Innovation Ecosystems and Network for Startups, Growth and Globalization,Ien japan12-13-12
Innova&on Ecosystems -‐ Network Orchestra&on for Startups, Growth and Globaliza&on Martha G Russell, PhD MediaX at Stanford University Neil Rubens, PhD University of Electro-‐CommunicaAons InnovaAon Ecosystems Network
Overview • Ecosystem PerspecAve • Data Driven VisualizaAons of InnovaAon Ecosystems • Some Examples ECOSYSTEM Heterogeneous and conAnuously – Silicon Valley evolving set of ﬁrms that are interconnected through a complex – Paris global network of relaAonships. [Basole et al., 2012] – Tokyo • ReﬂecAons and OpportuniAes
H-‐STAR HUMAN SCIENCES AND TECHNOLOGIES at S T A N F O R D U N I V E R S I T Y ADVANCED RESEARCH INSTITUTE RELATIONSHIP INTERFACES FOR DISCOVERY COLLABORATIONS Goal: Do something together neither of us could do by ourselves. Research on people and technology — how people use technology, how to be[er design technology to make it more usable, how technology aﬀects people’s lives, and the innova&ve use of technologies in research, educaAon, art, business, commerce, entertainment, communicaAon, security, and other walks of life.
The REAL Issueat S T A N F O R D U N I V E R S I T Y Deep Knowledge with Wide Applicability IN THE HEART OF SILICON VALLEY IN A CULTURE OF RAPID ITERATION, WHERE DISRUPTION IS CELEBRATED WHERE TALENT, INFORMATION AND CAPITAL RESOURCES FLOURISH THE ISSUE IS NOT THE RATE TECHNOLOGY TRANSFER THE ISSUE IS THE EFFECTIVENESS OF INNOVATION AND KNOWLEDGE TRANSFER WE CALL THIS “COLLABORATIVE DISCOVERY” The Media X approach WORK ON BOLD IDEAS WITH BUSINESS, TEST SUCCESS/FAILURE CONDITIONS, ITERATE RESULTS QUICKLY, TRANSFER INSIGHTS AT EVERY STAGE
Stanford University Medical Media ! & Information Technology ! SUMMIT Distributed Vision Lab ! a t S T A N F O R D U! I V E R S I T Y N DVL Discovery Collaborations ! Electrical Engineering Psychology Span Stanford Labs! Computer Science EE Psy Linguistics Communication Between HumansPhilosophy Ling and Interactive Media CS CHIMe Phil SHL Stanford Humanities Lab Graduate School VHIL GSB Of BusinessVirtual Human Stanford CenterInteraction Lab SCIL for Innovations in Learning Center for the Study Of CSLI Language & Information Art Digital Art CenterEngineeringEng & Product Design School of Education; Ed Education and PBLL Law Learning SciencesWorkTechnology & Center forOrganization SSP Legal Des Stanford Joint PBLL Program in Design Project Based Informatics d.school Learning Symbolic LIFE Laboratory Systems Program Learning in Informal and Formal Environments
Stanford spin-‐oﬀs Over 2000 companies started by faculty students and alumni • Abrizio • NVIDIA • ASK Computer systems • Orbitz • Cisco Systems, Inc. • Octel Communica&ons Corp. • Dolby Systems • Odwalla • eBay • ONI Systems • E*Trade • PayPal • Electronic Arts • Pure SoWware, Inc. • Excite, Inc. • Rambus, Inc. • Gap • Ra&onal SoWware • Google • Silicon Graphics, Inc. • HewleT-‐Packard • Sun Microsystems • IDEO • Tandem Computers, Inc. • Intuit, Inc. • Taiwan Semiconductor • Learning Company • Tensillica • Linked-‐In • Tesla Motors • Logitech • Trilogy • Mathworks • Varian Associates, Inc. • MIPS Technologies, Inc. • Vmware • Nike • Whole Earth Catalog • NeVlix • Yahoo! Inc.
Many Stakeholders in Innovation Ecosystem Startups UAliAes, Angels, Industry VC ﬁrms, AssociaAons Incubators Ecosystem Banks and Law Firms, Financial AccounAng InsAtuAons Firms UniversiAes
InnovaAon Ecosystems Approach • Networked systems perspecAve to examine why, when, and how interﬁrm networks and alliances form and change (GulaA et al., 2000) • Co-‐creaAon creates value (Ramaswamy & Guillart, 2004) • Value creaAon requires orchestraAon among ﬁrms across segments (Basole & Karla, 2012; Dhanaraj & Parkhe, 2006) • Responsiveness to changing internal and external forces (Rubens et al., 2011) • Shared Vision guides and accelerates transformaAon (Russell et al., 2011)
Shared Vision Transforms Iterative Impact Alignment Co-Create Value Shared Vision TransformaAon Event Coalition Interact & FeedbackMartha G. Russell, Kaisa Still, Jukka Huhtamaki, and Neil Rubens, “Transforming innovation ecosystems through shared visionand network orchestration,” Triple Helix IX Conference, Stanford University, July 13, 2011.
“There is no data like more data” (Mercer at Arden. House, 1985) 500 Points 2,000 points 8,000 points
More Data / More Dimensions h[p://wissrech.ins.uni-‐bonn.de/research/projects/engel/engelpr2/pr2_thumb.jpg h[p://www.iro.umontreal.ca/~bengioy/yoshua_en/research_ﬁles/CurseDimensionality.jpg Could be easier to ﬁnd paTerns
TradiAonal Data Gathering Methods h[p://www.ﬂickr.com/photos/tomatoskin/1339929731/
Have to react QUICKLY h[p://www.ﬂickr.com/photos/clydeorama/3495284608/
OrganizaKons News Social Data Source/ Organization News Social CharacteristicsAccuracy high average lowCoverage low average highTimeliness low high highRichness low average high
Infrastructure for Resource Flows -‐ -‐ -‐ RelaAonships The Way We USED to Think About Organizations New OrganizaAonal Chart Based on RelaAonships Relationship-Focused Co-Creation Infrastructure (Companies are interlocked through key people – informaKon ﬂow, norms, mental models.(Davis,1996)
Growing Importance of Networks for Business Now Geo-‐dependence is rapidly decreasing. Importance of connecAons Before and networks is increasing Business networks are highly geo-‐dependent. 16
We know well how to interpret: How do we interpret this? No a O Nokia Oyj Figure 1. Nokia & Microsoft -- Cumulative Network using SDC Alliance Data nok a Figure 1. Nokia & Microsoft -- Cumulative Network using SDC Alliance Data nokia h[p://networkx.lanl.gov/ 17
Alumni Entrepreneurial Leadership NetworksThe unique culture at Stanford: Is strongly oriented toward world-class research Expects socially-conscious, business-relevant intellectual leadership - at every level of its research, education, and service Facilitates frequent and fluid interaction with the business community Respects contributions from non-academic colleagues Fosters expectation that alumni will become innovators
Two Pizza Rule Five Tips for Startups in Agile Ecosystem 1. Fail forward: Always ready-‐for–feedback If something doesn’t work, change it – ASAP 2. Take personal responsibility Don’t blame anyone 3. Create success from failure by sharing what you learned Each failure includes lessons for success – share them! 4. Start again Immediately 5. Don’t do it alone Know, culAvate and orchestrate your network
CapDigital -‐ Regional Sector Catalyst Shared Vision To catalyze the new digital infrastructure in France with global connecAons To create an ecosystem to facilitate the relaAonship between France and global market Enable Paris to become global region of the market for digital services How do you spend money locally to enhance global parAcipaAon in a way that returns the beneﬁt back home? 22
Ecosystem View of IntervenAon OpportuniAes A Regional Case Study – Digital Media in France Zone 1: VC Community Zone 3 of Parisian Two-‐Level InnovaAon Ecosystem Zone 2: New CapDigital Members Pale Red: French companyIEN 2010 Dark Red: CapDigital memberSelected Paris & French companies Linked people & venture/ﬁnancing enAAes Light Green: Foreign Venture/ firmLinked companies, people & v/f enAAes Dark Green: French venture firm Zone 4: Lifestyle Businesses 1 degree 2 degree Blue: Foreign company
Startup Tokyo Tokyo ICT Startup companies & people w/ intl orientaAon for growth & funding (preliminary) Nodes Edges company employment people founder investment
Startup Tokyo Tokyo ICT Startup companies & people w/ intl orientaAon for growth & funding (preliminary) Expanding the network one step brings in internaAonal enAAes Nodes Edges company employment people founder investment
Network Expansion Startup Tokyo Depth: 1 Tokyo ICT Startup companies & people Nodes: 245 (0.01% Visible) w/ intl orientaAon Edges: 55 (0.01% Visible) for growth & funding Total Depth: 2 Nodes: 221,686 Expanding the network Edges: 324,396 two steps brings in 21% of global enAAes 100 percentage of total network edges Depth: 3 75 nodes 50Depth: max 25 0 1 2 3 max network depth
ReﬂecAons Free exchange of informaAon and respect for uncertainAes and serendipity RelaAonships provide access to informaAon, ﬁnancial resources, talent Skill of the 21st Century = Network OrchestraAon 28
What Can We Do Together That Neither of Us Could Do Alone? Thank You at S T A N F O R D U N I V E R S I T Y www.innovation-ecosystems.co Martha.Russell@stanford.ed http://mediax.stanford.edu email@example.com• Innovation Ecosystems Require Network Orchestration – Know – Cultivate – Orchestrate
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