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Better choices for the commons? IBM’s Global Innovation Outlook and “smarter” approach Congress for the New Urbanism, PTR Summit – November 5 th , 2009 Stan Curtis, IBM PLM Services, Smart Cities Research
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MasdarMasterclass NewUrbanism EcoDistricts 5nov09b

May 08, 2015

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Stan Curtis

Summary of Masterclass w/CK Prahalad in Amsterdam. Invited by Congress of New Urbanism with Portland-experts Earl Blumenhauer, David Bragdon, Joe Cortright & Marcy McInelly.
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Page 1: MasdarMasterclass NewUrbanism EcoDistricts 5nov09b

Better choices for the commons?

IBM’s Global Innovation Outlook and “smarter” approach

Congress for the New Urbanism, PTR Summit – November 5th, 2009

Stan Curtis, IBM PLM Services, Smart Cities Research

Page 2: MasdarMasterclass NewUrbanism EcoDistricts 5nov09b

What does this mean for cities and planners?

• Goal: Provide a framework to improve community development (service science)

• Approach: Applying IBM’s Global Innovation Outlook (open innovation)

• Outcomes: Configurable building-blocks…better choices! (re-districting, re-pricing)

Abstract With Moore’s Law driving technology and embedding change in our business practices globally, what does this mean for cities, what does this mean for cities, transportation plans and policy innovations?

Mr. Curtis will share his insights from recent projects in China, India, with Intel, CH2M and IBM’s Innovation Centre in Dublin.

• Berkeley, MIT• P&G, Raytheon• Accenture, IBM

Background (bias):

Page 3: MasdarMasterclass NewUrbanism EcoDistricts 5nov09b

“Smarter Planet” - a test plan for your region?

• “Heard the one about 600,000 Chinese Engineers?” Washington Post 21may06

• “Planning for ‘Megaregions’ in the United States.” Dewar, Epstein; Journal of Planning nov07

• Nobel-prize! - “An Inconvenient Truth” Al Gore; Nobel Prize 12oct07

Plan for “Mega-regions”

- “Governing the Commons” Elinore Ostrom; Nobel Prize 12oct09

Better choices?Better choices?

Economics!Economics!

Smarter? … more in commonSmarter? … more in common

Page 4: MasdarMasterclass NewUrbanism EcoDistricts 5nov09b

                                             Gordon Moore's original graph from 1965

“Global Innovation Outlook” - what’s wrong with this picture?

• Ramping global supply-chains …1B cars, … 4B cellphones• Green Tech jobs? … solar panels, wind turbines, and batteries? • What about my hometown? … global and local trade skills?

Kurzweil – Law of Accelerating Returns

IBM GIO 2004

Q: the next 1B?Q: the next 1B?

Malthus – “Limits to growth”?

Page 5: MasdarMasterclass NewUrbanism EcoDistricts 5nov09b

“Smart Growth” – what’s wrong with this picture?

• “Shovel-ready” roads, bridges ... and cash-for-clunkers? (commodity-jobs)

• “Smarter” product bundling is re-framing business services. (iPod, iPhone)

• “Smarter” Services (search) are re-framing market pricing. (Craigslist, Google)

0

100

50

Agriculture:Value from harvesting nature

20501850 1900 1950 20001800

% o

f T

ota

l Re

ven

ue

Services:Value from enhancing the capabilities of tasks that one organization beneficially performs for others

Goods:Value from

making products

0

100

50

Agriculture:Value from harvesting nature

20501850 1900 1950 20001800

% o

f T

ota

l Re

ven

ue

Services:Value from enhancing the capabilities of tasks that one organization beneficially performs for others

Goods:Value from

making products

0

100

50

Agriculture:Value from harvesting nature

20501850 1900 1950 20001800

% o

f T

ota

l Re

ven

ue

Services:Value from enhancing the capabilities of tasks that one organization beneficially performs for others

Goods:Value from

making products

0

100

50

Agriculture:Value from harvesting nature

20501850 1900 1950 20001800

% o

f T

ota

l Re

ven

ue

Services:Value from enhancing the capabilities of tasks that one organization beneficially performs for others

Goods:Value from

making products

Q: “shovel-ready” in my home town?Q: “shovel-ready” in my home town?

flexible, demand-mgmt …just-in-time?

Page 6: MasdarMasterclass NewUrbanism EcoDistricts 5nov09b

“Smarter Services” - what’s missing?

www.globalsmartenergy.com

http://www.economist.com/opinion/displaystory.cfm?story_id=14505519

The power of mobile money Economist 24sep09

Why cities? Power Law: T >B >S >PWhy cities? Power Law: T >B >S >P

- Micro lending and payment- Market supply and delivery- Equal opportunity for women- Health, education, safety- Tourism, shopping, gaming

“village phone” operator, Uganda

Better Choices?Better Choices?

“inconvenient truth?” …pricing!

Page 7: MasdarMasterclass NewUrbanism EcoDistricts 5nov09b

Global Eco-system? … local innovation!GLOBAL: Today’s “collision” of ecosystems is recognized as the most important shortcoming each industry must correct.GLOBAL: Today’s “collision” of ecosystems is recognized as the most important shortcoming each industry must correct.

LOCAL: New solutions that meet the needs of the marketplace can only be achieved through this type of collaboration.

City-Success?

INDUSTRY Eco-systems:• Automotive• Energy• Consumer Electronics• Telecommunications• Government/Transportation

“the last-mile problem”!

Page 8: MasdarMasterclass NewUrbanism EcoDistricts 5nov09b

Global (regional) planning: IBM’s approach?

•248 thought leaders •178 organizations •33 countries

• IBM works with global experts on regional Economic Development plans.• “Triple-Bottomline?” Policy innovation is key!

Page 9: MasdarMasterclass NewUrbanism EcoDistricts 5nov09b

City Success – reconfiguring block by block

GIFT, Bangalore International Airport, Silicon Valley - CA, International

Financial Services Centre – Dublin

A geographic area with a specific industry or technology focus enabled by economic incentives to attract foreign enterprises, increase trade, or serve a local/regional economic or administrative significance.(Aerotropoli, SEZ, Technology Parks, Centers of Commerce or Education)

Specialized City/Hub 5

Road user charging system (Copenhagen), Automated Driverless

Metro (Sao Paolo), City-wide Electricity Grid (Moscow)

A single system within an urban area that captures and manages data to enable increased efficiency and real-time decision making (transportation, communications, energy, security, water/waste systems, etc.)

Urban Infrastructure (Single smart system)

4

Ave Maria University (Naples, FL), CityStars Cairo (Cisco), University of

Southern California - Enterprise Buildings Integrator (EBI) system

(Honeywell)

A localized geographic area designed to serve a specific purpose to a larger community (retail, business, residential, entertainment, education). These areas consist of complex integrated services, governance and management systems.

Neighborhood/ Complex/Campus/

Resort3

Shanghai St. Regis (IBM), The Verve (Toronto), Bank of America Tower

(New York)

Intelligent buildings successfully merge building management and IT systems, they converge data, voice, and video with security, HVAC, lighting, and other electronic controls on a single network platform; A building is “green” if it meets certain environmental and conservation measures

Intelligent/Green Buildings2

Disneyland Innoventions Dream Home (Microsoft, HP, Life| ware, Taylor

Morrison), Solaire (New York), Duke Smart Home Program

A home equipped to remotely monitor, control or program a variety of home systems of varying complexity (appliances, entertainment, lighting, environmental control, security, communications, etc.).

Home Automation/ Smart Home

1

EXAMPLESDEFINITIONSEGMENT

GIFT, Bangalore International Airport, Silicon Valley - CA, International

Financial Services Centre – Dublin

A geographic area with a specific industry or technology focus enabled by economic incentives to attract foreign enterprises, increase trade, or serve a local/regional economic or administrative significance.(Aerotropoli, SEZ, Technology Parks, Centers of Commerce or Education)

Specialized City/Hub 5

Road user charging system (Copenhagen), Automated Driverless

Metro (Sao Paolo), City-wide Electricity Grid (Moscow)

A single system within an urban area that captures and manages data to enable increased efficiency and real-time decision making (transportation, communications, energy, security, water/waste systems, etc.)

Urban Infrastructure (Single smart system)

4

Ave Maria University (Naples, FL), CityStars Cairo (Cisco), University of

Southern California - Enterprise Buildings Integrator (EBI) system

(Honeywell)

A localized geographic area designed to serve a specific purpose to a larger community (retail, business, residential, entertainment, education). These areas consist of complex integrated services, governance and management systems.

Neighborhood/ Complex/Campus/

Resort3

Shanghai St. Regis (IBM), The Verve (Toronto), Bank of America Tower

(New York)

Intelligent buildings successfully merge building management and IT systems, they converge data, voice, and video with security, HVAC, lighting, and other electronic controls on a single network platform; A building is “green” if it meets certain environmental and conservation measures

Intelligent/Green Buildings2

Disneyland Innoventions Dream Home (Microsoft, HP, Life| ware, Taylor

Morrison), Solaire (New York), Duke Smart Home Program

A home equipped to remotely monitor, control or program a variety of home systems of varying complexity (appliances, entertainment, lighting, environmental control, security, communications, etc.).

Home Automation/ Smart Home

1

EXAMPLESDEFINITIONSEGMENT

Pan European Oil Pipeline, Global Digital Cities Network, Trans-European

Transport Networks (TEN-T)

A system of roads, water supply, power grids, or telecommunications that spans two or more countries to facilitate the trade of goods or services between countries or regions.

International/Global Infrastructure

10

Denmark’s Rejsekort system, China’s national rail system, Portugal’s Via Verde Toll System, India’s Golden

Quadrilateral

Within a country, the system of roads, water supply, power grids, telecommunications, etc. that facilitates the production of goods, services and overall economic growth. National infrastructure may also include associated information systems and social services such as education, public safety and medical care.

National Infrastructure9

Boston-New York-Washington, London-Leeds-Manchester-Liverpool-Birmingham, Greater Tokyo, Hong

Kong-Shenzhen-Guangdong

An integrated set of cities and their surrounding suburban areas, competing on a global scale, linked together via social, economic and transportation systems.

Mega-Urban Region8

New York City, Mexico City, Tokyo, Seoul, Mumbai, Cairo

Usually defined as a metropolitan area with a total population in excess of 10 million. Megacities are characterized by rapid growth, new forms of spatial density of population, formal and informal economics, as well as poverty, crime, and high levels of social fragmentation. A megacity can be a single metropolitan area or two or more metropolitan areas that converge upon one another.

Megacity(Multiple smart systems)

7

Dallas-Fort Worth-Arlington, London Commuter Belt, Lisbon Metropolitan

Area

An extended urban area that also includes peripheral areas (suburbs) with close economic and social ties to the urban area. Populations and commerce easily flow within this area are linked though complex transport and communications systems. These areas can vary in population and geographic area.

City/Metropolitan Area(Multiple smart systems)

6

Pan European Oil Pipeline, Global Digital Cities Network, Trans-European

Transport Networks (TEN-T)

A system of roads, water supply, power grids, or telecommunications that spans two or more countries to facilitate the trade of goods or services between countries or regions.

International/Global Infrastructure

10

Denmark’s Rejsekort system, China’s national rail system, Portugal’s Via Verde Toll System, India’s Golden

Quadrilateral

Within a country, the system of roads, water supply, power grids, telecommunications, etc. that facilitates the production of goods, services and overall economic growth. National infrastructure may also include associated information systems and social services such as education, public safety and medical care.

National Infrastructure9

Boston-New York-Washington, London-Leeds-Manchester-Liverpool-Birmingham, Greater Tokyo, Hong

Kong-Shenzhen-Guangdong

An integrated set of cities and their surrounding suburban areas, competing on a global scale, linked together via social, economic and transportation systems.

Mega-Urban Region8

New York City, Mexico City, Tokyo, Seoul, Mumbai, Cairo

Usually defined as a metropolitan area with a total population in excess of 10 million. Megacities are characterized by rapid growth, new forms of spatial density of population, formal and informal economics, as well as poverty, crime, and high levels of social fragmentation. A megacity can be a single metropolitan area or two or more metropolitan areas that converge upon one another.

Megacity(Multiple smart systems)

7

Dallas-Fort Worth-Arlington, London Commuter Belt, Lisbon Metropolitan

Area

An extended urban area that also includes peripheral areas (suburbs) with close economic and social ties to the urban area. Populations and commerce easily flow within this area are linked though complex transport and communications systems. These areas can vary in population and geographic area.

City/Metropolitan Area(Multiple smart systems)

6

A software framework, in computer programming, is an abstraction in which common code providing generic functionality can be selectively overridden or specialized by user code providing specific functionality. Frameworks are a special case of software libraries in that they are reusable abstractions of code wrapped in a well-defined API, yet they contain some key distinguishing features that separate them from normal libraries.

A software framework, in computer programming, is an abstraction in which common code providing generic functionality can be selectively overridden or specialized by user code providing specific functionality. Frameworks are a special case of software libraries in that they are reusable abstractions of code wrapped in a well-defined API, yet they contain some key distinguishing features that separate them from normal libraries. http://en.wikipedia.org/wiki/Software_framework

Page 10: MasdarMasterclass NewUrbanism EcoDistricts 5nov09b

Developing a Platform: Carrier-grade LinuxIBM – Integrated Product Development (IPD)

Market planning and portfolio management

Product development and launch

Linux: Open Source Development Lab (OSDL)The right investments in development across brands and products tied to ROI, strategic direction, and risk

Efficiency in the total product lifecycle from concept to marketplace including people, process, and technology

Integrated product management pipeline

Product development pipeline

Profit

Satisfiedcustomers

– Customer buying behavior

– Product objectives

– Business strategy

– R&D roadmap

Understandthemarketplace

Define themarketsegment

Analyzethe portfolio

Createmarketsegmentstrategy

Develop and optimizemarketsegment plans

Manage market segmentand assess performance

– Project management data– Segment performance data

Marketinformation

Customerfeedback

Competitorinformation

Technologytrends

Currentproductportfolio

Conceive Define Develop Manu-facture

Launch Managelifecycle

Profit

Satisfiedcustomers

– Customer buying behavior

– Product objectives

– Business strategy

– R&D roadmap

Understandthemarketplace

Define themarketsegment

Analyzethe portfolio

Createmarketsegmentstrategy

Develop and optimizemarketsegment plans

Manage market segmentand assess performance

– Project management data– Segment performance data

Marketinformation

Customerfeedback

Competitorinformation

Technologytrends

Currentproductportfolio

Conceive Define Develop Manu-facture

Launch Managelifecycle

Program Mgmt – OSDL.org

Platforms • Data Center• Desktop• Carrier Grade• Embedded

Management• 7 founders• 70 members• 6 global-ctrs

““Governing the COMMONS”Governing the COMMONS”

““the FUNNEL”the FUNNEL”

Page 11: MasdarMasterclass NewUrbanism EcoDistricts 5nov09b

Building Blocks – Platform mgmt

Applying lessons learned to city development

It will SCALE!It will SCALE!

Governing the COMMONSGoverning the COMMONS

Page 12: MasdarMasterclass NewUrbanism EcoDistricts 5nov09b

IBM “Smart Cities” – Portland 3plays, 3 pilots

3 utilities

3 design innovations

Public Safety, Unified Comm

Smart Grid

Intelligent Transit

Au

to/H

eavy

En

erg

y/B

uild

ing

s

Aer

o/C

om

m

GOVT funds

DOT

DOE

DHS

11

22

33

11

22

33

IBM/CH2M – Smart alliance

Hybrid-powertrain + Fleet-mgmt

Gen-kits + Building-mgmt

Unified-Comm + Security-mgmt

POLICY INNOVATION – PDX Commons, CEO4Cities

SCALABLE SERVICES – Transit, SmartGrid, Safety

MASDAR – Green City.Mgmt Integration Framework

(local)

(global)

Page 13: MasdarMasterclass NewUrbanism EcoDistricts 5nov09b

Better choices: ZipCar, Enterprise, U-Haul

ZipCar: car-share, pay-per-useZipCar: car-share, pay-per-use

NOT more-cars … better services!

Page 14: MasdarMasterclass NewUrbanism EcoDistricts 5nov09b

Component models make an Eco District

Experts: - Portland + Oregon Sustainability Institute- Portland + Metro- EcoTrust + Pearl District

Page 15: MasdarMasterclass NewUrbanism EcoDistricts 5nov09b

Whole systems: configuration mgmt with CH2M Hill

Bid

Or

Neg

otia

te,

& A

war

d

Design Team (Engrs./Archs.)

Construction Team (Cms./Gcs./Scs)

Owner Team (May Include Users/Operators)

Operations Team (Users/Operators)

Pre

limin

ary

Pla

nnin

g &

F

undi

ng

Pro

ject

D

efin

ition

P

acka

ge

Con

cept

ual/

S

chem

atic

D

esig

n

Des

ign

Dev

elop

men

t

Con

trac

t D

ocum

ents

En

d of

S

ervi

ce L

ife

Dec

isio

n

Ass

essm

ent

& O

bjec

tives

S

etti

ng

Ope

rati

on/

Mai

nten

ance

/M

anag

emen

t

Con

stru

ctio

n P

lann

ing

Ex

ecut

ion

Sta

rt–U

p

Procurement

Problems Needs

Opportunities

Decommission Deconstruct Rehabilitate

Retrofit Recover Restore Replace

Remediate

Primary Lead

Active Participation

Primary Lead

Primary Lead

Possible Active Participation

Primary Lead

Possible Active Participation

Possible Active Participation

Design/Build or Integrated E/P/C

Planning Phase

Design Phase

Construction Phase

Operation Phase

Vendors/Suppliers TeamPossible Active Participation

Commissioning

External PartiesPossible Active Participation Whole System Design? – Building Info Mgmt (BIM)!

Smarter City framework? …Open standards! 1. configurable Bill-of-Material 2. requirements based models 3. compliance, certification testing

Smarter City framework? …Open standards! 1. configurable Bill-of-Material 2. requirements based models 3. compliance, certification testing

Page 16: MasdarMasterclass NewUrbanism EcoDistricts 5nov09b

Green Building – SMART framework? the greenest building? ... the one NOT built!

http://www.environmentalleader.com/2009/04/07/the-greenest-building-is-the-one-you-don%e2%80%99t-build/

Consider that 95 percent of our building stock remains static year to year, and that most existing buildings are startlingly inefficient in their energy use, and you’ll understand the immense green opportunity presented by existing buildings; they offer the single-greatest opportunity to improve energy efficiency and improve profits across an organization

Why Energy-service …companies?

How to? …eco-partners, …step-by-step!

Page 17: MasdarMasterclass NewUrbanism EcoDistricts 5nov09b

Why Energy Mgmt? Business model? … services solutions!

JOBS!JOBS!

Better choices!Better choices!

Page 18: MasdarMasterclass NewUrbanism EcoDistricts 5nov09b

Open Home.Area.Network - Berkeley/Stanford NIST/EPRI IEEE 802.154 … PeoplePower SmartGrid-stimulus proposal

People Power: my community!

GreenSentry(whole house

electricity meter)

GreenEgg(fridge monitor)

GreenPup(2-plug 110V)

PeoplePowerServers

PersonalWeb Portal

GreenPump(monitor + hub)

PowerMeter

Electric TerminatorPower Console

Mobile Device

Internet

Fridge orMicrowave

GreenField (6-plug 110V)Lamp, TV, VCR, Radio, Toaster

GreenStat(thermostat)

GreenDog(1-plug 240V)

Dryer,Oven

GreenHeat(hot waterpipe)

GreenVent(HVAC vent)

Page 19: MasdarMasterclass NewUrbanism EcoDistricts 5nov09b

Step by step - like Weight Watchers!

http://www.scientificamerican.com/article.cfm?id=the-greenhouse-hamburger&print=true

Most of us are aware that our cars, our coal-generated electric power and even our cement factories adversely affect the environment. Until recently, however, the foods we eat had gotten a pass in the discussion. Yet according to a 2006 report by the United Nations Food and Agriculture Organization (FAO), our diets and, specifically, the meat in them cause more greenhouse gases carbon dioxide (CO2), methane, nitrous oxide, and the like to spew into the atmosphere than either transportation or industry.

The FAO report found that current production levels of meat meat contribute betweenbetween 14 and 22 percent14 and 22 percent of the 36 billion tons of "CO2-equivalent" greenhouse gases the world produces every year. It turns out that producing half a pound of hamburger for someone's lunch a patty of meat the size of two decks of cards releases as much greenhouse gas into the atmosphere as driving a 3,000-pound car nearly 10 miles.

Most of us are aware that our cars, our coal-generated electric power and even our cement factories adversely affect the environment. Until recently, however, the foods we eat had gotten a pass in the discussion. Yet according to a 2006 report by the United Nations Food and Agriculture Organization (FAO), our diets and, specifically, the meat in them cause more greenhouse gases carbon dioxide (CO2), methane, nitrous oxide, and the like to spew into the atmosphere than either transportation or industry.

The FAO report found that current production levels of meat meat contribute betweenbetween 14 and 22 percent14 and 22 percent of the 36 billion tons of "CO2-equivalent" greenhouse gases the world produces every year. It turns out that producing half a pound of hamburger for someone's lunch a patty of meat the size of two decks of cards releases as much greenhouse gas into the atmosphere as driving a 3,000-pound car nearly 10 miles.

Page 20: MasdarMasterclass NewUrbanism EcoDistricts 5nov09b

Smarter Cities? … community networks!

http://senseable.mit.edu/nyte/visuals.html

http://www.zinio.com/pages/Seedmagazine/Feb-09/355120772/pg-27

http://pages.stern.nyu.edu/~xgabaix/papers/zipf.pdfhttp://en.wikipedia.org/wiki/Power_law

Power Law: “80/20” Rule• Ciy-Population (Zipf)• Wealth (Pareto)• Firmsize (Gibrat)

Pareto: 80% of wealth, 20% of pop.

http://en.wikipedia.org/wiki/Scale-free_network

Cities: economic “hubs”

Page 21: MasdarMasterclass NewUrbanism EcoDistricts 5nov09b

Think globally, act locally

• Flat World• Open Innovation • Wiki-nomics

• Regional Innovation Initiatives (RII)• Digital Community collaboration• Sustainable development (TOD)

• Eco district zoning• Condo, car share• SmartGrid cell services

Global challenges:

Regional solutions:

Personal choices:

Ex: “Small Steps…”

• Open Innovation (IBM wiki) • City Success! (CEOSforCities)

• Cascadia (Seltzer.06)

• Intel World Ahead• Dublin Innovation Centre• Endurance.net

• GOSCON – Deb&Stuart• Masdar – Colin&Mogge• PeoplePower – John&Gene

3 Papers:

3 Partners:

3 Pilots:

• If you’re not part of the solution… ?If you’re not part of the solution… ?• Keep it simple! Keep it simple! (Be cheerful)(Be cheerful)

Page 22: MasdarMasterclass NewUrbanism EcoDistricts 5nov09b

References

• IBM “Global Innovation Outlook” C.Harrison, M.Fleming

• “Portland: Green Dividend” Ceos4cities, J.Cortright

• “Better Places” Israel, Denmark, Hawaii

• “Gridwise” PNNL- PGE, IBM

• “Smart Garage” Google, IBM

• “The US Inter-operability Problem”National InterOp, IBM

• “Smart Planet” IBM, CH2M

• MIT SENSEable-city Real Time Copenhagen 2008