Open data: Unlocking innovation and performance with liquid information

Curated on Posted on by Stefaan Verhulst

New report by McKinsey Global Institute:“Open data—machine-readable information, particularly government data, that’s made available to others—has generated a great deal of excitement around the world for its potential to empower citizens, change how government works, and improve the delivery of public services. It may also generate significant economic value, according to a new McKinsey report.1 Our research suggests that seven sectors alone could generate more than $3 trillion a year in additional value as a result of open data, which is already giving rise to hundreds of entrepreneurial businesses and helping established companies to segment markets, define new products and services, and improve the efficiency and effectiveness of operations.

Although the open-data phenomenon is in its early days, we see a clear potential to unlock significant economic value by applying advanced analytics to both open and proprietary knowledge. Open data can become an instrument for breaking down information gaps across industries, allowing companies to share benchmarks and spread best practices that raise productivity. Blended with proprietary data sets, it can propel innovation and help organizations replace traditional and intuitive decision-making approaches with data-driven ones. Open-data analytics can also help uncover consumer preferences, allowing companies to improve new products and to uncover anomalies and needless variations. That can lead to leaner, more reliable processes.
However, investments in technology and expertise are required to use the data effectively. And there is much work to be done by governments, companies, and consumers to craft policies that protect privacy and intellectual property, as well as establish standards to speed the flow of data that is not only open but also “liquid.” After all, consumers have serious privacy concerns, and companies are reluctant to share proprietary information—even when anonymity is assured—for fear of losing competitive advantage…
See also Executive Summary and Full Report”

Smart Citizens

Curated on Posted on by Stefaan Verhulst

FutureEverything: “This publication aims to shift the debate on the future of cities towards the central place of citizens, and of decentralised, open urban infrastructures. It provides a global perspective on how cities can create the policies, structures and tools to engender a more innovative and participatory society. The publication contains a series of 23 short essays representing some of the key voices developing an emerging discourse around Smart Citizens.  Contributors include:

  • Dan Hill, Smart Citizens pioneer and CEO of communications research centre and transdisciplinary studio Fabrica on why Smart Citizens Make Smart Cities.
  • Anthony Townsend, urban planner, forecaster and author of Smart Cities: Big Data, Civic Hackers, and the Quest for a New Utopia on the tensions between place-making and city-making on the role of mobile technologies in changing the way that people interact with their surroundings.
  • Paul Maltby, Director of the Government Innovation Group and of the Open Data and Transparency in the UK Cabinet Office on how government can support a smarter society.
  • Aditya Dev Sood, Founder and CEO of the Center for Knowledge Societies, presents polarised hypothetical futures for India in 2025 that argues for the use of technology to bridge gaps in social inequality.
  • Adam Greenfield, New York City-based writer and urbanist, on Recuperating the Smart City.

Editors: Drew Hemment, Anthony Townsend
Download Here.“

Global Collective Intelligence in Technological Societies

Curated on Posted on by Stefaan Verhulst
Paper by Juan Carlos Piedra Calderón and Javier Rainer in the International Journal of Artificial Intelligence and Interactive Multimedia: “The big influence of Information and Communication Technologies (ICT), especially in area of construction of Technological Societies has generated big
social changes. That is visible in the way of relating to people in different environments. These changes have the possibility to expand the frontiers of knowledge through sharing and cooperation. That has meaning the inherently creation of a new form of Collaborative Knowledge. The potential of this Collaborative Knowledge has been given through ICT in combination with Artificial Intelligence processes, from where is obtained a Collective Knowledge. When this kind of knowledge is shared, it gives the place to the Global Collective Intelligence”.

Are We Puppets in a Wired World?

Curated on Posted on by Stefaan Verhulst

Sue Halpern in The New York Review of Books: “Also not obvious was how the Web would evolve, though its open architecture virtually assured that it would. The original Web, the Web of static homepages, documents laden with “hot links,” and electronic storefronts, segued into Web 2.0, which, by providing the means for people without technical knowledge to easily share information, recast the Internet as a global social forum with sites like Facebook, Twitter, FourSquare, and Instagram.
Once that happened, people began to make aspects of their private lives public, letting others know, for example, when they were shopping at H+M and dining at Olive Garden, letting others know what they thought of the selection at that particular branch of H+M and the waitstaff at that Olive Garden, then modeling their new jeans for all to see and sharing pictures of their antipasti and lobster ravioli—to say nothing of sharing pictures of their girlfriends, babies, and drunken classmates, or chronicling life as a high-paid escort, or worrying about skin lesions or seeking a cure for insomnia or rating professors, and on and on.
The social Web celebrated, rewarded, routinized, and normalized this kind of living out loud, all the while anesthetizing many of its participants. Although they likely knew that these disclosures were funding the new information economy, they didn’t especially care…
The assumption that decisions made by machines that have assessed reams of real-world information are more accurate than those made by people, with their foibles and prejudices, may be correct generally and wrong in the particular; and for those unfortunate souls who might never commit another crime even if the algorithm says they will, there is little recourse. In any case, computers are not “neutral”; algorithms reflect the biases of their creators, which is to say that prediction cedes an awful lot of power to the algorithm creators, who are human after all. Some of the time, too, proprietary algorithms, like the ones used by Google and Twitter and Facebook, are intentionally biased to produce results that benefit the company, not the user, and some of the time algorithms can be gamed. (There is an entire industry devoted to “optimizing” Google searches, for example.)
But the real bias inherent in algorithms is that they are, by nature, reductive. They are intended to sift through complicated, seemingly discrete information and make some sort of sense of it, which is the definition of reductive.”
Books reviewed:

Why Crowdsourcing is the Next Cloud Computing

Curated on Posted on by Stefaan Verhulst

Alpheus Bingham, co-founder and a member of the board of directors at InnoCentive, in Wired: “But over the course of a decade, what we now call cloud-based or software-as-a-service (SaaS) applications has taken the world by storm and become mainstream. Today, cloud computing is an umbrella term that applies to a wide variety of successful technologies (and business models), from business apps like Salesforce.com, to infrastructure like Amazon Elastic Compute Cloud (Amazon EC2), to consumer apps like Netflix. It took years for all these things to become mainstream, and if the last decade saw the emergence (and eventual dominance) of the cloud over previous technologies and models, this decade will see the same thing with crowdsourcing.
Both an art and a science, crowdsourcing taps into the global experience and wisdom of individuals, teams, communities, and networks to accomplish tasks and work. It doesn’t matter who you are, where you live, or what you do or believe — in fact, the more diversity of thought and perspective, the better. Diversity is king and it’s common for people on the periphery of — or even completely outside of — a discipline or science to end up solving important problems.
The specific nature of the work offers few constraints – from a small business needing a new logo, to the large consumer goods company looking to ideate marketing programs, or to the nonprofit research organization looking to find a biomarker for ALS, the value is clear as well.
To get to the heart of the matter on why crowdsourcing is this decade’s cloud computing, several immediate reasons come to mind:
Crowdsourcing Is Disruptive
Much as cloud computing has created a new guard that in many ways threatens the old guard, so too has crowdsourcing. …
Crowdsourcing Provides On-Demand Talent Capacity
Labor is expensive and good talent is scarce. Think about the cost of adding ten additional researchers to a 100-person R&D team. You’ve increased your research capacity by 10% (more or less), but at a significant cost – and, a significant FIXED cost at that. …
Crowdsourcing Enables Pay-for-Performance.
You pay as you go with cloud computing — gone are the days of massive upfront capital expenditures followed by years of ongoing maintenance and upgrade costs. Crowdsourcing does even better: you pay for solutions, not effort, which predictably sometimes results in failure. In fact, with crowdsourcing, the marketplace bears the cost of failure, not you….
Crowdsourcing “Consumerizes” Innovation
Crowdsourcing can provide a platform for bi-directional communication and collaboration with diverse individuals and groups, whether internal or external to your organization — employees, customers, partners and suppliers. Much as cloud computing has consumerized technology, crowdsourcing has the same potential to consumerize innovation, and more broadly, how we collaborate to bring new ideas, products and services to market.
Crowdsourcing Provides Expert Services and Skills That You Don’t Possess.
One of the early value propositions of cloud-based business apps was that you didn’t need to engage IT to deploy them or Finance to help procure them, thereby allowing general managers and line-of-business heads to do their jobs more fluently and more profitably…”

The small-world effect is a modern phenomenon

Curated on Posted on by Stefaan Verhulst

New paper by Seth A. Marvel, Travis Martin, Charles R. Doering, David Lusseau, M. E. J. Newman: “The “small-world effect” is the observation that one can find a short chain of acquaintances, often of no more than a handful of individuals, connecting almost any two people on the planet. It is often expressed in the language of networks, where it is equivalent to the statement that most pairs of individuals are connected by a short path through the acquaintance network. Although the small-world effect is well-established empirically for contemporary social networks, we argue here that it is a relatively recent phenomenon, arising only in the last few hundred years: for most of mankind’s tenure on Earth the social world was large, with most pairs of individuals connected by relatively long chains of acquaintances, if at all. Our conclusions are based on observations about the spread of diseases, which travel over contact networks between individuals and whose dynamics can give us clues to the structure of those networks even when direct network measurements are not available. As an example we consider the spread of the Black Death in 14th-century Europe, which is known to have traveled across the continent in well-defined waves of infection over the course of several years. Using established epidemiological models, we show that such wave-like behavior can occur only if contacts between individuals living far apart are exponentially rare. We further show that if long-distance contacts are exponentially rare, then the shortest chain of contacts between distant individuals is on average a long one. The observation of the wave-like spread of a disease like the Black Death thus implies a network without the small-world effect.”

Bright Spots of open government to be recognised at global summit

Curated on Posted on by Stefaan Verhulst

Press Release of the UK Cabinet Office: “The 7 shortlisted initiatives vying for the Bright Spots award show how governments in Open Government Partnership countries are working with citizens to sharpen governance, harness new technologies to increase public participation and improve government responsiveness.
At the Open Government Partnership summit in London on 31 October 2013 and 1 November 2013, participants will be able to vote for one of the shortlisted projects. The winning project – the Bright Spot – will be announced in the summit’s final plenary session….
The shortlisted entries for the Bright Spots prize – which will be awarded at the London summit – are:

  • Chile – ChileAtiende

The aim of ChileAtiende has been to simplify government to citizens by providing a one-stop shop for accessing public services. Today, ChileAtiende has more than 190 offices across the whole country, a national call centre and a digital platform, through which citizens can access multiple services and benefits without having to navigate multiple government offices.

  • Estonia – People’s Assembly

The People’s Assembly is a deliberative democracy tool, designed to encourage input from citizens on the government’s legislative agenda. This web-based platform allows ordinary citizens to propose policy solutions to problems including fighting corruption. Within 3 weeks, 1,800 registered users posted nearly 6,000 ideas and comments. Parliament has since set a timetable for the most popular proposals to be introduced in the formal proceedings.

  • Georgia – improvements to the Freedom of Information Act

Civil society organisations in Georgia have successfully used the government’s participation in OGP to advocate improvements to the country’s Freedom of Information legislation. Government agencies are now obliged to proactively publish information in a way that is accessible to anyone, and to establish an electronic request system for information.

  • Indonesia – complaints portal

LAPOR! (meaning “to report” in Indonesian) is a social media channel where Indonesian citizens can submit complaints and enquiries about development programmes and public services. Comments are transferred directly to relevant ministries or government agencies, which can respond via the website. LAPOR! now has more than 225,350 registered users and receives an average of 1,435 inputs per day.

  • Montenegro – Be Responsible app

“Be Responsible” is a mobile app that allows citizens to report local problems – from illegal waste dumps, misuse of official vehicles and irregular parking, to failure to comply with tax regulations and issues over access to healthcare and education.

  • Philippines – citizen audits

The Citizen Participatory Audit (CPA) project is exploring ways in which citizens can be directly engaged in the audit process for government projects and contribute to ensuring greater efficiency and effectiveness in the use of public resources. 4 pilot audits are in progress, covering public works, welfare, environment and education projects.

  • Romania – transparency in public sector recruitment

The PublicJob.ro website was set up to counter corruption and lack of transparency in civil service recruitment. PublicJob.ro takes recruitment data from public organisations and e-mails it to more than 20,000 subscribers in a weekly newsletter. As a result, it has become more difficult to manipulate the recruitment process.”

Smart Machines: IBM's Watson and the Era of Cognitive Computing

Curated on Posted on by Stefaan Verhulst
New book from Columbia Business School Publishing: “We are crossing a new frontier in the evolution of computing and entering the era of cognitive systems. The victory of IBM’s Watson on the television quiz show Jeopardy! revealed how scientists and engineers at IBM and elsewhere are pushing the boundaries of science and technology to create machines that sense, learn, reason, and interact with people in new ways to provide insight and advice.
In Smart Machines, John E. Kelly III, director of IBM Research, and Steve Hamm, a writer at IBM and a former business and technology journalist, introduce the fascinating world of “cognitive systems” to general audiences and provide a window into the future of computing. Cognitive systems promise to penetrate complexity and assist people and organizations in better decision making. They can help doctors evaluate and treat patients, augment the ways we see, anticipate major weather events, and contribute to smarter urban planning. Kelly and Hamm’s comprehensive perspective describes this technology inside and out and explains how it will help us conquer the harnessing and understanding of “big data,” one of the major computing challenges facing businesses and governments in the coming decades. Absorbing and impassioned, their book will inspire governments, academics, and the global tech industry to work together to power this exciting wave in innovation.”
See also Why cognitive systems?

Crowdsourcing Mobile App Takes the Globe’s Economic Pulse

Curated on Posted on by Stefaan Verhulst

Tom Simonite in MIT Technology Review: “In early September, news outlets reported that the price of onions in India had suddenly spiked nearly 300 percent over prices a year before. Analysts warned that the jump in price for this food staple could signal an impending economic crisis, and the Research Bank of India quickly raised interest rates.
A startup company called Premise might’ve helped make the response to India’s onion crisis timelier. As part of a novel approach to tracking the global economy from the bottom up, the company has a daily feed of onion prices from stores around India. More than 700 people in cities around the globe use a mobile app to log the prices of key products in local stores each day.

Premise’s cofounder David Soloff says it’s a valuable way to take the pulse of economies around the world, especially since stores frequently update their prices in response to economic pressures such as wholesale costs and consumer confidence. “All this information is hiding in plain sight on store shelves,” he says, “but there’s no way of capturing and aggregating it in any meaningful way.”
That information could provide a quick way to track and even predict inflation measures such as the U.S. Consumer Price Index. Inflation figures influence the financial industry and are used to set governments’ monetary and fiscal policy, but they are typically updated only once a month. Soloff says Premise’s analyses have shown that for some economies, the data the company collects can reliably predict monthly inflation figures four to six weeks in advance. “You don’t look at the weather forecast once a month,” he says….
Premise’s data may have other uses outside the financial industry. As part of a United Nations program called Global Pulse, Cavallo and PriceStats, which was founded after financial professionals began relying on data from an ongoing academic price-indexing effort called the Billion Prices Project, devised bread price indexes for several Latin American countries. Such indexes typically predict street prices and help governments and NGOs spot emerging food crises. Premise’s data could be used in the same way. The information could also be used to monitor areas of the world, such as Africa, where tracking online prices is unreliable, he says.”

Democracy and Political Ignorance

Curated on Posted on by Stefaan Verhulst

Essay by Ilya Somin in Special issue on Is Smaller Government Smarter Government? of Cato Unbound: ” Democracy is supposed to be rule of the people, by the people, and for the people. But in order to rule effectively, the people need political knowledge. If they know little or nothing about government, it becomes difficult to hold political leaders accountable for their performance. Unfortunately, public knowledge about politics is disturbingly low. In addition, the public also often does a poor job of evaluating the political information they do know. This state of affairs has persisted despite rising education levels, increased availability of information thanks to modern technology, and even rising IQ scores. It is mostly the result of rational behavior, not stupidity. Such widespread and persistent political ignorance and irrationality strengthens the case for limiting and decentralizing the power of government….
Political ignorance in America is deep and widespread. The current government shutdown fight provides some good examples. Although Obamacare is at the center of that fight and much other recent political controversy, 44% percent of the public do not even realize it is still the law. Some 80 percent, according to a recent Kaiser survey, say they have heard “nothing at all” or “only a little” about the controversial insurance exchanges that are a major part of the law….
Some people react to data like the above by thinking that the voters must be stupid. Butpolitical ignorance is actually rational for most of the public, including most smart people. If your only reason to follow politics is to be a better voter, that turns out not be much of a reason at all. That is because there is very little chance that your vote will actually make a difference to the outcome of an election (about 1 in 60 million in a presidential race, for example).2 For most of us, it is rational to devote very little time to learning about politics, and instead focus on other activities that are more interesting or more likely to be useful. As former British Prime Minister Tony Blair puts it, “[t]he single hardest thing for a practising politician to understand is that most people, most  of the time, don’t give politics a first thought all day long. Or if they do, it is with a sigh…. before going back to worrying about the kids, the parents, the mortgage, the boss, their friends, their weight, their health, sex and rock ‘n’ roll.”3 Most people don’t precisely calculate the odds that their vote will make a difference. But they probably have an intuitive sense that the chances are very small, and act accordingly.
In the book, I also consider why many rationally ignorant people often still bother to vote.4 The key factor is that voting is a lot cheaper and less time-consuming than studying political issues. For many, it is rational to take the time to vote, but without learning much about the issues at stake….
Political ignorance is far from the only factor that must be considered in deciding the appropriate size, scope, and centralization of government. For example, some large-scale issues, such as global warming, are simply too big to be effectively addressed by lower-level governments or private organizations. Democracy and Political Ignorance is not a complete theory of the proper role of government in society. But it does suggest that the problem of political ignorance should lead us to limit and decentralize government more than we would otherwise.”
See also:  Ilya Somin, Democracy and Political Ignorance: Why Smaller Government is Smarter, (Stanford: Stanford University Press, 2013)