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Building the knowledge economy
ITU-conference ‘Digital Agenda’
Oslo
15 October 2004
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Building the knowledge economy
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Introducing: Knowledgeland
Independent thinktank based in Amsterdam (1999)
Mission:
Turn the Netherlands into a strong region in the knowledge
economy, in a manner that creates both economic and social value
Our strategy:
1) Vision: Build shared vision & action-oriented innovation strategies
2) Action: Initiate and support projects that turns vision into action
3) Learning: Create learning networks of innovators
Mission
www.kl.nl
Vision
Learning
Initiating
Action
Building the knowledge economy
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Spin offs
Questions
• What is the knowledge economy?
• What kind of education do we need?
• What would be my Digital Agenda for education?
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Economy is changing
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A new labor division
• Production work
• Personal services
• Knowledge workers
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Knowledge workers
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Knowledge economy
The basic economic resource – the means of
production’, to use economist’s term – is no longer
capital, nor land, nor labor. It is and will be
knowledge. (..)
Value is now created by productivity and
innovation, both applications of knowledge to work
Peter Drucker (1993)
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Transformation
Agriculture
5.000 bc - 1500
Industry
1500 - 1970
Knowledge
1970 -
Land
Machines
People
Food
Products
Services
Hand labor
Mass production
Mass-customization
Regional
National
Global
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Elements
• Information
• Internet
Information Society
• Intangibles
• Innovation
• Interdependence
Knowledge Economy
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Intangibles: Hard to touch
• Services is largest sector
in the economy
• Value of intangible
assets is growing
If all people drop their work,
only 8% will hurt their feet
• Creating value through:
–
–
–
–
Kevin Kelly
Service
Customisation
Design
Marketing
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Innovation
6 months
2 months
2 weeks
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It never stops..
If we bring out an advanced new product, within 3 to 4
months an improved copy will be ready to ship from
China to the world market
Gerard Kleisterlee – CEO Philips
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Interdependence: a smaller world
Containers in Rotterdam
• Lower transaction costs
– Transportation
– Travel
– Communication
2500000
2000000
1500000
1000000
500000
0
• Global exchange of
products and services
1970
1975
1980
1985
1990
1995
2000
• Internationalisation of
production and labor
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Talent
Keep your tax incentives and highway intersections,
we will go where the talent is
Carly Fiorina – CEO Hewlett Packard
The most important asset of your company is
walking out the door every day
Mathieu Weggeman – Professor Knowledge Management
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The challenge
Companies are looking for the best talent
+
Talent is looking for the best places to work and live
=
Create the best place with the best talent,
you will attract the best companies
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Building the Knowledge Economy
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People
• Investing in participation
• Renewing the education system
• Promoting a knowledge society
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Public expenditure on education (% BBP)
Norway: 6.1%
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Higher education degrees (25-34 yrs)
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People with only lower education
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S&T students
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Life long learning (% working pop.)
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Teachers per 1.000 students
Italy
Belgium
Norway
Spain
Sweden
France
Finland
United States
Germany
Netherlands
Ireland
United Kingdom
0
20
40
60
80
100
120
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Renewing the education system
• Strategic competencies
• Creativity
• Life long learning
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Strategic competencies
Information
Self organisation
Risk
Interdisciplinarity
Reflection
Interaction
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Creativity
• Capacity to formulate new problems and challenges instead of
letting others do that for you
• Capacity to apply what you have learned in different contexts
• Capacity to recognise learning is taking place incrementally and
means making mistakes
• Capacity to focus your attention towards realising a goal
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Life long learning
 General knowledge base
1. Learning to know
 Capacity to learn and specify your knowledge base
 Professional skills
2. Learning to do
 Capacity to work in different situations
3. Learning to live together
 Social skills
 Capacity to live and work together
4. Learning to be
 Develop your own identity
 Capacity to act and judge independently
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Innovation vs Uniformity
“We have made systems that make it
very hard for bad people to be bad,
but those same systems make it
impossible for good people to be
excellent...”
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What can ICT do in that process?
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History of the internet
• The principle of universal readership:
"if information is available, then any (authorized) person
should be able to access it from anywhere in the world."
• A history of unintentional events in a culture of freedom
– hypertext
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Growth beyond expectations
Internet hosts worldwide, (1995-2002)
HARDWARE
HOSTS
USERS
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(R)evolution?
• Over 700 million users worldwide in 15 years
• Already over 100 million broadband users
• Peer to peer network much bigger than internet
– 5 petabytes to 40 terabytes
• Text, sound and image are all being embraced by the
internet
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Use of content
Two scenarios for the future
Closed
Open
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Creative Commons
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Digital Agenda
• Developing new methods and new content
• Creating opportunities for independent learning
• Supporting schools to become smarter
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1. New methods and content
• Most ICT investments in infrastructure and licenses
• Slow uptake by traditional publishers for new content
• Closed model of innovation
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New competencies
Strategic competencies
Basic skills
Access
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Open model of innovation
Investing in new methods and new content by
using an open model of innovation:
•
•
•
•
Make schools innovators, not publishers or Dpt.
Create new instruments for innovation
Build systems for sharing public content (CC)
Stimulate development of open source software
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Some instruments
• Digital Pioneers
– Direct money for small-scale innovations
– Active strategy for roll out of successful experiments
• DISC:
– Testing and publishing useful Open Source software
– National license structure for Creative Commons
– Stimulating specific public content under CC
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2. Independent learning
• School no longer has monopoly on learning
– Digital Playgrounds
• From mass-production to personalised learning
– Weekendschool
• Learning independent from time and place
– Digibeter
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3. Smarter schools
• Need for better IT-systems often ignored
• Opportunities for improving HRM / KM / FM
• Look at process innovations in other sectors
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ERP-systems for schools
• Step 1: Experiment with one school
• Step 2: Test-project with 12 schools
• Step 3: Roll out through the market
Server
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Promoting a knowledge society
• A creative society
• A learning society
• An open society
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Knowledge as water
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Joeri van den Steenhoven
www.kl.nl
[email protected]
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Changes in all domains
Society
Organisational
change
Technological
Cultural
change
change
Politics
Economy
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Traditional enterprise
Cabinet
Board
Trustees/Stakeholders
Parliament
Division X X
Department
SG
DD
DG
SD
pDG
pSD
Fac
Dir
AH
Sr
pb
Jr
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Network enterprise
supplier
supplier
supplier
Management
Business unit
partner
R&D
Design
Marketing
partner
Business unit
Business Units, Partners & Suppliers
supplier
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Network enterprise & Internet
• Scalability
• Interactivity
• Management of flexibility
• Branding
• Customisation
The Internet adds to the network enterprise the capacity to evolve
organically with innovation, production systems and market demand while
keeping its focus on the ultimate goal of business: money making
Manuel Castells
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International knowledge workers
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Cultural change
• Higher educated people
• Rise of Individualism
• More leisure time
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Challenges
• Create opportunities for people to participate in the
knowledge society
• It’s more than information and the internet
• Vision must be more than words
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3 stages of interaction
Information
Communication
Organisation
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