Within the study, our work highlights that open innovation in is impeded by risks related to technology, market place, collaboration among partners, financial sources availability, clients needs, workforce
premise of open innovation is â€oenot all the smart people work for youâ€, hence triggering the need to
and mobility of knowledge workers, making it increasingly difficult for companies to control their proprietary ideas and expertise.
that, when employees change jobs, they take their knowledge with them, resulting in knowledge flows between firms (Chesbrough, 2003.
An increasingly international division of labour and knowledge has increased the number, and geographical diversity, of relevant knowledge sites, forcing firms to access external
reduced risk as others put their human capital to work on risky propositions; and accelerated time-to-market as innovation is freed from the shackles of the
knowledge is generated by the employees, business partner, customers, consultants, competitors business associations, internet sales and service units, internal research and development units and
The literature is rich in providing evidence on customer and employees driven knowledge but proof of enhancing knowledge raised by universities and research laboratories in the
transparent global supply chain, labour and technology supply, information flows, customer needs and expectation, and cost structures.
and talented external researchers to work for the firm Since the geographical and cultural differences in the global market, the supply of quality labour
may be inadequate for the firm. Later on, a firm must carefully maintain its employee relation and
The USV Annals of Economics and Public Administration Volume 14, Issue 1 (19), 2014 42
conduct reasonable workforce management in order to cut down the turnover rate among work force (Brunold and Durst, 2012
and talented external collaborators to work for the firm. However, due to geographical, cultural or merely strategic differences in the global market
the supply of quality labour may be inadequate for the firm. Retention risk acts as a major constrain
Within the research, our work highlights that companies are allured to enter external partnerships to enrich their knowledge base,
2. Brunold, J. and Durst, S. 2012)" Intellectual capital risks and job rotation",Journal of Intellectual Capital, Vol. 13 (2), pp. 178 †195
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ISBN 978-92-79-33017-9 Catalogue number: KK-AI-13-001-EN-C doi:
Innovative Government Leaves Legacy after the Financial crisis...79 Youth unemployment & Innovation & Data analysis...90 CHAPTER III
OPEN INNOVATION 2. 0 IN A REAL-WORLD SETTING...95 Wealth-Welfare-Wellbeing, Private-Public-Social Ecosystem Innovation,
indeed citizens to learn, network and work together for progress We learnt at the conference that the problems
Adviser for Innovation Systems Directorate General for Communications networks Content and Technology DG CONNECT European commission Introduction
of Employment and the Economy, Finland mikko. huuskonen@tem. fi LÃ vy SÃ bastien ITEMS International slevy@items-int. eu
financial crisis in the light of the excellent work done on knowledge capital, structural intellectual capital and the effects on national competitiveness
Carrol interlinks existing youth unemployment solutions with modern approach of using data (and especially big data) as driver for future growth
comes to coping with the unemployment challenge Open data and open platforms create a strong raw material basis for new enterprises and young
Humor from employees stimulates readiness for change and is extremely important in the trans -formation processes of any organisation
-tion, climate change, youth unemployment, finan -cial stability, prosperity, sustainability, and growth These challenges provide a significant opportunity
one example, the work of the European Institute of Innovation and Technology (EIT) is a step in the
The eclectic team works together to build product roadmaps that identify the pathways from research to results
-work effect Another key concept for creating successful innov -ations and accelerating their adoption, particularly
idea that works in one sector can span a boundary and be adapted successfully to generate new value
hard work. HEE is especially important as according to a report from the Global Entrepreneurship Moni
also the possibility to focus the development work in right direction for impact. Experimentation as
To make this work earlier in the innovation process the Commission is cover -ing the risk in selected areas by precommercial pro
-works are the driving force. An innovation network is an informal or formal grouping based on trust, shared resources
High expectation entrepreneurs (HEE's) expect to employ 20 employees or more within five years and are a
primary source of job creation 18 O P E N I N N O V A t I O N y E A r B o O k 2 0 1 4
Adviser, Innovation Systems EC Directorate General CONNECT Board member Open Innovation Strategy and Policy Group bror. salmelin@ec. europa. eu
Adviser for Innovation Systems European commission, Directorate General for Communications networks, Content and Technology (DG CONNECT bror. salmelin@ec. europa. eu
2004, Michael Schrage was asked by Ubiquity staff †And so you see the customer as the main player in
-tallising the collective work of the LL stakehold -ers. Hence, new concepts, artefacts and solutions
From discussion with experts a specific focus on intra-logistics processes has been derived for ELLIOT. Intra-logistics deal with
-icians, employees and others. Users are involved in an indirect way here: UX model analyses have been
a proper balance between the work environment settings, individual comfort of office employees work efficiency,
and reduction of energy consumed by an office during regular work hours. In accord -ance with these high-level objectives, pilot applica
-tion was designed by INT and the developed Smart Office prototype was deployed to the testing office
room located in premises of RWE IT Slovakia, an application partner for the Environmental services
employees, was equipped by sensors for moni -toring the energy consumption (Plugwise Circle indoor/outdoor temperature, humidity, and light
expert can react when critical events appear These were the main considerations, which gave the impetus for development of the Bulgarian
model that could work for any use case. This has enforced the idea to create a holistic UX model that
based on previous work like for example on hedonic or ergonomic quality 33 Figure 12.1: Resulting Score for the Model Completeness and Simplicity
This work was carried out in the context of the ELLIOT EU ICT Project that was funded partly by
†Ergonomics of human system interaction †Part 210: Human-centered design for interactive systems†(formerly known as 13407
works-in progress and overhead are very high compared to software. Often, regular hardware and peripherals are being sold at rock-bottom prices
•People do not trust advisers anymore •New technological ways to measure stress and
work environment. As the market further matures companies need to have focused more customer targets and value propositions.
Partner, Senior Business Consultant CGI Group Inc gohar. sargsyan@cgi. com Jaspar Roos Chief Inspiration Officer
and boost growth and job creation in the future The Europe 2020 Strategy (2) is a comprehensive economic policy agenda focusing on three priori
-sis on job creation and poverty reduction. Based on these three mutually reinforcing priorities, Euro -pean Member States (and regions) are encouraged
their regions to deliver higher levels of employment productivity, and social cohesion in a manner that
This principle was outlined initially by the Expert Group †Knowledge for Growth†in 2008. The point
of departure for the Knowledge for Growth Expert Group was the innovation system research and the
-works, seed capital funds, etc RELATIONSHIPS: Here we distinguish between two main types of relationships as the social evolution
especially small firms, vocational training insti -tutions may take the lead in such interactions as they provide a more practical, hands-on
-ships, professional associations or chambers of commerce representing the interests of the local business community take the lead in fos
and regional stakeholders, social partners, and civil society in both policy dialogue and implementation of policies.
and regional bodies, businesses, social partners and other organisations (European commission 2010). ) The report offered some examples (in Spain
regional bodies, businesses, social partners and other organisations. The so-called Triple Helix (TH model is a formalised concept behind such inter
development work, they would also have the power to propose new types of innovations, which then
-works and other agglomerations) at the regional level (23 Civil society as the fourth pillar of the Quadruple
work public sector •Marketer, e g. to raise awareness of user-ori -ented innovation models and practices among
-works. As in Mode 2, Mode 3 emphasises parallel processes, where basic, applied and experimental
EUR 600m and a staff of 360. They also established a ventureâ capital fund, Finnvera,
duced an impressive number of startâ ups, including 300 founded by former Nokia employees Microtask outsources office work.
Zen Robotics specialises in automating recycling. Valkee makes a device that lifts wintry dark moods by shooting bright light into the ear canal.
Supercell†s employees are what you would expect: men with beards and ponytails who take time out from their comâ
trum, often to help parents deal with the practical problems of combining fullâ time work and
cleaning and turning it into an employment perk. Hemfrid has persuaded the government to treat houseâ cleaning as a taxâ deductible benefit,
companies that this is a great way to reward their employees and free them from domestic
Hemfrid now has 10 000 regular customers and 1 326 employees, 70%of them born abroad
employees in Finland and had a turnover of $100m in 2011. Michael Hed, the company†s CEO
8) Ex post evaluation of the ERDF 2000†2006, Work Package 11: Management and Implementation Systems
Research, Work Research Centre. further references:(16 18)( 19)( 21 17) Carayannis, E g.,, Campbell, D. 2009) †Mode 3â€
always understood that innovation only strikes if novel, and sometimes disruptive, services and prod -ucts return to the people
human resources to conduct basic research, which is translated in turn to applied research leading to prototypes picked up by industry that markets the
Executives from leading innovative corporations cofounders of renowned high tech enterprises presidents and vice-presidents of modern and first
-ing employees and tackling public health challenges Not welcomed by all members and initially with some
-works of clustered partners. Knowledge, talent and funding flows between them; thus building intercon -nected knowledge that breeds intra-and entrepre
that are a physical location where people work -ing in a KIC from all disciplines and cultures come
EIT ICT Labs leads a collaborative effort to work on industry standards. If they succeed in creating
•Marketing/consulting experts •Access to Finance • Legal & administrative support •IP rightsâ€
•Marketing/consulting experts •Finance & debt management • Internationalization support •Business Development
-ods to work in centres where individuals from differ -ent types of organisations and cultures (nationalities
-work enterprises, with their co-location nodes becom -ing switching points in the European scheme of over
of 30.11.2011 on the independent expert evaluation on the EIT. COM (2011) 816 final 11) Schumpeter, J. 1934), The Theory of Economic
as an enabler to SMES for growth and job creation Of critical importance is the engagement of devel
-tems and work streams, involving parties special -ised in various domain areas within the ecosystems
-works and ecosystems required for service delivery and business model development and validation Emergent questions included also issues related
increased business impact, namely the Executive Industry Board. The role of this Board was to ensure
Programme level work was allocated not specific resources, and impact was monitored not systematically by the projects
for successful work include timing, noncompetitive setup and execution focus in the projects. The work
of the horizontal groups is considered of more rele -vance as the projects tackle similar issues at the
Partnership Work Programmes 2011†2013â€. FI-PPP€ s website is: http://www. fi-ppp. eu
Innovative Government Leaves Legacy after the Financial crisis Abstract Australia and Chile were hit hard by the 2008 global
such design was to assist the low-skilled workers and to prepare better qualified labor force for the
-employment, undulations in housing and equity prices and government defaults on international and do -mestic debts (1). The source of the problem gener
rate of growth and employment both went down by half; growth has averaged 4%per year since 1999 (8). Nevertheless, in 2007, its trade balance
employment protection and incentives for worker training (3). In addition to provide liquidity to the market, the government launched its major fiscal
job protection and job-training stimulus. Fiscal policy was at the core of the Chilean government
companies retaining workers (3), under the tripartite agreement between government, workers†unions and companies In the past, the Chilean government conducted
-ment and employment (14. According to the OECD Australia†s timely stimulus measures, with a strong
provide support to less skilled labour, for it required 82 O P E N I N N O V A t I O N y E A r B o O k 2 0 1 4
over 2 million homes as well as employment oppor -tunities for predominantly less skilled workers. To speed up the process,
the system was operated as households arranged installation from a registered installer and the installer then claimed the costs
qualifications for future labour market demand The first two programmes were by far the most effi -cient, widespread,
for the seriously affected low skilled workers and at the same time improving educational infrastructure with long lasting effect.
Unemployment fell to around 5%in 2010 As a result of an improved economy, the government expected to return to budget surpluses as early as
of tax reductions to companies retaining workers For the success of this policy, Chilean government
of labour force, and consumer price inflation (CPI In addition, tangible (GDP per capita ppp) and intan -gible (national intellectual capital, NIC) co-develop
Its unemployment rate was affected not by the crisis too much and remained around 5%all through the reported
measures to place the low-skilled workers in build -ing school infrastructure and energy-efficiency ceil -ing installation apparently took effect.
of workers. Australian central bank has cut inter -est rates repeatedly to spur weaker sectors of the
shed thousands of workers as a result. Australian Figure 7: Co-development of GDP per capita (ppp) and NRC for Australia and Chile
-Granted workers to undertake training out -side their own firms Infrastructure Early December 2008 Large-scale infrastructure projects amounting to
6) International Labour Office (ILO)( April 2010) G20 Country Briefs †Australia†s response to the crisis
Meeting of Labour and Employment Ministers. Retrieved from http://www. dol. gov/ilab/media/events/G20
Rudd says boom over as unemployment nears financial crisis levels, Nasdaq, Dow jones Business News Retrieved on July 14, 2013 from http://www. nasdaq. com
/article/rudd-says-boom-over-as-unemployment-nears -financial-crisis-levels-20130711-00043 19) Lin, C. Y. Y.,Edvinsson, L. 2013) National Intellectual
Youth unemployment & Innovation & Data analysis *Abstract The economic downturn hit young people especially hard, limiting their opportunities to success. High
unemployment, job insecurity, strong competition and a rapidly changing environment requires a new approach that ensures our youth competitiveness
due to increased access to education and labour costs emerging countries Access to knowledge it is democratised now.
-ated, but labour relations scheme, still based in the Industrial revolution, prevents express that profile and condemns us to situations of alienation, from
In a work environment as competitive as described before, the only factor that can lead to success
occurs when employees are engaged in what they like or think they are trained specially. †It is likely
such as promotions or career success or salary†(2 Employees who are motivated at work are more likely to be persistent, creative and productive
They will also be much more permeable to learn new ways of working that involves changes in strat
workplace and education. At workplaces requires changes in the top management strategies, which should be oriented more to leadership and consensus
of common goals with employees that the old model based on performance metrics in monetary terms
Changes introduced by the leaders require learning and adaptability by employees in order to be executed smoothly inside the organisation.
We all know there is usually an innate resistance in humans and only motivation can help us to overcome the opposition.
Changes in classrooms are required also to leave room for innovation. According to Curtis W. Johnson expectations regarding education have changed
watching a teacher speaks no longer works. Most students are digital natives and they are accus
Now thanks to the work of innovation gurus we know that it is possible to develop a cul
Israeli students to work in a company, their prefer -ence is to work on their own developing own ideas
happens if we mix youth unemployment with one of the existing capacity in Europe such as the enor
for employment This opportunity is tailored to our society: we have the people, the data and the academic strength to
In addition to the benefits in terms of employment intensive data analysis can also be beneficial to our society. These benefits can be summarised under
work related to the collection, preparation, ana -lysis, visualisation, management and preservation of large amounts of informationâ€.
Motivation and Performance of Employees. International Journal of Business and Management. 2013. Available from http://dx. doi. org/10.5539/ijbm. v8n14p80
Whether as customers, employees, managers financiers, partners, or citizens in communities every stakeholding individual can bring capital to
-works, call centre operations, and external services such as 911 emergency networks. The hardware and software requirements and the quality levels
and subordinates staff*.*As noted by UIDAI, †A cru -cial factor that determines an individual†s wellbeing
poor migrant workers who are denied services and benefits when they move. With high levels of cor
-dant systems and processes that duplicate work across government states and departments, spark -ing resistance from those who feel it will take over
-resentatives from trade unions, NGOS, government political leaders, and educators. For example, fully 30 to 40%of the identified programmes in the NCI
and external experts led by Symnetics, a consult -ing organisation, over multiple phases. In the first
-pendent expert group concerning European Inno -vation Partnerships (EIPS) as a Tool for Systemic Change (2
structure works also across sectorial boundaries linking the best excellence to create new inno -vations and to achieve best results,
all the operative work of OIA takes place in the centres that focus on different fields of expertise,
staff where the practical work is done Example of Oulu Innovation Alliance Innovation Centres and Open Innovation †Center for
same time researchers gets feedback to their work from users of research results what to study next
work in all the strong sectors of Oulu The OIA collaboration is playing an important role
-works, making it even more successful and attractive The international approach to innovation, as well as Oulu†s excellence in the field of interactive 3d Inter
Independent Expert Group, Publications Office of the European union, Luxembourg,(Online), Available at http://ec. europa. eu/research/innovation-union/pdf
years of works and debates, the world of connected objects faces a tremendous increase in innovations
employees around the world. They are able to design and manufacture electronic components devices or systems.
-nies, electronic textile (12) experts, platform pro -viders and service application developers working together in the business ecosystem (as described
-lars that work together, holistically supported by a cross-stage communication and dissemination process •A European network of business incubators and
-inars, individual mentoring by experts, organ -ised networking, and support for business plan -ning and development
•determination and willingness to work with open technologies to build innovative and tech -nologically challenging projects and products, in
-work across Europe as well as virtual incubation and embedding in the innovation ecosystems these incubators are a part of
•provision of training, mentoring and experts support on necessary technologies, tools business and entrepreneurial skills to build
-ing experts and practitioners on market access, risk finance Stage 3: Adopt & Promote projects, products
The Openeyifâ¢proposes recruitment of European young innovators through a series of open calls for
experts. Grantees who successfully graduate from the programme with a marketable application will receive support for access to finance (accelerator
and will leave. Once the amount of people is down to a certain level the lighting will change again to create a cosier
work it is important to establish whether there is a risk for escalating behaviour In the living lab a †base camp†has been opened
therefore more work is being created than one might think at first sight. The renewal rate of the
Accenture survey (2) of senior executives in the US and Europe indicated that 93%of executives sur
-veyed regard their company†s long-term success to be dependent on its ability to innovate. Only 18
impossible by many experts, John Harrison, the son of a carpenter, invented the first †marine chronom
Popular Science, the network of experts with ac -cess to the challenge spans 12 million people.
Does this perhaps leave us without analytical models and method to act upon If this is the case, in order for your organisation to
-works to reflect the current landscape One of the main challenges businesses are facing in the sharing economy is defined their strongly
-ard tool for consultants and practitioners alike. How -ever, its linear and process orien ted model, separat
performed by employees and outsourcing it to an undefined (and generally large) network of people
moderated by enthusiast employees. He asked the question †how might we leverage user contribution
Two executives came up with the idea for enhan -cing the company†s tax preparation software for tax
or crowd sourced recruitment and is very much the heartland of open innovation. Typically this is a more highly managed relationship
the money and the manpower to create and bring new products and services to market on its own
-duction team within the company works with the Quirky Global Community, covering all parts of the
Local Motors also works with large enterprises through hosted challenges, whereby the enter -prise may outsource a design task to the Local
-works go some way to help in that process but the scope for experimentation and exploration within
Legal work has to deal with very difficult legal inter -pretation and very often †for securing the com
works. Unfortunately, this seems not to be the case even today. I am afraid our legal education system
The nature of the work evolves from legal compliance towards risk management In a dynamic world, a 100%certainty may kill the
At the same time, the expert -ise in this case had already been lost and there remained no possibilities to gain back the loss of
uncertainty, the executives of both companies shared a common belief, that if their talented people
Counsellor, Ministry of Employment and the Economy, Finland mikko. huuskonen@tem. fi Figure 2 Â
Numerical analysis of what works best Apple is the other side of the virtual spectrum.
Then strategy consultants spend months interpreting the data, decide what it means and suggest a course of action
-cesses does not always work in radical changing environments, because the user does not know
Humor from employees stimulates readiness for change, thus the organisation should foster inter -nal approval of positive humor and the expression
worker, we are more and more likely to be work -ing with people influenced by attitudes and val
-works of open innovation, but adds alternative approaches like copycatting, exploring organisa -tional taboos to accelerate innovation
people who take their work seriously, but not them -selves, those who work hard and play hardâ€
We innovators are very fond of describing and explaining how the world should work in terms of metrics and models.
implementation in work groups. Applied psychology: An International Review, 51 (3), 355†424 4) Amabile, T. M. 1996.
-nomic prosperity, employment, a healthy com -munity, and social well-being 2. for the market in creating new products or ser
work/life balances for citizens: wherever and when -ever. Wearable technologies supported by Internet coaching will create well-being lifestyles for young
Partner, Senior Business Consultant CGI Group Inc gohar. sargsyan@cgi. com Foreword Introduction Acknowledgements Executive Summary
Innovative Government Leaves Legacy after the Financial crisis Youth unemployment & Innovation & Data analysis *Chapter III Open Innovation 2. 0
inâ aâ Real-world Setting Wealth-Welfare-Wellbeing, Private-Public-Social Ecosystem Innovation, and Co-Creation Of value
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