Smart City 102761 Gran Concepción INTRODUCING SUSTAINABLE OPEN INNOVATION IN GOVERNMENT APPLIED METHODOLOGY FOR CITIES Victor Mulas Jean Barroca Senior Program Officer Open Innovation Consultant World Bank Innovation Labs December 2015 www.innovatingcities.org/chile This work is available under the Creative Commons Attribution Non-Commercial 3.0 IGO license (CC BY NC 3.0 IGO). Under the Creative Commons Attribution Non-Commercial license, you are free to copy, distribute, transmit, and adapt this work for non-commercial purposes, under the following conditions: Attribution—Please cite the work as follows: Mulas, Victor; Barroca, Jean. 2015. Introducing Sustainable Open Innovation in Government: Applied Methodology for Cities. 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All queries on rights and licenses should be addressed to the Publishing and Knowledge Division, The World Bank, 1818 H Street NW, Washington, DC 20433, USA; fax: 202-522-2625; e-mail: pubrights@ worldbank.org Contents Contents 5 Authors and Acknowledgments 6 Abbreviations 7 Executive Summary 10 Background 12 Counterparts and Partners 14 Project Components 15 Component 1: Codesign workshop on technology solutions for local and municipal challenges in the transport sector Component 2: Diagnosis, vision, and roadmap to support open innovation and technology solutions for local and municipal 18 services 21 Component 3: Cocreation event and competition aimed at municipal services 25 Component 4: Strategic planning workshop for the development of a local innovation hub 28 Presentation of Results 29 Impact of the Activity 29 Impact in Gran Concepción 29 Impact in Chile: Scaling up the model throughout the country and other sectors 30 Impact in World Bank projects and activities: Replicating the methodology 32 Appendix A: Activities of the World Bank related to this activity 35 Notes List of Tables 13 Table 1: Major counterparts and partners 16 Table 2. Institutions participating in Component 1 16 Table 3: Concepts of technology solutions to address challenges 18 Table 4: Government and nongovernment stakeholders interviewed 19 Table 5: Joint agreed roadmap for sustainable transportation in Gran Concepción 22 Table 6: Selected nongovernment partners contributing and actively involved in the MueveTT competition 23 Table 7: Technology solution concepts selected for acceleration 26 Table 8: Innovation Hubs participating in Component 4 26 Table 9: Selected participants In the cocreation workshop for a local innovation hub 28 Table 10: Action lines for Gran Concepción hub as defined by cocreation workshop List of Boxes 11 Box 1: Open innovation and the smart city approach 17 Box 2: Challenges and real-time demonstration as catalyzers for behavioral change 22 Box 3: Transport challenges for the MueveTT competition 24 Box 4: Despierta: how an open innovation process can solve public services challenges with unexpected ingenuity 27 Box 5: Local innovation hub 30 Box 6: Government activities resulting from or inspired by Smart City Gran Concepción activity Box 7: Main forums and conferences in Chile where the Bank team presented the concept and advances of Smart City Gran 31 Concepción Authors and Acknowledgements Victor Mulas and Jean Barroca are the authors of this of the Ministry of Transport and Telecommunications report. Catalina Marulanda, Emmy Yokoyama and Ilari was led by Pedro Vidal and included Nicolas Grandón Lindy peer reviewed and provided comments to this and Alejandro Melo. Fundación País Digital actively report. Colin Blackman edited the report and Samhir collaborated in the implementation of this activity with Vasdev was its creative director. Juan Luis Núñez and Diego Cooper. Mikko Koria from Aalto University had an active role in the design and Smart City Concepción activity was implemented by a implementation of component 4 of the activity. Jose team led by Victor Mulas comprised of Jean Barroca, Antonio Galaso (Citilab), Frank Kresin (Waag Society), Eva Clemente-Miranda, Samhir Vasdev, Nicole Amaral Anna Majó (Barcelona Urban Lab) and Roope Ritvos and Arturo Muente-Kunigami, who acted as TTL. Diego (Forum Virium) provided expert advice and participated Canales supported the team in component 3 of the in this component. activity. The counterpart team from the Smart City Unit Introducing Sustainable Open Innovation in Government Page 5 Abbreviations 4YFN Four Years From Now conference CCTV Closed-circuit television CONICYT National Commission for Science and Technology Research CORFO Corporación de Fomento de la Producción de Chile Departamento Universitario Obrero Campesino – Professional Institute part DUOC UC of Pontificia Universidad Católica de Chile FESUB Regional railway service GovLab Government Laboratory ICT Information and communications technology INACAP Instituto Nacional de Capacitación - Professional Institute Innova Biobio Regional government agency supporting innovation and entrepreneurship LLI Leadership, Learning and Innovation unit of the World Bank MIEP Mobile Internet Ecosystem Project MiHub Mobile Innovation Hub MINVU Housing ministry and urban planning MOP Road planning unit MTT Ministry of Transport and Telecommunications ONEMI Disaster risk management unit PPP Public-private partnership PPPP Private Public and People Partnership SAMU Emergency services SECTRA MTT’s Planning Secretary SEREMITT Regional Secretary, Ministry of Transport SFLAC Spanish Fund for Latin America and the Caribbean UOCT Traffic control center Introducing Sustainable Open Innovation in Government Page 6 Executive Summary Smart City Gran Concepción is a World Bank Technical designed in Colombia with enhancements based on the Assistance activity to support more efficient municipal lessons learnt from that first experience. Smart City and local public services in Chile that leverage technology Gran Concepción followed four components: (information and communications technology, ICT) 1. A codesign workshop on technology solutions for and social entrepreneurship (that is, a bottom-up local and municipal challenges in the transport smart city model). The activity was requested by the sector. Ministry of Transport and Telecommunications (MTT) 2. Diagnosis, vision and a roadmap to support open and was funded by the Spanish Fund for Latin America innovation and technology solutions for local and the Caribbean (SFLAC). It was conducted in Gran and municipal services. Concepción, the second largest urban area in Chile, between November 2013 and October 2014. 3. A competition for cocreation of technology solutions for transport challenges. New methodology for the design and delivery of 4. A cocreation workshop for a strategic plan for municipal and local services the development of a local innovation hub. Smart City Gran Concepción implemented a new These components involved interactive workshops, and methodology for design and delivery of municipal diagnosis and cocreation exercises. The components services in Chile using open innovation methodologies were structured in a sequential order to allow each that were first designed and implemented by the World one to build upon the results and the community of Bank in 2012-13 in Colombia (that is, in Barranquilla, partners developed by the previous component. The Cali, and Manizales). Although these methodologies first component began with a small group of local and can be applied to any municipal or local sector, the municipal government officials and aimed to develop Government of Chile requested a focus on the transport champions among these officials to serve as anchors for sector. The activity followed the initial methodology the following components. The second component Introducing Sustainable Open Innovation in Government Page 7 1 2 3 4 DEMONSTRATION VISION AND PRACTICAL OPEN SUSTAINABILITY AND CHAMPIONS PARTNERS INNOVATION MECHANISM Codesign workshop Diagnosis, vision, and Cocreation event and Strategic planning on technology roadmap to support competition aimed at workshop for the solutions for local open innovation and municipal services development of a and municipal technology solutions local innovation hub challenges in the for local and municipal transport sector services introduced city stakeholders, such as the private sector, government throughout the activity created a network universities, and civil society, enlarging the audience of champions to help continue the implementation of and partners in the activity. The third component added the open innovation methodologies and to mainstream entrepreneurs and citizens. The fourth built on the whole them throughout other municipal and local sectors coalition of partners engaged throughout the activity to beyond transport. Gran Concepción has a local Smart cocreate a model to provide sustainability for the open City Unit from MTT embedded in the local government innovation process in Gran Concepción. and has implemented open innovation processes for codevelopment of services (including a follow-up Impact competition on technology solutions for local and municipal challenges). Two of Gran Concepción’s The activity had a threefold impact: 1) it achieved municipalities have a Smart City plan and one of them its objectives in Gran Concepción and proved the is developing an urban lab with the city ecosystem, methodology to be effective; 2) it catalyzed the adoption including the private sector, universities, and civil of the bottom-up smart city model following this new society), based on the ideas and design of the cocreation methodology throughout Chile; and 3) it expanded the workshop for the innovation hub (component 4 of the implementation and mainstreaming of the methodologies activity). developed and tested through this activity in other Bank 2) Catalyzing and mainstreaming the smart city model projects. throughout Chile 1) Objectives in Gran Concepción Smart City Gran Concepción also had a broader impact The activity introduced open innovation methodologies in Chile. The Government of Chile, through MTT, the to Gran Concepción’s municipal and local transport Corporación de Fomento de la Producción de Chile services and trained local and municipal officials as well (CORFO), and the Regional Metropolitan Government as the Smart City Unit of the Ministry of Transport to of Santiago, implemented the open innovation replicate and mainstream these methodologies within methodology throughout Chile. The Smart City Unit Gran Concepción’s municipal and local services and team, who implemented the activity in partnership with throughout the country. the Bank team, was instrumental in this expansion. The government activities that resulted from, or were The “training by doing” of local and municipal officials in inspired by, Smart City Gran Concepción are summarized Gran Concepción and their empowerment within local below: Introducing Sustainable Open Innovation in Government Page 8 • MTT developed a nationwide Smart City • MTT worked together with Chile’s Government Strategy embracing the bottom-up approach Laboratory (GovLab) and other government of Smart City Gran Concepción, having organizations to mainstream the open implemented open innovation competitions for innovation approaches for government services transport services in six regions throughout the beyond the transport sector. country (Temuco, Puerto Montt, Concepción, 3) Scaling up of methodology implementation Antofagasta, Coquimbo and Valparaiso). throughout Bank projects and activities • The Smart City Unit of MTT expanded its work The methodology implemented and tested in this activity program to include: i) catalyzing public-private for cocreation of innovation hubs was replicated in two partnerships (PPPs) and government funds to other activities of the World Bank in Lebanon (Mobile develop open innovation processes for public Internet Ecosystem Project) and Egypt (Innovation goals; and ii) inspiring the entrepreneurship Ecosystem Development Strategy), and is being codified ecosystem through universities, promoting the for replication by the World Bank and interested third development of open innovation competitions parties in collaboration with the Leadership, Learning and supporting their implementation. and Innovation (LLI) unit of the Bank. This toolkit will be available to the public and will allow other projects • CORFO developed the Regional Strategic Smart to implement the methodology across sectors and City Program for the metropolitan government geographies. of this region following smart city principles. Following this plan, the regional metropolitan government created a Fund for Competitiveness together with MTT to support the development of the smart city model in Santiago. Introducing Sustainable Open Innovation in Government Page 9 Background Smart City Gran Concepción is a World Bank Technical innovation ecosystems that can create synergies Assistance activity funded by the Spanish Fund for Latin between the public and private sectors, America and the Caribbean (SFLAC) to support more universities, and civil society at a local or regional efficient municipal and local public services through level. technology and open innovation methodologies, that is, using a bottom-up smart city approach (see Box The activity had the following four components: 1) and development of local innovation ecosystems. 1. A codesign workshop on technology solutions for The sector selected for the activity was transport and local and municipal challenges in the transport the main counterpart was the Ministry of Transport sector. and Telecommunications (MTT). The activity was 2. Diagnosis, vision and a roadmap to support open implemented in Gran Concepción, the second largest innovation and technology solutions for local and urban area of Chile (after Santiago) between November municipal services. 2013 and October 2014. This activity was designed as a 3. A competition for cocreation of technology pilot test for these methodologies, which could then be solutions for transport challenges. scaled up at national level to other cities nationwide and other sectors (beyond transport). 4. A cocreation workshop for a strategic plan for the development of a local innovation hub. The objectives of Smart City Gran Concepción were: These components involved interactive workshops, and • to introduce open innovation and use of diagnosis and cocreation exercises. The components information and communication technology were structured in a sequential order to allow each (ICT) tools to improve delivery and planning of one to build upon the results and the community of municipal and local services; and partners developed by the previous component. The first component was limited to local and municipal • to foster the development of local sustainable government officials and aimed to develop champions Introducing Sustainable Open Innovation in Government Page 10 BOX 1: OPEN INNOVATION AND THE SMART CITY APPROACH Open innovation is a methodology to design and implement solutions or services collaboratively by integrating all stakeholders in a city (including public institutions, companies, academia, entrepreneurs, and citizens) in the service design process and its implementation. The result of these methodologies is a more targeted service solution (since the beneficiaries participate in the design process) and more active participations from citizens and other city stakeholders in service delivery and implementation (for example, citizens may become active service providers as opposed as passive receivers of city services). Introducing and implementing open innovation for city services combined with technology solutions is part of the bottom-up, smart city approach (as opposed to a top-down approach where technology solutions and service design and planning are imposed by the city government with little or no involvement of citizens). among these officials to serve as anchors for the third parties and will be publicly available.1 following components. These champions would also be the seed for the open innovation community within Upon completion of the activity’s components, a the city government to expand open innovation to workshop was conducted in Santiago de Chile where the other sectors beyond transport. The second component results were presented and the scalability of the model introduced city stakeholders, such as the private sector, was discussed with MTT officials as well as with the universities, and civil society. The third component representatives of the regional government of Santiago added entrepreneurs and citizens. The fourth de Chile. The activity resulted in the MTT’s Smart City component built on the whole coalition of partners Strategy, announced in September 2014 by the Transport developed during the activity to cocreate a model to Viceminister, which embraces the open innovation provide sustainability to the open innovation process in and bottom-up methodology of the smart city model Gran Concepción. for transport in the country, as well as in many other government initiatives to support the Smart City Gran The activity’s methodology and sequence was first Concepción model. designed and tested for the 2012 Colombia Open Innovation Platform activity, where it was implemented in three cities (Barranquilla, Cali and Manizales). The Smart City Gran Concepción activity applied the lessons learnt in the first iteration of the methodology and expanded its impact by developing a strategic plan for local innovation hubs with the ecosystem stakeholders. The approach and methodology applied is being codified for replication and implementation by the World Bank or Introducing Sustainable Open Innovation in Government Page 11 Counterparts and Partners The leading counterpart of the project was the Ministry the process (being part of all team meetings and of Transport and Telecommunications (MTT), and decisions, including the design of the activities). As the within it the Smart Cities Unit under the Transport activity progressed and the Smart Cities Team learnt Viceministry. The head of the Smart Cities team was more about open innovation methodologies, its members directly involved in the activity with another member took a more active a prominent role, with the Bank team working full time and with a new liaison position being taking a more supportive role. As part of the capacity created in Concepción. Other members participated part building, the project partnered with the Barcelona Urban time. In addition, the municipalities of Gran Concepción Technology and Innovation Hub to provide training in (primarily Chiguayante, Concepción, Talcahuano and San Barcelona to the head of the Smart City Unit on open Pedro de la Paz, which represent over 60 percent of the innovation (within the City as a Laboratory training). population) and the regional government (through the This consisted of a one-week practical course on open transport sector area, SEREMITT, Regional Secretary innovation, and included participation in the Smart of MTT) acted as government counterparts. Finally, the City Expo World Congress. This training course was Ministry of Economy, through CORFO and Innova BioBio also codified and made available for replication by third (the branch of Innova Chile in the Concepción region), parties and the World Bank and forms part of the World and the Ministry of the Presidency, through the Digital Bank’s Open Innovation in Cities activity.2 Government Unit, also participated and collaborated actively in this activity, providing in-kind support through Owing to the special nature of cities in Chile, where city their teams in one or more components and through governments are limited to municipalities and authority participating in the activities. is limited to basic municipal functions and shared with the regional and central government,3 the project was The activity was designed to build capacity in the Smart designed to build consensus among public stakeholders Cities Unit team, who worked side-by-side with the and bring the different public institutions together World Bank team. They played an active role throughout before opening up to broader consensus with the city Introducing Sustainable Open Innovation in Government Page 12 stakeholders (for example, universities, private sector, dynamic, creating a coalition of partners through the entrepreneurs, and so on). This included a preliminary activity, where partners committed to collaborate with phase to map all stakeholders and present the activity direct or in-kind contributions (for example, most of the to the local and regional stakeholders to achieve buy-in, workshops were conducted in the regional government’s direct involvement, and collaboration from each one premises). of them. The components of the activity followed this TABLE 1: MAJOR COUNTERPARTS AND PARTNERS * Details of individual organizations within these categories are specified in each component. GOVERNMENT COUNTERPARTS AND PARTNERS NON-GOVERNMENT PARTNERS Ministry of Transport and Telecommunications (MTT) - País Digital Foundation - Main Non-Government Partner Main Counterpart CORFO (Government agency supporting innovation and Local and national universities* entrepreneurship) Ministry of Presidency, Modernization and Digital Gov- Local and national civil society organizations* ernment Unit Ministry of Economy, Digital Strategy Unit Private sector* Ministry of Education, CONYCIT (National Commision for International partners (Private sector and universities) * Science and Technology Research) BioBio Regional Government Santiago Regional Metropolitan Government Innova BioBio (Regional government agency supporting innovation and entrepreneurship) Municipalities of Chiguayante, Concepción, San Pedro de la Paz and Talcahuano Introducing Sustainable Open Innovation in Government Page 13 Project Components 1 2 3 4 DEMONSTRATION VISION AND PRACTICAL OPEN SUSTAINABILITY AND CHAMPIONS PARTNERS INNOVATION MECHANISM Codesign workshop Diagnosis, vision, and Cocreation event and Strategic planning on technology roadmap to support competition aimed at workshop for the solutions for local open innovation and municipal services development of a and municipal technology solutions local innovation hub challenges in the for local and municipal transport sector services Introducing Sustainable Open Innovation in Government Page 14 Project Components: 1. Demonstration and Champions A video summary of this component may be accessed at: http://bit.ly/1VffqKq Codesign workshop on technology solutions for followed a design-thinking methodology with three local and municipal challenges in the transport sequential phases: sector 1. Context analysis The objective of this component was to introduce 2. Codesign workshop open innovation methodologies to local and municipal 3. Implementation and testing of concepts government officials. To do this, a workshop was conducted with these officials to cocreate concepts of In the context analysis, interviews were conducted rapid prototypes to solve specific challenges faced in with more than 20 public officials representing local their work. Ultimately, the component served to identify and municipal services with authority on transport supporters among local and municipal officials who were matters and other services that impact transport willing to embrace the open innovation methodology directly or indirectly (see Table 2). These interviews that: i) would support the implementation of the activity were not intended to diagnose issues with the transport as active collaborators in the rest of components and sector. Rather, the focus was to identify the challenges interactions with the city stakeholders (for example, that public officials face in their day-to-day work and universities, entrepreneurs, private sector, civil society, which would form the basis for the second phase. The and so on); ii) would champion the introduction of these challenges identified were both concrete issues that methodologies in local and municipal services beyond the could be addressed rapidly with existing technology immediate project; and iii) would serve as role models for solutions as well as more abstract ones that would other local and municipal officials in Chile beyond Gran require a more structured process to develop potential Concepción and the transport sector. solutions. The challenges adopted in this component were the former, whereas the later ones were addressed The component was developed in January 2014 and Introducing Sustainable Open Innovation in Government Page 15 TABLE 2: INSTITUTIONS PARTICIPATING IN COMPONENT 1 INSTITUTION DESCRIPTION SEREMITT Regional Secretary Ministry of Transport UOCT Traffic Control Center MINVU Housing Ministry and Urban Planning MOP Road Planning Unit SECTRA MTT’s Planning Secretary SAMU Emergency Services ONEMI Disaster Risk Management Unit Crime Prevention Unit and Regional Police Traffic Police Department Municipalities of Concepción, Talcahuano and San Pedro de la Paz Traffic Units in component 3 (see below). these kind of solutions beyond normal operations in their daily jobs. A simple app that could be developed In the workshop, public officials worked together to in one day at low cost (using open source software over create concepts of technology solutions to solve the Android) resolved one of the problems that these officials identified challenges. Examples of rapid technology faced because of the limited information that feeds the solutions were presented as inspiration for the public traffic control center (see Box 2). officials, working in teams, to design their own concepts. The workshop resulted in four concepts (see Table 3), The final phase of this component was the from which one (iTransConcepción) was selected for implementation and testing with citizens of the testing and implementation by the Modernization and technology solution based on the selected concept, E-Government Unit. iTransConcepción. This was offered by the Modernization and E-Government Unit under the Although it was not selected for implementation, Ministry of Presidency, which acted as a partner in the the Bank team developed a rapid prototype of the activity. “Ciudadano Te Informa” concept, showing in practice how The results of this component were the following: citizens could report traffic incidents in real time to a traffic control center. This demonstration and real testing • Identification of public officials willing to by the traffic control center’s officials was persuasive introduce the open innovation methodology and resulted in a tipping point for the officials to embrace TABLE 3: CONCEPTS OF TECHNOLOGY SOLUTIONS TO ADDRESS CHALLENGES CONCEPT DESCRIPTION Online and mobile accessibility system for citizens to access iTransconcepción public transportation and traffic information (e.g., congestion, accidents, etc.) Mobile app to engage citizens in adopting public lights and owe Cuida tu Luz (Take Care of your Public Light) their preservation (following the “adopt my hydrant” model) Mobile app to incentivize citizen participation in public services Cuido mi Barrio (Take Care of your Neighborhood) for neighborhoods through rewards systems Real-time citizen reporting system of traffic incidents, providing Ciudadano te Informa (Citizen Reports) a direct real-time feed to traffic control centers Introducing Sustainable Open Innovation in Government Page 16 in their work and the building of a coalition of and a plan for implementation of a technology supporters; solution to address one of the challenges; and • Development of four concepts of technology • Identification of abstract challenges for solutions in response to concrete challenges component 3. Introducing Sustainable Open Innovation in Government Page 17 BOX 2 CHALLENGES AND REAL-TIME DEMONSTRATION AS CATALYZERS FOR BEHAVIORAL CHANGE The following example shows the power for behavioral change of the identification of real challenges and provision of rapid solutions that can be tested by the challenge providers. The public officials of the traffic control center of Gran Concepción faced the constant challenge of having to react to traffic incidents and flows of traffic in the city with limited information for their decision-making. The city has a network of sensors and CCTVs. However, it is insufficient to cover the Gran Concepción area. CCTVs were particularly limited for an urban area of the size and population of Gran Concepción and did not cover much of the traffic infrastructure. Sensors were even more limited. As a result, the public officials from the traffic control center could not realize oft traffic congestions or incidences through their monitoring systems. Instead, and as reported by these officials, citizens suffering the traffic incidence would call the local radio broadcaster news service (Radio BioBio) to complain, which would, in turn, call the local politician responsible for traffic management in the area and demand responsibilities through live broadcasting. Understandably, this caused tension through the command chain, with an urgent call for fixing the incidence. This was reported to be a very stressful situation by the traffic control officials, who had to physically displace to where the incidence was happening to understand how to respond while pressed for urgent solutions. The concept of technology solution developed to address this challenge was a Citizen Reporting App (mobile application) whereby citizens could report directly traffic incidences through their phones with automatic geolocation. This reporting would feed the traffic control center’s dashboard in real time. This concept was co-developed by the traffic officials and the Bank and MTT team. In order to demonstrate how this app would work and what kind of information the dashboard would show in practice, the team developed a rapid prototyping using an Android phone and open software for geolocation and reporting. The prototype was then demonstrated in real-time to these officials, which could use it and see how it would work in practice to address their problem. After this demonstration, the public officials that participated in this workshop from the traffic control team became champions of the activity throughout the process and beyond (through the Ministry of Transport strategy – see above). Introducing Sustainable Open Innovation in Government Page 18 Project Components: 2. Vision and Partners A video summary of this component may be accessed at: http://bit.ly/1Wnd2UA Diagnosis, vision, and roadmap to support open to implement local and municipal services to support innovation and technology solutions for local and sustainable transportation in Gran Concepción. municipal services In the diagnosis exercise, government and city The objective of this component was to build consensus stakeholders were interviewed (see Table 4) to identify among government and city stakeholders and develop the current use of technology solutions to support local a common vision to introduce open innovation and municipal transportation services as well as available methodologies in municipal governments. The databases currently in use to support these services. As component was developed in March 2014 through two a result, an inventory was created of databases and data parallel activities: i) a diagnosis of the use of technology in sets available for potential use by developers in creating local and municipal transport services; and ii) a foresight technology solutions to support transport local and exercise to develop a common vision and roadmap municipal services. This information was applied to the TABLE 4: GOVERNMENT AND NON-GOVERNMENT STAKEHOLDERS INTERVIEWED INSTITUTION DESCRIPTION SEREMITT (Regional Secretary of MTT) Taxi and Bus Regional Business Association University of Concepción - Center for Integral Management and UOCT (Traffic Control Center) Transport Services in Concepción FESUB (Regional Railroad Service) Pordondevalmicro (NGO) SECTRA (Regional Secretary of Transport Planning) Concebus (NGO) MINVU (Regional Secretary of Housing and Urban Planning) Introducing Sustainable Open Innovation in Government Page 19 competition conducted in component 3 (see below). well as additional ones that participated in component 1 (including the municipalities). The foresight exercise followed a methodology that combined design thinking, consensus building, and The validation was followed by a vision and roadmap foresight methodologies, and was structured in two workshop in which all stakeholders participated. The phases: vision and roadmap exercise mixed representatives from different stakeholders in four groups, each of which 1. Analysis and diagnosis adopted the role of a user of transport services in Gran 2. Vision and road map Concepción (that is, the driver of public bus, a family, a student, and a visitor/tourist). Each group developed The analysis and diagnosis conducted a SWOT analysis a vision for a sustainable transport service in Gran of the transport in Gran Concepción through workshops Concepción by 2025. The exercised continued with the with the different municipal and local government development of a road map to achieve this vision, which officials identified in the previous component. This SWOT included intermediary objectives (2015, 2019, and 2025) analysis was then validated in a common workshop and resources needed to achieve the objectives. with all the local and municipal officials interviewed and participating nongovernment stakeholders (see above) as During each of the phases of the workshop, teams had TABLE 5: JOINT AGREED ROADMAP SUSTAINABLE TRANSPORTATION GRAN CONCEPCIÓN INITIATIVE 2015 2019 2025 Change Management and Development for Innovation Identification of change agents Policy Planning - open data Creating open government policy GovLab creation: innovation lab for Public Administration Continuation of co-creation competitions GovLab integration with the Innovation Hub Creating the Government Innovation Award Pilot projects for innovative urban policies Implementation of ideas of public policy GobLab Innovation in the infra-structure, means of urban public transportation and services Creating regulations for the procurement of innovative products Wireless university projects for promoting entrepreneurship in to support urban public transportation Pilot projects for innovation in payment of public transport Integrated Platform for Transport of the Grand Design Platform Design Agreements between local organizations on governance model Agreements between local organizations for data sharing Development of the first version of the Platform Pilot projects – sensing technologies Second version of the platform with sensing data Creating API to interface with external applications Innovation pilot projects - payment service Incoming data integration organizations Competitions for innovation in services Introducing Sustainable Open Innovation in Government Page 20 to present to each other and discuss the findings of each The results of this component were the following: group. The final outcome was a joint and agreed road map for sustainable transportation in Gran Concepción • Diagnosis and inventory of technology solutions, supported by technology solutions (see Table 5). The databases and datasets supporting transport main goals of the roadmap are: i) to align investments services in Gran Concepción; in technology solutions for the period 2020-25 in an • Joint government and city stakeholders integrated policy of the various existing administrative vision and roadmap exercise for sustainable levels in Gran Concepción, and ii) to build consensus with transportation in Gran Concepción, supported city stakeholders of the vision and roadmap for their by open innovation and technology solutions; active participation through open innovation. and The workshop concluded with the identification of • Identification of change agents for the change agents among local and municipal government sustainability and mainstreaming of open officials to support the project. These change agents innovation methodologies. will be the supporters of the activity, being trained in open innovation methodologies along with the activity components. The goal of these change agents is to provide sustainability to the activity and extend the knowledge gained in open innovation to other municipal and local services, as well as other government entities beyond Gran Concepción. Introducing Sustainable Open Innovation in Government Page 21 Project Components: 3. Practical Open Innovation A video summary of this component may be accessed at: http://bit.ly/1FzDohA & http://bit.ly/1VfbKOh Cocreation event and competition aimed at 2. Competition (June 2014) municipal services 3. Acceleration (July-October 2014) The objective of this component was to: i) develop a The engagement phase comprised two preparatory practical exercise of open innovation for public service workshops (“preparatory clinics”) where local and challenges, and ii) create a community of local social municipal officials presented the challenges to the local entrepreneurs. To achieve this goal, the component community of entrepreneurs and city stakeholders, conducted a competition for entrepreneurs to address including the private sector, civil society, and so on). The transport challenges through technology solutions. The goal of these workshops was to: i) introduce and explain competition served as hands-on training for local and the challenges (see Box 3), and ii) kickstart the interaction municipal governments to engage with entrepreneurs, between local and municipal officials and entrepreneurs. the private sector and civil society and work jointly to This phase of social interaction was crucial to the solve local and municipal challenges, while catalyzing preparation of the competition where these two groups, the development of a local entrepreneurship community. which had not worked together before, would have to Ultimately, the competition provided practical examples interact constantly in the development of technology of open innovation processes and results, with the solutions. development of models of technology solutions to address local and municipal challenges. The competition, branded MueveTT lasted two days and followed a hackathon methodology, with elements of The component was developed between May and design thinking and application of a business canvas. The October 2014 and had three phases: competition was a joint effort with the private sector, 1. Engagement (May 2004) academia, and civil society, who collaborated actively via Introducing Sustainable Open Innovation in Government Page 22 BOX 3: TRANSPORT CHALLENGES FOR COMPETITION MUEVETT How to reduce vandalism in bus stops, buses and traffic signals? How to incentivize drivers to abide traffic rules? How to collect traffic information to make the city more sustainable? How to improve public transportation travel experience? How to reduce mortality in traffic accidents in rural areas? How to foster alternative modes of transportation to make the city more sustainable? sponsorship, in-kind contribution (for example, materials) The teams that were selected entered the final three- and mentorship (see Table 6). month phase, where they had to develop a minimum viable prototype of the solution, a basic business plan, The competition had 50 participants in 14 teams. and a pitch presentation for the final selection. This Each team was required to have design, business and phase was a rapid acceleration conducted by specialized technology skills and they had to present a concept of a mentors supporting the teams. Only four teams finished technology solution that addressed one of the challenges this phase and presented pitches for the competition. presented. Teams could choose any technology (for The jury was composed of the head of the accelerator example, software, hardware, and so on) for their Wayra in Chile, the Viceminister of Transport, and a solution. The presentation was in the form of a three- member of the World Bank team. The two winners of minute pitch. the competition were Despierta and Refugio Inteligente. Despierta evolved its initial concept to provide access More than 10 mentors, with expertise in design, to public transportation in Gran Concepción for blind business, technical and entrepreneurship skills, people (see Box 4). Refugio Inteligente kept its initial supported the teams. During the process, relevant local concept for a vandal-proof bus stop. and municipal officials worked with the teams to make the technology solutions applicable to the specific The prize for the winners of the competition consisted challenge. A jury of technical and entrepreneurial of a study tour to Madrid and Barcelona, Spain, where professionals together with selected public officials the teams met selected entrepreneurs, mentors, chose five concepts for the following phase. Two and potential investors to support the commercial additional concepts were selected because of social development of the project. The study tour was impact considerations (see Table 7). conducted in February 2015 and included participation TABLE 6: SAMPLE OF NON-GOVERNMENT PARTNERS CONTRIBUTING AND ACTIVELY INVOLVED IN MUEVETT COMPETITION * Incubator of University also participates PRIVATE SECTOR ACADEMIA/UNIVERSITY INCUBATORS CIVIL SOCIETY Movistar Universidad BioBio* País Digital (Foundation) Wayra DUOC UC Red Plus (NGO) Microsoft INACAP Observatorio Metropolitan (NGO) Indra Universidad de Desarrollo* No más abusos (NGO) CVX-R Universidad de Concepción* CIDERE (Chamber of Commerce) CORBIOBIO (Regional Development MCI Electronics PPP Assocation) Introducing Sustainable Open Innovation in Government Page 23 TABLE 7: TECH SOLUTIONS CONCEPTS SELECTED FOR ACCELERATION * Selected because of their social impact potential CONCEPT CATEGORY DESCRIPTION Geo-reference system tagging housing in rural roads to identify geo-location of emer- 911-R Mobile App gency in rural areas targeting the lack of uniform addresses in rural areas. Alarm that is programmed based on geo-location of destination to warn public trans- Despierta [Wake Up] Mobile App portation user of proximity of desired stop. These solution address the lack of formal stops in public transportation. Model of bus stop with modular pieces and smart materials resistant to vandalism. Refugio Inteligente Smart Materials The design include additional services, such as WiFi or USB chargers aiming at reduc- [Smart Bus Stop] ing vandalism in bus stops. Bicycle rack with IP camera and weight sensors that detect if the bicycle is being stolen and sends an alarm to a cellphone or the security desk of building (e.g., office i-BiciPark [i-BikePark] Sensors building). This app addresses bicycle thief, one of the main reasons reported for not using such mode of transportation. Travel planner for Gran Concepción public transportation. This app address the lack of Ya Voy [On My Way] Mobile App information for public transportation routes available in the street. Drones designed to provide CCTV feed for traffic control addressing the lack of CCTV Alerta Drone* Robotics feeding available in the city. These drones could be used for incidences, reducing the [Drone Alert] need for physical inspection of temporal incidences. Mobile app coordinating demand and supply of collective taxis. This app addresses the Tu Colectivo* [Your Mobile App traffic congestion created by collective taxis that wait in their initial stop until being Shared Taxi] filled with passengers. in the conference Four Years From Now (4YFN), one The results of this component were the following: of the major startup conferences in Europe, where startups can pitch and introduce themselves to potential • Hands-on training of local and municipal investors. The teams had access to mentorship and government officials and practical exercise of an pitching sessions during the conference, as well as open innovation process through competition participation in a global startup competition, Kairos to develop technology solutions for public Hackathon, organized by Kairos Society. One of the challenges; teams, Despierta, was selected as finalist within a social • Practical collaboration among public, private, impact competition. A specific track was designed for academia and civil society partners and Refugio Inteligente to get access to digital fabrication strengthening of a coalition of city stakeholder and smart materials expertise present in Barcelona partners for the local and municipal government (including meetings with FabLab and other digital to implement open innovation in Gran fabrication labs). The study tour was conducted in Concepción for a local innovation hub (see collaboration with Wayra with visits to the accelerators component 4); of Wayra Barcelona and Madrid and meetups with resident cohorts of entrepreneurs. A specific training • Kickstarting of a local entrepreneurship workshop for pitching was provided by Cink Emprende in community for social innovation and public Madrid, who also partnered with the Bank, in preparation services challenges; and of the pitch opportunities in the 4YFN conference. • Development of two practical concepts of technology solutions: Despierta and Refugio Inteligente, which can serve as role models to the nascent community. Introducing Sustainable Open Innovation in Government Page 24 BOX 4 DESPIERTA: HOW AN OPEN INNOVATION PROCESS CAN SOLVE PUBLIC SERVICES CHALLENGES WITH UNEXPECTED INGENUITY Despierta is one of the two concepts of technology solutions that won the MueveTT competition. It was developed by a team of students from the local universities with the aim of improving the travel experience in Gran Concepción public transportation. In Gran Concepción, the main mean of public transportation is the micro-bus, a fleet small busses that follow routes around the conurbation. This micro-buses are managed by private companies, which have a concession for a specific routes. Although the micro-buses follow a route, there are no formal stops, and the bus can be hail in any point through its route. To request the bus to stop, passengers request verbally the driver to stop where needed. The initial concept of Despierta, as conceived by the team at the ideation part of the competition, was a mobile app whereby the user could set the geolocation of the destination through a user-friendly map interface (e.g., google maps) for the mobile phone to alert the user via an alarm 200 meters before arriving destination. The thought behind it related to the personal experience of the team’s members using Gran Concepción micro-buses. As a university town, students are one of the main users of the micro-buses in the conurbation. When going to classes in the morning, it is often the case that students get slept on route, missing their stop and needing to wait for the micro-bus to finish the route and come back to arrive to the missed destination. The app aimed to solve this issue. The Bank team, together with the local and municipal government officials serving as mentors in the competition, worked closely with the competition teams to help them in developing their concepts and maximize social impact to support the public goals behind the competition challenges (see Box 2). This support has the form of suggestions and ideas within the ideation and brainstorming process of the competition teams. Within this process, the Bank team suggested to the Despierta team to consider the disabled blind population as a target for this mobile app concept. The team responded positively, and expanded their initial concept for the mobile app to include specific features for the disabled blind population. The final concept of the app that was presented to the final and that won the competition was designed for the disabled blind population. The mobile app would allow a blind person to ask the phone via verbal instructions to alert her when the micro-bus is arriving to hail it, and then program the phone to alert via a sound alarm of the proximity (200 meters) of the destination to request the micro-bus to stop. With this design, Despierta become an ingenious solution to address a public service gap in the public transportation infrastructure in Gran Concepción, which could not be access by the disabled blind population. Instead of the traditional solutions applied to make the public infrastructure applied to disabled blind population (e.g., braille signaling, physical signaling in pavement and bus stops, etc.) a team of students-entrepreneurs provided a quick solution that can be scaled up rapidly through the whole public transportation infrastructure of the conurbation with no cost to the local and municipal government. Furthermore, as a startup, this solution would also create entrepreneurship and be a source of employment. Introducing Sustainable Open Innovation in Government Page 25 Project Components: 4. Sustainability Mechanism A video summary of this component may be accessed at: http://bit.ly/1KDBDz8 Workshop methodology and materials may be accessed at: http://Concepción.innovationubs.org Strategic planning workshop for the development facilitated consensus building among stakeholders, buy- of a local innovation hub in of the final concept, and a pragmatic design of actions appropriate to the reality on the ground. The objective of this component was to cocreate with city stakeholders a strategic plan for a local innovation This component was conducted in October 2014 and hub, which would serve to strengthen, develop, and had three phases: provide sustainability to the local entrepreneurship 1. Preparation ecosystem and the open innovation process for local and municipal governments. A local innovation hub is 2. Cocreation workshop an institutional arrangement where city stakeholders 3. Presentation of results and consensus interested in the development and growth of the local entrepreneurship ecosystem can coordinate and The component followed a methodology commissioned plan actions jointly (see Box 5). It provides a neutral by the World Bank team and designed ad hoc for ground and serves as a connector between local and cocreation of innovation hubs based on design-thinking municipal government and city stakeholders on an equal methodologies. This component served as the first footing. The active participation and ownership of city iteration of this methodology, which was designed in stakeholders in an innovation hub is crucial for the partnership with the World Bank’s activity, Community sustainability and growth of the ecosystem, supporting of Practice on Open Innovation in Cities. The second the catalyzing effect of policy action (in this case, the iteration was applied in January 2015 in Beirut, Lebanon, policies developed through the Smart City Concepción under the Mobile Internet Ecosystem Project (MIEP). The Activity by MTT and other government partners with finalized methodology, which incorporates the lessons support of the World Bank). The cocreation exercise learnt in this iteration process, has been compiled in Introducing Sustainable Open Innovation in Government Page 26 TABLE 8: INNOVATION HUBS PARTICIPATING IN COMPONENT 4 INNOVATION HUB / LOCATION DESCRIPTION Innovation hub that serves as connector of city government and entrepreneurship stakeholders. Citilab provides entrepreneurship and technical skills trainings for children, elderly and public in general, organizes competitions, provides co-working and incubation CitiLab space and serves as platform for the entrepreneurship ecosystem. HOSPITALET DE LLOBREGAT, SPAIN PPP initiative participated by the city ecosystem stakeholders and the municipality of Hel- sinky that serves as forum of the ecosystem players to coordinate actions to support its growth and sustainability. Forum Virium coordinates and implements initiatives, serving Forum Virium as hub of the ecosystem and facilitating open innovation processes for the local govern- HELSINKI, FINLAND ment. Foundation that serves as nexus of the City of Amsterdan and the creative and entrepre- neurial community of the city. Waag Society serves as catalyzer of experimental initiatives to foster open innovation to solve social challenges and involve actively the stakeholders Waag Society of the ecosystem and the creative and entrepreneurial communities. AMSTERDAM, NETHERLANDS An initiative from the City of Barcelona that serves as a platform for private sector to test and implement technology and innovative solutions to address city challenges in the city services or infrastructure. The Lab is connected to a challenge and competition initiative Urban Lab that fosters entrepreneurship and innovation to address public challenges and to the BARCELONA, SPAIN entrepreneurship-support infrastructure of the city. a toolkit guide (Front End Open Innovation Toolkit) the cocreation exercise and facilitating the cocreation and will be available for Bank projects, policy makers, sessions. The design of the workshop and its facilitation practitioners, and the interested public for replication was conducted by Aalto University (Finland). and learning purposes. 4 The preparation phase consisted on a half-day workshop Experts from four selected models of innovation hubs where the experts presented the four different models supported the component (see Table 8). These experts of innovation hubs and the lessons learnt in the provided the background of how innovation hubs work support of their local entrepreneurship ecosystems and in practice (providing different models from different open innovation processes with local and municipal contexts), serving as inspiration for the participants of governments. Subsequently, the experts took a study TABLE 9: SAMPLE OF PARTICIPANTS IN CO-CREATION WORKSHOP OF LOCAL INNOVATION HUB * International or multinational partner GOVERNMENT PRIVATE SECTOR ACADEMIA CIVIL SOCIETY Seremitt País Digital (Founda- Wayra* Universidad BioBio (Regional Government) tion) Municipalities (San Pedro de la Paz, Indra* DUOC UC Red Plus (NGO) Chiguayante, Talcahuano) UOCT Mozilla* INACAP SociaLab* (Regional Traffic Control Center) CORFO Kapsch Universidad de Concepción FabLab Concepción (National Government) BioTren D+ Diseño e Inno- Elun Universidad Católica Santisima (Regional Railway Operator) vación Austral Solutions Carnegie Mellon University* Introducing Sustainable Open Innovation in Government Page 27 BOX 5: LOCAL INNOVATION HUB Although there is no common definition of an innovation hub, this concept can be applied to define the evolution of collaboration spaces into community managers that coordinate or integrate many of the other functions of collaboration spaces such as coworking spaces, maker spaces, fablabs, accelerators, living labs, and urban labs (see source below for description of these spaces). Innovation hubs’ main function is to coordinate all actors of the ecosystem and help manage the community of tech-innovators and entrepreneurs to grow sustainably. Many of these innovation hubs enjoy the participation of the most relevant actors of the technology innovation ecosystem, including entrepreneurs, universities, private sector, collaboration spaces, accelerators, incubators, other providers of seed capital, community managers, and government — particularly city government. Some of these innovation hubs have collaboration spaces in their facilities, such as co-working and maker spaces, while others coordinate their functions with those spaces. Typically, these hubs will phase out their other functions when there are enough offerings for the community provided by third parties. Examples vary from Ruta N, Medellin (which is part of the city government), to NUMA in Paris (which is a grass-root hub built with the community of local entrepreneurs), with Forum Virium, Helsinki, as a middle point (a PPP model owned 50 percent by the city and 50 percent by the ecosystem’s stakeholders). Citilab, Hospitalet de Llobregat, Waag Society, Amsterdam, and Urban Lab, Barcelona, are other examples of innovation hubs. The World Bank designed and implemented the innovation hub model in the Lebanon: Mobile Internet Ecosystem Project (MIEP). This is the model applied to this activity. (For more details of such model see the Project Document). tour to the nascent entrepreneurship ecosystem of to support growth and sustainability of the local Gran Concepción to familiarize themselves with the ecosystem. Each of these phases was preceded by background and participants of the cocreation exercise. brief presentations on how the models of innovation This provided inputs for their guidance and facilitation hubs from the international examples supporting during the workshop. the workshop addressed each of these topics. The participants were randomly assigned to four groups The cocreation workshop developed the strategic plan that had at least one representative from each category for Gran Concepción through a consensual bottom- of institutions participating (for example, government, up approach, whereby the stakeholders of the local the private sector, academia. and civil society). Each ecosystem worked together. Over 20 institutions group was supported by an international expert and a participated in the workshop, including local and national Bank-MTT team member that provided guidance to the partners of the innovation hub (see Table 9). These cocreation process. institutions formed the core coalition of partners for the local and municipal government to support and grow the The outcome of the workshop was four lines of action, local entrepreneurship ecosystem. In addition, the MTT, with a business plan and a program of activities, for InnovaBioBio from the regional government and the the Gran Concepción innovation hub (see Table 10). Unit of Modernization and Digital Government (through The participants interested in being part of the hub the GovLab initiative) offered support for the hub. This nominated the activities to which they would contribute resulted in an applied PPPP (Private Public and People (for example, universities offered skills training, Partnership) model. multinationals offered testing of solutions with local entrepreneurs, and so on) for each of the lines of action. The workshop was structured in four phases: i) identification of the role of the hub in the local The component concluded with the public presentation ecosystem; ii) definition of the hub’s value proposition; of results to the local, regional, and national authorities, iii) business and sustainability plan, and iv) activities particularly the Viceminister of MTT, Directors of Introducing Sustainable Open Innovation in Government Page 28 TABLE 10: ACTION LINES FOR GRAN CONCEPCIÓN HUB AS DEFINED BY CO-CREATION WORKSHOP HUB ACTION LINE DESCRIPTION Promotion of creative industries in Gran Concepción developing a community of creative Hub + Ocio (Hub and artists and entrepreneurs through community and skills building events and activities, and Leisure) supporting the scaling up of creative and entrepreneurial projects. Promote innovation and entrepreneurship with the local commercial harbour industry to Inn Port expand import/export industries in Gran Concepción and support exporting potential of local industry. Support urban planning process in Gran Concepción through citizen engagement and Smart Plan active participation. Support knowledge economy innovation and entrepreneurship through competitions and challenges and support infrastructure, including an accelerator/incubator, with a direct Mobile Hub link with local universities and their existing entrepreneurial support infrastructure (e.g., incubators). InnovaBioBio, and the regional branch of CORFO. The results of this component were the following: The results were presented by the participants in the cocreation workshop, which designated a spokesperson • A strategic plan for a local innovation hub, for each group to present the hub’s lines of action. including governance arrangement, business Additionally, a plan of action for implementation of plan, program of activities, and plan of actions for the hub was presented by the four spokespersons. implementation, to support entrepreneurship InnovaBioBio and regional CORFO are the and open innovation in Gran Concepción; government institutions with authority to support the • Establishment of a coalition of the local implementation of the local innovation hub. ecosystem’s stakeholders and international partners for the innovation hub, including commitments to support the hub’s activities; and • Establishment of a coalition of active supporters of the local ecosystem for open innovation processes for local and municipal government. Introducing Sustainable Open Innovation in Government Page 29 Project Components: Presentation of results A video summary of this the presentation of results may be accessed at: http://bit.ly/1FsWdTT Presentation of results The activity concluded with two workshops, conducted in presented to MTT, CORFO, and the Regional Metropolitan Santiago de Chile in October 2014 and Barcelona (within Government in Santiago in more detail through individual the Smart City Expo World Congress) in November 2014. meetings with the World Bank team. The workshop in Santiago de Chile was hosted by CORFO In November 2014, the head of the Smart Cities Unit of and presented the results of the activity, the relevance MTT, Mr. Pedro Vidal, presented the results of the of fostering entrepreneurship ecosystems for economic growth, the global context and the international examples Smart City Gran Concepción activity in the Smart Cities from Spain, Finland, and the Netherlands. The results Expo World Congress in Barcelona to a global audience were presented to the Executive Vice-president of through his participation in the panel “Smart Society & CORFO, the Viceminister of MTT, and the Governor of Collaborative City.” the Regional Metropolitan Government of Santiago de Chile. Public officials from these institutions attended the workshop, as well as other national government ministries and authorities, including the Ministry of Economy and the Ministry of the Presidency. The results were then Introducing Sustainable Open Innovation in Government Page 30 Impact of the Activity A video of the panel “Digital ecosystems: challenges for a new country strategy” may be accessed at: http://bit.ly/1LI4dBC Impact in Gran Concepción City Unit from MTT embedded in the local government and has implemented open innovation processes Smart City Gran Concepción proved the methodology for codevelopment of services (including a follow- effective, introducing open innovation methodologies up competition of technology solutions for local and in Gran Concepción’s transport municipal and local municipal challenges). Two of the municipalities of Gran services. It trained local and municipal officials as well Concepción have a Smart City plan and are developing as the Smart City Unit of the Ministry of Transport to an Urban Lab together with civil society based on the replicate and mainstream the methodologies within Gran ideas and design of the workshop for the innovation hub Concepción municipal and local services and throughout (component 4). the country. Impact in Chile: Scaling up of the model throughout The training by-doing of local and municipal officials in the country and other sectors Gran Concepción and their empowerment within the local government throughout the activity created a The activity also resulted in the Government of network of champions to continue the implementation of Chile (through the MTT, CORFO, and the Regional the open innovation methodologies and to mainstream Metropolitan Government of Santiago) scaling up them throughout other municipal and local sectors the smart city model developed in Smart City Gran beyond transport. In addition, the cocreation of Concepción through multiple Government activities (see the innovation hub model together with all the city Box 6). stakeholders (that is, universities, entrepreneurs, the private sector, civil society, and government) provided The activity actively helped catalyze the momentum for an institutional framework for further implementation public support of smart cities and programs for open and sustainability. Gran Concepción has a local Smart innovation and entrepreneurship in Chile, which Introducing Sustainable Open Innovation in Government Page 31 BOX 6 GOVERNMENT ACTIVITIES RESULTING FROM AND/OR INSPIRED BY SMART CITY GRAN CONCEPCIÓN ACTIVITY MTT approved the Smart City Strategy embracing the smart city bottom-up approach implemented in Smart City Gran Concepción and calling for its implementing this model at national level. Following the strategy, the Smart City Unit has been implementing open innovation competitions in six regions (Temuco, Puerto Montt, Concepción, Antofagasta, Coquimbo and Valparaiso) under the MueveTT brand and open innovation methodology developed under Smart City Gran Concepción. CORFO developed the Regional Strategic Smart City program with the Metropolitan Region of Santiago de Chile to implement the bottom-up smart city model to Santiago de Chile. This program follows the MoU MTT-Regional Metropolitan Government to support the development of the bottom-up smart city model in Santiago that was signed in the Results Workshop of Smart City Gran Concepción. The Regional Metropolitan Government of Santiago created the Innovation Fund for Competitiveness together with the MTT to develop open innovation methodologies with the universities of Santiago to develop regional technological platforms and support the Smart City model. CONYCIT developed an initiative to link university research and private sector companies to develop technology solutions to support the smart city model following open innovation and collaboration models in part inspired by Smart City Concepción activity. Chile’s GovLab, in collaboration with the Smart City Unit of MTT, is working on three government challenges in the area of transport (out of a total of 10 government challenges) following open innovation and co-creation methodologies. These challenges are related to Smart City Gran Concepción activity. As a results of the skills and knowledge gained through the Smart City Gran Concepción activity (see below) the Smart City Unit of MTT work program include: i) catalyzing PPPs and government funds to develop open innovation processes for public goals, and ii) catalyze the entrepreneurship ecosystem through universities, promoting the development of open innovation competition and supporting their implementation. Finally, the work accomplished for the MTT through the Smart City Unit has been highlighted as a reference case by other public organizations in Chile and Latin America. Introducing Sustainable Open Innovation in Government Page 32 were not part of the public debate before the activity in two other activities of the World Bank in Lebanon was developed. The Bank team, together with MTT, and Egypt and is being codified for replication by the and with the active support of País Digital Foundation, World Bank and interested third parties through the participated in national conferences presenting the Front End Open Innovation Toolkit developed by LLI. advances of Smart City Gran Concepción (see Box 7). This toolkit will be available to the public and will allow other projects to implement the methodology across Impact in World Bank projects and activities: sectors and geographies. The results and experiences replicating the methodology of the methodology applied in component 4 and the knowledge transfer to other projects of the World Bank Finally, the methodology implemented and tested in this were presented in the Citisense 2015 conference.5 activity for cocreation of innovation hubs was replicated BOX 7: MAIN FORUMS AND CONFERENCES IN CHILE WHERE THE BANK TEAM PRESENTED THE CONCEPT AND ADVANCES OF SMART CITY GRAN CONCEPCIÓN ACTIVITY Smart Cities Summit 2014, the leading Smart Cities event in Chile, organized by Pais Digital Foundation (September 2014); Digital ecosystems: Challenges for a new country strategy, participating with Vice Minister of Economy and CEO of Telefonica Chile National Forum on Smart Cities organized by Fundación País Digital (June 2014) Smart Cities ALCUE-Net workshop, organized by CONYCIT and VTT Finland within the EU-Latino American regional cooperation program for research and technology for smart cities (March 2014) Introducing Sustainable Open Innovation in Government Page 33 Appendix A: Activities of the World Bank Related to this Activity The Smart City Gran Concepción activity served to The following are the activities of the World Bank that validate the methodologies and approaches to: (i) supported or were supported by this activity: introduce open innovation in municipal government and, (ii) catalyze entrepreneurship first designed and Colombia: Open innovation for municipal implemented in Colombia and Lebanon. The activity also governments created and tested a new methodology for cocreation of innovation hubs with local ecosystem stakeholders, The objectives of this activity are to promote local which provides a framework for stakeholder engagement government transparency, efficiency and e-services and sustainability for World Bank (and other actors) delivery to improve public service delivery and ultimately activities and operations in this field. The methodology the quality of life of the population. To achieve this goal, was implemented and iterated subsequently in Lebanon the activity introduced open innovation in three cities in and Egypt. Colombia: Barranquilla, Cali, and Manizales. The process of iteration and testing of this methodology The activity worked in the sectors that each city selected was supported by the Community of Practice of and followed a sequential approach comprising the Open Innovation in Cities, which is codifying the following components: validated methodological approach for replication 1. Cocreation of e-services (for example, mobile and implementation by other World Bank activities or apps) with city officials and rapid prototyping. interested parties. This process has been conducted in 2. Cocreation of a roadmap for technology support close partnership with the LLI Unit of the World Bank. to city services and eliminating departmental Finally, the activity worked closely with the Transport silos. practice of the World Bank, embedding a member of this practice in the activity’s team, for coordination, capacity 3. Challenge competition of city challenges as a mechanism for open innovation for municipal building and knowledge sharing purposes. governments and development of local Introducing Sustainable Open Innovation in Government Page 34 entrepreneurship. and provide technology tools (for example, maker space), labs (for example, living labs), and a 4. Development of strategic plans with local space for community networking. This space will ecosystem stakeholders (for example, be managed by an innovation hub (the Mobile government, academia, private sector, civil Innovation Hub, MiHub), which will serve to society, technology hubs, citizens) to support coordinate the community and the community- government’s open innovation and development building activities. The MiHub will also take of local entrepreneurship. the role of promoting the community and its members. This activity was funded by the Information Communications Technologies (ICT) Korean Trust Fund. 3. Innovation for legacy industry and other sector of the economy. The activity will develop a series of hands-on workshops and activities between Lebanon: Mobile Internet Ecosystem Project (MIEP) technology startups and entrepreneurs, and and supporting activities legacy industries that have not widely integrated technology in their production processes. This MIEP’s objective is to strengthen technology-led activity will also develop exchange activities innovation ecosystems and foster entrepreneurship and with experts from other innovation ecosystems employability in Lebanon. The project focus is to grow globally. This project is supported by a Trust Fund and sustain the ecosystem community, expand technical of the Korean-World Bank partnership.6 and entrepreneurial skills and to expand the technology ecosystem throughout the economy in Lebanon. Egypt: Innovation ecosystem development strategy The project is a four-year program with a budget of The objective of this activity is to develop a strategy US$12.8 million with four main activities: for the development of the innovation ecosystem in Egypt. Within this activity, Smart City Gran Concepción 1. Skills training for youth and entrepreneurs. The supported the design process for a technology and activity will develop a series of crowdsourcing competitions, which will include intense hand- innovation hub in Cairo to support the technology and on training (for example, bootcamp style) with startup ecosystem of the city. The activity developed a light acceleration phase. The result of this consisted of an in-depth analysis of the city ecosystem competition will be a series of startup projects and policy recommendations to address the existing gaps (that is, minimum viable prototype beta tested, through a technology and innovation hub. This process a business plan and a pitch). The competitions included a cocreation workshop with Cairo’s innovation will also include an international mentorship ecosystem stakeholders (for example, universities, program and exchange to connect the Lebanese ecosystem to others. In addition, this activity will startups, investors, civil society and government) create a university-industry platform for industry to design the structure and role of the hub and the project training and a series of technology skills participation and partnership for its activities. activities for schools. The university-industry platform will enable final-year students to team Global: Community of practice of open innovation in up with industry to solve real challenges from cities companies through a startup or product projects in a six-month timeframe. The objective of this activity is to create an informal 2. Growth and sustainability of the tech-innovation community of practitioners of open innovation in cities community. The activity will develop a network with two goals: a) introducing open innovation in city of mentors, links among entrepreneurs, and government services, and b) fostering the development networking events (for example, meetups) to of social and technology entrepreneurship in cities. This support the existing community. The activity will activity provides collaboration platforms and working also complement existing collaboration spaces groups for city innovation practitioners to connect Introducing Sustainable Open Innovation in Government Page 35 and work together. Among the working groups, the Global: Barcelona urban technology and innovation following activities are been carried out: a) development hub of framework to map and diagnose technology startup ecosystems in cities, b) development of a catalogue The objectives of this activity are the cocreation of of open innovation practices applied in municipal new knowledge and the dissemination of good practice governments, and c) crowdsourcing of city challenges in urban technology and innovation that the city of among community members to globally crowdsource Barcelona and its partners have developed over recent solutions. years. The main areas of focus relates to bottom-up innovation and how city governments can engage The activity organizes an annual practical training, the with the city ecosystem to develop innovation and City as a Laboratory, where city practitioners learn entrepreneurship to address urban challenges. The how to develop and implement open innovation in activity organizes Citisense (an annual event on bottom- municipal services, and conducts a series of webinars to up approaches to urban innovation) together with disseminate best practice in city innovation. This activity Smart City Expo World Congress and develops common is supported by the Finish Government Trust Fund. research on urban innovation and entrepreneurship. This activity is supported by the City of Barcelona. Introducing Sustainable Open Innovation in Government Page 36 Notes 1 This process was conducted in partnership with the Leadership, Learning and Innovation (LLI) Unit of the World Bank. 2 This process was conducted in partnership with the LLI Unit of the World Bank. 3 There is no municipality of Concepción or Santiago de Chile. These “cities” (also called “conurbations”) are formed by an amalgamation of municipalities (that is, over 10 in Concepción and over 30 in Santiago de Chile). The Regional Government (which is considered part of the central government) has overarching authority and the role of coordinator among municipalities. 4 This component was conducted in partnership with the LLI Unit of the Bank, which is codifying the methodology for replication purposes by the World Bank and interested third parties. 5 This process is being conducted in partnership with the LLI Unit of the World Bank. 6 For more information about this project, see: www.mie-p.org. Introducing Sustainable Open Innovation in Government Page 37