Digital innovation

Velkommen to the Digital Innovation website. It is the result of a search throughout many years for the force that moves and changes our society through the 21st century.

Traditional macro economics provide no answers of the reasons for growth and change in our society. Not until the works of the economist Karl Marx, but most significantly in the works of Joseph Schumpeter (depicted) the changing power of innovation is set at the centre of the free market economy. It is the desire of the individual enterprise for narrow, knowledge based monopolies that is the motor behind technological development, and which - as they have their breakthrough - change the conditions of competition at the market and in society among companies, industries, professions and cultures. Only innovations that provide the existing society with sufficient advantages are able to change it.

Schumpeter's thinking came into focus during the 1980ies and '90ies as conditions for innovation entered the centre of industrial policies of industrialised countries and replaced a traditional emphasis on passive state subsidies. The interest was alerted for the longer growth cycles in the world economy, and it became clear that some technologies had an effect far beyond the intermediate monopoly of an individual enterprise that had brought it into the market.

This website illustrates four trends of importance at a time where far reaching digital innovation is on the agenda: Information technology itself and its four effectual changes; the opportunity of utilizing any electronic resource as business atoms in infinite global supply chains, the common formula of change; and the mix between four framework conditions that are needed in order to impact our digital society politically. It is the conclusion of the digital path of innovation followed through my career to this point.

1. Information Technology

Information technology soon entered the very haert of the debate on innovation, pointed out as the flood of change behind globalization, the restructuring of a number of industries, and the change of the labour market towards higher skilled jobs. Analyses of technology history showed that other technologies previously have had equally dramatic and global effects on society: The automobile, electricity, the printing press, the canon, shifting cultivation, etc.

Read more on the impact of information technology here.

2. Business Atoms

We are in the process of making most of society's resources accessible in a digital form, enabling them to be combined in an infinite number of global subbly chains. IT systems that previously were intertwined by a mysterious labyrinth of connections, are on the path towards communicating in understandable business terms about the things they do for each other. Potentially any electronic device is a global resource that may fulfill a service in the global chain of value - if we are able to describe its commercial properties in a harmonized language.

Read more on digital business atoms here.

3. Change

Obviously the world as we know it is going through radical change, given the digital innovation under ways and to be forecasted. The ability to point out, incubate and implement innovations / changes / projects is therefore a key skill of the digital age. The teaching of previous generatrions of technological evolution is that there exists a common formula for change, no matter if the change is technological, organizational, cultural, political, and whether it takes place in the commercial market, internally within an organisation, or between people in civil society.

Read more on the formula for change here.

4. Framework conditions

Our world becomes increasingly uncontrollable as citizens and companies are becoming able to manage their own lives through new digital capabilities. Shaping the development of society has become a complex task. In the light of the rapidly changing societies and accelerating globalization political instruments are gradually changing from traditional detailed regulation towards market based incentives, and from pasive subsidies towards the enabling of innovative markets of that which is to be promoted. The broad term being used in the OECD-discourse for this trend is that policies must create framework conditions to influence the development of society in the direction desired.

Read more on framework conditions here.

Sources

As said, this website is the result of a travel for knowledge taking place for several years, that I have had the pleasure of experiencing during my working career. My digital experiences have been gained in fruitful knowledge environments, focusing on industrial and innovation policy, puclic sector digitization and IT architecture, most often across the organizational boundaries that we have inherited from industrial society. I owe great thanks to enthusiastic and competent colleages and leaders on my way.

Read more on the knowledge environments that have prepared the ground for this website here.

I wish you a pleasant reading experience !

Morten Hass

 

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