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The Current State of Open Innovation

Irving Wladawsky-Berger

In January, UC Berkeley professor Henry Chesbrough published Open Innovation Results : Going Beyond the Hype and Getting Down to Business, his fourth book on innovation in the last two decades. Chesbrough is adjunct professor and faculty director of the Garwood Center for Corporate Innovation at UC Berkeley’s Haas School of Business. He’s credited with coining the term open innovation in his 2003 book of the same title. Business model innovation.

The Productivity Paradox: Digital Abundance and Scarce Genius

Irving Wladawsky-Berger

Despite the relentless advances of digital technologies, productivity growth has been declining over the past decade. Some contend, - most prominently Northwestern University economist Robert Gordon , - that over the past few decades there’s been a fundamental decline in innovation and productivity. Translating technological advances into productivity gains requires major transformations in business processes, organization and culture, - and these take time.

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Cloud, Services and the Transformation of Production

Irving Wladawsky-Berger

I’ve been particularly interested on the impact of cloud on services, not surprisingly given my interests in service science , - the application of science, technology and innovation to the world of services. Cloud-based services require a much more standardized, mass customized , process oriented, industrialized approach to production , including the application of advanced technologies and rigorous science, engineering and management methodologies. .

The MIT Inclusive Innovation Competition

Irving Wladawsky-Berger

As i ts website explains: “While digital technologies are rapidly transforming both business practices and societies and are integral to the innovation-driven economies of the future, they are also the core driver of the great economic paradox of our time. On one hand, productivity, wealth, and profits are each at record highs; on the other hand, the median worker in America is poorer than in 1997, and fewer people have jobs.

The 2016 MIT Inclusive Innovation Awards

Irving Wladawsky-Berger

Several months ago, MIT’s Initiative on the Digital Economy launched its first annual Inclusive Innovation Competition (IIC). MIT is one of the world’s top research universities, renowned as well for its entrepreneurial culture. Instead of competing on creating the most advanced technologies or compelling startups, the IIC is focused on innovations aimed at improving the economic opportunities of middle- and low-income earners around the world.

The “Recombinant” Nature of Digital Innovations

Irving Wladawsky-Berger

Killer-app is the name we give to those IT applications that turn out to be unexpectedly useful and help propel the success of a new product or service in the marketplace. Most everyone will agree, for example, that spreadsheet and word processing were the first killer-apps of the PC era, helping transform PCs into must-have business and personal productivity tools. Companies were thus able to engage in their core transactional activities in a much more productive and efficient way.

The Impact of AI on R&D and Innovation

Irving Wladawsky-Berger

For the past couple of centuries, general-purpose technologies (GPTs) have been the key drivers of productivity and economic growth, - thanks to their rapid improvements in price and performance, pervasive applications, and ability to spur complementary innovations across a wide variety of industries. Beyond innovations in existing sectors, the rapidly improving price/performance of GPTs have led over time to the creation of whole new applications and industries.

Data Science and the Changing Nature of Research and Innovation

Irving Wladawsky-Berger

Last month, the American Academy of Arts and Sciences (AAAS) released the results of a new study, ARISE II: Unleashing America’s Research & Innovation Enterprise. The study examined the current state of US research and innovation; looked at the role of its key players: academia, industry, and government; and proposed a set of recommendations to better address the highly complex challenges we face in the 21st century information economy.

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An Emerging Platform for Digital, Inclusive Innovation

Irving Wladawsky-Berger

The Internet became an incredible platform for innovation, enabling startups, large institutions, and everyone in between to quickly develop and bring to market many new digital products and services. Its reach and connectivity led to the creation of all kinds of innovative, digital applications. Together, these advances are giving rise to an Internet-based platform for digital, inclusive innovations. Inclusive innovation is a relatively new concept.

A Great Stagnation or a New Golden Age of Innovation?

Irving Wladawsky-Berger

These new ventures continue to attract more and more financial capital from investors, which in turn helps improve the quality and lowers the cost of the new disruptive technology and leads to many new innovative applications. But inevitably, the investments in new companies and applications turns into unsustainable speculation, leading to a financial bubble which eventually crashes. New paradigms emerge for guiding innovation and for determining winners and losers in the marketplace.

The Social Network Is the Computer

Irving Wladawsky-Berger

Social media could deliver an incredible wave of productivity, innovation, social welfare, democratization, equality, health, positivity, unity, and progress.

The Legend of Apple and Xerox PARC and the Truth About Innovation

Irving Wladawsky-Berger

One of his choices this year is a New Yorker article by bestselling author Malcolm Gladwell - Creation Myth: Xerox PARC, Apple, and the truth about innovation. He uses Steve Jobs’ legendary 1979 visit to Xerox PARC as the springboard for his reflections on the nature of revolutionary innovations. In the 1970s, PARC was the mecca for innovation in computing. The Mac became one of the most successful and influential products in the history of IT. The innovator says go.

The Economic Value of Artificial Intelligence

Irving Wladawsky-Berger

trillion of the expected GDP growth will come from productivity gains, especially in the near term. Companies that are slow to adopt these AI-based productivity improvements will find themselves at a serious competitive disadvantage. But, over time, increased consumer demand for AI-enhanced offerings will overtake productivity gains and result in an additional $9.1 Make sure you have the right talent and culture, as well as technology.

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A Novel Method for Measuring the Value of Free Digital Services

Irving Wladawsky-Berger

Gross domestic product (GDP) is the basic measure of a country’s overall economic output, based on the market value of all the goods and services the country produces. GDP is essentially a measure of production. While suitable when economies were dominated by the production of physical goods, GDP does not adequately capture the growing share of services and increasingly complex solutions that characterize advanced economies.

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Despite Their Huge Upside Potential, Why Do Most Platforms Fail?

Irving Wladawsky-Berger

The book offer a simple definition. “Platforms, in general, connect individuals and organizations for a common purpose or to share a common resource.” A platform strategy differs from a product strategy in that it relies on an external ecosystem to generate complementary innovations and/or business transactions. The effect is much greater potential for innovation and growth than a single product-oriented firm can generate alone. years, innovation ones 5.0

Is the Digital Revolution At Last Shaking Up Banking?

Irving Wladawsky-Berger

First comes the use of IT to improve the productivity and quality of back- and front-end processes. Innovative financial services from FinTech startups are also adding to the pressure felt by banks. “The biggest four American banks are spending a total of over $25bn a year on perfecting better customer applications and learning to mine data more cleverly. Digital transformations have generally followed three distinct stages.

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Is Design Thinking the “New Liberal Arts”?

Irving Wladawsky-Berger

The application of design thinking beyond products isn’t new. Stanford’s Institute of Design , - better known as the d.school, - was launched in 2004 as a graduate program that integrates business, the social sciences, the humanities and other disciplines into more traditional engineering and product design. More specifically, they needed to learn how to approach problems from many perspectives and to combine various approaches to find innovative solutions.”.

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Lean Principles in the Digital Economy

Irving Wladawsky-Berger

Lean principles is the name given to a group of production techniques developed by Japanese manufacturing companies around the 1970s-1980s to maximize customer value while reducing wasteful resource. Lean production methods have also been described as aiming “to combine the flexibility and quality of craftsmanship with the low costs of mass production.” The key challenge was to manage the growing means of production in the most efficient way possible.

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The Evolution of the Internet of Very Smart Things

Irving Wladawsky-Berger

These systems were optimized for simplicity and flexibility, and their graphical user interfaces led to many innovative applications, including the new web-based applications in the 1990s. Their overall conclusion is that “a low-cost, private-by-design democracy of devices will emerge that will enable new digital economies and create new value, while offering consumers and enterprises fundamentally better products and user experiences.” .

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The Evolution of the Firm

Irving Wladawsky-Berger

He explained that, in principle, a firm should be able to find the cheapest, most productive goods and services by contracting them out in an efficient, open marketplace. Transaction costs are incurred in obtaining goods and services outside the firm, such as searching for the right people, negotiating a contract, coordinating the work, managing intellectual property and so on.

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Technology and the Future of Media

Irving Wladawsky-Berger

Internet users already spend 20–30% of their time online, mainly engaging with media content… Globalization, deregulation, technological innovation and the convergence of previously separate industries such as media, entertainment, information, and consumer electronics, have created a somewhat turbulent media landscape.”. Production: the bundling of different content into a final market-ready product, - a newspaper, TV schedule, cable package or DJ’s playlist.

AI - the Creation of a Human-Centric Engineering Discipline

Irving Wladawsky-Berger

Machine and deep learning are the latest examples of tools like the World Wide Web, search and analytics that are helping us cope with and take advantage of the huge amounts of information all around us. But, over time, engineering advances have led to foundational scientific principles, development practices and building blocks that significantly increased their safety and productivity. AI is rapidly becoming one of the most important technologies of our era.

Where is Technology Taking the Economy

Irving Wladawsky-Berger

Powerful computers and intelligent algorithms are enabling us to make sense of all that data by searching for patterns and doing something with the results, including computer vision, natural-language processing, language translation, face recognition and digital assistants. Productivity (GDP per worker) falls too.”. I recently read Where is Technology Taking the Economy? , an article in McKinsey Quarterly by W.

How Will AI Likely Impact How We Work, Live and Play?

Irving Wladawsky-Berger

Perceptual algorithms for functions such as image labeling, and 3D object recognition, while common at AI conferences, are still only a few years into development as products.”. But each time those fears arose in the past, technology innovations ended up creating more jobs than they destroyed, causing the majority of economists to confidently wave away such automation anxieties.

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Preparing Students for an Increasingly Complex Business World

Irving Wladawsky-Berger

Companies generally want MBA graduates with good social skills who are good at leadership, communications, and innovation. In its first phase, the study conducted face-to-face, in-depth conversations with 75 senior executives across companies in a broad range of industries, including automobile, banking consulting, consumer products and technology. Without talent, companies cannot innovate; without innovation, there can be no growth.”

Edge Perspectives with John Hagel: Hamel on Management Innovation

John Hagel

Edge Perspectives with John Hagel Exploration of emerging innovations on a broad array of edges that are rising up to challenge the core About Recent Posts The Great Reset Passion and Flow Economic Recovery? The HBR article broadly deals with the topic of management innovation and it helps to expand our view of innovation. But here’s the tension that pervades Hamel’s article(s): are we focused on breakthrough management innovation or continuous management innovation?

The Rise of the On-Demand Economy

Irving Wladawsky-Berger

Karl Marx said that the world would be divided into people who owned the means of production - the idle rich - and people who worked for them. In 1937, professor Coase published a seminal paper, The Nature of the Firm , in which he explained that, in principle, a firm should be able to find the cheapest, most productive goods and services by contracting them out in an efficient, open marketplace.

The Future of Financial Services

Irving Wladawsky-Berger

By analyzing the earliest recorded transactions, researchers believe that writing evolved in ancient Mesopotamia thousands of years ago, as an innovation to keep track of financial records. Financial services (FS) was one of the first industries to embrace ICT, automating their back-office and branch operations and developing innovations like credit cards and ATMs. Periods of rapid ICT and FS innovation are followed by lengthy periods of stability and consolidation.

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Trust and the On-Demand Economy

Irving Wladawsky-Berger

In 1937, Coase published a seminal paper, The Nature of the Firm , in which he explained that, in principle, a firm should be able to find the cheapest, most productive goods and services by contracting them out in an efficient, open marketplace. Transaction costs are incurred in obtaining goods and services outside the firm, such as searching for the right people, negotiating a contract, coordinating the work, managing intellectual property and so on.

Blockchains: the Promise of More Frictionless, Trusted Economies

Irving Wladawsky-Berger

Professor Coase explained that, in principle, a firm should be able to find the cheapest, most productive, highest quality goods and services by contracting them out in an efficient, open marketplace. Transaction costs are a kind of friction incurred in obtaining goods and services outside the firm, such as searching for the right supply chain partners, establishing a trusted relationship, negotiating a contract, coordinating the work, managing intellectual property and so on.

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A Surprising Entrepreneurship Paradox

Irving Wladawsky-Berger

To the contrary, I’ve viewed entrepreneurship as being closely associated with the transformative innovations all around us, and the core of Schumpeter’s 70 year old theory of creative destruction , according to which successful, mature companies that once revolutionized their industries are too slow to respond to the waves of startups now attacking them with innovative products and services. .

Hope for HP's Culture - Bob Sutton

Bob Sutton

Search. The ergonomics of innovation -- The McKinsey Quarterly. interview Pixar Brad Bird - Innovation lessons from Pixar Director Brad Bird - Strategy - Innovation - The McKinsey Quarterly. Customer-Focused Innovation. James Adams: Good Products, Bad Products: Essential Elements to Achieving Superior Quality. David A Owens: Creative People Must Be Stopped: 6 Ways We Kill Innovation (Without Even Trying). Bob Sutton.

Becoming a Data-Driven Business: Challenges and Opportunities

Irving Wladawsky-Berger

It’s very hard to anticipate the consequences of disruptive innovations. I t’s often been said that truly transformative innovations are overhyped in the short term but under-hyped in the long term. It took several decades for electric appliances, the assembly line and mass production to emerge and help create whole new industries. The dot-com era was famous for its many innovations, but also for its hype.

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Reflections on the Future of TV

Irving Wladawsky-Berger

In addition, I’ve been a member of the advisory board of USC’s Annenberg Innovation Lab (AIL) since it was founded in 2010 to study the impact of technology and cultural changes on the media industries. . The TV industry is being massively restructured as its companies keep searching for viable business models. What happens when the intensity of fan response may become as important as the quantity of viewers in shaping which programs remain in production? .

The Datafication of Business and Society

Irving Wladawsky-Berger

Its ensuing digital products have been generating all that data and its drastically lower technology costs have made it possible to store and analyze those oceans of information. In contrast to digitalisation, which enabled productivity improvements and efficiency gains on already existing processes, datafication promises to completely redefine nearly every aspect of our existence as humans on this planet.

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The Continuing, Transformative Impact of IT

Irving Wladawsky-Berger

Disruptive innovations take time to play out. Twenty years into the Internet revolution, businesses and consumers have come to expect that information is a Google search away, friends and associates are always available on social networking sites, and goods and services (including public goods such as education and government services) can be had instantly from an online vendor anywhere in the world at any time of the day.”.

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The Coming Robotics Revolution

Irving Wladawsky-Berger

Will they turn out like other major innovations, e.g., steam power, electricity, cars, - highly disruptive in the near term, but ultimately beneficial to society? This is a particularly serious problem when trying to use robots in the kind of general environment humans live in, as would be the case with transportation or search-and-rescue missions. . Hi, Robot: Work and Life in the Age of Automation , reads the Hamlet-inspired cover of the July, 2105 issue of Foreign Affairs.

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The Future of Jobs in the Digital Economy

Irving Wladawsky-Berger

Since the advent of the financial crisis around five years ago, we have been searching for answers to these very important questions. Companies are able to do their present work with fewer people, as a result of the major improvements in IT-based labor productivity in the past two decades. Labor’s share of income has also been decreasing, as technology replaces workers and/or significantly improves their productivity.

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Edge Perspectives with John Hagel: Innovating on the Edge of Big Waves

John Hagel

Edge Perspectives with John Hagel Exploration of emerging innovations on a broad array of edges that are rising up to challenge the core About Recent Posts The Great Reset Passion and Flow Economic Recovery? Executives can gain significant insight into the innovation process by looking in unexpected places like the big wave surfing arena. Innovations in big wave surfing Surfing has a long and distinguished history.

The MIT Second Machine Age Conference

Irving Wladawsky-Berger

Their vision and fine motor control has significantly advanced, like Baxter , the interactive production robot from Rethink Robotics. In the second half of the 20th century, productivity and GDP growth led to increased job creation, higher incomes and a rising overall standard of living. While productivity and GDP have continued to grow, employment and income have been declining for the past decade.

Shaping the Future of the Internet

Irving Wladawsky-Berger

Its technical directions and overall culture have been largely determined by the academic and research communities, who were also its early users. This generality has enabled the Internet to become a powerful platform for innovation, but it’s come at a price: it’s good-enough but not optimal for any one application. Complex Systems Data Science and Big Data Economic Issues Education and Talent Innovation Political Issues Society and Culture Technology and Strategy

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The Nature of the Firm in the Digital Economy

Irving Wladawsky-Berger

In early July I participated in the 2013 Roundtable on Institutional Innovation sponsored by the Aspen Institute’s Communications and Society Program. The Center’s co-leaders John Hagel and John Seely Brown , recently published Institutional Innovation , an article on the evolution of organizations. This individual freedom leads to innovation, specialization, economic fragmentation and the formation of lots of companies of all sorts.

Anticipating the Future of the IT Industry

Irving Wladawsky-Berger

Which hot technology innovations, - e.g., artificial intelligence, the blockchain, cloud computing, - will end up having a big impact and which are destined to fizzle? Data centers have now become the production plants of cloud-based services , a transformation that’s been pioneered by born-to-the-cloud companies like Amazon, Google, and Salesforce. In the end, innovation is a journey into the future.