Udbuds- og kontraktformer som et virkemiddeltil at skabe værdi gennem innovation

Sebastiano Lombardo, Head of InnovationNorconsult

Sebastiano Lombardo• Head of Innovation at Norconsult AS

• NTNU – Sivilingeniør (1997)

• BI Norwegian Business School – Master of Management (2006)– PhD candidate (2013)

• Certified E.deBono instructor

• Past experience: – Statoil, SINTEF, Gjensidige, Norsk Hydro– Master trainer Co-Creation Program Norsk Hydro ASA

PhD project - The Value of Co-Creation• a study to understand successful client - consultant interaction

• based od empirical data from 30 projects cases of which– highway (6)– railway (4)– metro (1)– airport (1)

• topics in the 4 articles– creativity under constraints– value definition– strategic implications of co-creation– creativity best practice

• today I propose insights from this research

Tendering and Contract forms as an instrument to create value through innovation

Sebastiano Lombardo, Head of InnovationNorconsult

INNOVATIONVALUE CREATION

TENDERING

CONTRACTING

I WILL KEEP THIS SIMPLE ;-)

yet not trivial…

I WILL PROVIDE YOU WITH TOOLS

TO REFLECT AND ACT

INNOVATION and CONTRACTING

interesting

because of

the definitional issue

INNOVATION & CREATIVITY

ANY DEFINITIONS ?

1

2

CREATIVITY defined

Creativity awareness

Think of a highway project that is aboutto start.

How does the contract contribute to shape "the box"?

Focus Idea Generation Idea evaluation Final choice

INNOVATION PROCESS defined

Evaluation of

Offering

Tenderdesign Contract

I will highlight a few key aspects with respect to innovation

Tenderdesign

Pricing model

Key Competence

Planning phase

Incentives

ContractEvaluation

of Offering

Fixed vs pr/hour

regional planning vs building the road

Tender design

• Require innovation management competences

• Require an Innovation Process design as a part of the offering– independently from the level of planning– propose a focus for the innovation process

• Include incentives

Evaluation of

Offering

Tenderdesign Contract

Price

ProjectOrganization

KeyCompetence

Solutiondesign

evaluation criteria!% weight?

evaluation criteria!% weight?

innovation teamincluded?

Evaluation of offering

• Check Innovation management as key competence – in addition to geology, construction, landscape, etc.

• Check for any description of how the innovation process is designed– focus areas (at least)– phase descriptions– duration– budget– participants– etc.

Contract

Schedule /Deadlines

Scope

Work packages

Dailyfines

Evaluation of

Offering

Tenderdesign

Contract

• Contract can be the show stopper.

the most normal and trivial excuses for not having innovation

• Scope: "this is just a technical issue" • Budget: "we have no resources for that", • Schedule: "we have no time left"

the most real cause for not having innovation

• Lack of relevant knowledge and compentence– on both sides

VALUE

AND

VALUE CREATION

through innovation processes in highway projects

THE VALUE CONCEPT

economic , cultural, social, symbolic

currencies

Value defined in terms of capital variation.

VALUE CO-CREATION practices

ACCESS TO CAPITAL

EXPLOIT THE CAPITAL

PROVIDE

DENY

ENABLE

DISABLE

24

Co-created Value calculations

Vtot = ∆ Capital total =

THE BUYER'S PERSPECTIVE

• CO-CREATION– acknowledge the buyer's role in the value creation

• Buyer's COMPETENCE– how does a cost-effective innovation process look like?– how to asses an innovation process design?– how to define value?– how to take into account all the forms of value?

Conclusions and recommendations• Change the rules to foster innovation?

– not necessary– not sufficient

• Ask always and explicitly for innovation in the tender (not as an option)

• Enhance buyers knowledge and competence – Training program for Professional Innovation Service Purchase.

sebastiano.lombardo@norconsult.com

mobile: +47 9301 2003

Thank you!