Compilation of Open Innovation Pattern in Iran's Public Organizations with the Approach of Grounded Theory

Abstract
Open innovation has increasingly become a central paradigm in organizational studies and public sector reform, expanding beyond industrial and technological domains into policymaking and public service provision. As Iranian government organizations face growing demands for efficiency, responsiveness, and accountability, embracing open innovation is no longer optional but a strategic necessity. The present study aims to develop a comprehensive and contextualized model of open innovation suited for Iran’s public sector. Using a qualitative, interpretive, and inductive framework based on Grounded Theory with Strauss and Corbin's systematic methodology, data were collected through semi-structured interviews with ten experts who possessed both theoretical knowledge and practical experience in open innovation initiatives. Analysis of the interviews yielded 458 initial codes, which were refined into 185 conceptual elements, 41 subcategories, and ultimately 16 major thematic components. The emerging model demonstrates how shifts in organizational strategy, structural prerequisites, cultural conditions, mediating human-resource factors, and inter-organizational collaborations shape the capacity of public institutions to successfully adopt open innovation. The findings reveal that the implementation of open innovation strengthens organizational learning, stakeholder engagement, and overall service effectiveness, provided that the necessary institutional support, knowledge-sharing mechanisms, and innovation platforms are firmly established. This study contributes to expanding the theoretical and practical understanding of open innovation in developing-country public sectors and offers a tailored model that can guide Iranian policymakers in institutionalizing innovation-driven governance.
Introduction
Open innovation, once primarily associated with private-sector technological industries, has evolved into an influential framework for transforming public sector functioning. With increasing societal complexity and rapid technological change, governments across the world are rethinking how they generate knowledge, solve problems, and design services. In Iran, public organizations are confronted with rising expectations from citizens while simultaneously navigating resource constraints and bureaucratic rigidity. These pressures have made innovation a crucial element of organizational survival and public value creation. Despite its growing relevance, the integration of open innovation in Iran’s public sector remains fragmented and often constrained by structural, cultural, and institutional barriers. The present research seeks to identify and articulate a comprehensive model of open innovation that is compatible with the realities of Iranian governmental institutions. By exploring the experiences and insights of experts in the field, the study aims to clarify how open innovation can be structured, governed, and implemented in a way that improves organizational performance while addressing the unique challenges of the Iranian context.
Case Study
The study focuses on developing an applicable model of open innovation for Iranian public organizations based on the perspectives of academic experts and practitioners who have been directly involved with innovation-related projects and research. These individuals serve as informed opinion leaders who possess deep knowledge of both the theoretical foundations and the operational challenges of implementing open innovation in public institutions. Their experiences form the empirical foundation upon which the grounded model of this study is built. The case is therefore not tied to a single organization but rather examines the broader institutional environment of Iran’s public sector through the lens of those who have shaped and studied open innovation initiatives.
Materials and Methods
This research adopts a qualitative, interpretive, and inductive orientation consistent with the principles of Grounded Theory. The systematic approach proposed by Strauss and Corbin guided the process of coding, categorization, and theory development. Ten experts were selected through purposive sampling based on their extensive involvement in research or implementation of open innovation. Semi-structured interviews allowed for in-depth exploration of their experiences and views. Following data collection, the interviews were transcribed and analyzed through open, axial, and selective coding. This iterative analytic process facilitated the emergence of concepts and relationships rather than forcing preconceived theoretical structures onto the data. The robustness of the findings was enhanced through constant comparison, memo-writing, and theoretical saturation.
Discussion and Results
The analysis produced a rich and multilayered set of findings, culminating in 458 initial codes that were progressively distilled into 185 meaningful concepts, 41 subcategories, and 16 core thematic categories. The resulting theoretical model illustrates the dynamic interplay between strategic orientation, organizational capabilities, cultural readiness, knowledge infrastructures, and collaborative mechanisms in enabling open innovation within public organizations. The findings show that fundamental changes in organizational mindset and strategic direction act as foundational triggers for embracing open innovation. At the same time, structural and cultural barriers—such as rigid hierarchies, limited inter-organizational cooperation, and insufficient knowledge-sharing mechanisms—constitute central challenges that often restrict innovation efforts. Contextual factors, including the maturity of organizational culture and the role of human and knowledge mediators, shape the environment in which open innovation is attempted. Intervening factors such as partnerships with universities, structured platforms for idea generation, and targeted investments influence how effectively open innovation strategies are implemented. Ultimately, the institutionalization of open innovation leads to enhanced functional performance, stronger organizational reputation, and improved human capital development.
Conclusion
The study highlights the transformative potential of open innovation for Iranian public organizations. By bridging internal expertise with external knowledge networks, open innovation accelerates learning, fosters cross-sector collaboration, and enhances service quality. The research demonstrates that successful implementation requires more than adopting new tools; it demands a reconfiguration of organizational culture, strategic orientation, and inter-organizational relationships. The grounded model developed in this study provides policymakers and managers with a practical and context-sensitive framework for designing innovation ecosystems within the public sector. As Iranian government organizations grapple with increasing complexity and expectations, transitioning toward an open innovation paradigm may offer a pathway toward more responsive, adaptive, and citizen-centered governance.