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Transformative governance of adaptive
digital platform ecosystems
Totti Könnölä (Aalto University & Insight
Foresight Institute)
Ville Eloranta, Taija Turunen & Ahti Salo
(Aalto University)
Building Expertise for Innovation, Conference
on Innovation Decision Support Using
Structured Expert Judgement
25-27 April, 2017, Aalto University, Finland
PLATFORM COMPANIES
2
Platform companies by type, each bubble represents a company sized by market
cap as of December 1, 2015. (Evans & Gawer 2016)
TYPES OF PLATFORMS
3
Platforms as product
families and
information systems.
Platforms as markets
of two or more sides.
Platforms as
organizations.
Optimized
equilibrium
platform
Adaptive
platform
ecosystem
(Könnölä et al. submitted)
PLATFORM ECONOMY
4
Agent
Platform
Platform
ecosystem
TRANSFORMATIVE GOVERNANCE
Agent
Platform
Platform
ecosystem
Economy
Platforms
Agents
• Policentricity
• Connectivity
• Diversity
• Redundancy
• Directionality
• Federation
• Coordination
• Value through scale and scope
• Activity
• Structure
• Governance
5
CASE: TRANSPORT CODE
6
Platform
ecosystems
Government
structure and
institutions
Polycentricity ••• •
Redundancy • -
Diversity •• ••
Connectivity ••• •••
Directionality •• ••
Stages of adaptive platform ecosystems
Transformative
governance principles
Emergence Expansion Maturity
Polycentricity Enhance nested multiple
platforms and their
inclusiveness
Support the scaling up of nodes
for economies of scale and
scope
Consider possible benefits of temporal
monopolies, the redefinition of
monopolies (multi-sided markets and
wider impacts) and reduce switching costs
to new emerging nodes
Redundancy Allocate overlapping
functions and open
periphery in platforms for
innovation
Implement infrastructure
redundancy to ensure resilience
Maintain and encourage overlapping
functions of agencies in monitoring
platforms to enrich learning and boost
renewal
Diversity Carry out pilots for
regulatory and governance
experimentation
Show leadership through shared
inclusive action plans, direct
investments and innovative
public procurement
Avoid lock-ins through innovative
regulatory initiatives addressing
information asymmetry to ensure renewal
and emergence of new nodes
Connectivity Subsidize the development
of interfaces (e.g. APIs) to
enhance interoperability
Enhance the interoperability
through standardisation and
data sharing and
access to infrastructure
Ensure access of niche actors in data and
avoid privatisation of public data
Directionality Launch foresight processes
for shared visions, action
plans and networked
governance
Support and/or invest in the
promising nodes that can
challenge the incumbents
Measure the broad societal impact and
explore alternative pathways to existing
platforms 7
Thank you!
Totti Könnölä (Aalto University & Insight
Foresight Institute)
Ville Eloranta, Taija Turunen & Ahti Salo
(Aalto University)
Building Expertise for Innovation, Conference
on Innovation Decision Support Using
Structured Expert Judgement
25-27 April, 2017, Aalto University, Finland

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Transformative governance of adaptive digital platform ecosystems

  • 1. Transformative governance of adaptive digital platform ecosystems Totti Könnölä (Aalto University & Insight Foresight Institute) Ville Eloranta, Taija Turunen & Ahti Salo (Aalto University) Building Expertise for Innovation, Conference on Innovation Decision Support Using Structured Expert Judgement 25-27 April, 2017, Aalto University, Finland
  • 2. PLATFORM COMPANIES 2 Platform companies by type, each bubble represents a company sized by market cap as of December 1, 2015. (Evans & Gawer 2016)
  • 3. TYPES OF PLATFORMS 3 Platforms as product families and information systems. Platforms as markets of two or more sides. Platforms as organizations. Optimized equilibrium platform Adaptive platform ecosystem (Könnölä et al. submitted)
  • 5. TRANSFORMATIVE GOVERNANCE Agent Platform Platform ecosystem Economy Platforms Agents • Policentricity • Connectivity • Diversity • Redundancy • Directionality • Federation • Coordination • Value through scale and scope • Activity • Structure • Governance 5
  • 6. CASE: TRANSPORT CODE 6 Platform ecosystems Government structure and institutions Polycentricity ••• • Redundancy • - Diversity •• •• Connectivity ••• ••• Directionality •• ••
  • 7. Stages of adaptive platform ecosystems Transformative governance principles Emergence Expansion Maturity Polycentricity Enhance nested multiple platforms and their inclusiveness Support the scaling up of nodes for economies of scale and scope Consider possible benefits of temporal monopolies, the redefinition of monopolies (multi-sided markets and wider impacts) and reduce switching costs to new emerging nodes Redundancy Allocate overlapping functions and open periphery in platforms for innovation Implement infrastructure redundancy to ensure resilience Maintain and encourage overlapping functions of agencies in monitoring platforms to enrich learning and boost renewal Diversity Carry out pilots for regulatory and governance experimentation Show leadership through shared inclusive action plans, direct investments and innovative public procurement Avoid lock-ins through innovative regulatory initiatives addressing information asymmetry to ensure renewal and emergence of new nodes Connectivity Subsidize the development of interfaces (e.g. APIs) to enhance interoperability Enhance the interoperability through standardisation and data sharing and access to infrastructure Ensure access of niche actors in data and avoid privatisation of public data Directionality Launch foresight processes for shared visions, action plans and networked governance Support and/or invest in the promising nodes that can challenge the incumbents Measure the broad societal impact and explore alternative pathways to existing platforms 7
  • 8. Thank you! Totti Könnölä (Aalto University & Insight Foresight Institute) Ville Eloranta, Taija Turunen & Ahti Salo (Aalto University) Building Expertise for Innovation, Conference on Innovation Decision Support Using Structured Expert Judgement 25-27 April, 2017, Aalto University, Finland