Third Industrial Revolution and Implications for Africa_Teigland


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  • Kay, J. (1993) Foundations of Corporate Success, Oxford, Oxford University Press.
  • as a Red Herring 100 winner is a mark of distinction and high honor. Only 200 companies are chosen as finalists out of a pool of thousands. Of those finalists Red Herring selected 100 companies as winners. To decide on these companies the Red Herring editorial team diligently surveys entrepreneurship around the globe. Technology industry executives, investors, and observers regard the Red Herring 100 lists as invaluable instruments to discover and advocate the promising startups that will lead the next wave of disruption and innovation. Past award winners include Google, Yahoo!, Skype, Netscape,, and YouTube.
  • Threadless:What came first – the community or the company?RT: presents Threadless,,530,000 followers on TwitterThe whole business model for Threadless is based on an implicit understanding of how the social web works and gives a great demonstration of how communities can be built and harnessed across an organisation. Identifying online enthusiasts and passion groups and then using social platforms to bring them into the core of a business would appear to be a more powerful way of utilising social opportunities than just running ads on Facebook - but it requires a good deal more commitment. The media aspect of social offers some exciting opportunities for brands, but the potential of the social web can be significantly greater if the power of community is fully realised. In summary, there has to be purpose behind why you use social media. Largest challenge is about changing the mindset though – where create value? Use of social media considerably larger in smaller companies: Inc 100 vs Fortune 100. In these smaller companies, social media being used as a leadership tool as well.
  • The Forge “The world’s first open-source community of car designers and fabricators.” Crowdsourced design and selection process; option to help build your own car.
  • (1) Enabling people to do things we already know how to do and (2)creating collaborative environments that allow people to develop new ideasand concepts to address unanticipated opportunities or challenges.Productive learning focuses mostly on the individual and on helpingthat individual to adopt a pattern of behavior that improves productivity.Generative learning, by contrast, is a collaborative endeavor. Shared meaningand insights are developed at the group level, and these insights driveenterprise transformation to ensure growth and sustainability. Today, thelearning function is focused primarily on productive learning. As a result,it appears that trainers are more likely to want to maintain the status quo,rather than challenge it.Learning is a far more complicated phenomenon than can ever be limitedto the classroom context. If we convey knowledge about tasks we alreadyknow how to do, we call it productive learning . If we share knowledge abouttasks that are new and different, we call it generative learning . Productivelearning serves largely to maintain the status quo within an enterprise byconveying what is already known, while generative learning involves notonly absorbing existing information but also creating new solutions to unanticipatedproblems. Information age learning requires that individuals andorganizations change the way they think about and act on what is knownand what needs to be known in order to innovate, change, and win.
  • Liam Dippenaar couldn't catch a ball with both hands. Holding two objects at once was a feat and, though right-handed, the 5-year-old used his left. Born with Ambiotic Band Syndrome, Liam lacks the instrument critical for most tasks: fingers. Thanks to two strangers halfway around the world and the magic of 3D printing, Liam is now able to color and write to his heart's content. Ivan Owen and Richard Van As created Robohand, an open-sourced device built with customized prosthetic fingers. Owen, of Washington state, and Van As, of South Africa, collaborated via the Internet to create the prosthetic. The duo decided to make the design in the public domain to help others who can benefit from the technology.Their journey started in 2011, when Van As came across a video of Owen's costume piece, a robotic hand built for amusement. Van As lost most of the fingers on his right hand in a woodworking accident and cast a net out for those willing to help build a prosthetic. Owen was the only one who agreed. "I had started with the first prototype prior to meeting Ivan. But yes, there were so many obstacles and one of the main ones was contacting people and them just saying, 'No, it can’t be done,'" Van As tells Mashable. Long nights on Skype and a 10-hour time difference took some getting used to, but the two kept the project going through email and file sharing. Owen and Van As initially used a milling machine and spent hours engineering parts until MakerBot donated two Replicator2 Desktop 3D Printers. The donation exponentially cut production time for prototypes. What used to take up to three days to complete can now be done in only 20 minutes. Using OpenSCAD, a free software application, Owen and Van As can exchange files and make changes in minutes. Jenifer Howard, MakerBot's PR director, says the cross-continent collaboration fits perfectly with the company's mission. "We love to see our printers being used for amazing life-changing and life-validating projects like this," Howard says. The two men document their progress on a blog called "Coming up Short Handed." Liam's mother, Yolandi, saw the site and reached out to Van As for help. Liam, who has no fingers on his right hand, received his own Robohand at no cost after several trials and prototypes. "At first it was quite amazing to see the smile on his face when they made the first prototype and he put it on his hand," Yolandi says. "His expression was, 'Oh wow, it’s copying me.'
  • Global collaboratorsPlatforms like ThingiverseInterest-specific groups on, for example, Google +Open Software and Hardware movements – use of SourceForge and GitHubMailing lists – partners not just local
  • was started by a House4Hack member, Peter van der Walt. Started out selling a 3D printer he had designed using OS software and hardware. Image is of RepRap Morgan kit, developed by Quentin Harley. Has a whole new arm design to most 3D printers – makes it more stable, less fragile. Aim is also to make the printer cheap to build – uses plumbing piping, fishing line and 3D printed parts. Expensive bits include the “hot nozzle” (extruder) and engine.
  • The World Bank's NESAP-ICT program has been trying to help countries with such challenges. The New Economy Skills for Africa Program - ICT was launched in 2008 to support countries in Sub-Sahara Africa (SSA) in building skills for the knowledge economy. It has focused initially on supporting the development of globally benchmarked, employable skills for the Information Technology (IT) and IT Enabled Services (ITES) industry -- sectors that can create thousands of new jobs and catalyze economic and social transformation. (Here's a related World Bank publication on The Global Opportunity in IT-Based Services: Assessing and Enhancing Country Competitiveness[pdf]).In Tanzania, NESAP-ICT is helping to support the development of what are known as SMART Knowledge Hubs, which are hoped to help form a 'backbone' of sorts the development of education in IT and a broader set of 'new economy skills' in the country. The SMART Skills (Software, Mobile Applications, Research and Technology) project began by asking about the type of IT-related skills are being sought by the local IT sector, and about the demands from students to acquire such skills that aren't being met by existing course offerings from Tanzanian institutions. The first related pilot effort is supporting the creation of a 'knowledge hub' in Dar Es Salaam, directed and coordinated by COSTECH, the Tanzania Commission for Science and Technology. It is hoped that this initial SMART Knowledge Hub will serve as a model for how to do similar things in other parts of the country.The project in Tanzania is, together with Coursera, identifying a MOOC IT curriculum aligned with the needs of Tanzanian private sector employment tracks. The first stage of this process includes the design and development of the overall curriculum, informed by input from lecturers in IT and business in Dar Es Salaam, as well as from entrepreneurs and local businesses. The idea is to support students in various ways as they participate in MOOCs as part of their studies, in advance of the traditional recruiting season that kicks off at the start of the summer.[-] How can students identify MOOCs that are relevant complements to their current areas of study -- and improve their future employment opportunities?[-] How might MOOCs be formally incorporated into such formal study, with official credit given for the successful completion of a MOOC?[-] More broadly, how can a higher education system align itself to help meet some of the immediate hiring needs of local industry, especially where local institutions may not currently have the capacity to develop and offer courses that help sufficient numbers of students develop the types of skills demanded by the labor market?
  • Bitcoin holds huge potential here, but must also look at existing methods of payment. Many Kenyans, for example, do not have bank accounts – but they do have cellphones. Cellphone company Safaricom is behind the world-famous m-pesa mobile money, which has been replicated in several countries, including South Africa and Zimbabwe.
  • many definitions of VWs, these are the characteristics that I find relevant to the study of virtual entrepreneurship. Persistent, computer-simulated, immersive environments ranging from 2D "cartoon" imagery to more immersive 3D environmentworld exists regardless of whether users logged inUsers can manipulate and/or alter existing content or even create customized content Shared space or co-presencenumerous users, or ‘avatars’, simultaneously participate, interact, and share experiences through gestures, text chat, and voiceSocialization/community formation of in-world social groups such as teams, guilds, clubs, cliques, housemates, neighborhoods, etc the world allowed and encouraged
  • Minecraft to aid UN regeneration projectsResidents will be able to take a virtual stroll around the Minecraft modelsDevelopment plans for 300 places around the world are being modelled in Minecraft so residents can help decide how the locations will change.Called Block by Block, the programme is part of a collaboration between Minecraft-maker Mojang and UN Habitat.Urban locations will be recreated on computer using Minecraft allowing residents to take a virtual tour.They will also be able to change the model and help decide how regeneration cash should be spent.One of the first places modelled in Minecraft as part of a pilot for Block by Block is the Undugu playground - part of the Kibera slum region on the outskirts of Nairobi."We'll be putting it into the game so people can walk around and feel like it's as real life as possible," Lydia Winters, community liaison manager at Mojang told the BBC. Undugu has been recreated on computer by Minecraftmodelling firm Fyre UK. Soon those who live around the playground will be able visit it to see the UN's plans to regenerate it.Virtual visits Minecraft is set in a world built of cubes, each one of which is made of a different virtual material - dirt, stone, iron ore, diamond and so on. Playing the game involves stacking the cubes to build structures or breaking them down into their raw materials to create objects and artefacts.The ease with which the real world can be modelled in Minecraft led UN Habitat to approach Mojang to help with its urban regeneration plans, said Ms Winters. By 2016, 300 of the areas UN Habitat plans to remodel will be recreated in Minecraft allowing the people who live in those places to be involved in how their locale will change."It's bringing decision makers together with the youth to all decide on this common ground for public spaces around the world," said Ms Winters. Details about the project were revealed at the Minecon conference held in Paris from 24-25 November,
  • I always like to put things into perspective. I think that what is interesting and relevant here is that several economic historians had actually predicted the crisis that we are experiencing now. I don’t have time to go into all the details, but what we are seeing is a pattern repeating itself. As in the late 18th and 19th Centuries there was a technological innovation that led to a period first of transformation as the innovation began to be diffused, then a period of rationalization leading to an imbalance, and then to a financial crisis coming around 40 years after the innovation. However, in the past, these financial crises have then led to periods of great economic development – industrial revolutions, in which industry profitability has been restored through a redistribution of the value-added between capital and labor. But more importantly, these crises filtered out those organizations that could not adapt and change to stay competitive in the new industrial environment. And one of the most important things that is of interest for today’s discussion is that in one of the factors facilitating these new phases of economic growth following the crisis has been that a generation of people that had never experienced life without the innovation starts to enter the workforce – thus they are not restricted by old ways of thinking.experiencing now some economic historians claim to be due to the innovation of the microprocessor and microelectronics in the 1970s. Similar to what we experienced with the innovation of the steam engine in the late 18th C and the internal combustion engine and electric motor in the late 19th C, there was a subsequent crisis about due to various forces converging. We saw that as these basic innovations were diffused, people stopped investing in the existing industrial structure and instead focused on investing in a new generation of competitive machinery, which then led to an industrial revolution in both cases as the innovations became embedded in society. At the same time, the crisis served to release the negative pressure that had been built up as well as to restore industry profitability through the redistribution of value-added between capital and labor. Other notesNotes from article - Schön, L, Economic Crises and Restructuring in HistoryA crisis is connected with changes in the long term or structural conditions built up during a rather long period of time and effects behavior for a long time to comeTransformation – changes in industrial structure – resources are reallocated between industries and diffusion of basic innovations with industry that provides new bases for such reallocationRationalization – concentration of resources to most productive units within the branches and measures to increase efficiency in different lines of productionShifts between transformation and rationalization have occurred with considerable regularity in structural cycle of 40 years – 25 years on transformation, and 15 years on rationalization. Crises been part of this cycle as wellInternational crisis in 1840s – How go from crisis to expansion quickly – went quite rapidly in 1930s for Sweden – but Sweden in opposite corner in 1970s1850s – upswing of industrial and infrastructural investments was linked to breakthrough of mechanized factories in Sweden, modernization of steel processes and construction of railways1930s and more marked after WWII late 1940s - expansion of electrification and diffusion of automobiles, processing of electrosteel to small motors in handicraft and household – combination with motorcar – new styles in living and consumptionWaves of investments around development of an infrastructure from basic innovation of preceding cycle mid 1970s – microprocessor – knowledge and information in production of goods and servicesIt is not the basic innovation itself – but the diffusion of the innovation that counts!When invented, then expensive to implement, have a narrow range of application – Following generalization – A structural crisis (that has been preceded by an early development of basic innovations) has put an end to old directions of investments mainly in rationalization of existing industrial structure and given rise to investments in ne and devt of new tech that after one decade (the length of the classical Juglar cycle of machinery investments) has created a new generation of economically competitive machineryReallocation of labor occurs approx 15-30 years after the structural crisisDevelopment of markets – distribution of value added between capital and labour is one mirror of these changesDiffusion of innovations leads to expansion of markets and arrival of new competitors – Structural crises – release negative pressure and restored profitability in industry – get rid of those who not competitive
  • Abandoned factory in Michigan: building:
  • I can’t find the source for this, it would be great if someone could point this out to me.
  • Third Industrial Revolution and Implications for Africa_Teigland

    1. 1. July 2013
    2. 2. ”No one knows everything, everyone knows something, all knowledge resides in humanity.”networks Adapted from Lévy 1997 Six degrees of separation - Milgram, 1967
    3. 3. Creation > curation
    4. 4. Where have the traditional sources of sustainable competitive advantage been? #1 Innovation Networks of relationships Brand & Reputation FIRM Kaye 1993
    5. 5. #1 Innovation Networks of relationships Brand & Reputation FIRM T Where are tomorrow‟s sources of sustainable competitive advantage? Teigland 2010
    6. 6. 105 emp 350+ Partners 43,900+ Community members 15,000+ Customers in 130 countries • Content management software, #1 in media industry • 250,000 sites in 170 countries • Customers: UN, FT, WSJ, Vogue, Hitachi, 3M, BMW • 105 employees in 9 countries (US, Europe & Asia)
    7. 7. 30% profit margin in commodity business
    8. 8. First fully crowdsourced premium fashion brand We design We deliver
    9. 9. From clothing to home products to ….
    10. 10. The Quirky process
    11. 11.
    12. 12. Open innovation in automotive design/production “Local Motors is the place for people to create influential vehicles together.”
    13. 13. Exploitation Improving existing value creation activities Exploration Developing new value creation activities Adapted from March 1991
    14. 14. Talent • “Net generation” • 24x7 “mobile” talent • Entrepreneurial spirit Technology • 3D printing • Internet of things • Robotics Open Source • Software • Hardware • Physibles Convergence of….. Finance • Crowdfunding/equity • Digital currencies • Micropayments
    15. 15. Open Source + 3d Printing + ICT + Talent $60,000 $150 Where is the firm?
    16. 16. Open Source values of sharing
    17. 17. The virtual meets the physical in a growing network of labs
    18. 18. The maker movement in Africa iHub – Kenya House4Hack – RSA Woelab – Togo
    19. 19. Developing international entrepreneurs South African „Maker‟ with completely new 3D printer design
    20. 20. Enabling the workforce through MOOCs (massively open online courses) SMART (Software, Mobil Apps, Research & Technology) Knowledge Hubs in Tanzania New Economy Skills for Africa Program- ICT (Tanzania) + Coursera
    21. 21. 24x7 global freelance talent Global Online Employment Report Q2 2012 at Elance
    22. 22. New means of payment…
    23. 23. …and financing through Crowdfunding
    24. 24.
    25. 25. “Made in Africa” 3D printer (Togo) crowdfunded through Ulele Winner of International Space Apps Challenge
    26. 26. Endless possibilities
    27. 27. Here comes the Immersive Internet…. O‟Driscoll 2009
    28. 28. What are Virtual Worlds ? Platforms for unleashing creativity and revolutionizing value creation
    29. 29. Innovation workshops bring together users from across the globe
    30. 30.  Overview − EU funded, 3 year multilateral and transversal network (LLP EACEA, KA3 (ICT)) − December 2011 – December 2014 − Project Leader: University of Hull (Darren Mundy, Luisa Panichi) − 19 partners from Austria, Cyprus, France, Germany, Israel, Italy, Netherlands, Norway, Portugal, Sweden, UK  Network Aims −Collect good practice examples in teaching and learning in virtual worlds from different subjects and national and local contexts − Facilitate transfer of core knowledge to new contexts − Provide framework for creation of pan-European virtual-world university  Expected Outcomes − Increased number of experts in virtual world education − Policy for long-term sustainability of network and its outcomes − Model for knowledge transfer − Range of dissemination events More information:
    31. 31. Developing international entrepreneurs ≈1.5 bln VW accounts under age 16
    32. 32. Kibera, Nairobi
    33. 33. OpenSimulator: A value-creation ecosystem Academic Entrepreneur Hobbyist Large Firm Non-profit Local Public Federal Public Research Inst SME Employee Periphery USD 5.5mln in development costs
    34. 34. From the mobility of goods to the mobility of financial capital to … ...the “mobility” of labor?
    35. 35. Out now – by Palgrave Macmillan
    36. 36. History tends to repeat itself…. Innovation, financial crisis, industrial revolution, … Steam engine Internal combustion engine Microelectronics Late 18th C Late 19th C Late 20th C Schön 2008 Third industrial revolution?
    37. 37. Increasing pace of change Average lifespan of company on S&P 500 −1920s – 67 years −2010s – 15 years Dr. Richard Foster, Yale, Sept 2012 −Today's rate of change is faster than ever −E.g., prediction is by 2020, > 75% of S&P 500 will be companies we do not know about today
    38. 38. The Firm The Collective vs E.g., Microsoft ~ Built by employees within organizational boundaries E.g., OpenSimulator ~ Built by users and distributed freely regardless of affiliation Models of Knowledge Creation Teigland, Di Gangi, & Yetis 2012
    39. 39. ? ? ? ? From factories to office parks to…. ? ? ? ?
    40. 40. Here today, gone tomorrow?
    41. 41. The virtuous cycle of innovation Innovation Exchange Exchange Trust Trust Relationships Relationships Interaction
    42. 42. Karinda Rhode aka Robin Teigland RobinTeigland Photo: Lindholm, Metro Photo: Nordenskiöld Photo: Lindqvist If you love knowledge, set it free…
    43. 43. Do you have some good case studies to share?  We are looking for examples of interesting developments in Africa related to the content of this presentation to include in our study.  Please contact us if you have something to share or someone else whom you think we should contact.  Twitter: robinteigland  Email: robin.teigland<at>  Thank you very much!!
    44. 44. Some of our related publications  Breaking out of the Bank – a report on the digital currency Bitcoin:  Crowdfunding in Sweden – a report on the crowdfunding phenomenon in general and the specific case in Sweden:  eZ Systems and its ecosystem: te-collective_knowledge_communities  Immersive Internet – a discussion of virtual worlds and the immersive internet:  A study of the virtual world organization Peace Train -  User innovation in virtual worlds:  Open Entrepreneurship - Exploring value-creation ecosystems -