Managing Open Digital Technology in the Cluster Environment : A case study of the Cluster of Forest Technology

Abstract: The role of open innovation is becoming increasingly important for organizational competitiveness, while digital technologies provide new opportunities for organizational innovativeness. Regardless of domain and industry, digital technologies have reshaped structure, business logic and organizational dynamics. In that spirit, the forestry industry moves from the traditional model to the open paradigm, embracing the significance of purposive external exploration and internal exploitation of knowledge and technologies. Although the importance of digital technologies has been highlighted by academia, their enabling role in the open innovation process is insufficiently explored. Moreover, little research showcases the systematic way to organize for open innovation in the digital world. This process towards openness creates new opportunities as well as challenges. In order to investigate these emerging challenges and opportunities for open innovation in a digital world, we conducted a qualitative exploratory case study in the Cluster of Forest Technology in northern Sweden. Our results illustrate that challenges such as trust, power asymmetries, knowledge flow and coopetitive activities need to be managed. This study contributes to the existing literature by providing a way to address these challenges, seize more opportunities and bridge the gap between open innovation and digital technologies.