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ser-Driven Ulf Dahlsten, Principal Adviser European Commission, DG INFSO [email protected] Innovation

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User-Driven. Innovation. Ulf Dahlsten, Principal Adviser European Commission, DG INFSO [email protected]. There is a focus on research push. Phase 2 Applied R&D up to prototype. Phase 0 Curiosity Driven Research. Phase 1 Solution Design. Phase 4 - PowerPoint PPT Presentation

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Page 1: User-Driven

User-Driven

Ulf Dahlsten, Principal AdviserEuropean Commission, DG [email protected]

Innovation

Page 2: User-Driven

There is a focus on research pushThere is a focus on research push

Research push

Phase 1 Solution Design

Phase 2 Applied R&D

up to prototype

Phase 3 Applied R&D up to

first test product

Phase 4 Production of

commercial volumes ofproduct/service

Phase 0 Curiosity

DrivenResearch

Page 3: User-Driven

Political supply programs to increase Political supply programs to increase competitivenesscompetitiveness

ITBio- and NanotechRoboticsClusters

Phase 1 Solution Design

Phase 2 Applied R&D

up to prototype

Phase 3 Applied R&D up to

first test product

Phase 4 Production of

commercial volumes ofproduct/service

Phase 0 Curiosity

DrivenResearch

Page 4: User-Driven

There is a missing link There is a missing link in the innovation cyclein the innovation cycle

Innovation

“no man’s

land”

Market pull

Phase 1 Solution Design

Phase 2 Applied R&D

up to prototype

Phase 3 Applied R&D up to

first test product

Phase 4 Production of

commercial volumes ofproduct/service

Phase 0 Curiosity

DrivenResearch

Research push

Page 5: User-Driven

The missing link:The missing link:User-driven innovationUser-driven innovation

Phase 1 Solution Design

Phase 2 Applied R&D

up to prototype

Phase 3 Applied R&D up to

first test product

Phase 4 Production of

commercial volumes ofproduct/service

Phase 0 Curiosity

DrivenResearch

Research pushMarket pull

Page 6: User-Driven

Phase 1 Solution Design

Phase 2 Applied R&D

up to prototype

Phase 3 Applied R&D up to

first test product

Phase 4 Production of

commercial volumes ofproduct/service

Phase 0 Curiosity

DrivenResearch

Research push

Pre-Commercial Procurement

Forward Commitment Procurement

Procuring Innovations

Market pull

Page 7: User-Driven

The US and the European Public Sectors have enormous

purchasing power

In Europe only some 3 billion € is used for procuring the research and development of new products and services

US spent 2004 50 billion $, mostly on defence, but still four times as much as Europe in areas as health and energy

2000 Billion €

Page 8: User-Driven

US example Supercomputers

Public needs: modelling energy and weather systems etc

Approach: Pre-commercial and competitive multi-supplier procurement

Procurer Technology Company

Dept of Energy Early supercomputers

CDC/ETA, IBM

DARPA, Universities Timesharing DEC, CDC, IBM, Univac

Dept of Energy Supercomputers Cray, IBM, SGI, Sun, HP

Page 9: User-Driven

Addressing dike problems in Addressing dike problems in the Netherlandsthe Netherlands

• Dike burst in Wilnis (August 2003) caused by dry period that weakened peat dike

• Leak in the dike in Spijk (January 2004) caused by broken water pipe inside the dike along Juliana canal.

9⃗ Start Improvement inspection of dikes and dams: – Need for new techniques for real time visual dike inspection and early

warning systems

Europe starts awakening to the opportunities

Page 10: User-Driven

A Pre-Commercial type procurement (SBIR) directed towards small companies

• New parties: from other sectors and start-ups• Budget for phase 1 (5 companies) – 250,000€ • Budget for phase 2&3 (2 companies) – 850,000 €• Instead of theoretic market studies, prospect of solving

problem• 2 systems entering the market within 5 years, today

starting to sell to Dutch and US procurers

Page 11: User-Driven

Pre-Commercial Procurement inUK National Healthcare Service

Potential £160m p.a. saving

Potential £30m p.a. saving£4,000 per HCAI avoided

Potential £17m p.a. saving

Potential £19m p.a. saving

www.nic.nhs.uk

Page 12: User-Driven

Economic BenefitsFinancial Year 2009/10

Value to NHS:• The innovations improve the quality of the patient

experience and generate potentially significant cost savings to the NHS (£236m).

Value to the economy:• Innovations driven by NHS have been able to attract

significant funding (£290m).

www.nic.nhs.uk

Page 13: User-Driven

The European public sector is facing major challenges

Climate Energy Transport Health Security

Page 14: User-Driven

User-driven innovation of new products and services can help to address the needs of tomorrow