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Open Innovation 2.0 Yearbook 2013 - European Commission - Europa

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Neelie Kroes, Vice-President of the <strong>European</strong> <strong>Commission</strong><br />

responsible for the Digital Agenda, argues<br />

that unlocking the digital future can be achieved<br />

through open innovation and that openness is central<br />

to success in this digital revolution and that<br />

we should create maximum room for user-driven<br />

innovation [8].<br />

In Horizon 2020 [9], there will be a new, more integrated<br />

approach to innovation, which is reflected in<br />

the new tools and research methods, as well as the<br />

new approach more strongly integrating research,<br />

development and innovation. <strong>Open</strong> innovation could<br />

be one of the new approaches interlinking the various<br />

elements.<br />

On the technological side, the combination of mobile<br />

Internet, cloud computing, ICT services and growing<br />

sensor networks support the needs of the ‘smart<br />

economy’. How to achieve a ‘smart economy’? Should<br />

we create more regulations and policies? In order to<br />

build a ‘smart economy’, creating more regulations is<br />

not the answer: creating the digital single market is.<br />

Individuals’, albeit different, roles (users,<br />

citizens, etc.) and wealth generation<br />

In July 2011, the final report of the industry-led<br />

study OSI, Socio-economic impact of <strong>Open</strong> Service<br />

<strong>Innovation</strong>, supported by the <strong>European</strong> <strong>Commission</strong>’s<br />

former Directorate-General for the Information Society<br />

and Media, was released [10]. The study assesses<br />

the economic and societal potential and impact of an<br />

Figure 1: Reverse innovation pyramid: wealth generation and share of profit [10]<br />

open service innovation approach in Europe. The OSI<br />

study was coordinated and led by Logica Business<br />

Consulting’s Dr Gohar Sargsyan (now part of CGI). The<br />

consortium consisted of IBM, Nokia, Intel, Novay and<br />

the <strong>Innovation</strong> Value Institute. The OSI study considers<br />

the role of users and citizens in open, user-driven<br />

service innovation, as part of the industrial ecosystem,<br />

in the context of societal and ICT developments.<br />

The OSI report offers modern models, methods and<br />

approaches to open innovation, as well as analyses<br />

of the challenges of economic values, wealth<br />

generation in socioeconomic terms and creation<br />

of common values. It also suggests successful<br />

business.<br />

According to the study findings, wealth generation<br />

relates to client, employee and shareholder satisfaction<br />

in equal terms. In fact, this means a further<br />

increase in the role of the individual, user and<br />

citizen because, in the end, client, employee and<br />

shareholder all refer to the same individual, albeit<br />

in different roles. Our society is becoming aware of<br />

the role the individual is playing in the well-being<br />

of everything around us. The consequence of this<br />

trend is that we also have to reverse thinking about<br />

the innovation cycle. We have to start at the individual<br />

and focus on what is adding the most value<br />

to that individual.<br />

This thinking is described as reversing the innovation<br />

pyramid (Figure 1).<br />

55

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