Open Innovation framing and introduction Why we need innovation?

1. 1
ICT-based Creativity and
Innovation
--oo--oo--
1. Framing
M.Missikoff
Institute of Sciences and Technologies of Cognition
ISTC-CNR, Rome
(michele.missikoff@cnr.it)
Institute of Cognitive
Sciences and Technologies

2. Summary
1. Why we need (Open) Innovation?
2. What is (Open) Innovation?
3. People-centric Innovation: New forms of
organization, management, working styles
4. The core issue: Enterprise Innovation Lifecycle
(guidance without reducing freedom)
5. ICT Architectures and Platforms for Open
Innovation
6. Conclusions and Lessons Learned
2

3. Why we need Open Innovation
• Innovation makes the difference: We are at a turn
point. We need to innovate firstly our Life Style
• The success of an enterprise in the ability to
quickly grasp the accelerated technology
changes, adopting them to produce value
• “Innovation is vital to European competitiveness
in the global economy” (European Commission)
• 79% of companies that introduced at least one
innovation since 2011 experienced an increase of
their turnover by more than 25% by 2014
(InnoBarometer)
3

4. An Ever Changing Scenario ...
We reached the end of the Industrial Revolution Era ...
1st IR. Warm Energy: mechanization, steam engine (‘700-
’800)
2d IR. Cold Energy: Electrification of industries, cities, homes
(‘800-’900)
3d IR. First Digitization: the advent of computers (1960s-
1990s). Industrial / office automation
4th IR. Smart Digitization: ‘Smart’ society. Smart Energy,
Smart Industry 4.0, Smart Cities, Smart Objects, ... (2000-
2020). Big Data/Knowledge. Continuous Innovation.
5th IR. Socio-digital Revolution. New socio-economic
paradigms. The Era of Access (J. Rifkin), Sharing / Circular
Economy, from Ownership to Usage (2020+) 4

5. 5

6. Enterprise Attitude to Innovation
Firstly, Cultural
Transformation:
• Corporate value
• ‘inherent’
attitude
• Managers’
endorsement
6
... against the ‘Budget Tyranny’

7. What is innovation?
“Innovation does not just change our lives, it
is how we make a living.” (B. Obama, 2013)
The Innovation ‘cocktail’:
• Fantasy & Creativity (with a pragmatic attitude)
• New ideas that create value
• People, communication, collaboration, social
behaviour, communities
• Risk with a vision
• Knowledge
7

8. Open Innovation Strategy and Policy
Group (OISPG)
According to OISPG
From an Art to a Systematic Discipline, based
on:
• integrated collaboration,
• co-creation of shared value,
• cultivated innovation ecosystems,
• unleashed exponential technologies, and
• extraordinarily rapid adoption (absorption)
8

9. Digital Open Innovation
What can we expect to see in the
next coming years?
9

10. Service vs Product Innovation
• The Age of Access (J. Rifkin)
– From ownership to use
– New business models base on Usage Value
– But it requires a radical Cultural Shift, e.g., in
terms of Social Values (e.g., I own a Ferrari,
therefore I am a success man)
• The blurring frontier between
• goods and services (e.g., the Internet Fridge)
• Inside and outside of the company
Servitization and Openness
10

11. New Business Models
No fixed resources or infrastructure ownership
• Uber
• Airbnb, SabbaticalHome
No content ownership
• Facebook
• Instagram
Predecessors in Old Economy
• Scientific Journals. The workers (scientists) work
for free and then pay to buy the outcome of their
work
... against the ‘Platform Tyranny’
11

12. ICT & Innovation
The articulated relationship between ICT and
Innovation
• Innovation IN ICT
• Innovation WITH ICT
• Innovation BY means of ICT
12

13. Innovation IN ICT
• Aims at producing new digital solutions, systems,
equipment, ... (e.g., Oled display, ... to Quantum
Computing)
• Today, ICT represent among the most forward
moving research and industrial areas.
• It is the most relevant technology in terms of
pervasiveness and impact on the rest of the
socio-economic systems.
• However, here we will not focus on this topic,
since our main interest is the other points that
follow.
13

14. Innovation WITH ICT
• Embedding advanced ICT solutions in an
innovative product, process, or service is the
most relevant frontier of innovation today.
• Same for new business models based on
shared platforms and knowledge systems.
• Airbnb or Uber could not be even conceived
10 years ago, when internet, the Web and the
smartphones where not systematically used.
14

15. Innovation BY using ICT
• To produce an innovative solution (product, service, etc.) by
using ICT means. E.g., a new chair designed with CAD and 3D
Printed (but not embedding ICT)
• An instrumental perspective concerning the innovation in any
possible industrial sector
• ICT solutions adopted as a means, for the design, engineering,
production, distribution, of goods and services.
• The final product can be ‘traditional’ (e.g., a chair) and low-
tech (no technology is embedded), but could not exist in
absence of advanced ICT solutions.
• On another level, this line includes the support &
management of innovation projects:
Innovation support and mangement Platforms
15

16. 3 Steps to Innovation
Human-centric Innovation
• Digital Transformation  towards
Digital Enterprise
• Knowledge Transformation  towards
Knowledge Enterprise
• Meta-Innovation Transformation  towards
Open Innovation Ecosystem
All three Transformations are based on advanced
ICT technologies, but interpreted keeping people
at the center, then people’s minds need to
change synergically.
16

17. Digital Transformation
• Full Digitalization of enterprise and society
• The only possibility to cope with the need of
speed, required by globalization and new
markets
• This is not simply automation
Towards ...
• Fully Digital Enterprise
• Unified Digital Socio-Economic System
• Servitization. From goods (atoms): slow, to
services (bits): fast
17

18. Digital Disruption
Big Impact on Enterprise organization, business models, working
and management styles, marketing strategies, ... 18

19. Digital Enterprise
RealEnterpriseDigitalEnterprise
19

20. Knowledge Transformation
Knowledge and Semantic Technologies
• Digital representation of the Enterprise needs
Semantic Enrichment, to tame complexity
• Enriching with meta-data, conceptual level: Ontologies
• Adopting methods and tools from Semantic
Technologies
• Beyond ‘business as usual’: Open Innovation requires
Open Knowledge
Semantic Web & Linked Open Data
Innovation as a Knowledge Artefact
20

21. Knowledge EnterpriseRealEnterpriseDigitalEnterprise
Rules &
Best Practices
Semantic
Tags & Annot
Ontology
Federations
Knowledge Layer
21

22. ‘Meta-Innovation’ Transformation
• Assuming the two previous levels: Digital &
Knowledge Enterprise
• The next Enterprise Evolution requires:
– Socio-organizational Transformation
– Higher digital tools integration
– Cultural Shift
• People empowerment
– Via digital culture: Open Learning Lab
– Dynamic Organization Models, Strong delegation
– From management to orchestration
– Open co-creation, co-design
• Education, in collaborative settings
• Beyond Human Capital, towards Relational Capital
22

23. Innovation Ready Enterprise
Open Innovation Framework
23
It is NOT an individual characteristic, it is a relational one, achievable only in an Ecosystem
Next: 2/6. OpenInnov-WhatIsIt