Becoming platforms: Harnessing the power of communities, beyond crowd-sourcing and openness. This lecture was given on request to the Chamber of Commerce of Forlì-Cesena. The original topic was "crowdsourcing" but it's now pretty obvious that there's no such thing as crowdsourcing anymore. Indeed crowdsourcing is still an old-fashioned way of looking at peers and producers (exploitation): the switch that all businesses and organizations must undertake now is that towards 100% collaborative organization, which relates with peers and users in a co-creative way, becoming an "enabler". For those interested you should look into this post http://bit.ly/PostCapitalismAndPlatforms

1. Becoming Platforms
Harnessing the power of
communities, beyond crowd-
sourcing and openness.
Percorsi Erratici, Simone Cicero - 17/3/2014 Forlì
meedabyte.com
workshops & consulting
@meedabyte

2. me

4. Crowdsourcing?

5. Web 2.0 =
Web as Platform
CC Credits http://www.flickr.com/photos/50698336@N00/4074747593

6. Bidirectional
Interactive
Personal

9. "the act of a company or institution taking
a function once performed by employees
and outsourcing it to an undefined (and
generally large) network of people in the
form of an open call. This can take the
form of peer-production (when the job is
performed collaboratively), but is also
often undertaken by sole individuals."

10. CC Credits http://www.flickr.com/photos/68751915@N05/6848823919

11. κῦδος

16. “Software
is eating
the world”
Marc Andreessen

17. Componentization
* breaking down into cost competitive and interchangeable pieces.

18. Illustration: Simon Wardley – blog.gardeviance.org
Increasing
competition
in demand
and supply

19. "It takes all the
running you can do,
to keep in the same
place.“
For an evolutionary system, continuing
development is needed just in order to maintain
its fitness relative to the systems it is co-
evolving with.
Red Queen Effect

20. Illustration: Simon Wardley – blog.gardeviance.org

21. complexity
CC Credits http://www.flickr.com/photos/usfsregion5/9423252987

22. Pioneers
Poorly understood markets,
gaps to define, constantly
undergoing changing
dynamics, small numbers.
Want to create the future.
Startups

23. Settlers
Increasing demand, growing
market opportunities, mature
products, growing revenues.
Platforms

24. Town Planners
Standardized demands,
growing competition.
Essential cost of doing
Business.
Self disruptions while
optimize for operations.
Ecosystems
& Industrialization
CC Credits http://www.flickr.com/photos/gregloby/2961935325

25. The ILC Cycle
Illustration: Simon Wardley – blog.gardeviance.org
Innovate
Leverage
Commoditize
(repeat)

26. Facebook Doesn’t
Want To Be Cool, It
Wants To Be
Electricity
CC Credits http://www.flickr.com/photos/24095119@N06/2324609725/

27. Illustration: Simon Wardley – blog.gardeviance.org
Startups
Platforms
Ecosystems

28. interfacesCC Credits http://www.flickr.com/photos/39747297@N05/5229733647

29. • above the interface*: higher
value systems (use case
innovation)
• under the interface*: process
maturity, elastic provisioning,
measuring (competition)
ValueChaininnovations

30. Microduino
(microsize)
Flutter
(long range)
Smartduino
(modularity)

31. Access +
Componentization +
Collaboration =
highest disruption
rate ever

32. competition = coevolution

33. Fortune 500 companies life
expectancy in 2013 is 15 years.
Was 70 in 1930.

34. Long tail = Diversification
Diversification = Niches
Niches = Economies of Scope

35. “Economies of scope refers to
lowering the average cost for
a firm in producing two or
more products”

37. “Toolkits for user
innovation allow producers to
abandon attempts to
understand user needs in favor
of transferring it to users along
with an appropriate toolkit".
Eric Von Hippel

38. “Unleash your creativity by customizing
select products to create exactly what you
want with eBay Exact. Simply select a
product, choose a design, and add your
own personal flair to create a unique item
for yourself or someone special”

41. "Once you finish
assembling it, you’re
emotionally attached
to that.
You’ve basically gone
through the process to
build your own phone”
Moto X head product manager - Lior Ron

46. 1 BILLION

48. Airbnb.com
29/04/2014
2008

49. 2010

50. 2012

54. Products

64. tools
Facilitated
Contexts/Channels

69. Manufacturing

70. ARA

71. https://www.youtube.com/watch?v=iLnM6j5-fXg#t=248

76. openness as a
resilience strategy

78. The
LEGOfication
of everything

79. The
LEGOfication
of human?

80. “…all of these amazing digital
technologies are coming
together to create a world of
mounting performance
pressure.”

88. #occupygezipark

91. David De Ugarte, Las Indias
“In a time when technologies have
drastically reduced the efficient scale of
production, capital, instead of adapting
itself to this reality, has fled towards the
opacity of securitization and large-scale
short selling. “

92. Paul Polman, Unilever CEO
“companies are waking up
and realising that they can
be inside the tent, shaping
solutions, future-proofing
their businesses”

94. New ways to business

97. multi–sided
& multi
stakeholder
business

98. It’s a (co) Design
challenge
contexts
motivations
vaue creation

99. Community
(relations)
Centric
User
(gap)
Centric
Platforms target P2P Communities:
value creation comes from relations,
transactions and exchanges

101. “Our job is to pick the best path to
support that community. I can give
you many examples where our gut
told us one thing and the community
pulled us in another, better
direction.”
Nathan Seidle, Founder of Sparkfun

104. Platforms

105. The right approach:
methodologically focus on
identifying value exchanges
and motivations
Design Thinking &
Platform Design

106. Understand
the basic
roles in the
Platform
Consumers
Producers
Stakeholders
(platform)
ValueChain

107. Explore
the core
value
creation
relation
Consumers
Producers
Stakeholders
(platform)
ValueChain

108. Consider
that
additional
roles may
appear
Facilitators
Curators
Information Brokers
Enabling actors
ValueChain

109. peers

110. Peer Relations
live through
channels

111. Channels must be implemented to
facilitate emerging value
exchanges.
In platforms, currencies such as
trust and reputation may be
required to facilitate transactions
and should be clearly valued.

112. The Platform
Design Toolkit
…In the making

113. To be used:
• Design with platforms in mind
• Identify value creation contexts
• Identify peer segments and actors
• Identify opportunities (emerging transact.)
• Create new channels
• Identify community support services
• Identify exchange currencies

114. Rel. in June 2013
as an iteration of the
Business Model Canvas
Key community
Feedbacks:
- doesn’t show logical
value flows
- BM Canvas structure not
good for non linear
business
- doesn’t model platform
lifecycle
- doesn’t help to hack
growth

115. Now working on a
“Platform Design Toolkit”
(more than a single canvas)

116. The Platform Motivations
Matrix (v 0.1)

118. The Platform Design
Canvas (v 0.2)

121. Mostly
Social /
Community
dynamics
(shared value)
Mostly p2p
dynamics
(exhanged value)

122. What’s the
intrinsic
motivation to
participate?
(problem solved
for peer
segments)

123. What are the key
stakeholders
contributing to the
platform operation and
mission?

124. What peer segments
are present in the
ecosystem? They could
be producers,
consumers or
prosumers playing both
the roles

125. What are the recurring
transactions between
the peer segments
composing the
ecosystem?

126. Through which channels
do the peer segments
get in contact and
execute transactions?

127. How is the value
exchanged and in what
forms?

128. What are the key
components of the
platform? (resources,
formats, infrastructures)

129. What services are
available for the
community to support
value creation?

130. How is the value
extracted and in what
forms?

131. iOS
App store
Developers
Indie studios
Dev houses
App purchase
App review
App recommen.
App store
IDE
App checking
Promotions
Apple
AD network
Payment GW
New Use Cases
Cash flows for
devs
Brand visibility
Ad interaction
Users
Tech Firms
SMBs
WWDC
30% fee on transactions
IDE access fee
Apps purchase / Money Reviews / Cred

132. Wordpress
Developers
Bloggers
Agencies
Wp.org
Wordpress SW
Wordcamp
Runnnig Wp.org
Wordpress
New Use Cases
Brand visibility
Starting a blog
WP.com upgrades / Money Reviews / Cred
Tech Firms
Premium Theme
purchhase
wp.com
Purchases on
Third party shops
Upgrading a blog
Wp.com
Third Party
marketplaces
Personalized L&F
Third party
stores/ecosystem
Browser
providers
Developers
WP backends
LAMP Stack
WP.com Theme upgrades / Money Free Code
Fees for services

133. thanks!
Simone Cicero
meedabyte