Collective intelligence as is defined as groups of individuals acting collectively in ways that seem intelligent.

As all the people and computers on our planet get more and more closely connected, it's becoming increasingly useful to think of all the people and computers on the planet as a kind of global brain.

A good video from big think editors is attached.

http://bigthink.com/videos/collective-intelligence-defined

http://www.powershow.com/view/c52a2-NmQ3O/Collective_Intelligence_powerpoint_ppt_presentation

In today's fast changing economic world no organization can survive without innovation. This necessitates managing knowledge in organizations. It is important that people share their knowledge, which is often not very easy to actually make it happen. For, most people hide knowledge as they consider knowledge as power, and the organization is so structured that it does not facilitate knowledge sharing.  One remedy for this problem can be collective innovation. This concept refers to an open, connected,  and collaborative process that generates, develops, and implements new ideas. The pooling of knowledge and strengths of different innovators can produce amazing results. Communication between and among them is perhaps the most important element of such innovation. This can go a long way in generating the quality of innovative ideas through the collective wisdom and competencies of the knowledge resources and people involved in the process. 

http://dspace.mit.edu/handle/1721.1/39518

Dear @Sundar, as @Debi have explained, nothing without innovations as most of technologically advanced economies are truly knowledge-based. Collective Intelligence and Business Enterprise 2.0 is fine article!

Private-collective model of innovation: "The term private-collective model of innovation was coined by Eric von Hippel and Georg von Krogh in their 2003 publication in Organization Science.[1] This innovation model represents a combination of the private investment model and the collective-action innovation model."

http://www.devouard.com/IMG/pdf/Chapter_1_3_Devouard.pdf

http://en.wikipedia.org/wiki/Private-collective_model_of_innovation

Collective intelligence as is defined as groups of individuals acting collectively in ways that seem intelligent.

As all the people and computers on our planet get more and more closely connected, it's becoming increasingly useful to think of all the people and computers on the planet as a kind of global brain.

A good video from big think editors is attached.

http://bigthink.com/videos/collective-intelligence-defined

http://www.powershow.com/view/c52a2-NmQ3O/Collective_Intelligence_powerpoint_ppt_presentation

Collective innovation can happen in two  ways.........

Sequentially or simultaneously.

Sequential collective innovation is when one person/ team completes one part and then taken up by the next person /team and improves on it. Linux is one great example of this. 

Simultaneous collective innovation is when a group is formed with one specific objective and they work on that problem. This group is heterogeneous and they are assembled for specific knowledge or skill sets. Most of the companies use this method on new product development.

In sequential innovation  by and large the incentives for participation for each player is different. whereas in simultaneous the objective and incentives are almost agreed at the outset.

In my view, collective innovation is imperative to day because any disruptive technology will happen only through collective innovation.

Great replies by Debi, Ljubomir Jacić, Behrouz  & Raveendran Iyengar.

I especially liked the last reply by Raveendran Iyengar on sequential & simultaneous types of collective innovation. This makes great sense!

I fully agree that collective innovation is the need of the hour today.

Thank you - Sundar

Right dear @Kamal, we can harnessing Collective Intelligence! The principle of “the wisdom of crowds" is a powerful one!

http://www.cognistreamer.com/en/products_innovationportal.html

How important is to have a creative thinking to  "Collective Innovation" for Business Enterprises?

Alcatel-Lucent created the University Innovations Program designed to tap the collective innovation of both the students and professors of the best universities across North America.

Fostering New Ideas is Academic

Every year new students come to college bringing fresh ideas and new ways of thinking about things. Alcatel-Lucent wants to be able reach out to this very creative group of thinkers and allow them to guide us to fresh new ways of looking at our changing communications environment.

The Alcatel-Lucent University Innovations Program creates value by leveraging resources and assets of leading universities to accelerate innovation.

Our program helps us envision the future with advanced applications and services for consumers, education, non-profit institutions, and businesses allowing us to capitalizes on the value of the network to drive innovative high bandwidth applications for fixed and mobile networks.

http://www3.alcatel-lucent.com/innovation/university/alu_university.html

For new innovation to be successfully birthed, new ideas must be nurtured. Any organization that intends to capitalize on increasing intelligence in recent times must carefully and consciously nurture team involvement and engagement. The inputs of every member of a team is important as it helps to look at the problem in a new way. This makes it possible to think out of the box. One significant aspect of collective innovation is that it achieves maximum results because every member of the team sees it as 'Our innovation'. People readily and easily identify to an innovation that engaged and involved them during its developmental stages.

Hence, senior managers and team leaders must engage and involve team members maximally before coming up with new solutions to effectively generate a collective and innovative way of achieving organizational objectives. This is better than just forcing a new idea that may not get buy in from other stakeholders.

Excellent reply by Prof. Aderogba Adewusi !!

A great thing about "collective innovation" is that it facilitates new ideas and also everybody in the organization gets involved. As Professor pointed out wonderfully, by engaging all in the collective innovation, the organization may work towards achieving its objectives in a time-bound manner and stay in the competitive environment.

Getting consensus in the collective innovation may be difficult also due to generation gap, and some senior members may not be receptive to new generation ideas. This may be looked into as well, but hopefully such hurdles may be overcome.

Now I am at the final stage of writing a book: The Business Innovation Book. Your question a subject of the book.

Follow my project!

https://www.researchgate.net/project/Business-Innovations-textbook