- Crowdsourcing is any sort of outsourcing that involves a large group of people actively participating in the project.
- The practice whereby an organization enlists a variety of freelancers, paid or unpaid, to work on a specific task or problem
- “Crowdsourcing is channelling the experts' desire to solve a problem and then freely sharing the answer with everyone” - Henk van Ess
2.0 Types of Crowdsourcing
2.1 Crowd voting
- 1% will create something valuable
- 10% will vote and rate submissions
- 89% will consume creation
2.2 Crowd funding
- Donations, Philanthropy and Sponsorship where there is no expected financial return,
- Lending and
- Investment in exchange for equity, profit or revenue sharing.
2.3 Crowdsource Design / Creative Crowdsourcing
2.5 Open Innovation
- Collaboration involving partners, competitors, universities, and users
- Corporate Entrepreneurship, especially through corporate venturing, start-ups and spin-offs
- Proactive Intellectual Property Management: to buy and sell intellectual property and so create markets for technology
- Research and Development (R&D): to obtain competitive advantage on the marketplace
Open innovation allows people from all aspects of business such as investors, designers, inventors, and marketers to collaborate into a functional profit making reality. This can be done either through a dedicated web platform to gain outside perspective, or used with only internal employees.
2.6 Community Building
Communities of practice are formed by people who engage in a process of collective learning in a shared domain of human endeavor: a tribe learning to survive, a band of artists seeking new forms of expression, a group of engineers working on similar problems, a clique of pupils defining their identity in the school, a network of surgeons exploring novel techniques, a gathering of first-time managers helping each other cope.
2.7 Collective Knowledge / Intelligence
Collective Knowledge or Collective Intelligence is a shared or group intelligence that emerges from the collaboration and competition of many individuals. It is development of knowledge assets or information resources from a distributed pool of contributors.
According to Don Tapscott and Anthony D. Williams, collective intelligence is mass collaboration. In order for this concept to happen, four principles need to exist;
Sharing ideas and intellectual property: though these resources provide the edge over competitors more benefits accrue from allowing others to share ideas and gain significant improvement and scrutiny through collaboration.
Horizontal organization as with the ‘opening up’ of the Linux program where users are free to modify and develop it provided that they make it available for others. Peering succeeds because it encourages self-organization – a style of production that works more effectively than hierarchical management for certain tasks.
Companies have started to share some ideas while maintaining some degree of control over others, like potential and critical patent rights. Limiting all intellectual property shuts out opportunities, while sharing some expands markets and brings out products faster.
The advancement in communication technology has prompted the rise of global companies at low overhead costs. The internet is widespread, therefore a globally integrated company has no geographical boundaries and may access new markets, ideas and technology
The promise of Collective Knowledge can be summarized in one concept: building a knowledge ecosystem. This brings two great benefits for both organizations and customers: access to SME (Subject Matter Experts) that are not part of the organization’s support structure and generating knowledge that can be leveraged extensively throughout that ecosystem.
As with any other ecosystem, the use of platforms and open and free access is a must; “walled gardens” where the knowledge is not free to everyone and everything is then opposite of what a Collective Knowledge model should be.
2.7.1 Benefits of using Collective Knowledge:
Collective Intelligence & Prediction platforms
ü Inkling Markets - use wisdom of the crowd for forecasting
ü Intrade - global prediction markets
ü NewsFutures - collective intelligence markets
ü Ushahidi - crowdsourcing crisis information
ü Kaggle - data mining and forecasting