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Why do we need
  Open Innovation
in the Public Sector?


                         Esteve Almirall
                      ESADE	
  Business	
  School	
  
               esteve.almirall@esade,edu
1)           Problem &–Opportunity

2)           Framework with
     7 mechanisms x 1 enabler x 2 objectives


3)           Why
1)   O ne Problem - Opportunity
1.  Increasing{number
               diversity }
                         of services


2.  Decreasing budgets


3.  Need to re-invent cities (Smart
    Cities) . . . Public Sector.
Open Innovation ?
180.000 + jobs
The battle of devices has now become a war of
ecosystems, where ecosystems include not only the
hardware and software of the device, but developers,
applications, ecommerce, advertising, search, social
applications, location-based services, unified
communications and many other things. Our
competitors aren't taking our market share with
devices; they are taking our market share with an
entire ecosystem.

                                      Stephen	
  Elop	
  
                                       Nokia	
  -­‐	
  CEO	
  
Open Innovation in the
    Public Sector ?
Despite access to the same technologies applied by
these (private) innovators, our government had
historically failed to tap into the expertise of the
American people to help to solve our nation’s biggest
challenges.




                                     Annesh	
  Chopra	
  
                                      U.S.A.	
  -­‐	
  CTO	
  
Service              Platform
          - govs. - orchestrators
Providers
Service              Platform
             - govs. - orchestrators
   Providers


resources to regulate   resources to leverage on
  (zero-sum game)         (non zero-sum game)
2) One Framework with
 7 mechanisms x 1 enabler x 2 objectives
7 mechanisms for O.I. in Cities


       Involving Citizens
        & Constituencies




   Prizes                          in
Challe     ,               e nting
Comp
       nges &
                  Ex perim Labs
                           n
     etition
             s        Urba
7 mechanisms for O.I. in Cities x 1 enabler


       Involving Citizens
        & Constituencies




   Prizes                          in
Challe     ,               e nting
Comp
       nges &
                  Ex perim Labs
                           n
     etition
             s        Urba
7 mechanisms for O.I. in Cities x 1 enabler


         Involving Citizens
          & Constituencies

                    rope            Ope
                                        n
            or Eu                           Citie
    m  ons f                                        s
 Com
                                                 CityS
                                                        DK




         Smart Wo
                   rld                nL   abs
           Capital               Urba
   Prizes                                   in
Challe     ,                        e nting
Comp
       nges &
                           Ex perim Labs
                                    n
     etition
             s                 Urba
managing ecosystems

              Involving Citizens
               & Constituencies

                         rope            Ope
                                             n
                 or Eu                           Citie
         m  ons f                                        s
      Com
                                                      CityS
                                                             DK




              Smart Wo
                        rld                nL   abs
                Capital               Urba
        Prizes                                   in
     Challe     ,                        e nting
     Comp
            nges &
                                Ex perim Labs
                                         n
          etition
                  s                 Urba


Creating & nourishing marketplaces
managing ecosystems

         Involving Citizens
          & Constituencies

                    rope            Ope
                                        n
            or Eu                           Citie
    m  ons f                                        s
 Com
                                                 CityS
                                                        DK




         Smart Wo
                   rld                nL   abs
           Capital               Urba
   Prizes                                   in
Challe     ,                        e nting
Comp
       nges &
                           Ex perim Labs
                                    n
     etition
             s                 Urba


         marketplaces
Data	
  becomes	
  a	
  pla>orm	
  for	
  developers	
  to	
  create	
  apps	
  providing	
  
unexpected	
  services	
  

OPEN	
  DATA	
  -­‐	
  ECOSYSTEMS	
  
a problem

   How to provide an
   increasing number and
   diversity of ICT services
   while fostering innovation
   ecosystems?
The Old Way

         1.0

      you know
the way it’s done now
The New Way
     Open Data
          +
2.0 -> Citizen talent
          +
 Fame and fortune
          =
          ?
unexpected results when
                        sharing data in Public
          regon
                      transportation
   tland-O       Sleep soundly.

Por              The iNap app will wake snoozing commuters as
                 their stop approaches.

                          Predict arrival.
                          The city doesn't provide live GPS tracking of its
                          trains and buses, but the app ArrivalTracker
                          uses an algorithm and city API data to predict
                          arrival times fairly well.

                          Portland's Tri-County Metropolitan
                          Transportation District was one of the first to
                          release actionable data, way back in 2008.




                                                             Fast Company, October 2011
unexpected results when
             sharing data in Public
                    transportation
   ton
 os
           Crowdsource trouble.

B          OpenMBTA searches Twitter to relay what
           problems riders are reporting.

           Hear it straight.
           How Fucked Is the T? bluntly sums up the
           state of each subway line like a native
           Bostonian would. Sample: If the Orange
           Line's average wait time is 5.5 minutes, the
           line "might be a little fucked.”

           Massachusetts has more than 200 mobile
           startups, which have developed dozens of
           transit apps for navigating the finicky
           Massachusetts Bay Transportation
           Authority.
                                          Fast Company, October 2011
unexpected results when
               sharing data in Public
                      transportation
    York
 ew
             Come and go efficiently.

N            Exit Strategy NYC lets subway riders fulfill
             the eternal Gotham need: leave and enter
             stations at the most convenient staircases.

             The Metropolitan Transportation Authority
             has released limited data, so app
             development is slow. But that may change.
             The MTA's App Quest contest will give a
             combined $15,000 in prizes to transit app
             developers. Winners are announced
             November 1.




                                            Fast Company, October 2011
Civic      Ecosystem       Civic
 Data      Apps                               Innovation
                     Innovator    Profit-
Catalog   Contests                            Marketplace
                     Networks    non profit
Learn	
  locally	
  to	
  compete	
  globally	
  

EXPERIMENTATION	
  –	
  URBAN	
  LABS	
  
Urban Labs = Test spaces in the
             middle of the city

Urban Labs = The City as a Urban
             Laboratory

Urban Labs = Urban Living labs

Urban Labs = Real-life
             experimentation
             with users in Cities
 Urban	
  Labs	
  –	
  Living	
  Labs	
  	
  
 Example: Urbiotica pilot - Barcelona




    8 containers for:
      Trash
      Paper
      Glass
      Plastics
A Barcelona experience: Urban Lab
                                                                                              Pilots

Some results
 Starting date: 2008
 Pilot proposals received: 43 pilot proposals
 Pilot tested or testing actually: 14 pilots
 Domains: Enviroment, Mobility, Telecom, …

Some of the pilot projects that have been trialled to date are:

   Implementation of 12 outdoor public street lighting points Eco Digital with LED
    technology. 2009
   Implementation of 2 charging points for electric cars. 2009
   Pilot trial of 1 electrically and solar powered motorbike . 2010
   Traffic control cameras. 2008
   Metering: gas, electricity and water meters without presence.2009
   Fibre optics in homes (FTTH) . 2008
   Bicycle lanes. 2008
   Presence sensors for the public parking payment areas. 2010
   Barcelona Noise-map. 2010
   Among others…




                                                                                         Promoció Econòmica
FASTPRK - Parking Sensors (30) - Worldsensing



  When we thought that the system was operative we
  tested it in the 22@Urban Lab. Testing in real-life
  environments allowed us to improve aspects that
  we couldn't even think of in the lab. The Urban Lab
  has been our best laboratory.

                Jordi Llosa- Development officer Worldsensing
SIIUR - LED Lighting Pilot (12) - Arelsa, Circuitor,
Santa&Cole, e-Control, Prysmian, Semal



   The SIIUR experience allowed us the development
   of the SmartTower, a new family of electrical boxes
   for Smart Cities.

            Anna Urbiztondo - Project Development Director - SECE
SIIUR - LED Lighting Pilot (12) - Arelsa, Circuitor,
Santa&Cole, e-Control, Prysmian, Semal



   Because of the pilot and the experience acquired
   in the Urban Lab, Eindhoven chose SIIUR for
   environmentally sustainable city lighting in
   one of the main districts of the city.

                  Gemma Batlle- TIC Cluster Director - BDigital
Urban Labs
     1.- To develop innovative products taking
         advantage of real-life environments and
         involving citizens in design, proof of
         service and proof of business validation.

     2.- Bridge the cognitive distances between city
         administrations and innovative companies.

     3.- Create an initial demand & provide a
          showcase for innovative solutions.



- learn locally, compete globally-
EU	
  Projects	
  

OPEN	
  CITIES	
  	
  
Objectives
1)  Explore how to approach Open & User Driven
    Innovation Methodologies in the Public
    Sector, particularly Smart Cities.
      ü  Best Practices.
      ü  Innovation Management in the Public
          Sector.
      ü  Platform governance.

2)  Trigger Rich Internet Services & Platforms
    through four mechanisms.
      ü    Ideas -– Crowdsourcing.
      ü    Living Labs -–Urban Labs.
      ü    Data - Open Data (static & dynamic-Sensors).
      ü    Networks - Open FTH networks.
Helsinki
            Berlin Senate                     !
       Fraunhofer FOKUS


  City of Amsterdam
NESTA Berlin    Dutch

  Amsterdam                       !
           Cap Digital
      Paris
     Institut Telecom


                  ESADE
         Barcelona Activa
              Atos Origin
              Rome
UPF – Univ. Pompeu Fabra              !
      Barcelona DotOpen
               Tempos21


                                          !
!
Building	
  blocks	
  Crowdsourcing	
  pla>orm	
  
Opinions & ideas          Community                       News
• Collecting ideas &      • Submit profile                • News
suggestions               • Forum                         • Project information &
• Opinions sharing        • Ranking                       updates
• Information sharing     • Rating                        • Events & activities
• Rating                  • Co-creation                   • Blogs
• Working together        • Connect to social
                          networks




                        Platform Manager
                        Users administration
                        Managing functionalities
                        Statistics & documentation
                        Configuration management


Archiving / Datawarehousing                          Intranet /local website
High	
  Level	
  Pla>orm	
  Architecture	
  
Administra>ons                      OpenCi>es)Data)Pla@orm
           Publish)                ))CMS
          Metadata                                    Data%                                           Indirect)Data)(Apps))Users
                                         Civil%
                                                     Portal                               Search)
                                       Servant%
                                        Portal                            AppPortal        Apps                User
                                                                         (Metadata)
                                                                                         Publish)
                                                                                          App)
                                                                                        Metadata

                       Publish)                             Open%Data
                      Metadata                     Import    Registry
                                                    )API
                                                               Indexer

                        Import)
           City%       selected)       Data%                             Nomenclature               Search)
          Websites     datasets     Enrichment                                                       Data
                                    Linked)Data)
                                     Converter          Mul=%Data%Store
                                                                Endpoint                                Direct)Data)Users)
                                                                                                      (e.g.)App)developers,
                                                                                                         data)businesses)


                                                                           Load)Data
                                                                                               Apps
Sensor	
  Networks	
  
                                            DB
         Other                    DB
         Systems:
         Static data                       DB
                                                                                                         City Council
                                                                                                         OpenData Web




                                                                                            Interfaces
                                                                                    App
                                                                                    Layer                               Users &
                                                                                                                        Entities
                                                                                     Open
                                                                                     Data

    S1
                                                Bussiness




                            DB        DB
                                                                    Interfaces

                                                            Data
                                                Logic




    S2                                                      Layer
               HUB
    S3
                       DB                  DB
                                 DB
                                                                                 WP4 Open
            WP6 Open Sensor Network Platform                                     Data Platform
EU	
  Projects	
  

COMMONS	
  4	
  EUROPE	
  	
  
ConsorCum	
  
                                               InsCtuCons	
                        Country	
  
                                               ESADE	
                             Spain	
  
                                               Forum	
  Virium	
                   Finland	
  
                                               Fraunhofer	
                        Germany	
  
      Manchester
                                               Manchester	
  City	
  Hall	
        UK	
  
                                               City	
  of	
  Amsterdam	
           Netherland	
  
                                               Waag	
                              Netherland	
  
                                               Province	
  of	
  Rome	
            Italy	
  
                                               CASPUR	
                            Italy	
  
                                               Lynx	
                              Italy	
  
                                               Barcelona	
  City	
  Hall	
         Spain	
  
                                               University	
  Pompeu	
  Fabra	
     Spain	
  

SupporCng	
  OrganizaCons	
                    Guifi.net	
                          Spain	
  
                                               NESTA	
                             UK	
  
World	
  Bank	
  (ICT	
  Department)	
  
                                               DotOpen	
                           Spain	
  
City	
  of	
  Berlin	
  
Sharing,	
  reusing,	
  finding,	
  bigger	
  audience,	
  avoid	
  reinvenVng	
  the	
  wheel	
  …	
  

MARKETPLACES	
  
An	
  App	
  Becomes	
  a	
  Pla>orm	
  

ADOPT-­‐A-­‐WHATEVER…	
  
1	
  App.	
  7	
  CiCes.	
  Many	
  Uses.
                                               	
  
Boston,	
  MA	
                     Honolulu,	
  HI	
  
SeaXle,	
  WA	
                     Norfolk,	
  VA	
  
Chicago,	
  IL	
                    Bloomington,	
  IN	
  
Buenos	
  Aires,	
  
ArgenVna	
  	
  
	
  
                                    And	
  more	
  everyday…	
  
3) One Why
Service              Platform
             - govs. - orchestrators
   Providers


resources to regulate   resources to leverage on
  (zero-sum game)         (non zero-sum game)
Service              Platform
          - govs. - orchestrators
Providers

developed in-house           co-developed
 always fall short     with users, communities
     high-cost             free and not-free
    no sharing       empowering entrepreneurship
    local offer          driven by innovation
   fragmented             stimulating growth
Service - govs.- Platform
Providers       orchestrators
esteve almirall
esteve.almirall@esade.edu
Open Innovation in Public Sector Drives Civic Innovation

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Open Innovation in Public Sector Drives Civic Innovation

  • 1. Why do we need Open Innovation in the Public Sector? Esteve Almirall ESADE  Business  School   esteve.almirall@esade,edu
  • 2. 1) Problem &–Opportunity 2) Framework with 7 mechanisms x 1 enabler x 2 objectives 3) Why
  • 3. 1) O ne Problem - Opportunity
  • 4. 1.  Increasing{number diversity } of services 2.  Decreasing budgets 3.  Need to re-invent cities (Smart Cities) . . . Public Sector.
  • 6.
  • 8. The battle of devices has now become a war of ecosystems, where ecosystems include not only the hardware and software of the device, but developers, applications, ecommerce, advertising, search, social applications, location-based services, unified communications and many other things. Our competitors aren't taking our market share with devices; they are taking our market share with an entire ecosystem. Stephen  Elop   Nokia  -­‐  CEO  
  • 9. Open Innovation in the Public Sector ?
  • 10. Despite access to the same technologies applied by these (private) innovators, our government had historically failed to tap into the expertise of the American people to help to solve our nation’s biggest challenges. Annesh  Chopra   U.S.A.  -­‐  CTO  
  • 11.
  • 12. Service Platform - govs. - orchestrators Providers
  • 13. Service Platform - govs. - orchestrators Providers resources to regulate resources to leverage on (zero-sum game) (non zero-sum game)
  • 14. 2) One Framework with 7 mechanisms x 1 enabler x 2 objectives
  • 15. 7 mechanisms for O.I. in Cities Involving Citizens & Constituencies Prizes in Challe , e nting Comp nges & Ex perim Labs n etition s Urba
  • 16. 7 mechanisms for O.I. in Cities x 1 enabler Involving Citizens & Constituencies Prizes in Challe , e nting Comp nges & Ex perim Labs n etition s Urba
  • 17. 7 mechanisms for O.I. in Cities x 1 enabler Involving Citizens & Constituencies rope Ope n or Eu Citie m ons f s Com CityS DK Smart Wo rld nL abs Capital Urba Prizes in Challe , e nting Comp nges & Ex perim Labs n etition s Urba
  • 18. managing ecosystems Involving Citizens & Constituencies rope Ope n or Eu Citie m ons f s Com CityS DK Smart Wo rld nL abs Capital Urba Prizes in Challe , e nting Comp nges & Ex perim Labs n etition s Urba Creating & nourishing marketplaces
  • 19. managing ecosystems Involving Citizens & Constituencies rope Ope n or Eu Citie m ons f s Com CityS DK Smart Wo rld nL abs Capital Urba Prizes in Challe , e nting Comp nges & Ex perim Labs n etition s Urba marketplaces
  • 20. Data  becomes  a  pla>orm  for  developers  to  create  apps  providing   unexpected  services   OPEN  DATA  -­‐  ECOSYSTEMS  
  • 21. a problem How to provide an increasing number and diversity of ICT services while fostering innovation ecosystems?
  • 22. The Old Way 1.0 you know the way it’s done now
  • 23. The New Way Open Data + 2.0 -> Citizen talent + Fame and fortune = ?
  • 24.
  • 25. unexpected results when sharing data in Public regon transportation tland-O Sleep soundly. Por The iNap app will wake snoozing commuters as their stop approaches. Predict arrival. The city doesn't provide live GPS tracking of its trains and buses, but the app ArrivalTracker uses an algorithm and city API data to predict arrival times fairly well. Portland's Tri-County Metropolitan Transportation District was one of the first to release actionable data, way back in 2008. Fast Company, October 2011
  • 26. unexpected results when sharing data in Public transportation ton os Crowdsource trouble. B OpenMBTA searches Twitter to relay what problems riders are reporting. Hear it straight. How Fucked Is the T? bluntly sums up the state of each subway line like a native Bostonian would. Sample: If the Orange Line's average wait time is 5.5 minutes, the line "might be a little fucked.” Massachusetts has more than 200 mobile startups, which have developed dozens of transit apps for navigating the finicky Massachusetts Bay Transportation Authority. Fast Company, October 2011
  • 27. unexpected results when sharing data in Public transportation York ew Come and go efficiently. N Exit Strategy NYC lets subway riders fulfill the eternal Gotham need: leave and enter stations at the most convenient staircases. The Metropolitan Transportation Authority has released limited data, so app development is slow. But that may change. The MTA's App Quest contest will give a combined $15,000 in prizes to transit app developers. Winners are announced November 1. Fast Company, October 2011
  • 28. Civic Ecosystem Civic Data Apps Innovation Innovator Profit- Catalog Contests Marketplace Networks non profit
  • 29. Learn  locally  to  compete  globally   EXPERIMENTATION  –  URBAN  LABS  
  • 30. Urban Labs = Test spaces in the middle of the city Urban Labs = The City as a Urban Laboratory Urban Labs = Urban Living labs Urban Labs = Real-life experimentation with users in Cities
  • 31.  Urban  Labs  –  Living  Labs     Example: Urbiotica pilot - Barcelona 8 containers for: Trash Paper Glass Plastics
  • 32. A Barcelona experience: Urban Lab Pilots Some results  Starting date: 2008  Pilot proposals received: 43 pilot proposals  Pilot tested or testing actually: 14 pilots  Domains: Enviroment, Mobility, Telecom, … Some of the pilot projects that have been trialled to date are:  Implementation of 12 outdoor public street lighting points Eco Digital with LED technology. 2009  Implementation of 2 charging points for electric cars. 2009  Pilot trial of 1 electrically and solar powered motorbike . 2010  Traffic control cameras. 2008  Metering: gas, electricity and water meters without presence.2009  Fibre optics in homes (FTTH) . 2008  Bicycle lanes. 2008  Presence sensors for the public parking payment areas. 2010  Barcelona Noise-map. 2010  Among others… Promoció Econòmica
  • 33. FASTPRK - Parking Sensors (30) - Worldsensing When we thought that the system was operative we tested it in the 22@Urban Lab. Testing in real-life environments allowed us to improve aspects that we couldn't even think of in the lab. The Urban Lab has been our best laboratory. Jordi Llosa- Development officer Worldsensing
  • 34. SIIUR - LED Lighting Pilot (12) - Arelsa, Circuitor, Santa&Cole, e-Control, Prysmian, Semal The SIIUR experience allowed us the development of the SmartTower, a new family of electrical boxes for Smart Cities. Anna Urbiztondo - Project Development Director - SECE
  • 35. SIIUR - LED Lighting Pilot (12) - Arelsa, Circuitor, Santa&Cole, e-Control, Prysmian, Semal Because of the pilot and the experience acquired in the Urban Lab, Eindhoven chose SIIUR for environmentally sustainable city lighting in one of the main districts of the city. Gemma Batlle- TIC Cluster Director - BDigital
  • 36. Urban Labs 1.- To develop innovative products taking advantage of real-life environments and involving citizens in design, proof of service and proof of business validation. 2.- Bridge the cognitive distances between city administrations and innovative companies. 3.- Create an initial demand & provide a showcase for innovative solutions. - learn locally, compete globally-
  • 37. EU  Projects   OPEN  CITIES    
  • 38. Objectives 1)  Explore how to approach Open & User Driven Innovation Methodologies in the Public Sector, particularly Smart Cities. ü  Best Practices. ü  Innovation Management in the Public Sector. ü  Platform governance. 2)  Trigger Rich Internet Services & Platforms through four mechanisms. ü  Ideas -– Crowdsourcing. ü  Living Labs -–Urban Labs. ü  Data - Open Data (static & dynamic-Sensors). ü  Networks - Open FTH networks.
  • 39. Helsinki Berlin Senate ! Fraunhofer FOKUS City of Amsterdam NESTA Berlin Dutch Amsterdam ! Cap Digital Paris Institut Telecom ESADE Barcelona Activa Atos Origin Rome UPF – Univ. Pompeu Fabra ! Barcelona DotOpen Tempos21 !
  • 40. !
  • 41. Building  blocks  Crowdsourcing  pla>orm   Opinions & ideas Community News • Collecting ideas & • Submit profile • News suggestions • Forum • Project information & • Opinions sharing • Ranking updates • Information sharing • Rating • Events & activities • Rating • Co-creation • Blogs • Working together • Connect to social networks Platform Manager Users administration Managing functionalities Statistics & documentation Configuration management Archiving / Datawarehousing Intranet /local website
  • 42. High  Level  Pla>orm  Architecture   Administra>ons OpenCi>es)Data)Pla@orm Publish) ))CMS Metadata Data% Indirect)Data)(Apps))Users Civil% Portal Search) Servant% Portal AppPortal Apps User (Metadata) Publish) App) Metadata Publish) Open%Data Metadata Import Registry )API Indexer Import) City% selected) Data% Nomenclature Search) Websites datasets Enrichment Data Linked)Data) Converter Mul=%Data%Store Endpoint Direct)Data)Users) (e.g.)App)developers, data)businesses) Load)Data Apps
  • 43. Sensor  Networks   DB Other DB Systems: Static data DB City Council OpenData Web Interfaces App Layer Users & Entities Open Data S1 Bussiness DB DB Interfaces Data Logic S2 Layer HUB S3 DB DB DB WP4 Open WP6 Open Sensor Network Platform Data Platform
  • 44. EU  Projects   COMMONS  4  EUROPE    
  • 45.
  • 46. ConsorCum   InsCtuCons   Country   ESADE   Spain   Forum  Virium   Finland   Fraunhofer   Germany   Manchester Manchester  City  Hall   UK   City  of  Amsterdam   Netherland   Waag   Netherland   Province  of  Rome   Italy   CASPUR   Italy   Lynx   Italy   Barcelona  City  Hall   Spain   University  Pompeu  Fabra   Spain   SupporCng  OrganizaCons   Guifi.net   Spain   NESTA   UK   World  Bank  (ICT  Department)   DotOpen   Spain   City  of  Berlin  
  • 47.
  • 48.
  • 49.
  • 50.
  • 51. Sharing,  reusing,  finding,  bigger  audience,  avoid  reinvenVng  the  wheel  …   MARKETPLACES  
  • 52.
  • 53.
  • 54.
  • 55.
  • 56. An  App  Becomes  a  Pla>orm   ADOPT-­‐A-­‐WHATEVER…  
  • 57.
  • 58.
  • 59. 1  App.  7  CiCes.  Many  Uses.   Boston,  MA   Honolulu,  HI   SeaXle,  WA   Norfolk,  VA   Chicago,  IL   Bloomington,  IN   Buenos  Aires,   ArgenVna       And  more  everyday…  
  • 60.
  • 62. Service Platform - govs. - orchestrators Providers resources to regulate resources to leverage on (zero-sum game) (non zero-sum game)
  • 63. Service Platform - govs. - orchestrators Providers developed in-house co-developed always fall short with users, communities high-cost free and not-free no sharing empowering entrepreneurship local offer driven by innovation fragmented stimulating growth
  • 64. Service - govs.- Platform Providers orchestrators