IBM Using Internal Kickstarter-Like Crowdfunding System
September 4, 2013 12:11 PM
comment(s) - last by
It's to encourage collaboration and innovation within IBM
has been using a Kickstarter-type method of crowdfunding, and it's been so successful that the company is currently preparing its fourth effort.
IBM calls this enterprise crowdfunding, where it happens internally and is not open to the public. It was put in place to encourage IBM employees across the globe to innovate, and many internal departments have collaborated to create projects. Proposals have ranged from 3D printers to setting up a disc golf course.
IBM tested the crowdfunding technique in the third quarter of 2012, where 500 Watson Research Center employees were each given $100 to invest in proposals. IBM employees and investors could access the statistics of each project -- such as the funding goals and amount funded at that point (much like Kickstarter) -- through internal social software.
The results showed that about 46 percent of the employees involved actually participated by investing, viewing projects, volunteering to participate in projects, etc.
IBM Research member Michael Muller said that other testing beyond that was even more successful. In a later crowdfunding effort at IBM, which involved an IT department and a research center in California, participation was high and there were "dozens" of funded projects. Some even reached as high as $35,000. It also showed heightened collaboration, with as many as eight departments working together on a project.
But crowdfunding does have its limitations, such as government regulations and human imagination, according to crowdfunding author Daryl Montgomery. Crowdfunding also takes a lot of work; you can't just throw an idea out there and watch the money roll in. You have to reach out to contacts, talk to the community most interested in the topic, and invest in marketing the idea
, presentations, etc.
However, Muller believes IBM is the first to conduct internal crowdfunding efforts, and says it has had a positive effect on the company. In fact, he said employees participating in the crowdfunding programs liked that they were able to seek peers for funding rather than looking to expense controls, and that they were able to propose projects that improve corporate culture and staff morale.
This article is over a month old, voting and posting comments is disabled
9/4/2013 2:49:20 PM
Isn't this just committee decision making by proxy?
"We shipped it on Saturday. Then on Sunday, we rested." -- Steve Jobs on the iPad launch
IBM Makes World's Smallest Movie Using Deadly Carbon Monoxide
May 1, 2013, 10:00 AM
Facebook CEO Called President Barack Obama to Complain About NSA Spying
March 14, 2014, 1:40 PM
Quick Note: Google Drive 100GB, 1TB Plans See Major Price Cuts
March 13, 2014, 2:45 PM
Target Missed Early Warning Signs of Holiday Data Breach
March 13, 2014, 1:45 PM
Amazon Increases Prime Subscription to $99/year Starting March 19
March 13, 2014, 8:23 AM
Bitcoin King's American Accounts Get Frozen
March 13, 2014, 3:00 AM
Time Warner Cable CEO Says Merger with Comcast is a "Dream Combination", Will Increase Innovation
March 12, 2014, 2:37 PM
Most Popular Articles
Bitcoin King Pt. II: Mt. Gox's Dictator Karpelès Proves Tragically Flawed
March 7, 2014, 1:12 PM
Hack Reveals Fallen Bitcoin CEO's Posh Tokyo Penthouse
March 10, 2014, 4:28 PM
Tesla Motors Calls New Jersey Out on New Rule Against Its Direct Sales Model
March 11, 2014, 12:01 PM
NASA Considering SpaceX "Red Dragon" for Returning Mars Samples to Earth
March 10, 2014, 2:43 PM
India Could Rock Google With Its Biggest Antitrust Fine Yet -- $5B USD
March 10, 2014, 8:12 PM
Latest Blog Posts
Tesla vs. BMW: Who Has the Safer EV?
Feb 1, 2014, 2:56 PM
Justice Leaks Details of Next HTC One Two Flagship Phone
Dec 5, 2013, 4:04 PM
Global Cyber Espionage Concerns Reveal Growing Cyber Armies
Nov 29, 2013, 11:04 AM
Is The Period Becoming an Expression of Anger?
Nov 26, 2013, 2:02 PM
NSA and Congress -- You Will Never Kill the Constitution, It's an Idea
Nov 10, 2013, 2:00 PM
More Blog Posts
Copyright 2014 DailyTech LLC. -
Terms, Conditions & Privacy Information