Concept of Open Innovation (OI) has recently prevailed in academia and industry as a model for increase in R&D productivity. This concept which in turn leads to an improvement in R&D investment efficiency has therefore drawn many firms to adopt this new model. And this has been the same for Korean firms since the introduction of the OI concept in 2006. Yet, the problem with this is that the Korean firms do now know much about this concept in practice: what causes OI to occur, what the intended purpose of its introduction is, what proper procedures to take for a successful introduction, and in particular the limitation of OI introduction to Korean firms. Based on LG Chemical’s Open Innovation movement case, which ignited in late 2006, this study answers the questions previously raised. The successful introduction was made possible by taking a proper procedure of change management along with a strong support from its senior management. The problem though is that Korean firms tend to focus on only the outside-in type of OI. This study also identifies how the OI movement, which was a way to introduce new technology from the outside, has acted as a catalyst in forming a cooperative R&D atmosphere in LG Chemical, and how the role of OI has transformed into a strategic tool for organization change.