InnoCentive has an intriguing business model. As described on their website:
"InnoCentive® is an exciting web-based community matching top scientists to relevant R&D challenges facing leading companies from around the globe. We provide a powerful online forum enabling major companies to reward scientific innovation through financial incentives."
If your company cannot solve an important technical problem, you register as a seeker; if you are a scientist, engineer, etc with a bit of free time and an itch to solve some interesting problems, you register as a solver. InnoCentive gets the seekers and solvers together, with financial prizes from the seekers to the solver or solvers who produce the useful solutions. The Rockefeller Foundation has recently partnered with InnoCentive to apply the same platform to global development problems. In this case, the seekers will be non-profit entities chosen by the Foundation that serve poor or vulnerable peoples.
One might be tempted to think that this “dating service” approach to problem solving could be useful only to small start-ups that cannot afford their own research. Turns out, if you think that, you are really wrong. A recent Harvard Business School working paper by K.R. Lakhani, L.B.Jeppesen, P.A.Lohse and J.A.Panetta has analyzed InnoCentive results for 166 scientific problems that the research laboratories of “large and well-known R&D-intensive firms had been unsuccessful in solving internally.” Several of the problems reflected several years of unsuccessful effort in the company’s research labs. The results are fascinating.