Crowdsourcing as Lego: Unpacking the Building Blocks of Crowdsourcing Collaboration Processes


Paper by Cuong Nguyen,  Onook Oh, David Kocsisand Gert-Jan Vreede:  “Crowdsourcing refers to the use of technologies to gather the collective effort and wisdom from an undefined group of online users for organizational innovation and/or problem solving. While the idea holds a lot of potential, its implementation can be thwarted by an ill design and management of the collaboration processes. Therefore, studies on crowdsourcing collaboration processes are important for the advancement of the field. We argue that studying this aspect of crowdsourcing can benefit from the modular view of collaboration processes provided by Vreede et al.’s (2009) six collaboration pattern framework. We propose to analyze current popular crowdsourcing websites through this framework and perform cluster analyses. We expect that our study will provide insights into existing practices of crowdsourcing collaboration and inform future research on crowdsourcing collaboration.”

Policy making 2.0: From theory to practice


Paper by E. Ferro, EN Loukis, Y. Charalabidis, and M. Osella in Government Information Quarterly: “Government agencies are gradually moving from simpler towards more sophisticated and complex practices of social media use, which are characterized by important innovations at the technological, political and organizational level. This paper intends to provide two contributions to the current discourse about such advanced approaches to social media exploitation. The first is of practical nature and has to do with assessing the potential and the challenges of a centralized cross-platform approach to social media by government agencies in their policy making processes. The second contribution is of theoretical nature and consists in the development of a multi-dimensional framework for an integrated evaluation of such advanced practices of social media exploitation in public policy making from technological, political and organizational perspectives, drawing from theoretical constructs from different domains. The proposed framework is applied for the evaluation of a pilot consultation campaign conducted in Italy using multiple social media and concerning the large scale application of a telemedicine program.”

Generating Value from Open Government Data


New paper by Thorhildur JetzekMichel Avital, and Niels Bjørn-Andersen: “A driving force for change in society is the trend towards Open Government Data (OGD). While the value generated by OGD has been widely discussed by public bodies and other stakeholders, little attention has been paid to this phenomenon in the academic literature. Hence, we developed a conceptual model portraying how data as a resource can be transformed to value. We show the causal relationships between four contextual, enabling factors, four types of value generation mechanisms and value. We use empirical data from 61 countries to test these relationships, using the PLS method. The results mostly support the hypothesized relationships. Our conclusion is that if openness is complemented with resource governance, capabilities in society and technical connectivity, use of OGD will stimulate the generation of economic and social value through four different archetypical mechanisms: Efficiency, Innovation, Transparency and Participation.”

An Experiment in Hiring Discrimination Via Online Social Networks


Paper by Acquisti, Alessandro and Fong, Christina: “Surveys of U.S. employers suggest that numerous firms seek information about job applicants online. However, little is known about how this information gathering influences employers’ hiring behavior. We present results from two complementary randomized experiments (a field experiment and an online experiment) on the impact of online information on U.S. firms’ hiring behavior. We manipulate candidates’ personal information that is protected under either federal laws or some state laws, and may be risky for employers to enquire about during interviews, but which may be inferred from applicants’ online social media profiles. In the field experiment, we test responses of over 4,000 U.S. employers to a Muslim candidate relative to a Christian candidate, and to a gay candidate relative to a straight candidate. We supplement the field experiment with a randomized, survey-based online experiment with over 1,000 subjects (including subjects with previous human resources experience) testing the effects of the manipulated online information on hypothetical hiring decisions and perceptions of employability. The results of the field experiment suggest that a minority of U.S. firms likely searched online for the candidates’ information. Hence, the overall effect of the experimental manipulations on interview invitations is small and not statistically significant. However, in the field experiment, we find evidence of discrimination linked to political party affiliation. Specifically, following the Gallup Organization’s segmentation of U.S. states by political ideology, we use results from the 2012 presidential election and find evidence of discrimination against the Muslim candidate compared to the Christian candidate among employers in more Romney-leaning states and counties. These results are robust to controlling for firm characteristics, state fixed effects, and a host of county-level variables. We find no evidence of discrimination against the gay candidate relative to the straight candidate. Results from the online experiment are consistent with those from the field experiment: we find more evidence of bias among subjects more likely to self-report more political conservative party affiliation. The online experiment’s results are also robust to controlling for demographic variables. Results from both experiments should be interpreted carefully. Because politically conservative states and counties in our field experiment, and more conservative party affiliation in our online experiment, are not randomly assigned, the result that discrimination is greater in more politically conservative areas and among more politically conservative online subjects should be interpreted as correlational, not causal.”

Selected Readings on Crowdsourcing Funds


The Living Library’s Selected Readings series seeks to build a knowledge base on innovative approaches for improving the effectiveness and legitimacy of governance. This curated and annotated collection of recommended works on the topic of crowdsourcing was originally published in 2013.

Crowdsourcing funds, or crowdfunding, is an emerging method for raising money that allows a wide pool of people to make small investments, gain access to ideas and projects they feel personally connected to, and spur growth in small businesses and social ventures. Popular crowdfunding platforms like Kickstarter and Indiegogo helped bring the practice into the public consciousness. Now, civic crowdfunding platforms like Citizinvestor and Spacehive are helping to apply this innovative funding model already in use for helping to fund artists, charities and inventors to help address public concerns traditionally considered under government’s purview.

Crowdfunding has also received recent attention from policymakers in the US through the US Securities JOBS Act, which provides an exemption from the registration requirements for offerings of securities by a company made through an SEC registered Crowdfunding Platform.

Selected Reading List (in alphabetical order)

Annotated Selected Reading List (in alphabetical order)

Aitamurto, Tanja. “The Impact of Crowdfunding on Journalism.” Journalism Practice 5, no. 4 (2011): 429–445. http://bit.ly/1bk4wNI.

  • This article analyzes the impact of crowdfunding on journalism, where, “readers’ donations accumulate into judgments about the issues that need to be covered.”
  • Aitamurto’s central findings inspire optimism regarding the potential of crowdfunding for the public good. She finds that, “From the donor’s perspective, donating does not create a strong relationship from donor to journalist or to the story to which they contributed;” rather, “[t]he primary motivation for donating is to contribute to the common good and social change.”

Baeck, Peter and Liam Collins. Working the Crowd: A Short Guide to Crowdfunding and How It Can Work for You. Nesta, May 2013. http://bit.ly/Hkl3rx.

  • This report “aims to give a quick overview of crowdfunding, the different versions of the model and how they work.”
  •  The authors list four technological innovations that have contributed to the growth of modern crowdfunding:
    • An online place for pitches
    • Moving your money with a click
    • The social engine
    • Fueling campaigns with algorithms
  • Baeck and Collins consider public and social projects to be one of the areas where crowdfunding can have a significant impact. They argue that civic crowdfunding “has the potential to disrupt how money for charitable causes is sourced and how public services and spaces are used and paid for.”

Best, Jason, Sherwood Neiss and Davis Jones. “How Crowdfund Investing Helps Solve Three Pressing Socioeconomic Challenges.” Crowdfunding PR, Social Media & Marketing Campaigns. http://bit.ly/1aaTGwQ.

  • This paper outlines the forces driving the widespread use of crowdfund investing, namely social media, the existence of funding systems that marginalize people outside of major urban centers and the ability of people to function remotely from their work spaces.
  • The authors also discuss a number of public-facing benefits of crowdfund investing:
    • Crowdfund Investing Creates Jobs
    • Bringing capital in off the sidelines for use by small businesses
    • Funding entrepreneurs everywhere
    • Capital no longer for the chosen few
    • Crowdfund Investing Grows GDP
    • Reduction in the failure rate of small businesses
    • Crowd monitoring reduces agency costs

De Buysere, Kristof, Oliver Gajda, Ronald Kleverlaan, Dan Marom, and Matthias Klaes. A Framework for European Crowdfunding, 2012. http://bit.ly/1aaTFsE.

  • This paper seeks to provide a “concise overview of the state of crowdfunding in Europe, with the aim of establishing policy and a distinct framework for the European crowdfunding industry,” which the authors believe, “will aid in the economic recovery of Europe.”
  • The authors, in their advocacy for greater crowdfunding opportunities for businesses in Europe, provide a rationale for the practice that also helps demonstrate the potential benefits of greater crowdfunding opportunities within government. They argue that, “Crowdfunding can offer unique support for budding and existing entrepreneurs on multiple levels. No other investment form, be it debt or equity, can provide the benefits of pre-sales, market research, word-of-mouth promotion, and crowd wisdom without additional cost.”

Hollow, Matthew. “Crowdfunding and Civic Society in Europe: A Profitable Partnership?” Open Citizenship 4, no. 1 (May 20, 2013). http://bit.ly/1cgzefL.

  • In this paper, Hollow explores the rise of crowdfunding platforms (CFPs), particularly related to civil society. He notes that, “[f]or civil society activists and others concerned with local welfare issues, the emergence of these new CFPs has been hugely significant: It has opened up a new source of funding when governments and businesses around the world are cutting back on their spending.”
  • Hollow argues that, “aside from their evident financial and economic benefits, CFPs also have the capacity to help foster and strengthen non-parliamentary democratic structures and practices. As such, they should be supported and encouraged as part of a framework of further European democratization and civic integration.”

Mollick, Ethan R. “The Dynamics of Crowdfunding: An Exploratory Study.” Journal of Business Venturing (June 26, 2013). http://bit.ly/1aaTJIV.

  • This paper “offers a description of the underlying dynamics of success and failure among crowdfunded ventures,” focusing on how personal networks and the project quality and viability have an impact on the success of crowdfunding efforts.
  • Mollick also highlights how other factors, like the geography of the project, design choices made by crowdfunding sites and developments in technology in this space all have an influence on the relationship between backers and project founders.
  • The paper finally demonstrates that projects that succeed do so by a small margin and those that fail seemingly by a large margin suggesting the influence of social bias and crowd influence.

Stemler, Abbey R. “The JOBS Act and Crowdfunding: Harnessing the Power—and Money—of the Masses.” Business Horizons 56, no. 3 (May 2013): 271–275. http://bit.ly/1ih9lts.

  • This paper discusses the Jumpstart Our Business Startups (JOBS) Act signed into law by President Obama in 2012, with a specific focus on the CROWDFUND Act, which enables entrepreneurs and small business owners to sell limited equity in their companies to a “crowd” of investors.
  • The objective of the Act is to exempt crowdfunding from registration requirement costs, allowing the potential of equity-based funding to be realized, by creating a pathway for underfunded entrepreneurs to access otherwise inaccessible streams of funding.
  • Stemler argues that the Act helps to legitimize crowdfunding as a community-building and fundraising tool for the business community, and also helps build better relationships between small business owners and government.

The Law of 'Not Now'


Paper by Cass Sunstein and Adrian Vermeule: “Administrative agencies frequently say “not now.” They defer decisions about rulemaking or adjudication, or decide not to decide. When is it lawful for them to do so? A substantial degree of agency autonomy is guaranteed by a recognition of resource constraints, which require agencies to set priorities, often with reference to their independent assessments of the relative importance of legislative policies. Unless a fair reading of congressional instructions suggests otherwise, agencies may also defer decisions because of their own policy judgments about appropriate timing. At the same time, agencies may not defer decisions, or decide not to decide, if Congress has imposed a statutory deadline, or if their failure to act amounts to a circumvention of express or implied statutory requirements, or amounts to an abdication of the agency’s basic responsibility to promote and enforce policies established by Congress.”

Why We Engage: How Theories of Human Behavior Contribute to Our Understanding of Civic Engagement in a Digital Era


New paper by Gordon, Eric and Baldwin-Philippi, Jessica and Balestra, Martina: “…Just as the rapidly evolving landscape of connectivity and communications technology is transforming the individual’s experience of the social sphere, what it means to participate in civic life is also changing, both in how people do it and how it is measured. Civic engagement includes all the ways in which individuals attend to the concerns of public life, how one learns about and participates in all of the issues and contexts beyond one’s immediate private or intimate sphere. New technologies and corresponding social practices, from social media to mobile reporting, are providing different ways to record, share, and amplify that attentiveness. Media objects or tools that impact civic life can be understood within two broad types: those designed specifically with the purpose of community engagement in mind (for instance, a digital game for local planning or an app to give feedback to city council) or generic tools that are subsequently appropriated for engaging a community (such as Twitter or Facebook’s role in the Arab Spring or London riots). Moreover, these tools can mediate any number of relationships between or among citizens, local organizations, or government institutions. Digitally mediated civic engagement runs the gamut of phenomena from organizing physical protests using social media (e.g., Occupy), to using digital tools to hack institutions (e.g., Anonymous), to using city-produced mobile applications to access and coproduce government services, to using digital platforms for deliberating. Rather than try to identify what civic media tools look like in the midst of such an array of possibilities (by focusing on in depth examples or case studies), going forward we will instead focus on how digital tools expand the context of civic life and motivations for engagement, and what participating in civic life looks like in a digital era.
We present this literature review as a means of exploring the intersection of theories of human behavior with the motivations for and benefits of engaging in civic life. We bring together literature from behavioral economics, sociology, psychology and communication studies to reveal how civic actors, institutions, and decision-making processes have been traditionally understood, and how emerging media tools and practices are forcing their reconsideration.

Social innovation, an answer to contemporary societal challenges? Locating the concept in theory and practice


Paper by R. Grimm, C. Fox, S. Baines, and K. Albertson in Innovation: The European Journal of Social Science Research: “Social innovation discourses see in social challenges opportunities to make societies more sustainable and cohesive through inclusive practices, coproduction and pro-active grassroots initiatives. In this paper we are concerned first that the concept has been stretched in so many directions that it is at breaking point. We illustrate this by documenting the varied uses of social innovation in different academic and policy discourses. Second, we assume that, if social innovation is to be a useful concept for policy-makers, then it must tell us something about what adjustments are needed to develop an effective political economy that is social innovation ready. Finally, we argue that what is needed is more theoretical and empirical work to help social innovation to develop into an effective policy tool”

Privacy in the 21st Century: From the “Dark Ages” to “Enlightenment”?


Paper by P. Kitsos and A. Yannoukakou in the International Journal of E-Politics (IJEP): “The events of 9/11 along with the bombarding in Madrid and London forced governments to resort to new structures of privacy safeguarding and electronic surveillance under the common denominator of terrorism and transnational crime fighting. Legislation as US PATRIOT Act and EU Data Retention Directive altered fundamentally the collection, processing and sharing methods of personal data, while it granted increased powers to police and law enforcement authorities concerning their jurisdiction in obtaining and processing personal information to an excessive degree. As an aftermath of the resulted opacity and the public outcry, a shift is recorded during the last years towards a more open governance by the implementation of open data and cloud computing practices in order to enhance transparency and accountability from the side of governments, restore the trust between the State and the citizens, and amplify the citizens’ participation to the decision-making procedures. However, privacy and personal data protection are major issues in all occasions and, thus, must be safeguarded without sacrificing national security and public interest on one hand, but without crossing the thin line between protection and infringement on the other. Where this delicate balance stands, is the focal point of this paper trying to demonstrate that it is better to be cautious with open practices than hostage of clandestine practices.”

Innovation in Multi-Stakeholder Engagement


New INSEAD working paper by Mahroum, Sami, Bell, Simon and Yassin, Nasser: “This paper is concerned with the multitude of interleaving issues which emerge when engaging multiple stakeholders in decision making. Whilst recognising the intrinsic values of group work (including shared views, wide option selection, public spirited focus, legitimacy of decisions and improved intellectual content) and keeping in mind the numerous issues which confuse and obscure clear findings from group work (including multiple roles for participants, bias due to domination and distortion emerging from uneven group inputs) this paper uses an innovative methodology – the Triple Task – to propose a new framework for organising multi-stakeholder consultations. The Triple Task methodology was applied to test the new framework on multi-stakeholders in the context of education in Abu Dhabi, where various small groups were tasked and assessed using the methodology. The results indicate that moving participants from heterogeneous to homogenous groups results on these groups becoming more focused in their outcomes with greater clarity in the thinking of group members”