninnovation.Thisleadsto

betterselectionofideasandbetterdevelopmentofinnovations(cp.Hazard,2007;Laubacher,

2007).Theliteratureprovidesusefulconceptsandtoolstoreducetraditional


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organizationboundaries(cp.vonHippelandKatz,2002;

FrankeandPiller,2004;EnkelandGassmann,2005;PillerandWalcher,2006).Toolkits

foruserinnovationareanemergingalternativeapproachinwhichmanufacturersreducetheir

attemptstounderstanduserneedsinfavouroftransferringneed-relatedaspectsofproduct

andservicedevelopmenttousersthemselves.tt

Communityengineeringfor


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ideacompetitionscc

Figure1.OpenInnovationParadigmforManagingIndustrialResearchandDevelopment.FF

In

addition,existingvirtualcommunities(VCs)asanatural aggregationof(potential)customerscan

alsoserveasthebasisfortheleveragingofinnovativeideas.Anexample

istheIT-supportedideascompetitiononwhichthereislimitedresearch(cp.Ernst

etal.,2004;Walcher,2007).Here,wedevelopanIT-supportedideas


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competitiontoimproveexistingERPsoftware.ss

1.2.StructureofthisarticleThisarticleisorganizedasfollows:thefollowing

sectionidentifiesthemainstakeholdersofthecasebackgroundanddescribestheirrelationships.

Section2presentsaliteraturereviewandthetheoreticalbackground.InSection3,

themotivationsofdifferentstakeholdersareanalysedandtheideascompetition


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iselaborated.Section4providesinsightsonthe

implementationoftheideascompetition.WithinSection5selectedtopicsoftheideas

competitionareevaluated.Section6summarizesthemanagerialimplicationsandprovidesanoutlook

forfutureresearch.rr

1.3.CasebackgroundTheSAPUniversityAlliances(UA)

programmeisaninitiativebySAPtoprovideuniversityfacultywith


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thetoolsandresourcesnecessarytoteachhow

technologycanenableintegratedbusinessprocessesandstrategicthinking(cp.Schraderetal.,

2007).22

TheSAPUniversityCompetenceCenters(UCC)ofboththeTechnische

UniversitatMunchenandOtto-von-Guericke-UniversitatMagdeburgareaa

r2009

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r

WinfriedEbner,JanMarcoLeimeisterandHelmut

KrcmarKKK

Source: Adapted from Mohr (2006)S

Figure2.QualificationConceptandstakeholdersof

theSAPUniversityCompetenceCenter(UCC)Programme.PP

partoftheSAP

UAprogrammeandofferaneducationservice,supportingSAPsystemsforinstitutionsof

highereducationandvocationalschools.TheUCCmeetstherequirementsof


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lecturersusingSAPsystemsinteachingandeducation

(Schrader,2005).22

Specifically,twoissuesareaddressed.One,thecoreof

thesupportisapplicationserviceprovision,whichincludeshardware,installation,maintenance,backupand

technicalsupport.Two,theUCCprovidesEducationSpecificServicesincludingapplicationsupport,train

thetrainercourses,teachingcasesandteachingnotes.nn

Figure


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2identifiesthedifferentstakeholdersandthequalification

conceptoftheUCCUserGroup.GG

ThetotalSAPUCCUser

GroupCommunitysurpasses60,000users,mostofwhomarestudents.Thetwo-tierorganization

oftheUCCProgramisimportantfortheconceptoftheideascompetition.

AsshowninFigure2,theUCCswith10employers


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trainthetrainers(see),whilethe

trainers/lecturershavedirectcontactwithuniversitystudents,e.g.,duringanERP-seminar().

Besidestheseformalsessions,informalITSkillAcquisitionissupportedbyaVC

inthisUAProgram.Inpromotingtheideaofanideascompetition,the

lecturersplayacriticalroleintermsofmotivationandsupport


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ofthestudents.ss

2.Theoreticalbackgrounds

Thisresearchisdesignedasanactionresearchstudy.Astheresearchobject

ofanideascompetitionisnewandtheextantresearchislimited,theories

abouttheresearchobjectdonotexist.Statingandvalidatinghypothesespurelydeduced

fromtheory,commoninempirical analyticalresearchdesigns,cannotbeappliedhere.


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hh

Inaddition,theexternalvalidityof

potentialresultsislimitedandthetransferofresultstootherdomainsis

problematic.AccordingtoUlrich,1981,explorativeresearchstarts(...)inpractice,

isfocusedonanalysingthecontextofuseandendsinpractice .The

intentionofthisresearchistodesignreality,followingthetradition


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oftheactionresearchmethod(Rapoport,1970;Lau,

1997).11

2.1.InnovationsandcommunitiesInordertounderstandtherelationship

betweenInnovationsandCommunity,weadoptthestagemodelofinnovation(2005).Figure

3identifiesinwhichphasesoftheinnovationprocesscommunitieshavethestrongest

impact.ii

KnowingthepotentialandpossibilitiesofVCs,it


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isprobablethatthemainsupportofVCs

occursoo

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Stage One Stage Two Stage Three Stage FourReflecting / LearningStage FiveMain Potential ofVirtual CommunitiesSource: Adapted from Tidd et al. (2005)S

Figure3.Processofinnovationmanagementandpotentialsupportofvirtualcommunities.cc

withinthefirsttwostages( ScanandSearchEnvironmentandStrategicallySelect

Search )oftheinnovationmanagementprocess.ItisalsopossibletouseVCs

forthereflectionandlearningphase(stagefive).Crowdsourcingasdescribed


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inSection1.1leversallfivestagesof

theinnovationmanagementprocess.pp

Therefore,thesestagesshouldbeaddressedby

otherorganizationaloptionsoraconnectionbetweeninternalandexternalinnovationswithinan

organization(Chesbrough,2003a,b).bb

TheimportanceofCommunityBuildingasa

researchtopicemergedwiththedevelopmentoftheworldwideweb


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andtheongoingvirtualization(Leimeister,2005).Startingwith

theeconomicperspectiveofHagelandArmstrong(1997),thisareadevelopedtoinclude

business,sociologyandpsychology(cp.Figallo,1998;Brunoldetal.,2000;Kim,2000;

Preece,2000;BalasubramanianandMahajan,2001;Bullingeretal.,2002;HummelandLechner,

2002;Doring,2003).22

However,in-depthresearchinvirtual


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communitybuildingfornurturinginnovationsreceivedverylimited

attention(cp.vonHippel,2005).22

Forthepurposeofthisresearch,

weuseamultidisciplinaryapproachtodefineVC . AccordingtoPreece,(..

.)anonlinecommunityconsistof:oo

.People,whointeractsocially

astheystrivetosatisfytheirownneedsorperformspecial


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roles,suchasleadingormoderating..A

sharedpurpose,suchasaninterest,need,informationexchangeorservicethatprovides

areasonforthecommunity..Policies,intheformoftacitassumptions,

rituals,protocols,rulesandlawsthatguidesocialinteractions.Communityengineeringforidea

competitionscc

.Computersystems,tosupportandmediatesocial


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interactionandfacilitateasenseoftogetherness(Preece,

2000).Withinthisdefinition,theGermanSAPUCCUserGroupisalarge

VCwithsignificantresourcesforleveraginginnovativeideas.Thesefourcriteriaframethe

discussionoftheoccurrenceandcharacteristicsofideascompetitionsinthefollowingsection.

2.2.Ideacompetitions2.2.1.OccurrenceinpracticeAsdescribed


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above,communitiessupporttheinnovationprocessinthe

earlystages.

DrawinginFigure3,theideascompetitionisnot

aninnovationbecausethesourcingandtheimplementationoftheideasarenot

achievedbyasinglecompetitionofideas.Althoughthereislimitedresearchin

thefieldofideascompetition,thismechanismisoftenusedin


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practicetogenerateideas.Previousresearchislimited

toannouncementsordocumentationsofideas,especiallyinthefieldofarchitecture(cp.

Prufer,2004;Suthhof,2005).

Weconductedaweb-basedsearchin

ordertoidentifyideascompetitionsofthelast2years.Searchingforthe

termIdeasCompetitionviaGoogleleadstoanoverwhelmingamountof


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76,000,000hits.Thecompetitionsexaminedherewereselected

bythefollowingcriteria:topic(newproductdevelopment),accessibilityofinformation(e.g.,more

thanjustanannouncement)andactuality(conductedsince2005).

Table1

showsaselectionoftheresultspresentideascompetitionsforstudents.

Table1showsthatorganizationsuseideascompetitionsinvery


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differentwaysandwithawidevarietyof

topics.Todevelopamorespecificpictureofideascompetitions,thefollowingsection

analysestheircharacteristics.

2.2.2.CharacteristicsofideascompetitionsAstheliterature

hasnotcategorizedideascompetitionsyet,thefollowingsystematizationisderivedfromthe

analysesofcurrentideascompetitionsandalsoincludessomecharacteristicsfrom


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earlyresearchonideacompetitions(cp.Walcher,2007).

ThesearesummarizedinTable2.

Theanalysisoftheidea

competitionsshowsthat,althoughagreatdiversityexistsinthecompositionofthe

variouscomponents,severaltrendsandbestpracticescanbededuced.

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Table1.Selectedexamplesofideascompetitionsforstudentsss

Organizer:nameofcompetition(website)TopicTT

IBM:GlobalInnovationJam

(http://www.globalinnovationjam.com/get_started2006/)gg

IdeaCrossing:InnovationChallenge(http://www.innovationchallenge.com/)((

InitiativeD21

(Siemens):Vision2Market(http://www.initiatived21.de/english/lighthouse/vision2market.php)ll

Microsoft:ImagineCup(http://imaginecup.com/)


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ii

Motorola:Motofwrd(http://promo.motorola.com/motofwrd/us/index.html)ThyssenKrupp:Formula

StudentGermany(http://www.zukunft-technik-entdecken.de/)(http://formulastudent.de/)((

Unternehmertum:InnovationCompetition(http://www.unternehmertum.de/mobilitaet)((

Innovation

Jamisnotonlyjustalargeon-linebrainstorm.TheJam sgoalis

tomovebeyondsimpleinventionandideageneration.IBMwantstoidentifynew

marketopportunitiesandcreaterealsolutionsthatadvancebusinesses,communitiesand


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societyinameaningfulwaysTheInnovationChallenge

isthechanceforMBAstudentstocreateaninnovativesolutiontoa

real-worldchallengefacedbythesponsorsofthecompetition.Theteamsresearch,brainstorm

andpresentauniqueconcepttoaglobalpanelofinnovationthoughleaders

andpractitionersComingupwithinnovativeproducts,servicesorprocesses.In


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threephasesthebestideasarechosenand

thenledthroughatestmarketwithprofessionalhelpandfinancialsupportof

respectedcoachesfromeconomy,politicsandsocietyTheImagineCupencouragesyoungpeople

toapplytheirimagination,theirpassionandtheircreativitytotechnologyinnovationsthat

canmakeadifferenceintheworldtoday.TheImagineCup


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hasgrowntobeatrulyglobalcompetition

focusedonfindingsolutionstorealworldissuesCreatethefutureofseamless

mobilityinaworldwithoutborders.Descriptionsbyshortstories(fiction),essay/whitepapers

(nonfiction),(animated)shortfilms,comicstripsordigitalartsInvestmentintheengineers

ofthefutureandsupportofFormulaStudentsaninternationalcompetition


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inwhichstudentsdesignandbuildaracing

car.FormulaStudentchallengestheteammemberstogotheextrastepin

theireducationbyincorporatingintoitintensiveexperienceinbuildingandmanufacturingas

wellasconsideringtheeconomicaspectsoftheautomotiveindustryDevelopmentofmarketable

ideasintheareaofmobileinformationandcommunicationservices,product


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andservicestoincreaseenergyandtimeefficiency,

safetyandcomfortandnewformsofmobilitymm

Source:Ebneret

al.(2008).((

Table2.Characteristicsofideascompetitioncc

Criteria

Characteristicvalues(examples)OrganizerCompanies,publicorganizations,non-profitorganizations,individualsTimelineVeryshort

(s/min),short(days),middle(weeks),longterm(semester)EvaluationPerformance-oriented,participationoriented


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IncentivesMoneyprizes,non-cashprizesContextProducts,processes

ProblemHigh(searchingforasolutionofaspecificationspecificproblem),low(general)

ElaboratenessComplexity,quality,conditionTargetedgroupQualified(byage,interests),notqualifiedComposition

ofSingle,teamgroupsIdeareviewersSpecialists,non-professionals(VIPs)committeeIdeareviewPerson,

process,context,productNatureofOnline,offline,mixedcompetitioncc


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Source:Author spresentation.346R&DManagement39,4,

200922

Thecompetition sorganizertypicallyrepresentsacollaborationbetweenanindustry

partnerandanacademicinstitution.Suchpartnershipsareusedtoprimarilytargetstudents

asparticipantsinthecompetitions.Whilesomeofthesecompetitionsonlypursuethe

generationofideasforinnovation,anumberalsohavesecondaryobjectives


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includingnetworkingwithstudentsorfosteringstudentsinterest

inspecificindustriesororganizations.oo

Forthetargetgroupofstudents,

tasksarekeptgeneric,offeringtheparticipantsalargesolutionspaceinwhich

tosubmittheirideas.Althoughnotrequired,studentsarefrequentlyofferedthechoice

ofparticipatinginsmallgroupswithafacultymentor.Submissionsin


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theinitialphasesofideacompetitionsincludea

briefdescriptionofideaswithlengthlimitedtofivepages.Incentivesforparticipation

comprisedcashpricesofupwardsof1,000euro,networkingandjobopportunitieswith

theorganizingcompanies.OtherOO

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L

incentivesprovidetheparticipantswiththeopportunity

tofurtherdeveloptheirideas,offeringprojectanddevelopmentsupport.Evaluations,withthe

exceptionofCrowdsourcingcompetitions,arecarriedoutbyjuries,andthecommunityrarely

evaluatesothersubmittedideas.ii

Thetypicaldurationforanideacompetition

targetedatstudentsisbetween4and26weeks.ww


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Dependingonhowcloselyacompetitioniscorrelated

totheprimarybusinessfieldoftheorganizingcompany,thenameandwebsite

willbeintegratedintotheorganizer swebsiteorspunoffwithaseparate

websiteandnametodevelopanindividualbrandnameforthecompetition.cc

2.2.3.WorkingdefinitionofideacompetitionBasedonthediscussed


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characteristics,aworkingdefinitionofanideascompetition

isstatedasfollows:ff

Anideascompetitionistheinvitationof

aprivateorpublicorganizertoageneralpublicoratargetedgroup

tosubmitcontributionstoacertaintopicwithinatimeline.Anideareviewerscommittee

evaluatesthesecontributionsandselectstherewardedwinner(s)adaptedfromWalcher(2007).


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((

Thisdefinitionservesasthestarting

pointfortheconceptoftheideascompetitionthatisdevelopedinthe

nextsection.ss

2.3.Trustinthecontextofideacompetitionsand

VCsTrustinVCsisacknowledgedtobeimportantforgeneratinganenvironment

inwhichuserssharetheirknowledgeandexpertize(Maloney-KrichmarandPreece,


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2003).Withinacompetitivesettingsuchasan

ideascompetition,trustisevenmoreimportant.Itiscriticalforthesuccess

oftheideascompetitiontoassurethatuserscommentandevaluatetheideas

ofothersinareasonablemanner.mm

Trusthasbeendefinedfrom

severalscientificperspectivese.g.,sociology,philosophy,sociopsychologyandeconomics(Abdul-Rahman


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andHailes,2000).Forthepurposesofthis

study,wefollowthedefinitionbyGambetta(1990):

.

.

.

trust(or,symmetrically,distrust)isaparticularlevelofthesubjectiveprobability,with

whichanagentwillperformaparticularaction,bothbefore[we]canmonitor

suchanaction(...)andinacontextin


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whichitaffects[our]ownaction.

Communityengineeringforideacompetitions

Basedonthisdefinitionoftrust,

socialscientistshavegenerallyidentifiedthreetypesoftrust(Abdul-RahmanandHailes,2000):

(1)InterpersonalTrust:Thetypeoftrustoneagenthasin

anotheragentonapersonallevel.Thistrustisbothagent-and


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contextspecific.Forexample,JanemaytrustPeterregarding

aconsultingserviceforfinancialassetsbutmaynottrusthiminthe

contextofbabysittingherchildren.(2)SystemTrust:Thistypeoftrustis

notbasedonanypropertyorstateofthetrusteeasdefinedin

interpersonaltrust.Instead,itisbasedontheperceivedpropertyor


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relianceonasystemoraninstitutionwithin

whichtrustexists,forexample,themonetarysystem.(3)DispositionalTrust:Describesthe

generalattitudeofthepersonseekingtrustworthinesstowardstrust.Therefore,itisalso

calledbasictrust ,whichmeansitisindependentofanyotherpartyor

context.Thesethreetypesoftrustdifferinthewayin


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whichtheycanbeestablishedwithinaVC.

InterpersonaltrustandSystemtrustcanbeattainedmoreeasilythanDispositionaltrust

(cp.Leimeisteretal.,2005).Consequently,theevaluationsectionwillfocusonestablishing

InterpersonalandSystemtrustinVCs.

3.Theconceptofthe

ideascompetitionAfterlayingthetheoreticalgroundworkbydiscussinginnovation,VCs


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andideascompetitions,thefollowingsectionpresentsthe

ideascompetitionfortheSAPUCCCommunity.

Firstly,weanalysethe

motivationandinterestofthestakeholders.Secondly,weplanthephasesofthe

actualcompetition.

3.1.MotivationandinterestsofstakeholdersInthissection,

thedifferentinterestsandmotivationsofthecompetition sstakeholdersareanalysed.


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ThedifferentstakeholdersarederivedfromFigure2

andTable2:(1)Organizer,(2)ResearchandDevelopmentDepartment,(3)HumanResources

(HR)Department,(4)UniversityAlliancesProgram,(5)Lecturersand(6)Students.

(1)Organizer:Theideacompetitionisorganizedbytheresearchteamofthe

projectSAPCommunityforInnovations .Theirprimaryr2009TheAuthors


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interestistodiscoverhowideascompetitionscanhelpto

scanandsearchtheenvironmentandstrategicallyselectinnovativeideasfromadispersed

crowdofpeople.

(2)ResearchandDevelopmentDepartment:ResearchandDevelopment

oftheERP-companycanreceiveinnovativeideasfrompeopledealingwith


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theSAPsoftware(butnotascustomersyet)

withoutmuchefforttoretrievethatinformation.Todothis,theyaredefining

interfacestoseveralresearchandproductdevelopmentgroupswithinthecompany.Theimportance

ofinnovativeideasisunderlinedbythestatementofthefirm sCEO:What

countsisthespeedoftransformationandthebusinessbenefits


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ofthenewtechnologies.Innovativenessisthekey

factorinSAP ssuccess(Kagermann,2006).(3)HRDepartment:Themotivationofthe

HRDepartmentistoidentifythemostpromisingstudentsinthisVC.By

usingthetoolofanideascompetition ,whichexhibitsthephenomenonofself-selection

amongtheparticipatingstudents,theHRDepartmentwillfind(a)the


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moreactivestudentsand(b)studentswhodo

haveapositiveaffinitytoSAPasaproductandfirm.(4)UA

Programme:TheSAPUAsprogrammeprovidesuniversityfacultymemberswiththetoolsand

resourcesnecessarytoteachstudentshowtechnologycanenableintegratedbusinessprocessesand

strategicthinkingandgivesstudentstheskillstoaddimmediate


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valuetothemarketplace.Throughtheideascompetition,

theprogrammeservicesfortheSAPUCCUserGroupCommunityareenrichedand

activitywithintheUserGroupisfostered.

(5)Lecturers:Ingeneral,

theyhaveextensiveteachingresponsibilitiesattheirowninstitutionandthereforetryto

limittheircommitmenttoandtimespentonSAPteaching.Extrinsic


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motivesforthisgrouparefreeusageof

UCCsservices(astheirowneducationalinstitutionpaysforthat)andthepossibility

toraisereputationwithintheusergroup(Mohretal.,2006).Theyalso

haveintrinsicmotivationtolearnaboutSAPproducts.(6)Students:Studentsarethe

mostheterogenicgroupofstakeholders.Theyaredispersedoveralleducational


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institutionsparticipatingintheSAPGlobalUniversityprogramme.

Theirprimarymotivationistogetrewardedfortheirideasubmittedtothe

competition.Inaddition,theydohavethepossibilitytogainabetterimpression

ofSAPasapotentialfutureemployer.3.2.Theconceptofanideas

competition3.2.1.DefinitionofcharacteristicsFortheideascompetition,thefollowing


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specificationsofthecharacteristicvalues(basedonSection

2.2.2)areplanned(Table3).

Table3.Theideascompetition:specification

ofcharacteristics

CriteriaSpecificationofcharacteristic

OrganizerPublicorganization:

projectCommunityforInnovationsTimelineMiddle:12weekswiththreephasesEvaluationPerformance-oriented:

selectionofbestideasbyUCC,SAPUAandSAPresearch


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IncentivesMixtureofnon-cashprizesandcashprizes:

Lecturers:1st:giftcertificatesforSAPUAservices/software1st 3rd:onSAP

consultingday

Students:1st:2000eurocashandSAPtrainingweek

SAPcertificate(worth:12,000euro)2nd 5th:200eurocashand1UA

UCCtrainingweek

ContextNewareasofapplication/newbusiness


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segments

Newproducts/improvementofexistingsoftware

ProblemspecificationMiddle:explainingthecontextandproblemscustomersdohaveElaboratenessComplexity,

quality,condition:Theteamsdohavetoprovideanideatitle,description,

technologicalbackground,benefitforthecustomerandanattachmentformockups/

illustrationsTargetedgroupQualified:studentsandlecturersinthefield


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ofSAPeducationCompositionofgroupsTeam:at

leastonstudenttogetherwithhislecturerasmentorIdeareviewerscommitteeSpecialists:

membersofUCC,SAPUAandSAPresearchIdeareviewProcessandproduct:

creativity,presentation,practicabilityNatureofcompetitionOnline:providingandonlineplatformtosubmit

ideas

Source:Author spresentation.

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Asweknowfromotheranalysedideas

competitions,akeysuccessfactoristheincentivestructurefortheexpectedparticipants.

Becauseoftheneedforideamentoring,lecturersandtheirstudentsareconsidered

asoneteaminthissetting.Anonlinewebpageisprovidedforall

participantswithrelevantinformationaboutthecontext(processesandproducts)and


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proceduresofthecompetition.Additionally,lecturersreceivecourse

materialforpresentationintheirclasses.

3.2.2.Processofideascompetition

andintegrationofstakeholdersTheideascompetitionwasstructuredaccordingtothefollowing

process:withinthepre-phase,expertdiscussionstookplacewithselectedlecturers.Theobjective

wastoengagethisgroupofstakeholders(withdirectaccessto


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theirstudents)ataveryearlystageof

theprocess.Inaddition,theirexpectationsandconcernscouldbeaddressedina

timelymanner.Theideascompetitionstartedinthemiddleofthesemesterterm

withtheideageneration,followedbystudentsattendingaclasswithapresentation

heldbythelecturerandgainingaccesstotheideascompetition


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onlineplatform(http://www.SAPiens.info)tosubmittheirideas.Figure

4illustratesthisprocess.

TheSAPiens(registeredusers)wereaskedto

submitideaswithamaximumlengthof1.5DinA4pages.Thesubmissionwas

structuredaccordingtothefollowingheadings:title,description,functionalities,specialities,potentialimplementerand

expectedbenefit.Toillustratetheidea,SAPienscoulduploadanattachment.


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Afterthesubmissionphase,theideas

werereviewedonlinebytheassignedcommittee/

Communityengineeringforidea

competitions

mentors.Thefollowingcriteriawereappliedtoidentifytheaward-winning

ideas(Table4).

Telephoneconferenceshelpedtoidentifythethreewinning

teamsoutofthe15best-rankedteams.Table5showsthe


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15best-rankedideasoftheonlineevaluation.

Thescorethatdefinestherankofideas( Jury-Eval )iscalculated

bytheaverageofweightedgrades(from1strongagreementto5

strongdisagreement )assignedtoeachdimensionoftheevaluationcriteria(seeTable

4).

AtopmanagementrepresentativeofSAPresearchtook


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partintheevaluationprocessofideas.He

summarizedthequalitiesoftheideasasfollows:

Wewereamazed

bythediversityandhighqualityoftheideasbroughttoSAPby

SA-Piens.Forus,theideascompetitionisanalternativetoinnovationworkshops

withexpertsfromourowncompany.

The15best-ranked


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teamswereinvitedtoaworkshopatSAP

todeveloptwoselectedideastoabusinesscase.Theclosingofthe

workshopwastheIdeaAwardsCeremony,whichtookplaceasthehighlightof

theannualUCCUserGroupMeeting.

4.ImplementingtheIdeascompetition

Thissectionprovidesaninsightontheideascompetition:


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WeareseekingforSAPiensMastermindswho

wanttotakepartindesigningthefutureofSAPandliketo

wingreatprices.

Title ofPhaseMainActionsR&D Employee UCC Employee Lecturer StudentUniversity Alliances Human ResourcesPhase 1:Idea Generationand Revision

Phase 2:CommunityEvaluationIdea AwardsCeremonyPre-phase:AwarenessExpert DiscussionsAnnouncement ofCompetitionOnline PlatformCourse MaterialSkypeCasts

Online EvaluationCommentsSkypeCastsEventRecruitingPlayersPhase 3:ExpertEvaluationOnline EvaluationTelephone


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Conference(as mentors)Source: Author s presentation

Figure4.Processof

ideascompetition.

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Table4.Theideascompetition:dimensionsandcriteriaofevaluation

EvaluationEvaluationDescriptiondimensioncriteria

CreativityOriginalityThedegree

inwhichtheideaisnovelanduniqueDegreeofTheideais

anewcombinationoffactors,whichcanbeutilizedInnovationfor


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economicbenefit

MarketCustomerbenefitThe

ideaispracticableandcreatesandaddsvalueforthecustomer

potentialUseracceptanceAnexistingdemandismetbytheideasRealizabilityThe

realizationoftheideaiseconomicallyfeasibleMarketsizeTheexpecteddemandof

thetargetmarketjustifiestheidea srealizationMarketabilityTheideacan


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becommercialized

QualityComprehensibilityTheidea

iswritteninanunderstandableway

ElaboratenessThelengthofthe

descriptionisadequateBusinessRiskTheriskoffailureiscompensatedbythe

potentialbenefitforthecompanydemandsImitabilityTheideaisstickytothe

company sproductsandcannoteasilyimitatedby

competitors


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StrategicFitPortfoliofitTheexpected

fitoftheideaintothecompany sproductportfolioDevelopmentTheideais

adaptabletonewbusinessrequirementspotential

Source:Author spresentation.Table5.

Best-rankedideas

RankJury-EvalTitleofidea11,733SAPUserclick

21,75ObjectWiki31,917SAP2.0RethinkEnterprise


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Software41,933SAPRe-DesignwithImagePatterns

51,967Context-sensitiveSearchforApplications62IntegratedBusinessSustainability72,033

SAPBot/InstantMessengerHelp82,033SAP-ScriptCockpit92,15SAPUser-Barometer10

2,167Location-BasedAssetManagement112,233MySAPTags122,3ThenewWrinkles

132,3Pre-CustomizingSoftware142,4SAPQuickTranslationAddon15


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2,4RelationalLandscapes


Usingthisslogantheideascompetitionstartedon30April2007

withaninitialE-MailtoalllecturersoftheUCCCommunity.Aninformation

packagewasprovidedandthelecturerswereaskedtoannouncethecompetitionwithin

theirERPlessons.Infollow-up,severalcommunicationtools(e.g.,newsletters,E-Mails,


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telephonecalls,SAPsystemnoticesandpostingsat

relatedstudentnetworkingwebsites)wereusedtoannouncetheideascompetition.

Thecompetitionwebsitefortheideassubmissionphaseisdividedintofourparts:

(1)MySAPiens,(2)Community,(3)Communications

and(4)Imprint.My

SAPiensprovidestheoverviewofsubmittedideasandtheprofileof


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theregistereduser.WithintheCommunity area,users

canreviewandcommentonideasofotherSAPiensandseealist

ofallusers.TheCommunication areaincludesaChatfunction,moderatedSkypeCasts(with

SAPExperts)andadiscussionforumtoaddressquestionsorsearchfornew

ideas.TheImprint sectionprovidesfurtherinformationaboutthecompetition,e.g.,


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maintopicsofideasubmissions,prices,proceduresand

thejury.

Finally,Figure5showsthenavigationofthewebsite

togetherwithalistofsubmittedideas.

5.Participantsbehaviour,motivation

andtrustTheparticipantsbehaviourhasbeenanalysedusingdifferentmethods.Thisis

consideredappropriateforimprovingtheevaluationcapacityofactionresearchprojects


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(cp.2006):bothquantitativemethodssuchaslog

fileanalysisandmanagementratiosaswellasqualitativemethodssuchasonline

questionnaireandanalysisofdocumentswereusedtoevaluatetheideascompetition.

Table6showsthekeyfiguresoftheideascompetition.

Theproportionofregisteredusersandideapresenters(userswhosubmitted


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anidea)isconsiderableinTable6.Even

thoughregistereduserswhodonotpresentanideaarenoteligibleto

winaprize,68%ofregisteredusershavenotsubmittedanyidea.This

referstothephenomenonof

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Figure5.WebsiteoftheSAPiensIdeasCompetitionlistofideas.

Table6.KeyfiguresofSAPiensideascompetition

Characteristic

SpecificationDurationRegisteredusersIdeapresentersSubmittedideas04/30 06/07/200722070100Comments

ofideas237Evaluatedideasbycommunity593

Source:


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Author spresentation.

lurking , butinthe

senseofhelpfulperipheralparticipation(cp.Yeowetal.,2006).

The

mainevaluationwasconductedbyanonlinequestionnaireaddressedtoSAPiensatthe

endofthecompetition.Table7summarizestheimportantdesignparameters.

Tomeasuretheeffectofprizesonbehaviour,weaskedthe


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followingquestion:

Whichcategoryofprizes

hasmotivatedyoutoparticipateintheideascompetition?

Figure6

showsthatmonetaryincentivesarenotthestrongestmotivators.Instead,product-relatedtrainingofferings

hadthehighestmotivationalvalue.Overall,prizeswereperceivedaspositive.

Tostrengthencommunitybuildingamongusers,15communityprizes(books)were


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awarded

Table7.Designparametersof

onlinequestionnaire

MethodOnlineQuestionnaireFoundationLiteraturereviewanddocumentsanalyses

Datacollectionperiod06/25 07/06/2007Possibleparticipants220Responders/response73Questionnairesrate33.2%response

rateOrganizationof5Categoriesofquestions:questionnaireCommunicationsMotivationFunctionalitiesandusage

TrustOverallevaluationNumberandtypeof37Questions;check-boxes,questions


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lists,yes/no,5scaleofagreementandfree

text


totheSAPiensofhighest

activitywithinthecommunity.Thefollowingquestionaddressedtheeffectofthisspecific

typeofaward(Figure7):

Whichactivitieshaveyouundertakendue

totheannouncementofthecommunityactivityawards?

Overall,the


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provisionofprizesinfluencedthelevelofparticipation

andwasanimportantdesignparameterintheideacompetitionconcept.

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2009BlackwellPublishingLtd


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InordertoidentifytheothermotivatorsforBothtrust

inandsupportfromtheorganizersofparticipation,weasked:theideacompetition

areveryhigh.Asaconse

quence,Systemtrustthe

perceivedrelianceonHowmuchdidthefollowingfactorsmotivatethe


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ideacompetitionsystem(cp.Section2.3)is

youtoparticipateintheideascompetition?veryhigh,too.

The

followingthreestatementstargetInterper-Thestrongestmotivatorsarethecreativechal-sonaltrust

aspectsandfocusonthepeersinthelengeofthecompetitionand

theopportunitytocompetition(Figure10):comeinclosercontactwith


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SAPandtolearn

s3:Other

SAPiensaretrustworthy.

moreaboutthecompany sproducts,asshownin

s4:OtherSAPienssupportmewhilehaving

Figure8.

questionsabouttheideascompetition.

Theliteraturereportsthat

therearetwomajortrust-supportingfactorsinthedevelopmentoftrust:


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InterpersonaltrustandSystemtrust(Leimeisteretal.,

2005).ThefollowingquestionnaireitemsaddressSystemtrust(Figure9):

SAP as

Enterprise1.611 2 3 4 5s1:TheSAPiens-Organizersaretrustworthy.s2:TheSAPiens-Organizerssupportme

whilehavingquestionsabouttheideascompetition.

Topic Web 2.01 2 3 4 52.79Prestige1 2 3 4 53.32

2,401 2 3 4 52.00

Creative

Cash Prizes

1 23 4 5 Challenge


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2,861 2 3 4 51,901 2 3 4 5SAP Training

1 2 3 4 53.18

PotentialWeek and SAP-

InternshipsCertificate

3.40Being part ofthe CommunityBook Prizes

12345

for Innovations

Source: Author s presentationSource: Author s presentation

Figure6.Meanofprizeevaluationasmotivation.

(n72,Figure8.Motivationalfactorsforparticipation.(n72,1

verymotivating ;5notatallmotivating ,medium1


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verystrongagreement ;5veryweek

agreement ,medstandarddeviationinbetween1.18 and1.23 ). iumstandarddeviationinbetween

0.86 and1.41 ).

Read the Comment Post more Evaluate Participate Post withinIdeas of the Ideas of Ideas Other Ideas at BulletinOthers Others Skype Casts Board

Answers

Source: Author s presentation

Figure7.Community-basedawards.(80Answersintotalmultipleanswersallowed).

53115 1311505101520


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253035Counts (#)352R&DManagement39,

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1.421.551 2 3 4 51 2 3 4 5s1: Trust

s2: Support


Figure9.Trustandsupportfromorganizers.(n52,

1verystrongagreement ;5verystrongdisagreement ,lowstandarddeviation

inbetween0.55 and0.66 ).

2.251 2 3 4 51 2 3 4 52.411 2 3 4 52.22

s3: Trust

s4: Support

s5: Fear


Figure10.Trust,


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supportandfearfrom/ofotherSAPiens.(n

52,1verystrongagreement ;5verystrongdisagreement ,mediumstandard

deviationinbetween0.76 and1.07 ).


Figure11.TagcloudofwordsconnectedwithSAPiens.Source.

s5:IdonotfearthatotherSAPiensstealmyideas.

Althoughtrustinpeersislowerthantrustinthe


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organizers,itisstillpositive.Thereisno

significantfearofideatheft.OneSAPiensstatedinopentextquestion:I

likedhowopenedtheideaswerediscussedIhaveneverseenthat

before .

Thelastquestionofthequestionnaireattemptedtoidentifybuzzwords

thatSAPiensconnectwiththeideascompetitionafterparticipatinginit.


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Therefore,threefree-formtextfieldswereofferedto

answerthefollowingquestion:


WhichthreewordsdoyouconnectwiththeSAPiensideascompetition?

Theanswersarevisualizedwithatag-cloud,illustratingmorefrequentlynamedtermsin

largerletters(Figure11).

Judgingfromthemostfrequent


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responsesgiven,themainobjectivesoftheidea

competition(ideageneration,strengtheningbrandcommitmentandfosteringinnovationculture)wereapparentlyachieved.

6.Conclusions,managerialimplicationsandfutureresearch.Basedonthe

experiencesandlessonslearnedfromSAPiens2007,wederivethefollowingmanagerialimplications

forrunninganideascompetitiontonurtureacommunityforinnovation:


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.Fromanoperator sperspective,itisvery

importantthatthemainfocusoftheideascompetitionisonthegeneration

ofinnovativeideasforproductsandprocesses.ShowingSAPiensthattheirideasare

valuede.g.,bymanagementattentiondriveseverybody smotivationtoparticipate.The

searchandidentificationofmostpromisingstudentsasfutureemployeescan


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beeasilyaddressed.IntegratingideacompetitionsintoHR

processesofacompanyseemstobeveryfruitful.Afitofwording

anddesignoftheinformationmaterialsandwebsitestothecompaniesCorporateDesign

andHRprocessesseemstobeafirststep..Thespecifictopic

oftheideascompetitionshouldbewideenoughtoattractnumerous


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participantsandinterestingenoughtonurturerelevantdiscussions.

Forinstance,Web2.0astopicforthefirstSAPiensideascompetitionwas

suitableforthistargetgroup..Theincentivestructureforparticipantsneedsto

beattractivefortheparticipantsandappropriateforthefirm.Participantsinvestconsiderable

timeandeffort.Studentsforinstanceseekanadequaterewardfor


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theireffortsspentinadditiontotheirdaily

workload.InthecaseofSAPiensamixtureofcashandnon-monetaryprizes

wasasuccessfulstimulationforbothintrinsicallyandextrinsicallymotivatedparticipants..From

amanagerialstandpoint(asanoperatorandorganizerofanideacompetition),the

mostimportantsuccessfactorsofaristhatallr2009


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stakeholdershavetoparticipateataveryearlystageof

theideascompetitiondevelopment.Thisseemstobethemosteffectivewayto

makesurethatbothmotivationsandinterestsofallstakeholdersareaddressedadequately.

TheSAPiens2007caseyieldsthefollowingresearchimplications:


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.Integratingtheconceptofan

ideascompetitionintoVCsisaverypromisingapproachforallstakeholders.The

specialcharacteristicsofVCs,includingeasycommunicationandcoordination,dohelptostimulate

theideascompetition..Thetechnicalimplementationoftheideascompetitionisnot

necessarilythekeytosuccess.Researchershavetokeepthetechnical


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barrieraslowaspossibletoattractin-

novatorsthatdonotnecessarilyhaveastrongaffinitytoinformationtechnology.Instead,

therightcommunicationinstruments,asuitablemotivationalstructureandtrust-supportingelements(cp.Ebner

etal.,2004)playthemostimportantroleinthesuccessofan

ideascompetitionandarethebasisfornurturingaCommunityfor


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Innovations..Lessonslearnedfromtheliteratureabout

opensourceprojectsshowthatitisdifficultfororganizationstoinitiate,build

andnurtureanexternalcommunityforinnovations(cp.WestandO Mahony,2005;Jeppesen

andFrederiksen,2006;West,2007).Takingthisintoaccount,theconceptofthe

ideascompetitionpresentedinthispaperbuildsuponanalreadyexisting


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communityandtriestostimulatemoreactivityamong

themembersofthiscommunity.Futureworkshouldalsoaimatdevelopingmore

mechanismstosupportandharvestthewisdomofcrowdsinselectingthebest

ideas.Furthermore,thereisaconceptualgapbetweenthegenerationandtheselection

ofideasandtheirtransformationintoinnovations.Weneedtoexplore


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furthermethods,conceptsandtoolstosupportthe

processingofideasintoinnovations,alsousingthewisdomofcrowds.

InadditiontothelimitationsofactionresearchstatedinSection2,future

workshouldaddress(amongothers)thefollowingnewopenresearchquestions:

.Howcouldweapplytheconceptofthisideascompetition


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totargetgroupsotherthanstudentsandscholars?

TransferringtheCommunityforInnovationsconcepttousersofthesoftware(e.g.,in

firms)isstatedtobeoneofthemostpromisingconceptsforthe

future(cp.Riedl,2007)butwhatwouldneedtobeadaptedand

why?

.Whatarethetheoreticalimplicationsforopen


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innovationtheoryapplyingtheconceptofanideas

competitione.g.,whendistinguishingbetweendifferentcultures,targetgroupsandproductdomains?Generally,

theinteractionstructuresofsuchinnovationcommunitiesrequireadeeperunderstanding.Moreresearch

attentionisneededtounderstandtheantecedents,thestructuralelements,designparametersand

theoutcomesofideacompetitions,especiallyinthecontextofinnovation


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communities.

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LegimateofIllegitimatePeripheralParticipation?27.InternationalConference

onInformationSystems

(27.ICIS2006),Milwaukee,USA.DrWinfriedEbner

worksasexecutiveassistanttotheManagingDirectorofT-MobileDeutschlandGmbH,Bonn,

Germany.From2003to2008,heworkedasresearcherattheChairfor

InformationSystems,TechnischeUniversitaetMuenchen,Munich,Germany.Aspartofhis


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dissertationCommunityBuildingforInnovationsTheIdeas

CompetitionasaMethodfortheDevelopmentandImplementationofaVirtualInnovation-

Community;heplanned,builtandranSAPiens anideascompetitionforstudents

incooperationwithSAPAG.Furthermore,hedevelopedtheExecutiveEducationProgram

communicate

communicationandleadership .Winfriedgraduated2002inCommunicationScience(majors


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inInformationSystems)attheHohenheimUniversity,Stuttgart,

Germany.HeworkedforcompaniessuchasOttoVersand,KienbaumConsultantsInternationaland

EddieBauerInc.HisresearchinterestsincludeInformationManagement,OpenInnova

tion,

CommunityBuildingforInnovationandMediatedLeadership.

Prof.DrJanMarco

LeimeisterisafullprofessorofInformationSystemsandholdsthe


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People(IT&P),Wirtschaftsinformatik,ElectronicMarkets(EM),Communicationsof

theAssociationforInformationSystems(CAIS),JournalofComputer-MediatedCommunication(JCMC)andJournal

ofOrganizationalComputing&ElectronicCommerce(JoCEC).Histeachingandresearchareasinclude

ITInnovationManagement,ServiceScience,UbiquitousandMobileComputing,CollaborationEngineering,eHealth,Online

CommunitiesandITManagement.

Prof.DrHelmutKrcmaris


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afullprofessorofInformationSystemsandholds

theChairforInformationSystemsattheDepartmentofInformatics,TechnischeUniversitaetMuenchen,

Munich,Germany,since2002.HeworkedasPostDoctoralFellowattheIBM

LosAngelesScientificCenter,asassistantprofessorofInformationSystemsattheLeonard

SternSchoolofBusiness,NYU,andatBaruchCollege,CUNY.From


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1987to2002,hewasChairforInformation

Systems,HohenheimUniversity,Stuttgart.HisworkshaveappearedintheJournalofManagement

InformationSystems(JMIS),InformationTechnologyandPeople(IT&P),Wirtschaftsinformatik,ElectronicMarkets(EM),Communications

oftheAssociationforInformationSystems(CAIS),

JournalofComputer-MediatedCommunication

(JCMC)andJournalofOrganizationalComputing&ElectronicCommerce(JoCEC).His


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journal about community engineering

Documents