Strategies for Enhancing Innovation in Adaptive Organizations

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  • 0:04 Adaptive Organizations…
  • 0:33 Co-Creation
  • 1:14 Crowdsourcing
  • 2:24 Open Source Innovation
  • 3:34 Lesson Summary
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Lesson Transcript
Instructor: Artem Cheprasov

Artem has a doctor of veterinary medicine degree.

This lesson goes over the numerous ways by which adaptive organizations enhance their innovative capabilities. You'll learn about co-creation, crowdsourcing, and open source innovation.

Adaptive Organizations & Innovation

Adaptive organizations are those that can quickly change various processes, products, services, or models in order to suit various conditions. These types of businesses are intrinsically innovative in nature. But how so? Well, they rely on numerous methods to innovate and thus increase stakeholder satisfaction. Some of the ways by which they do this is via co-creation, crowdsourcing, and open source innovation. Let's go over all three in this lesson.


One way by which adaptive organizations can enhance their innovation is via the use of co-creation. Co-creation refers to a situation where an organization taps into the needs and ideas of its customer base or other stakeholders in order to improve its products, services, or processes. For instance, pretend you run a company that designs high-end office chairs. You can co-create a product with your customer base. Perhaps you'll create the beta version of the chair, ship it to core customers, and solicit feedback on what they like, don't like, and want to see. Repeat the process until you get it right. That's co-creation. It's a collaborative effort between an adaptive organization and its stakeholders.


Sometimes, co-creation isn't enough or isn't what you want in general. Your customer base may be too small or unresponsive, you might want to come up with something entirely new, or you're not seeking a collaborative venture for various reasons.

In this case, an adaptive organization might tap into crowdsourcing. Crowdsourcing is the outsourcing of one's own projects to a group of people. Usually, the entities in this group are unrelated and work largely independently of the company to finalize a solution. This allows an adaptive organization to tap into a diverse range of skills, thought processes, and ideas to come up with a solution to something or a new idea. For instance, maybe you want to come up with a new company slogan and want as many ideas as possible. Crowdsourcing might be the way to go.

You might think that co-creation of the slogan might make the most sense, and in some cases that might be true, but do you want to risk offending a part of your customer base if you don't like their idea for a company slogan? Probably not. In this case, crowdsourcing might be a better alternative as it's not a collaborative effort and you are fully in control of what you want to do, or don't want to do, with the end result.

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