Monday, December 6, 2010

Democratizing Innovation

Eric von Hippel offers multiple examples where an ordinary user solves a problem through innovation instead of relying on a manufacturer to produce a solution. His research found innovative users creating improvements to mountain bikes, library IT systems, agricultural irrigation, and scientific instruments. Often it is the person  that uses the product everyday that is best able to offer criticism and tips on how to improve the product. With these common issues user communities arise, freely communicate with each other, advance ideas and sometimes even “drive the manufacturer out of product design.” The knowledge base that is created by the users helps to improve and create a product that is most likely superior to anything a single manufacturer could produce itself. This widely distributed inventing practice is a good trend because users tend to make things that are functionally novel. Not only is it “freeing for individuals” but it also creates a large knowledge base. Below is a brief outline of the speech given in the video.

Democratizing Innovation
I. Users innovate for themselves
            A. Turns innovation economics on its head
            B. go behind the scenes
II. 80% of innovations came from users instead of manufacturers
            A. Mt St. Helens dust in police cars
            B. center-pivot irrigation
III. User vs Manufacturer Innovation
            A. developer expects to benefit by using it
            C. when the developer expects to benefit by selling it
IV. Necessity is the mother of invention
V. Lead Users
            A. have needs to that foreshadow general demand
            B. expect to obtain high benefit
VI. Lego Mindstorms
            A. hackers
            B. sales rise
VII. Users often freely reveal their innovations
            A. kite surfing example
            B. Community design better than engineers
VIII Users aren't smart enough / Skateboard
IX. Video / Lords of Dogtown

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