Social innovations Anna Kaderabkova Centre for Innovation Studies kaderabkova@inovacevsem.cz 11. 10. 2016 WHAT ARE SOCIAL INNOVATIONS? FLUID CONCEPT, CONTEXT SPECIFIC DEFINITION INNOVATIONS AND INNOVATORS INNOVATION  OF WHAT?  Technology (product innovation, process innovation)  Non-technology (marketing, organization) Business model innovation Social  WHERE?  Industry/business sector  Services  Non-market/public sector Cross-sectoral  HOW?  Closed  Open  User-led, user-centred Shared/co-created INNOVATIONS FOR EVERYBODY, EVERYBODY BECOMES INNOVATOR “Never before in history has innovations offered promise of so much to so many in so short a time“ Innovations taking place everywhere Collaborative innovations Clients, customers Partners Suppliers Open innovation Ecosystem innovation Creative communities Innovation networks Open innovations Crowdsourcing 10 faces of innovation WHICH INNOVATOR ARE YOU? SOCIAL INNOVATIONS AS INTERACTION AND COOPERATION: VALUE NETWORK ANALYSIS Change is possible! 14 Network Modeling Tools A brief overview VALUE NETWORK ANALYSIS EXAMPLE: A-GIGA 1) Identification of roles (participants) for creating value Company Inmate Ministry /Investor Prison Authority Ministry /Regulato r 15 Network Modeling Tools A brief overview 1) Identification of roles (participants) for creating value 2) Mapping tangible and intangible exchanges between the participants VALUE NETWORK ANALYSIS EXAMPLE: A-GIGA Inmate Company Ministry /Investor Prison Authority Salary Skills Finance Contract Rental Payment Employ. Loyalty Ministry /Regulato r Budget 16 Network Modeling Tools A brief overview 1) Identification of roles (participants) for creating value 2) Mapping tangible and intangible exchanges between the participants 3) Exchange Analysis: Analyzing the patterns and processes for creating value - it shows the missing links VALUE NETWORK ANALYSIS EXAMPLE: A-GIGA Inmate Company Prison Authority Ministry /Regulato r Skills Salary Payment Rental Contract Employ. Finance Loyalty Ministry /Investor Policy Performance Budget 17 Network Modeling Tools A brief overview 1) Identification of roles (participants) for creating value 2) Mapping tangible and intangible exchanges between the participants 3) Analyzing the patterns and processes for creating value (Exchange Analysis) 4) Impact Analysis: determines the impact that each value input has on the participants VALUE NETWORK ANALYSIS EXAMPLE: A-GIGA Prison Authority Company Inmate Ministry /Investor Payment Rental Ministry /Regulato r Budget Policy 18 Network Modeling Tools A brief overview 1) Identification of roles (participants) for creating value 2) Mapping tangible and intangible exchanges between the participants 3) Analyzing the patterns and processes for creating value (Exchange Analysis) 4) Impact Analysis: determines the impact that each value input has on the other participants 5) Value creation analysis: determines the value that each participant (output) adds to others VALUE NETWORK ANALYSIS EXAMPLE: A-GIGA Inmate Company Prison Authority Ministry /Investor Contract Ministry /Regulato r Performance Innovation as value creator • Innovation plays a key role in value creation (economic, social) • We must find an opportunity, how to do sth new, and turn the idea into a value • The value is e.g. business growth, social change • The driver is creativity, desire for a change Innovation is … • Identification or creation of new opportunities, • New products • New ways of the existing market satisfaction • Identification of new markets with development potential • Innovations in services • Meeting social needs • Improvement of operations • … Innovation Innovation process (4 stages) • Identification of opportunities (in the ocean of opportunities) – Inspiration, transfe from different context, listening to users, border research, new combination of of existing solutions, new models of future • Finding/getting resources – Money, time, knowledge for strategic choice • Development of solutions – In the environment of risk and uncertainty • Capture of value – Revenues from users, clients, customers, Příjem od uživatelů/zákazníků, výnos pro investory, innovation rent • Organized and repeated (upscaled) Innovation cycle: stages and requirements ENGAGEMENT, SHARING, CO-CREATION, CO-PRODUCTION, Landmark Crowdsourcing Events GenBank Linus Torvalds Linux SETI@Home 1982 1991 1999 2003 2005 2007 2008 2009 2010 20112004 2006 Katrina PeopleFinder Project InnoCenQve SoluQon for Exxon Valdez Search for Steve FosseU Australian Public Help DigiQze NaQonal Archive Wikipedia Reaches 10,000,000 Contributors FCC Invites Public to Design US Broadband Infrastructure Japan: Earthquake, Tsunami and RadiaQon Data ESP Game Wisdom of Crowds James Surowiecki Jeff Howe Crowdsourcing Why the Many Are Smarter Than the Few and How Collective Wisdom Shapes Business, Economies, Societies and Nations Why the Power of the Crowd Is Driving the Future of Business TEN FRONTIERS FOR THE FUTURE OF ENGAGEMENT NOW & NEXT: FUTURE OF ENGAGEMENT We have now synthesized a year’s worth of insights from the 100+ planners on MSLGROUP’s Insights Network into an annual report on the ten frontiers for the future of engagement. 6. Social Curation 1. Crowdfunding 2. Behavior Change Games 7. Transmedia Storytelling 3. Collaborative Social Innovation 8. Collective Intelligence 4. Grassroots Change Movements 9. Social Live Experiences 5. Co-creation Communities 10. Collaborative Consumption Photos from p22earl, nanpalmero, grafixer, untitlism, ngmmemuda, peterhellberg, xavitalleda, jodiejaye, pochacco20, seyyed_mostafa_zamani on Flickr. FUNCTIONAL DEFINITION OF SOCIAL INNOVATION INNOVATION  (Implemented!) CHANGE (of product, process, marketing, organization, …) = NOVELTY  which creates VALUE (SUPPLY),  for which the customer is willing to pay (DEMAND) NOVELTY VALUE REVENUE SOCIAL INNOVATION VALUE REVENUENOVELTY IMPACT SUSTAIN- ABILITY IMPLEMEN- TATION NEED ACTION CAPACITY ECONOMIC AND SOCIAL INNOVATION VALUE REVENUENOVELTY IMPACT SUSTAIN- ABILITY IMPLEMEN- TATION NEED ACTION CAPACITY INNOSERV SOCIÁLNÍ INOVACE A PLATFORMY Civic society, transparency, local development Education, science and research Social and economic inclusion and integration Health, lifestyle, health services INNOVATION ECOSYSTEM SOCIAL INTERVENTION ECOSYSTEM SOCIAL INNOVATION ECOSYSTEM SOCIAL AND ECONOMIC VALUE Social innovation is … • New solution of social problems which is better than the existing approaches and creates new interactions and cooperations • The social problem is identified which has not been solved sufficiently and therefore requires new solution • Social innovation must be implemented in practice, creates economic and social value (innovation supply) which is demanded by clients, users, customers • Social innovation creates sustainable social change Business value Social impact Social intrapre- neurs Social entrepre- neurs Traditional NGO Traditional CSR Incremental Radical Low High SHIFT TO HIGHER IMPACT Combination of economic and social value Social innovations: characteristics • New combinations of existing elements rather than a completely new solution • Implementation of SI requires crossing of organizational, sectoral or disciplinary frontiers • They create new relations among the unrelated actors and groups which support upscaling and embedding of SI and increase potential for future innovations • They create internal capacities of individuals and communities which are utilized in open/user oriented innovations Creativity and innovation CSR criteria in research Ideas and awards Social entrepreneurship Diversity of stakeholders Experimentation and learning in solution of social and environmental problems Social entrepreneurship Financial inclusion CSR = improves society thanks to services and products which the company produces and distributes Social products of businesses Business argument for CSR Products and services and their production/ distribution Business and social performance and financial results Institutionalization of CSR (Global Compact) CSR + core business (business model) Conscious capitalism INTERACTIVE COMMUNICATION IN RADICAL MANAGEMENT • AUTHENCITY • NATURAL AUTHORITY • STORYTELLING Creation of shared value: creation of economic and therefore also social value hodnoty (Kramer, Porter) Corporate social marketing Behaviour change VIDEO PDF 1 INTRODUCING GREENDEX 2014: ENABLING BEHAVIOR CHANGE SOCIAL RESPONSIBILITY CSR stages Age of greed Age of philanthropy Age of marketing Age of management Age of responsibility Defensive Charity Promotion Strategic Transformation CSR2.0 Model CSR 2.0 Creativity, innovations Upscalability System response Glocalization Circle economy For solution of social and environmental problems For reachong of massive impact (Scalability) Transformative and transparent Local contexts and universal principles Renewal of human, social, environmental capitals Model (steps) of social innovation • Identification of opportunities: new solution of existing problems, interconnectivity • Attracting resources: proving the value of innovation idea, matching of diverse objectives (economic and social), creation of supporting coalitions, demonstrationg of functionality (piloting) • Implementation: networking, inclusion of diverse actors and their connection, upscaling capacity • Strategy: convincing plan of transormation of the vision into reality step by step • Organization: loose and organic structures, connectedd by shared purpose, requirement of effectve implementation, external openness (brokering, networking) Poor/omitted submarkets Characteristics Commercially unviable Poor, uneducated, social excluded customers Targeted by nonprofit or government actors Geographic, social Poor submarkets – opportunity of social arbitrage Economics of short tail and commoditization Bottom of pyramid as omitted market Disruptive and catalytic innovation Scalability Inclusive innovations • Inclusive innovations: paradigm MLM (more for less for more people), frugal innovations, pro-poor innovations, grassroot innovations Affordability Sustainability Quality Excluded groups Systemic approach Types of inclusive innovations Examples of frugal innovations • Srishti Labs: http://www.innovation-portal.info/resources/girish- prabhu-interview/ • Prahalad BOP: http://www.innovation- portal.info/resources/opportunities-at-the-bottom-of-the- pyramid-c-k-prahalad/ • Aravind: http://www.innovation-portal.info/?s=aravind • NHL: http://www.innovation-portal.info/resources/narayana- hrudayalaya-hospitals-nhl-2/ • Lifespring: http://www.innovation- portal.info/resources/lifespring-hospital-2/ Financial frugal innovations • Mowoza: http://www.innovation-portal.info/resources/suzanne- moreira-2/ • M-Pesa: http://www.innovation-portal.info/resources/m-pesa/ FUTURE OF ENGAGEMNENT #1. CROWDFUNDING Inspiring people to collectively fund projects they are passionate about and help bring them to life. Photo from p22earl on Flickr. SlideShare report. #1. CROWDFUNDING Kickstarter uses the power of community to fund creative projects: everything from films, games, and music to art, design, and technology. Since its launch in 2009, more than 4.1 million people have pledged over $629 million, funding more than 42,000 creative projects. Screenshot and video from Kickstarter. #1. CROWDFUNDING Dodge Dart Registry helps car buyers invite friends and family to sponsor individual parts of the car. Screenshot and video from Dodge Dart Registry. #2 BEHAVIOR CHANGE GAMES Using game design technique and the power of communities to motivate people to achieve challenging tasks in the real world. Photo from nanpalmero on Flickr. #2 BEHAVIOR CHANGE GAMES Opower helps people save energy and reduce their electricity bills by comparing their electricity consumption with friends, neighbors and people like themselves. Screenshot and video from OPower. #2 BEHAVIOR CHANGE GAMES Nike Plus enables people to track, share and compare their activity levels through a number of sensor enabled devices, including the Nike Fuel band, which converts all activity into fuel points. Screenshot and video from Nike Plus. #3 COLLABORATIVE SOCIAL INNOVATION Synthesizing community contributions to co-create innovative and sustainable solutions around a shared purpose. Photo from grafixer on Flickr. SlideShare report. #3 COLLABORATIVE SOCIAL INNOVATION OpenIDEO is an open innovation platform that use innovation consulting firm IDEO’s design thinking methodology to create solutions for social impact. Screenshot and video from OpenIDEO. #3 COLLABORATIVE SOCIAL INNOVATION Spark the Rise is Mahindra Group’s online platform for changemakers across India to connect with one another, collaborate and exchange ideas, procure volunteers and donors, and to compete for monthly grants. Screenshot and video from Mahindra Spark the Rise. #4 GRASSROOTS CHANGE MOVEMENTS Inspiring people to act as change agents in a way that their actions can be aggregated or coordinated, leading to significant impact and meaningful change. Photo from untitlism on Flickr. SlideShare report. #4 GRASSROOTS CHANGE MOVEMENTS Earth Hour by WWF inspires a global community of millions of people in 7,000 cities and towns across 150 countries to switch lights off for an hour every year as a global show of concern for the environment. Screenshot and video from WWF Earth Hour. #4 GRASSROOTS CHANGE MOVEMENTS Alpenliebe Kindness Movement inspires millions of Chinese youth to share, appreciate and engage in everyday acts of kindness, and create positive power. Screenshot and video from Alpenliebe Kindness Movement. #5 CO-CREATION COMMUNITIES Synthesizing community contributions to create new artifacts including books, movies, music, art, software, products and solutions. Photo from ngmmemuda on Flickr. SlideShare report. #5 CO-CREATION COMMUNITIES Maker Faire is a global network of events for makers -- tech enthusiasts, crafters, educators, tinkerers, hobbyists, engineers, authors, artists, students, and commercial exhibitors -- to show what they have made and to share what they have learned. Screenshot and video from MakerFaire. #5 CO-CREATION COMMUNITIES Volkswagen China created the People’s Car project to crowdsource ideas for the car of the future from Chinese consumers, then created three concept cars, based on these ideas. Screenshot and video from Volkswagen. #6 SOCIAL CURATION Aggregating, organizing and sharing content created by others to add context, narrative and meaning to it. Photo from peterhellberg on Flickr. SlideShare report. #6 SOCIAL CURATION The Olympics Athletes Hub curates the social profiles of Olympics athletes, to make it easy for fans to discover, follow and engage with them. Screenshot and video from Olympics Athletes Hub. #6 SOCIAL CURATION Pepsi Pulse has transformed the Pepsi homepage into an interactive pop culture dashboard driven by social media, a mashup of original articles about pop culture and live performances, content from Pepsi’s many celebrity endorsers, and relevant fan content, including content tagged with #livefornow. Screenshot and video from Pepsi Pulse. #7 TRANSMEDIA STORYTELLING Sharing interlocking parts of a storyworld on different media channels to create an immersive experience and drive participation, action and loyalty. Photo from xavitalleda on Flickr. SlideShare report. #7 TRANSMEDIA STORYTELLING Pottermore is an immersive experience for fans to explore the universe of the Harry Potter books, through additional content, games and quizzes. Screenshot and video from Pottermore. #7 TRANSMEDIA STORYTELLING Bing’s Decode with Jay-Z campaign brought every page of Jay-Z’s new book, Decode, into both the real world – on New Orleans rooftops, Miami swimming pools, Manhattan billboards – and into an online contest built on the Bing Maps platform. Screenshot and video from Bing Decode JayZ. #8 COLLECTIVE INTELLIGENCE Synthesizing search, social and sensor data streams into insights about our behaviors in relation to relevant others to guide smarter actions. Photo from jodiejaye on Flickr. SlideShare report. #8 COLLECTIVE INTELLIGENCE Google Flu Trends uses aggregated Google search data to estimate current flu activity around the world in near real- time. Screenshot and video from Google Flu Trends. #8 COLLECTIVE INTELLIGENCE Audi partnered with MIT to create a Road Frustration Index based on traffic and weather conditions, reported accidents and driver sentiment from social data. Screenshot and video from Audi. #9 SOCIAL LIVE EXPERIENCES Blending technology, community and location to create immersive experiences that blur the boundaries between online and offline. Photo from pochacco20 on Flickr. SlideShare report. #9 SOCIAL LIVE EXPERIENCES The Hamburg Philharmonic Orchestra created a unique concert with musicians spread all over the city, and the music being synced in real time online. However, many of these initiatives haven’t fully integrated social sharing and community building into the experience yet. Screenshot and video from Hamburg Philharmonic Orchestra. #9 SOCIAL LIVE EXPERIENCES Anthon Berg used iPads in store to get customers to commit to doing small acts of generosity for friends and family members on a Facebook app, in return for free chocolate. Screenshot and video from Anthon Berg. #10 COLLABORATIVE CONSUMPTION Using technology and community to enable people to share, sell, rent, swap, barter and gift spaces, products, services and experiences. Photo from seyyed_mostafa_zamani on Flickr. SlideShare report. #10 COLLABORATIVE CONSUMPTION SkillShare has created a social learning platform where people with professional skills can offer online classes for a fees, to others around the world. Screenshot and video from SkillShare. #10 COLLABORATIVE CONSUMPTION Patagonia and eBay have partnered to create the Common Threads initiative to enable customers to sell their used Patagonia clothes and gear to others on eBay. Screenshot and video from Patagonia + eBay Common Threads.