Co-Creation @MIT: An Innovation Ecosystem Approach Prof Fiona Murray MIT School of Management
December 5, 2018 OECD: Towards Effective Science-Industry CoCreation
Co-Creation in Innovation Ecosystems* •
Innovation ecosystems are of central importance to building our innovation economy today - not only in the US, but also Europe, Middle East, Africa & Asia.
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Within innovation ecosystems key stakeholders must come together in new ways to engage in effective co-creation to solve the world’s greatest challenges.
Universities & corporations play an important role these changes but are often slow to adapt.
* Thanks to key collaborators - Dr. Phil Budden (MIT), Dr. Lars Frolund (MIT), Gene Keselman (MITii), Prof Michael Cima (MIT), Prof Vlad Bulovic (MIT)
Innovation •
MIT’s Innovation Initiative (MITii) defines innovation as the “process of taking ideas from
inception to impact”; •
Emphasizing that an ‘idea’ is the match between a problem and a solution, not just tech;
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Focusing on process (not products/services), highlighting the entire journey;
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Observing that a range of different organizations are engaged, from universities and startups, to corporations & even governments.
An innovative ‘idea’ usually starts with a problem or a solution…
…but eventually requires the match between a problem and a solution
In today’s innovation economy, the world of innovation is NOT flat…..
…instead there are a growing number of ‘innovation ecosystems’characterized by interactions and inter-dependencies between key
stakeholders and their resources - supporting ‘innovation-driven entrepreneurship’.
What are the lessons from successful innovation ecosystems worldwide?
In MIT’s Innovation Ecosystem model, we outline this ‘System’
Innovative/Entrepreneurial Capacities are the ‘twin engines’ of the System.
https://innovation.mit.edu/assets/BuddenMurray_Assessing-iEcosystems-Working-Paper_FINAL.pdf
Often, although not always, highly concentrated in regions with strong universities, to support the ecosystem. Innovation & entrepreneurship in MA is highly concentrated within the Greater Boston area and specifically around “Kendall Square”
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R&D spend ~5.86% GDP > $25Bn in R&D funding ~ 20% R&D by academia > 10% of US VC investment - over $8Bn in 2017 > 3000 start-ups
Leading Innovation Ecosystems are characterized by five Key Stakeholders…
Entrepreneur
Entrepreneur
Innovation Ecosystem University Stakeholder University Model
Government
Government
Risk Capital
Risk Capital
Corporate Corporate
…coming together in new ways with a growing role for innovation-driven enterprises in the innovation process (especially in the earliest phases)
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Corporate Venture capital Corporations R&D and Innovation ‘Labs’
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2 University
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Corporations Business Units
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Entrepreneurs and IDE Startups
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Effective regions build a strategy for co-creation around assets, identity & activities that drive comparative advantage
Governments can signal key grand challenges & missions that may shape the direction of co-creation based around comparative advantage
New demand-side approaches can be used to direct innovation ecosystems via competitions, incentives & attention; tools that complement traditional R&D spending and tax incentives for innovation.
E.g. Nova Scotia is building on its historical & emerging ocean advantage with its oceans ‘super-cluster’
E.g. Pittsburgh is building its industrial ‘renaissance’ around computer science, robotics & autonomy
E.g. Dubai is emphasizing the government need to solve critical social problems as the foundation of its approach… Goal is to be the best run country of the future in 2030, pioneering new solutions to key government challenges; Using iEcosystem engagement of entrepreneurs (rather than traditional internal solutions); In doing so, also building a strong entrepreneurial community.
http://gulfnews.com/news/uae/government/dubai-launches-new-project-to-solve-future-challenges-1.1867799
Puts the emphasis on finding new formats or mechanisms for cocreation that put the mission at the core. Requires universities & large organizations to find new ways to interact & to share their challenges to maximize the effectiveness of exchange recognizing the role of: •
Diverse human capital - e.g. specialized talent interested in problem-solving
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Funding - structured in a new and rich variety of formats
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Infrastructure - e.g. critical specialized equipment and datasets
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Demand - for novel solutions to critical problems
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Culture - opportunities to develop new shared cultures
INNOVATION & ENTREPRENEURSHIP REDEFINED Fiona Murray
48-hour hackathons to share mission-critical topic & galvanize diverse participation & exchange “Hack-a-thon” - from hacking and marathon - as an opportunity to pose specific corporate or other organizational challenges & attract attention by providing problem-insights, possible materials and props, a community of “solvers”.
Semester-long course focusing on a single problem e.g. Beaverworks
Environmental Awareness In the Maritime Domain (Course 2.013/2.014): Mechanical Engineering course designed a deployable “blue water” resupply system. Networks of latent semisubmersible pods operate autonomously in a marine environment and provide power and comms links to extend the duration of maritime surveillance operations.
Year-long grants for translating solutions e.g. J-WAFS for water & food security, MITei for energy Recognizing that faculty labs are motivated by opportunities to support translational research (in collaboration with those who understand the solution space), “ignition” and “innovation” grants along with mentoring provide a new mode of co-creation.
On-going problem-driven engagement enabled by proximity & multi-mode interactions
Educational approach
THEORY
PRACTICE
Educational Proposal
THEORY/MENS • Discipline- and evidence-based education • Combination of research-based insights with specific case studies (drawn from MIT & beyond) • Move beyond “animal spirits” conception of entrepreneurship to a skills-based approach
PRACTICE/MANUS • Practice in real-world environments but in a “safe” setting • Problems of increasing complexity • Practice of working in a team under resource constraints and high uncertainty • Opportunity to explore entrepreneurial careers & activities
Current generation of young people seem to find working on these mission-led opportunities especially appealing For example: • 90% of MIT graduates choose their job on its “creative & expressive challenges”. • 77% of MIT graduates say “making a contribution to impact is essential” in their career. • MIT graduates entering software, healthtech & energy jobs – risen from 15% to 40% in a decade. • More than 15% now seek their first job in venture-backed start-ups for more rapid impact.
