Co-funded by theEuropean

Commission

Value Co-Creation Workshop

Maurizio Spirito, Claudio Pastrone, Michele Osella, Maria Teresa Delgado (ISMB, Italy) Unify-IoT

Charalampos Doukas (CREATE-NET, Italy) AGILE

IoT-EPI Common Workshop, 22 June, 2016Valencia, Spain

Co-funded by theEuropean

Commission

Value Co-creation• Value co-creation – federate stakeholders to build an EU IoT ecosystem by working

together on mutually agreed Joint Developments, such as: • Tangible outcomes, technical solutions (including e.g., common APIs)• Pilots (including e. g., approaches for recruiting, evaluation, benchmarking)• Business models frameworks, exploitation roadmaps• Approaches for community building around platforms and for fostering adoption• Educational initiatives• …

• Value co-creation in IoT-EPI occurs • within RIAs and among RIAs where common opportunities/challenges are identified• … but also leveraging on existing outcomes of previous/running (FP7) IoT Projects

Co-funded by theEuropean

Commission

Value Co-creation: Framework

Value co-created can be measured with respect to 3 value axis

- Innovators - Early adopters - Early majority - Late majority - Laggards

- User friendliness - Personalization/configurability - Comfort - Entertainment - Social status - Safety - Perceived quality - Time Saving - Money saving

- Free (Advertising powered, Cross-subsidization , zero marginal cost)

- Premium (à la carte, subscription fee, royalties)

- Freemium (feature/time/size limited )

Co-funded by theEuropean

Commission

Value Co-creation: Everything Fits In

TF – IoT Accelerators

TF – Platforms Interoperability

TF – Educational Platforms

TF – IoT Business models

WS – IoT Architectural Approaches

WS – IoT Use Cases and Applications

WS – Standardization Landscape

TF – International Collaboration

TF – InnovationIoT

Co-funded by theEuropean

Commission

Connection with IoT-EPI TFsTF

01: I

nnov

ation

Inno

vatio

n su

ppor

t nee

ds

AGILE TAGIT Smart SymbIoTe InterIoT BIG-IOT

Attracting both HW/SW developers

Showcasing the value proposition

Getting the right platform flexibility message across

No real needs at this stage identified

Co-creation of platform use-cases with the right customers/ stakeholders

Attracting the right stakeholders to join IoT platform federation (app dev, IoT platforms, GW vendor, cloud operator)

New use cases for validation beyond those envisioned in SymbIoTe

Launch of services around the platform eco-system with real end user reach

Standardisation of key project outcomesEducation and training

Attract a large number of SMEs and integrators to stimulate the innovation eco-system

Community building especially reaching developers

Comms and dissemination

Integration support from existing projects that BIG-IOT aims to integrate

Co-funded by theEuropean

Commission

Connection with IoT-EPI TFsTF

04:B

usin

ess M

odel

sIo

T-EP

I Val

ue c

reati

on M

appi

ng

Co-funded by theEuropean

Commission

Common Potential Community & Business Building Activities (from TF03: Accelerators)Feedback from the projects in preparation of the workshop:

Co-funded by theEuropean

Commission

Results from Questionnaires

Tang

ible

Out

com

es

Co-funded by theEuropean

Commission

Results from Questionnaires

Is your project using value co-creation mechanisms and/or approaches as innovation drivers?

What type of value creation approach is your project implementing?

Please indicate the co-creation methodologies implemented within your project

Co-funded by theEuropean

Commission

RIA Mapping – Tech Level

Co-funded by theEuropean

Commission

RIA Mapping – Pilot Level

Mass market PLM, Smart Retail,

Product Monitoring

Livestock Monitoring

Port/Vessel Monitoring

Smart Mobility

Smart Healthcare,

QuantifiedSelf

Environment/Energy Monitoring, recycling

Smart City

Co-funded by theEuropean

Commission

Workshop Rationale

Work together hands-on to create new value

in the form of joint developments

combining results made available by different

RIAs

Present the first version of the value co-creation framework

Explore mechanisms fostering synergies among RIAs

Uncover market implications and societal relevance of co-creation dynamics

Main goal of the workshop

Co-funded by theEuropean

Commission

Co-Creation Landscape

Co-funded by theEuropean

Commission

Co-Creation Framework by Unify-IoT

Co-funded by theEuropean

Commission

Co-Creation Framework

Why What Where How

Sensor / endpoint supplier

Network operator

M2M product supplier

Systemintegrator

(Vertical)Service provider

Nth-level provider

Data transmission

provider

Vertical application domain #1

Sensor / endpoint supplier

Network operator

M2M product supplier

Systemintegrator

(Vertical)Service provider

Nth-level provider

Data transmission

provider

Vertical application domain #2

Sensor / endpoint supplier

Network operator

M2M product supplier

Systemintegrator

(Vertical)Service provider

Nth-level provider

Data transmission

provider

Vertical application domain #n

Degree of vertical integration

Degree of horizontal integration

Degree of functional integration

Cloud provider

R&D advisor

SW developer

1• External access to the platform

2• Adoption of open standard

3• Open data licenses

4• Open source licenses

5• Platforms to distribute project code

6• Third-party’s catalogues & marketplaces

7• Liaisons with educational/research bodies

8• Co-creation catalyzers

Value axes Value proposition Value network Co-creation mechanisms

Co-funded by theEuropean

Commission

Phase I: Joint Developments

• Goal: stimulate and validate joint developments combining multiple RIAs’ outcomes.

• Format: brainstorming sessions in 3 groups • Timing: 20 minutes. • Expected outcomes: 2-3 prioritized joint developments, previously validated

based on the mutual benefits (RIAs’ perspective), market traction (adopters’ perspective) and societal relevance (end-users’ perspective).

Co-funded by theEuropean

Commission

Phase I: Co-Creation Dimensions

End Users

Adopters

IoT-EPI

IoT Platforms IoTplatform

IoTplatform

IoTplatform

RIA RIA RIA

Adopter Adopter Adopter

End user

End user

End user

Market proposition

Technological reuse

Value co-creation

(e.g., startups, SMEs, open-API developers, makers)

(e.g., citizens, students, patients)

Mutual benefits (RIA)

Market traction (adopters)

Societal relevance (end-users)

Value co-creation that works is characterized by:

Co-funded by theEuropean

Commission

Phase I: the ‘Validation Funnel’

Mutual benefits - RIA

Market traction - ADOPTERS

Societal relevance – END-USERS

Synergy ideas

IoT-EPI joint developments

Is the synergy useful for several entities of the IoT-EPI ecosystem?

Is the synergy likely to create value for B2B customers?

Is the synergy likely to solve tough problems for end-users?

Co-creation dimension Guiding questions

Co-funded by theEuropean

Commission

Phase II: Speedy Pitches

• Goal: share outcomes of Phase I and possibly reshuffle groups based on individuals interest.

• Format: plenary pitches meant to present phase 1 outcomes and invite participants to discuss in-depth a specific IoT-EPI joint development.

• Timing: 3 minutes / group. Max 1 question per speech [Total: 15 mins] • Expected outcomes: reestablishment of groups of interest to further explore

IoT-EPI joint developments derived from phase 1 (possibly re-shuffling previous groups).

Co-funded by theEuropean

Commission

Phase III: Value Co-Creation Exercise

• Goal: estimate the problem-solution fit of the proposed IoT-EPI joint developments, thus enhancing their market readiness and societal relevance.

• Format: hands-on team-working session of rapid prototyping facilitated by Unify-IoT team.

• Timing: 20 minutes. • Expected outcomes: validation of the value proposition of IoT-EPI joint

developments (i.e., addressing targeted needs, solving targeted problems)

Co-funded by theEuropean

Commission

The Toolkit at a Glance

Goal: create value for your customerExpected achievement: problem-solution fit

Value Proposition Canvas

Goal: create value for your businessExpected achievement: product-market fit

Business Model Canvas

Part of Unify-IoT co-creation framework

Used in today’s workshop

Working tool of TF on business models

Used in tomorrow’s TF04 workshop

Co-funded by theEuropean

Commission

The Value Proposition Canvas

Problem-solution fit

What we DESIGN What we OBSERVE

Value MapFeatures of a specific value proposition

Customer ProfilePeculiar traits of a

specific customer segment

1

2

4

35

6

Co-funded by theEuropean

Commission

An Example in the IoT Realm

Open API Smart

Electricity Meter

Low-cost automatic metering

Anti-tampering smart meters

Use of open API

Access to multiple smart meter producers

Provision of energy

services

Getting rid of vendor lock-in

Absence of real-time billing of energy

consumption

High number of frauds

Expanding the market footprint

Open API Smart Electricity Meter Energy Service Providers

C CD

D

B

BA

A

Co-funded by theEuropean

Commission

Feedback

Co-funded by theEuropean

Commission

Next Steps

• What is expected from the IoT-EPI projects and task forces in the future?

• How to share the information among projects and interested parties?

• How to promote the use of the framework in the future?