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Open Innovation 2.0 – 
ccrreeaattiinngg eeccoossyysstteemmss!! 
- European response 
Bror Salmelin 
Adviser, Innovation Systems, European 
Commission
Contents 
• VUCA? 
•• OOII22?? 
• Drivers 
• How does the paradigms change? 
• How to respond to the challenges?
The Future 
• Prediction is 
difficult, 
Especially about 
• The best way to 
predict the future is 
to invent it! 
the future 
• Niels Bohr 
• Alan Kay 
3
VUCATIONAL society 
• Volatile 
•• UUnncceerrttaaiinn 
• Complex 
• Ambigious
Innovation? 
• Make things happen! 
Sustainable innovation is full of disruptions! 
Science based linear innovation iiss NNOOTT mmaaiinnssttrreeaamm 
anymore! 
HOW TO CREATE NEW??? 
• User-centric innovation 
• Open innovation 
• Systemic innovation 
• Experimental mash-up
Essential drivers 
• connectivity 
• open 
•• iinntteerraaccttiioonn 
• “organic” 
• NON-controllable, only catalyzing possible
Open Innovation 2.0: 
A New Renaissance IF NOT……
Diversity matters (MIT 2002)! 
high 
• 
Breakthrough 
High low 
Value of innovation 
Low 
average 
insignificant 
Alignment of team members’ disciplines
Talent attracts talent!
collaboration 
process 
Value Chain 
process 
New BBuussiinneessss SSttrruuccttuurreess 
Value Network 
mediation 
Dynamic Value 
Constellation 
Value Chain 
Value Network
Maslow 2.0 for organisations
Still linear innovation model!
Test and Experimentation Platforms 
 Degree of participation: LOW (Observation) VS. HIGH (Observation + 
Creation) 
 Knowledge Focus: Single and controlled contexts VS. Multiple  Emerging 
contexts 
Silicon 
Hill 
(FI) 
SURFnet/ 
Kennisnet 
project: 
Testbed 
FDinland(FI) 
pilot 
schools 
(NL) 
Kenniswijk (NL) 
Digital 
Playgrounds 
(NL) 
Octopus 
(FI)
Innovating together! 
Open 
Innovation 
Citizens 
••• 14 
and users 
Application 
Environments 
Technology and 
Infrastructure 
Expertise 
Organisation 
and methods 
Creative Commons; tools, IPR, practise, experience
Innovation moving out of the Lab 
Centralized 
inward looking 
innovation 
Closed 
Innovation 
Ecosystem centric, 
cross-organizational 
innovation 
Innovation 
Networks 
Externally 
focused, 
collaborative 
innovation 
Open Innovation 
Sources: Chesbrough 2003, Forrester 2004, von Hippel 2005
Creating Innovation Platforms 
Engagement platforms 
“Assemblages of persons, 
interfaces, pprroocceesssseess,, aanndd 
artifacts, purposefully 
designed to intensify 
engagements to co-create 
value” 
from Prof V Ramaswami
PATHFINDER – the “knowledgist” 
Knowledge 
maps 
Horizon of 
certainty 
Measurement 
Optimization Path 
Specialization Path 
Neutralization Path Silos
PATH CREATOR – the “resilient persona” 
Disobedience 
(“Ignorance is bold and knowledge reserved”, Thucydides 
“Future knowledge is not possible in the present”, Karl Popper ) 
Uncertainty 
Inaccuracy 
Horizon of 
doubt 
Imagination 
(“Knowledge 
circumscribes 
the imagination”, 
Giacomo Leopardi, 
Notebooks) 
A range of 
disciplines
Bridger as new profession 
A 
B 
“I am going to use 
my idea in my field 
of use, and you are 
welcome to use 
it in your own field” 
C
Extraordinary: Large Deviations Make the 
Difference 
In experiments events supposed not happening, happen 
“normal” is not 
the focus 
“extremes” are 
“extremes” are 
the focus 
the focus 
You don’t tame uncertainty 
looking at extraordinary 
events 
We reward 
acts of 
prevention 
rather than 
treatment 
Feedback loops 
Cumulative, snowballs, arbitrary 
and unpredictable effects
Discovery of valuable ideas by crowds! 
Number 
crowd experts 
Area of interest 
Value 
Old space 
New space 
Curators and Bridgers as new skills
New innovation space 
• New professions: Curators and Bridgers 
• New types of ecosystems: 
•• SSeellff ddiirreecctteedd 
• Real world prototyping and experimentation 
• Common interest 
• Open platforms 
• Recognition beyond ordinary means 
• Brings fast scale-ups 
• Flagships (?)
value Transition speeding + 
disruption+ risk mgmt 
time 
Experimentation in real world 
Multidisciplinary 
Co-creation of new marketplace
Prioritize Quadruple Helix Innovation 
Government, Academia, Industry and Citizens collaborating together 
to drive structural changes far beyond the scope of any one 
organization could achieve on it’s own 
Involve all stakeholders in quadruple helix to innovate and experiment in real world settings, in creating frictionless 
innovation ecosystems 
GGoovveerrnnmmeenntt//PPuubblliicc 
AAccaaddeemmiicc 
IInndduussttrryy 
CCiittiizzeenn
Create incentives to encourage Openness to 
Innovation and Experimentation 
• We solve too many problems with taxes and 
penalties, create incentives to encourage 
experimentation and prototyping, nnoott ppeerrffeecctt 
planning for yesterday. 
• Promote Successful innovators and entrepreneurs 
as Hero’s 
• Change our European culture where honourable 
failure is seen as a badge of honour :failing fast, 
but small
Drive Intersectional Innovation 
• The breakthroughs happen at the boundaries of 
culture, domains, nations and technologies 
• Prioritize support for innovation wwhhiicchh ttaarrggeett 
intersectional, disruptive and architectural 
innovation 
• Create a de Medici effect to enable a new 
European Innovation renaissance
Horizon 2020 
• Commission proposal for a 80 + billion euro research and innovation 
funding programme (2014-20) 
• Part of proposals for next EU budget, complementing Structural Funds, 
education, etc. 
• A core part of Europe 2020, Innovation Union  European RReesseeaarrcchh AArreeaa:: 
• Responding to the economic crisis to invest in future jobs and growth 
• Addressing peoples’ concerns about their livelihoods, safety and 
environment. 
• Strengthening the EU’s global position in research, innovation and 
technology 
• Three main focus areas: Industrial leadership (LEIT), Socieoeconomic 
challenges and Research Excellence
Paradigm change is REAL! 
• Closed innovation Open innovation Open innovation 2.0 
• Dependency Indepencency Interdependency 
• Subcontracting Cross-licensing Cross-fertilisation 
• Solo Cluster Ecosystem 
• Linear Linear, leaking Mash-up 
• Linear subcontracts Triple Helix Quadruple Helix 
• Planning Validation, pilots Experimentation 
• Control Management Orchestration 
• Win-lose game Win-win game Win more-Win more 
• Box thinking Out of the Box No Boxes! 
• Single entity Single Discipline Interdisciplinary 
• Value chain Value network Value constellation
Conclusions 
• The paradigm shift to Open Innovation 2.0 is real 
• Essential to find positive collisions to ccrreeaattee nneeww mmaarrkkeettss 
• Clusters are not enough to create new; ecosystems needed! 
• Experimentation and prototyping in real world settings especially 
important in areas close to societal changes and challenge 
• Experience from first calls: Too little emphasis on impact
More information 
www.ec.europa.eu/research/horizon2020 
http://ec.europa.eu/digital-agenda 
http://ec.europa.eu/digital-agenda/en/open-innovation

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Open Innovation 2.0 – creating ecosystems! - European response

  • 1. Open Innovation 2.0 – ccrreeaattiinngg eeccoossyysstteemmss!! - European response Bror Salmelin Adviser, Innovation Systems, European Commission
  • 2. Contents • VUCA? •• OOII22?? • Drivers • How does the paradigms change? • How to respond to the challenges?
  • 3. The Future • Prediction is difficult, Especially about • The best way to predict the future is to invent it! the future • Niels Bohr • Alan Kay 3
  • 4. VUCATIONAL society • Volatile •• UUnncceerrttaaiinn • Complex • Ambigious
  • 5. Innovation? • Make things happen! Sustainable innovation is full of disruptions! Science based linear innovation iiss NNOOTT mmaaiinnssttrreeaamm anymore! HOW TO CREATE NEW??? • User-centric innovation • Open innovation • Systemic innovation • Experimental mash-up
  • 6. Essential drivers • connectivity • open •• iinntteerraaccttiioonn • “organic” • NON-controllable, only catalyzing possible
  • 7. Open Innovation 2.0: A New Renaissance IF NOT……
  • 8. Diversity matters (MIT 2002)! high • Breakthrough High low Value of innovation Low average insignificant Alignment of team members’ disciplines
  • 10. collaboration process Value Chain process New BBuussiinneessss SSttrruuccttuurreess Value Network mediation Dynamic Value Constellation Value Chain Value Network
  • 11. Maslow 2.0 for organisations
  • 13. Test and Experimentation Platforms Degree of participation: LOW (Observation) VS. HIGH (Observation + Creation) Knowledge Focus: Single and controlled contexts VS. Multiple Emerging contexts Silicon Hill (FI) SURFnet/ Kennisnet project: Testbed FDinland(FI) pilot schools (NL) Kenniswijk (NL) Digital Playgrounds (NL) Octopus (FI)
  • 14. Innovating together! Open Innovation Citizens ••• 14 and users Application Environments Technology and Infrastructure Expertise Organisation and methods Creative Commons; tools, IPR, practise, experience
  • 15. Innovation moving out of the Lab Centralized inward looking innovation Closed Innovation Ecosystem centric, cross-organizational innovation Innovation Networks Externally focused, collaborative innovation Open Innovation Sources: Chesbrough 2003, Forrester 2004, von Hippel 2005
  • 16.
  • 17. Creating Innovation Platforms Engagement platforms “Assemblages of persons, interfaces, pprroocceesssseess,, aanndd artifacts, purposefully designed to intensify engagements to co-create value” from Prof V Ramaswami
  • 18.
  • 19. PATHFINDER – the “knowledgist” Knowledge maps Horizon of certainty Measurement Optimization Path Specialization Path Neutralization Path Silos
  • 20. PATH CREATOR – the “resilient persona” Disobedience (“Ignorance is bold and knowledge reserved”, Thucydides “Future knowledge is not possible in the present”, Karl Popper ) Uncertainty Inaccuracy Horizon of doubt Imagination (“Knowledge circumscribes the imagination”, Giacomo Leopardi, Notebooks) A range of disciplines
  • 21. Bridger as new profession A B “I am going to use my idea in my field of use, and you are welcome to use it in your own field” C
  • 22. Extraordinary: Large Deviations Make the Difference In experiments events supposed not happening, happen “normal” is not the focus “extremes” are “extremes” are the focus the focus You don’t tame uncertainty looking at extraordinary events We reward acts of prevention rather than treatment Feedback loops Cumulative, snowballs, arbitrary and unpredictable effects
  • 23. Discovery of valuable ideas by crowds! Number crowd experts Area of interest Value Old space New space Curators and Bridgers as new skills
  • 24. New innovation space • New professions: Curators and Bridgers • New types of ecosystems: •• SSeellff ddiirreecctteedd • Real world prototyping and experimentation • Common interest • Open platforms • Recognition beyond ordinary means • Brings fast scale-ups • Flagships (?)
  • 25. value Transition speeding + disruption+ risk mgmt time Experimentation in real world Multidisciplinary Co-creation of new marketplace
  • 26. Prioritize Quadruple Helix Innovation Government, Academia, Industry and Citizens collaborating together to drive structural changes far beyond the scope of any one organization could achieve on it’s own Involve all stakeholders in quadruple helix to innovate and experiment in real world settings, in creating frictionless innovation ecosystems GGoovveerrnnmmeenntt//PPuubblliicc AAccaaddeemmiicc IInndduussttrryy CCiittiizzeenn
  • 27. Create incentives to encourage Openness to Innovation and Experimentation • We solve too many problems with taxes and penalties, create incentives to encourage experimentation and prototyping, nnoott ppeerrffeecctt planning for yesterday. • Promote Successful innovators and entrepreneurs as Hero’s • Change our European culture where honourable failure is seen as a badge of honour :failing fast, but small
  • 28. Drive Intersectional Innovation • The breakthroughs happen at the boundaries of culture, domains, nations and technologies • Prioritize support for innovation wwhhiicchh ttaarrggeett intersectional, disruptive and architectural innovation • Create a de Medici effect to enable a new European Innovation renaissance
  • 29. Horizon 2020 • Commission proposal for a 80 + billion euro research and innovation funding programme (2014-20) • Part of proposals for next EU budget, complementing Structural Funds, education, etc. • A core part of Europe 2020, Innovation Union European RReesseeaarrcchh AArreeaa:: • Responding to the economic crisis to invest in future jobs and growth • Addressing peoples’ concerns about their livelihoods, safety and environment. • Strengthening the EU’s global position in research, innovation and technology • Three main focus areas: Industrial leadership (LEIT), Socieoeconomic challenges and Research Excellence
  • 30. Paradigm change is REAL! • Closed innovation Open innovation Open innovation 2.0 • Dependency Indepencency Interdependency • Subcontracting Cross-licensing Cross-fertilisation • Solo Cluster Ecosystem • Linear Linear, leaking Mash-up • Linear subcontracts Triple Helix Quadruple Helix • Planning Validation, pilots Experimentation • Control Management Orchestration • Win-lose game Win-win game Win more-Win more • Box thinking Out of the Box No Boxes! • Single entity Single Discipline Interdisciplinary • Value chain Value network Value constellation
  • 31. Conclusions • The paradigm shift to Open Innovation 2.0 is real • Essential to find positive collisions to ccrreeaattee nneeww mmaarrkkeettss • Clusters are not enough to create new; ecosystems needed! • Experimentation and prototyping in real world settings especially important in areas close to societal changes and challenge • Experience from first calls: Too little emphasis on impact
  • 32. More information www.ec.europa.eu/research/horizon2020 http://ec.europa.eu/digital-agenda http://ec.europa.eu/digital-agenda/en/open-innovation