5. How we innovate is changing
Elberfelder Farbenfabriken
vorm. Friedrich Bayer & Co
Bell Labs, Holmdel, NJ
6. User innovation
Innovation in
services
Elberfelder Farbenfabriken
vorm. Friedrich Bayer & Co
Social innovation
Open innovation
Bell Labs, Holmdel, NJ
7.
8. Health spend as % GDP (2005) versus adult mortality rate (2006)
16
15
Health spend as % GDP
14
13
12
11
10
9
8
7
6
40 60 80 100 120
Adult mortality rate
Source: OECD Health Data 2010
9. Change in health spend share of GDP
versus % improvement in adult mortality rate
3.0%
% growth in share of GDP (p.a.)
2.5%
2.0%
1.5%
1.0%
0.5%
0.0%
0.0% 0.5% 1.0% 1.5% 2.0% 2.5% 3.0% 3.5%
% improvement in mortality rate (p.a.)
10. • Evolution of civil society’s economic roles – eg 11m
jobs in Europe
• Growth of socially oriented commercial economy: US
Congressional Budget Office: projections forecast total
spending on health care will rise from 16% of GDP in
2007 to 25% in 2025, 37% in 2050 and 49% in 2082.
• Visible exemplars: Grameen, BRAC, Pratham,
Mondragon ...
12. What skills for what kinds of innovation?
Technologist III
“Work involves testing patient
samples for efficacy/exploratory
biomarkers and pharmacokinetic
measurements using established
protocols and written procedures.
You should have experience in
techniques such as ELISA,
multiplex assays, and enzymatic
assays, as well as experience in
handling human samples.”
13. A craft that combines:
• Understanding of science, social science, evidence,
experience …
• The subtle realities of taking ideas into effect and then
scale
• What works in terms of impact, results
• What works in terms of public acceptability, politics
• How to organise, finance, assess innovations
• ???
16. CONTRIBUTORS TO THE FIELD
Web entrepreneurs. innovators
Community projects
Social scientists Mutuals, coops
Politicians and parties
Service design companies
Design advocates
Professions User groups/NGOs
Social Policy makers
entrepreneurs
IT/egovernment
Public sector managers
Consultancies
17. 4. A THEORETICAL MODEL ON
THE NATURE OF INNOVATION
AND TECHNOLOGY
18. 1. OBSERVE natural processes and
social phenomena (light, electricity,
care, exchange), REPLICATE and
AMPLIFY
19. 2. BUILDING BLOCKS- the web, portals,
paraprofessionals, the universal
benefit/tax credit, personal account,
each forming a domain …
20. 3. Innovations evolve systems and sub-systems
with their own logics and architecture
21. 4. Innovations give to rise to other innovations
and combinations drive evolution
22. 5. Radical innovation comes from
‘redomaining’, applying ideas from one field
to another
23. Applying the model to social and public
innovation
• Observation
• Replication/amplification leads to
building blocks
• Evolution
• Combination
• Redomaining
27. 2 Proposals
1 Prompts
Customer journey maps
6 Systemic
3 Prototypes
4 Sustaining
change
user feedback
5 Scaling
rights to time
failure demand
political mandates for ideas
new technology
data and evidence crisis
surveys and sousveys
needs mapping diagnosis ethnography
1. prompts and triggers cost escalation new paradigms
critical walking
reviewing extremes, positive deviance
petitions, campaigns visits
complaints choirs
36. FORMAL PILOTS
• RCTs and random assignment – eg Creative
Credits, J-PAL
• Experimental zones
• Living Labs
37. 1 Prompts
2 Proposals
6 Systemic
3 Prototypes
4 Sustaining
change
programme funding
5 Scaling
formal validation
policy commitment
loans, equity, quasi-equity Refining business
models
embedding
4. sustaining Commissioner
commitment
Ownership structures
Professional
Public share issues development
Crowd-funding
38. Implementing
involves Money and
putting business model Know-how
resources
and
structures
around the Physical INNOVATION
People and
innovation Resources governance
Reputation
and
effectiveness
39. •Developing a business model Intellectual
•Securing initial funds – Developing
Building operational property
strategy protection
customers and investment systems and
processes to deliverDistribution
Business planning Money and for users
channels and
systems
Banking and business model Know-how
working capital Management
Pricing
information
Sales and business Purchasing systems
development
Leasing
•Acquiring the premises Co-operatives
and equipment to Physical INNOVATION
People and
deliver the innovation Resources governance Community
•Accessing the raw xxxx chain
Supply Interest
•Setup up Company
management Advertising Independent
materials the innovation evaluationgovernance
and Industrial and
requires Reputation •Recruit
benchmarking Provident
•Evaluating effectiveness
and leadership and Society
•Building brand, profile, Non-executive Partnerships
effectiveness team
reputation Directors Charities
•Switching from previous Shareholders
solutions PR agreements
40. 1 Prompts
2 Proposals
6 Systemic
3 Prototypes change
federations
4 Sustaining
5 Scaling
franchises
licensing policy and programme funding
investment for growth – loans, equity, quasi-equity
diffusion commissioning
5. scaling and growth
Brands Strategies for diffusion and adoption
consumer advocacy
growth through people takeover
professional networks
National policy directives
41.
42.
43. UNDERSTANDING THE POTENTIAL FOR SCALE
Is there a viable Are the systems /
business model and processes capable of
evidence of demand Money and operating at higher
/ market? business model Know-how volume, or capable
of expansion?
Are the resources
necessary for
expansion readily
available, affordable, Physical INNOVATION
People and What are the
controllable? Resources governance aspirations and
motivations of the
key people behind
Is there evidence of the innovation? How
the effectiveness of Reputation critical are they?
the innovation? Is and
that known, effectiveness
understood,
accepted by others?
44. 1 Prompts
2 Proposals
6 Systemic
3 Prototypes
4 Sustaining
change
law
5 Scaling
coalitions for change
regulation changed power relationships
changed scripts whole system demonstrators
new mentalities
6. systemic change
recalibrated markets new metrics finance for
technical diffusion through supply chains outcomes
fast colleges
46. HEALTH AND CARE
• Whole system demonstrators
• Social Networks for support
• Patient peer influence
46
47. Which tools could be useful to you as an
innovator? What’s good about what you see –
but where is scope for evolution, combination?
48. SOCIAL DESIGN TOOLS
^ inversion (peasants become bankers, patients become
doctors)
∫ integration (personal advisers, one stop shops, portals,
speeding flow)
x extension (extended schools, outreach)
∂ differentiation (segmenting services by groups, or
personalisation)
+ addition (getting GPs to do a new test, libraries running
speech therapy)
- subtraction (no frills, cutting targets, decluttering)
t translation (airport management into hospitals,
business planning into families)
g grafting an element from one field into another,
creating a new fusion (coaching into a secondary
school)
∞ creative extremism – pushing ideas and methods to
their furthest boundaries
r random inputs (eg dictionaries, Yellow Pages)
