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Presentation given by Jørn Bang Andersen regarding the Evolution of Innovation Ecosystems and How to Manage Within Them. Presentation made for Innovation Forum Norway, Oslo April 12 - 2011.
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The Evolution of Innovation Ecosystems and How to Manage Within Them?
Innovation Forum Norway,
12 April 2011
Presentation by
Jørn Bang Andersen Nordic Innovation Centre
j.andersen@nordicinnovation.org / www.nordicinnovation.org
www.jornbangandersen.com
Friedrich List - National System
• Where: Germany -national economy catching up with England
• When: 1840
• Enablers: Steam machine, national political economic system, industrialization
• Focus: Nation and industry leaders
Copyright: Jørn B. Andersen 2011
Alfred Marshall - Agglomeration
• Where: United Kingdom
• When: 1899 Sheffield cutlery industry
• Enablers: Steel and coal, electricity
• Focus: Industry, entrepreneurs, free enterprise
Copyright: Jørn B. Andersen 2011
Erik Dahmén - Development Blocks
• Where: Sweden
• When: 1950
• Enablers: Entrepreneurs, capital, creative destruction
• Focus: Study of Swedish industry transformation 1919-1939.
Copyright: Jørn B. Andersen 2011
François Perroux - Growth Poles
• Where: France
• When: France 1950s and 1960, 1970s
• Enablers: Domination, asymmetry, location, globalization
• Focus: Global value chains, North-South
Copyright: Jørn B. Andersen 2011
Michael Piore and Charles Sable - Flexible Specialization
• Where: Third Italy - Districts of light industry in Northern Italy.
• When: 1984
• Enablers: Artisan tradition and economies of scope.
• Focus: Cooperatives of family enterprises and municipalities
Copyright: Jørn B. Andersen 2011
C. Freeman & B.A. Lundvall - National Systems of Innovation
• Where: Japan and Scandinavia
• When: 1980s + 1990s
• Enablers: Public innovation programmes, education, intermediaries, national level
• Focus: National technology, innovation and educational systems
Copyright: Jørn B. Andersen 2011
Michael Porter - Clusters
• Where: America -Napa Valley, Wine Cluster
• When: 1990s, early 2000s
• Enablers: Innovation, business framework conditions, clusters
• Focus: Industries, venture capital, education, policy makers
Copyright: Jørn B. Andersen 2011
Innovation Ecosystems Network
• Where: US - Stanford + China, Finland, Japan
• When: 2010
• Enablers: Formation of alliances
• Focus: Co-creation, investment capital, network centric views
http://www.innovation-ecosystems.org/ Copyright: Jørn B. Andersen 2011
Community ecosystems
• Where: Silicon Valley, Bangalore,Google, Apple, Tata, Huawei, Facebook
• When: 2000s, present day and beyond 2011
• Enablers: Internet, global hotspots, globalization
• Focus: Entrepreneurs, global company value chains, business model innovation, service integration
Copyright: Jørn B. Andersen 2011
• 1873 Baku the world’s wealthiest city
• 1875 Nobel brothers
• Experts from USA, Germany and Russia. World’s innovation hub no 1
• 1883 Rothschild Brothers established the Caspian and Black Sea Oil Industry and Trade Society.
• 1884 organization of entrepreneurs called the Council of Baku Oil Industrialists - Nobel
• 1900 more than half of the world’s oil production
Baku - World’s Leading Ecosystem 1900
Copyright: Jørn B. Andersen 2011
Biggest change?
The economist Paul Romer .. explains that if you have a scarce, physical resource, pricing will be driven up by that scarcity. The value of knowledge is different. It is more about utility. Knowledge does not become an economic good until it solves a problem in a way that people are willing to pay for the solution. Once you identify a solution, then the only limit to the value of that knowledge is how many people need the solution. Put another way, there are no physical constraints to the value of knowledge; the only limit is demand.
Copyright: Jørn B. Andersen 2011
How to Manage Within Innovation Ecosystems in 2011?
Copyright: Jørn B. Andersen 2011
Consider a SimpleTextile factory...
• Fifty-two different operations all totally interchangeable
• To establish optimal sequence i.e. technology, director faced with a decision problem: 52 alternatives...
1068
Example from Paul Romer
Copyright: Jørn B. Andersen 2011
The Manager on Top (hierarchy) • Out of the network
The Manager in the Center (a hub) • Centralizes the network
The Manager Throughout (a web) • linking over leading • dealing over doing • convincing over controlling
Copyright: Jørn B. Andersen 2011 Source: Henry Mintzberg
Leadership changes periodically, as goose in front gets tired and falls back.
Switzerland is governed by seven people who rotate the head of state on an annual basis.
Distributed Management
Copyright: Jørn B. Andersen 2011
Don’t Skate Where the Puck is...
• Skate where the puck will be next...
• Understand the play a bit slower....like cool jazz
Copyright: Jørn B. Andersen 2011
• From Friedrich List to Steve Jobs - it has always been a question of connecting the dots and organize work in a better and smarter way.
• Possibilities do not add up. They multiply.
• The biggest obstacle today lies within how we think organization and manage work.
Copyright: Jørn B. Andersen 2011
Copyright: Jørn B. Andersen 2011
Main Points
Not New # Innovation ecosystems # Entrepreneurs # Technology platforms, tools # Organizational configurations New # Knowledge primary factor of production # ICT melts manufacturing and services # Demands change
Thank you for listening�
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