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•1/3 working in 3rd places,
Smart Spaces?
Smart Cities?
City On DemandBuilt environment needs its own app store!
Jarmo Suominen Professor, Service Architecture Aalto University, ARTS, Architecture
MIT Medialab Sa+P
Massachusetts Institute of Technology
This is me as a user of my City[supply driven logic]
My City is taking care of logistics, marketing available offerings to me trough various channels.Focus is on distribution and delivery of goods to market.My city is planning what is good for me. I am using my City
This is me as a consumer of My City[market oriented logic]
My City is trying to understand my demands trough participative processes. Offerings are developed based demand, focus is on product, price, place and promotion.My city is asking what is good for me.
This is me as a participant of My City[service dominant logic]
Focus is on creating value together. Affordances are developed based value proposition and I am an active participant identifying what is valuable for meMy city is asking to do it together.
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Development of customer orientation
• 4 P’s - product - price, - place - promotion• customer as an object
• logistics• marketing
channels• distribution• goods to market
• value proposition• value co-creation• service• relational • customer
involvement• customer as an active participant
Lähde: Lusch 2007Jarmo Suominen | Aalto University 2014
Jarmo Suominen | Aalto University 2014
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Symbolic value
Emotional value
Operational value
Economical value
Technical value
Perceived Customer Value
Focus on the identity and brand, value proposition
Focus on customer experience, emotions, redemption
Focus on operations, practices and processes
Focus on economics, investments ROI
Focus on infrastructures, technologies and solutions
What are the architectures for value co creation?
04/11/2023 Lab for Learners | Jarmo Suominen 2014
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DynamicEmergingEnabling
RobustPlannedImplementing
Lab for learners Temple for teachers
Instead of maximizing short-term ROI(Return On Investment)
We focus on maximizing long-term ROC(Return On Community)
And institutionalizing ROL(Return On Luck) accelerating Serendipity
DUMBO | NY
04/11/2023 13
User engagement
DYICITY Jarmo Suominen DEC 2011
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Customer value and Service ArchitectureThe focus is not on products, but on the consumers' value -
creating processes, where value emerges for consumers, and is perceived by them.
Jarmo Suominen | Aalto University 2014
Customer value
Jarmo Suominen | Aalto University 2014
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Architectures of value co creation
Urban acupuncture
DOING
DOING
DOING
DOINGDOING
DOING
DOING
DOING
AALTO LOOP
PATTERN REGOGNITIONCase QUT, Brisbane
11.04.2023 DYICITY Jarmo Suominen DEC 2011 17
04/11/2023 18
CAMPUS WALKCase QUT, Brisbane
DYICITY Jarmo Suominen DEC 2011
City On Demand
Service architecture | J Suominen | 2014
University
Workplace
HospitalTraditional development:Each entity includes all the necessary resources within its own premises
InhouseInternal resourcesInternal use
Service architecture | J Suominen | 2014
Workplace
SharedNew models emerging:Use of shared resources like co working platforms is perceived efficient
Internal resourcesExternal and internal use
University
Hospital
Service architecture | J Suominen | 2014
Workplace
Distributed
New models emerging:Use of shared resources
like co working platforms is perceived efficient
External resourcesInternal use
University
Hospital
Service architecture | J Suominen | 2014
Workplace
On Demand
Shared Service Platforms
Sustainable development:Organizations could minimize their footprint by using professionally operated shared resources
Eternal and Internal resourcesExternal and internal use
University
Hospital
Service architectures for value co creation
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30 75160
310
600
1130
2150
2006 2007 2008 2009 2010 2011 2012
Around 3 million people is using co working platforms in USAnow
Amount of Service Operators in USA has doubled every year after 2006.
Jarmo Suominen | Aalto 2013
FIX, minimize fixed costsFLEX, maximize flexibilityFLUX, optimize interaction
04/11/2023 Lab for Learners | Jarmo Suominen 2014
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New Business OpportunitiesCity On Demand
Internal resources External resources
02.FLEX SharedSchool as community/neighborhood center, access facilities like gym and art class, services like training or couching
Internal use
Externaluse
04.FLEX On DemandSchool as service, run by service operations using shared resources, optimizing its own footprint, demanding service operator
01. FIX In houseSchool as a resource for educational purposes, including all necessary resources and services within its own premises
03. ADD DistributedUsing external resources for enabling education and community objectives
MIT City Scopeas a platform for value co creation in urban context
Shanghai scale model
Shanghai Scale Model
2828Avatar Holotable
Jarmo Suominen | Aalto University 2014
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SYMBOLIC VALUEGreen campus / path
Jarmo Suominen | Aalto University 2014
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EMOTIONAL VALUESocial density / amount of interaction
Jarmo Suominen | Aalto University 2014
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OPERATIONAL VALUEMobility
Jarmo Suominen | Aalto University 2014
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ECONOMICAL VALUELand use and investments
Jarmo Suominen | Aalto University 2014
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TECHNICAL VALUEWind load (building automation and infra)
Jarmo Suominen | Aalto University 2014
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Real-Time Data Observatory &Urban Transformation Simulator of:
•Movement of people•Movement of vehicles •Flow of goods•Energy flows •Wind flows •Solar access and shadows •Personal data and payment flows •Food networks •Urban lighting •Livability•Productivity•Disease•Crime•Creative output
CityScope, Changing Places Group, MIT Media Lab
Jarmo Suominen | Aalto University 2014
Market To Market With
Organization centric Solution centric
User demands Customer value
Quantitative metrics Qualitative metrics
One way information Symmetrical knowledge
Static solution Dynamic solution
Added value Redeemimg value proposition
Value exhange Customer relationship
Maximizing profit Optimizing value
From supply driven to service dominant solutions
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Sushi
Robust process designClear solution space definition
Customer centric choice navigation
Urban App Store