A MODULAR

BUSINESS PLAN
FOR THE CREATION
OF DESIGN
INNOVATION HUBS
Produced by Designregio Kortrijk and Lancaster University within
the European project PROUD, supported by INTERREG IVB NWE
December 2014

The Modular Business Plan for the Creation

of Design Innovation Hubs is created within
the project PROUD - People Researchers
Organisations Using Design for co-creation
and innovation.
The project helps and supports designers
to have the right facilities, knowledge and
expertise to play a key role in innovating,
improving and consolidating peoples lives,
businesses and public services across
Europe. One of these facilities is the design
innovation hub. To assist prospective hubs in
setting up their business, PROUD created this
business plan, which is modular and can be
adjusted to a variety of contexts and business
propositions.
PROUD is a European project, focussing on
the transnational development of methods for
co-designing services, products and processes
that address unmet needs, made possible
by European Regional Development Funding
through the INTERREG IVB NWE programme.

This document is made by Designregio

Kortrijk in close collaboration with Lancaster
University who conducted the study research.

CONTENTS
Chapter 1: Introduction 6

6.4.Network 35
6.5.Making 35

Chapter 2: Research Approach 8

Chapter 7: Discussion of Finalised Proposal or Solution 37
Chapter 3: Design Innovation Hub Case study: Fab Labs 8

7.1.How to design revenue streams of the design innovation hub

3.1.Design innovation hubs 8

7.1.1.How to choose a revenue stream 38

3.2.Case Study: Fabrication Laboratory (Fab Lab)

7.1.2.Using design innovation hubs revenue streams as a case to study

38
38

3.2.1.The Fab Charter 9

7.1.3.The costs of design innovation hubs 40

3.2.2.Different Business Models of Fab Labs 10

3.2.3.Business Model Canvas of Fab Labs 12

7.1.5.Conclusion 45

3.2.4.Unique selling proposition of Fab Labs 13

7.2.Brand and marketing communication strategy for design innovation hubs

7.1.4.Critical thinking about the workflow and toolkit

44
45

7.2.1.Market communication strategy for design innovation hubs with different

Chapter 4: Field Research 14

business models 45

4.1.Research on 30 design innovation hubs 14

7.2.2.Conclusion 53

4.2.Interview case study 16

7.3.Creating a network plan for design innovation hub

4.2.1.Case study 1 - Little Mountain 16

7.3.1.Five different network developments 54

4.2.2.Case study 2 - Strijp-S 16

4.2.3.Case study 3 - Waag Society 17

7.3.3.Conclusion 67

7.3.2.Creating a network development plan for the modular business plan

53
58

4.2.4.Case study 4 - Snijlab 18

4.2.5.Case study 5 - Stadslab Rotterdam 18

Chapter 8: Pre-commercial procurement (PCP) 70

4.2.6.Case study 6 - MAD Brussels 19

8.1.What is Pre-commercial procurement (PCP) 70

4.2.7.Case study 7 - Seats2meet 20

8.2.Europes view on PCP 71

8.2.1.Objectives 71

Case Studies PROUD partners:

4.2.8.Case study 8 - BUDA::Lab 21

8.3.Design procurement 71

4.2.9.Case study 9 - Capital D 25

8.3.1.Definition of design 71

4.2.10.Case study 10 - Design Zentrum Nordrhein Westfalen / Red Dot Design

8.3.2.Process thinking 71

Museum 26

8.3.3.Service Design thinking 72

4.2.11.Case study 11 - Fab Lab Technoport Luxembourg

8.3.4.Culminatum Innovation model 73

28

4.2.12.Case study 12 - Lancaster University 30

8.4.Priorities for the future of Design procurement?

74

8.4.1.Features of Design procurement 74

Chapter 5: Research Findings 31

8.4.2.Advantages of Design procurement 74

8.4.3.Activation of PCP 74

Chapter 6: Design Developments and charactering your space

31

6.1.Space 31

Chapter 9: Conclusions and Implications 76

6.2.Event 32
6.3.Research 34

References 82

CHAPTER 1: INTRODUCTION

As this research will demonstrate, there is no one

specific business model that can be applied to all design

The European project PROUD stands for People

innovation hubs. For this reason, in this document,

Researchers Organisations Using Design for co-creation

different business models for various value propositions

and innovation. PROUD works with partners across

are presented; combined with strategies for marketing

Northwest Europe to bring designers together with

communicating, network plans and revenue streams.

public organisations, business, researchers and user

These various business models together form the

communities to experience the value of design whilst

Modular Business Plan.

working together on innovative solutions for todays

real world problems. PROUD is made possible by the

As each hub has different internal and external

INTERREG IVB North-West Europe programme.

environments, it is important to allocate services

according to each hubs current situation, in order to

PROUD Design innovation Hubs and Co-Design

self-sustain in the long term. The modular business

Within PROUD, facilitating and supporting open

plan is very flexible, because hubs might focus on

design innovation is a key objective. Therefore several

one service, or select two or three of them, in order to

project partners have set up innovation hubs, places

produce a new business plan.

for public bodies, SMEs, designers, researchers and

user communities to experience the value of design and

Toolkit for designing a business plan

co-design whilst working with innovative materials and

At the end of the document a comprehensive toolkit

methods. The results vary from fablabs in Luxembourg,

is added for future hubs to use in order to create their

Kortrijk and Lancaster to a network and workshop

business plan. The toolkit is linked to the more in-depth

space in Eindhoven and a Design Experience Lab in

descriptions in this document, and can be used as a fast

Essen. They are inspiring places setting great store by

reference and as a first idea generation tool for starting-

knowledge exchange, network, collaboration and co-

up hubs.

creation, and with success.

Combining the flexible modular business plan and

the visualised guidelines will prove helpful for design

Modular Business Plan for Design Innovation Hubs

innovation hubs to develop their strengths to achieve the

In order to help potential hubs with setting up there

hubs sustainability.

business, PROUD partners Designregio Kortrijk

and ImaginationLancaster have created a modular
business plan to guide other organizations starting up
a sustainable design innovation hub. This document
presents the in-depth study completed by researchers

IN-DEPTH RESEARCH INTO

INNOVATION HUBS
By Immagination Lancaster (Chen Pei-Ju, Liu Li-Lin, Zhang Junru)
The development of innovation hubs
Batho (2012 p.2) is right when he says that although Innovation Hubs have
different demands, potentials and impacts depending on their different
industry areas or communities, any successful Innovation Hub should
achieve four objectives that are:
(1) Through building a network for collaborative knowledge exchange and
research activities, innovation hubs can help their stakeholders solve
problems that they have defined, increasing the opportunities of cocreation innovation.
(2) In order to maximize the benefits for those involved, innovation hubs
should play a role in accelerating the communication between academia
and industries and encourage highly interactive two way knowledge
exchange.
(3) By offering an environment to enhance the collaboration among people,
innovation hubs would be able to support the economic, cultural and
sustainable development for our future generations.
(4) Innovation hubs can not only create communicating channels but
also simplify the process of innovation by efficiently adopting existing
knowledge, expertise and support from various stakeholders in order to
make knowledge transfer spread widely.
Design innovation has become more and more important for economic
progress in the recent years. Innovation is a process that brings new ideas
into market and design can create difference and add value to the new
ideas. However, how to self-sustain is the biggest challenge that most design
innovation hubs face.

at ImaginationLancaster, Lancaster University, and

the modular business plan which resulted from their
research, as well as a chapter on design procurement,
including a procurement model, designed by
Culminatum Innovation, Helsinki.

CHAPTER 2: RESEARCH APPROACH

The research for the modular business plan used a
three-step method:
[Step 1]: Desk research on the academic papers, to
identify
(1) What is the design innovation hub
(2) What is the business model
(3) How to design a business model
(4) The current business models of design innovation
hubs and the challenges they face
[Step 2]: Desk research on the websites of 30 design
innovation hubs, to confirm and have a deeper
understanding of the hubs value proposition.
[Step 3]: Field-research on design innovation hubs in
Europe
(1) Observe the environment of these design innovation
hubs from their website, in order to know what kind
of value they have and capture in a more practical
way.
(2) Interview with the managers of the selected design
innovation hubs, focusing on what kind of business
models those hubs use, how they generate value
and what kind of problems they meet at present.
By using this three-step research method, it can help us
understand the situation of the design innovation hubs
in depth, identify gaps and opportunities of the existing
business model in order to develop a new modular
business plan for design innovation hubs to self-sustain.

CHAPTER 3: DESIGN INNOVATION

HUB - FAB LABS
3.1. DESIGN INNOVATION HUBS
PROUD has described the main objective of the design
innovation hubs as supporting open design innovation
with people or organizations from different sectors, so
it should be a place to be used for co-designing, testing
and sharing ideas, and making rapid prototypes. To
achieve these goals, the design innovation hubs may be
a physical space including some of following facilities:
Fab Labs, co-design spaces, exhibition space, seminar
and educational facilities, incubator space for startup creative businesses, and retail environment (Cox,
2005; PROUD, 2013). In the recent years, there are
some design innovation hubs that have been established
around the world to promote innovation by design. Every
design innovation hub has its own characteristics and
provides various services for different target groups. (1)
Venue hire; (2) Host events; (3) Research; (4) Establish
network; (5) Making are the five most common offers
that design innovation hubs provide.
(1) Venue hire
Venue hire is another function for design innovation
hubs, many design innovation hubs rent exhibition
space for designers to show their works (The Light
House, 2013) and provide office space for creative
start-ups (IdcN, 2013; Northern design center,
2013).
(2) Host events
Many design innovation hubs hold events to
promote innovation, including co-design activity
(Capital D, 2013), speeches or talks (The Light
House, 2013; Hong Kong Innovation Center,
2013), design workshops (The Light House, 2013,
BUDA::lab Kortrijk), and the innovative training
program for companies (Culminatum Innovation,
2013).

(3) Research

facilitate and support the growth of the international

The design innovation hubs do research in two

Fab Lab network. Many Fab Labs are registered on

ways, one is to do research on the design and

the website of the international Fab Lab community:

innovation related areas, and to sell that data;

www.fabfoundation.org. As well BUDA::lab as Fablab

another way is to do research with clients, and

Technoport Luxemburg are listed as a Fab Lab on this

help them develop new products or services (Waag,

website.

2013).

This website consists different useful information to

(4) Establish network

start and operate a Fab Lab as: what is a Fab Lab, what

There are two main types of network, one is the

qualifies as a Fab Lab, the Fab Charter, setting up a

network to link designers and firms (The innovation

Fab Lab (Space, the hard- and software, the people,

centre for RCA graduates and business, 2013;

program, community, the funds,)

MAD Brussels, 2013), and the other is the network

for designers to interact with each other (Capital D,

3.2.1 THE FAB CHARTER

2013).

The Fab Charter1 gives a detailed view on the central

(5) Making

concepts of Fab Labs:

Design innovation hubs provide facilities to help

people make their idea realistic in a short time, and
encourage people to share ideas with others (Fab
Lab UK, 2013; Waag, 2013, BUDA::lab Kortrijk,

The Fab Charter

Fablab Luxemburg).
What is a fab lab?
This background research shows that there are different

Fab labs are a global network of local labs, enabling

kinds of design innovation hubs related to the diverse

invention by providing access to tools for digital

services they provide.

fabrication

3.2. CASE STUDY: FABRICATION LABORATORY

Whats in a fab lab?

(FAB LAB):

Fab labs share an evolving inventory of core capabilities

The origin of Fab Lab (2001) emerged from Neil

to make (almost) anything, allowing people and projects

Gershenfeld, director of MITs Center for Bits and

to be shared

Atoms. He taught in MIT How To Make (Almost)

Anything and started the development of personal

What does the fab lab network provide?

fabrication. They use technology and digital fabrication

Operational, educational, technical, financial and

to provide people their unique needs at small cost. Fab

logistical assistance beyond whats available within one

Labs include among others a laser cutters, plotters,

lab.

milling machines, electronic workbenches, 3D printers,

3D scanners, 3D modeling software,

Who can use a fab lab?

Thirteen years later (2014), the international Fab Lab

Fab labs are available as a community resource, offering

network consists of over 417 Fab Labs in about 70

open access for individuals as well as scheduled access

countries. The Fab Foundation was formed in 2009 to

for programs


1) T
 extbox: The Fab Charter; Neil Gershenfeld 2012;
http://fab.cba.mit.edu/about/charter/

What are your responsibilities?

a monthly fee of USD 100 and gives them free access

collaboration among different groups of people and

safety: not hurting people or machines

to the machines and workshops and to their courses in

to give people the joy of learning through creation by

operations: assisting with cleaning, maintaining, and

return.

themselves. Also, Troxler, Schweikert and Scheidegger

improving the lab

Fab Lab Iceland reports 4 business models for Fab

(2010) identify the business model for Fab Lab whose

knowledge: contributing to documentation and

Labs :

core values are to use the production facility to support

instruction

peoples innovation through delivering services such as

1. T
 he Enabler business model: launch new Labs or

design thinking, access and training. Therefore, Fab

Who owns fab lab inventions?

provide maintenance, supply chain or similar services

Lab in this case can be extended to a social innovation

Designs and processes developed in fab labs can be

for existing Labs.

laboratory, which presents the benefits coming from

protected and sold however an inventor chooses, but

should remain available for individuals to use and learn

open space, design thinking, collaborative network and

2. T
 he Education business model: a global distributed

from

knowledge exchange.

model of education through Fab Lab (with the Fab

Academy) where global experts in particular topics

The report The Fab Lab Life Cycle4 - Report of the

How can businesses use a fab lab?

can deliver training from local Fab Labs or even

FAB10 workshops - Barcelona 2014 describes

Commercial activities can be prototyped and incubated

from universities/businesses via the Fab Lab video

thoroughly each of the Fab Lab life cycle stages:

in a fab lab, but they must not conflict with other uses,

conferencing network. P2P learning among users is

they should grow beyond rather than within the lab, and

also part of this business model.

issues until the lab goes live

they are expected to benefit the inventors, labs, and

networks that contribute to their success

Conception: How to start, paperwork, funding and all

3. The Incubator business model: provide infrastructure

for entrepreneur to turn their Fab Lab creations into

3.2.2. DIFFERENT BUSINESS MODELS OF FAB LABS

sustainable businesses. The incubator provides back-

In fact, there are many different types of Fab Labs,

office infrastructure, promotion and marketing, seed

but each Fab Lab has its own business model to self-

capita, the leverage of the Fab Lab network and other

sustain. Grthaug (2011) reports similar opinions about

venture infrastructure to enable the entrepreneur to

the business development of Fab Lab and proposes

focus on her areas of expertise.

Early childhood: challenges during the first year

Coming to age: management issues, professional PR
and advocacy, service development
Fostering new businesses: supporting the creation of
new products, processes and organizations
Surviving: Funding, business model, good practices,
community building

three business activities to increase revenue : selling

products, creative courses about how to design or

4. T
 he Replicated/Network business model: provide

prototype products; and rental income of machines or

a product, service or curriculum that operates by

space.

utilizing the infrastructure, staff and expertise of a

Apart from these three methods, TechShops (TechShop,

local Fab Lab. Such opportunities can be replicated,

2013) membership system is another approach to help

sold by and executed at many (or all) local Labs, with

people prototype their design.

sustainable revenue at each location. The leverage of

Techshops are commercial workshops (http://www.

all Labs in the network simultaneously promoting and

techshop.ws/). Compared to Fab Labs, they have an

delivering the business creates strength and reach for

extensive set of machines and tools and offer many

the brand.

courses to their visitors. Techshops charge their visitors

Clearly, Fab Lab provides an environment to enhance

10

2) The Fab Lab Life Cycle Report of the FAB10 workshops Barcelona 2014 Pieter van der Hijden & Beno Juarez

3) Business Models for Fab Labs: Open2pdesign.org http://www.openp2pdesign.org/2011/fabbing/businessmodels-for-fab-labs/

4) Pieter van der Hijden & Beno Juarez

11

Key Partners

3.2.3. BUSINESS MODEL CANVAS OF FAB LABS

Staff - In theory, a Fab Lab

complying with the CBA
specifications, and operating
full-time, would require about 4
staff members at master and/or
bachelor level and from different
backgrounds. However, in practice,
the variance between Fab Labs in
number of staff, qualifications and
status (paid versus volunteer) is
rather large. As no all-round Fab
Lab staff training program exists,
there will always be a need for
learning and training of your staff;
this will cost time and money.

The report The Fab Lab Life Cycle describes 7 blocks

of the Business model Canvas Fablabs5 :

Business Model Canvas - Fab Labs

Key Partners

Key activities

Value propositions

Customer segments

Municpality

Service management is the

1. G
 iving access to the
most visible one, because it
machines
delivers services to the outside
world.

Tinkers
Technopreneurs (students,
professionals, companies)

Chamber of
commerce

Knowledge management,
2. O
 rganizing tours or short
should be included, because
activities for one time
it helps the Fab Lab and its
visitors, like museums do
visitors to know the state-ofthe-art, to reflect on their own
experiences, and to make their
lessons learned available for
other visitors and outsiders.

General public
Schools
Community organizations

Technical infrastructure
management is indispensable
as keeping the machines up
and running as well as the
computers and the software is
essential for daily operations.

3. T
 eaching and facilitating
tinkerers; offering a range
of courses and workshops
on all aspects of design and
making, especially in using
the Fab Lab facilities; these
might be part of formal
education as well

T
 inkers (from all ages and
backgrounds)
Technopreneurs
School groups
Corporate groups
Master classes for
professionals
Execustive course for
managers, policy makers

General management includes 4. C

 oaching inventors; helping
the external representation,
to develop new prototypes
public relations, marketing,
and guiding them to the
human resource management,
market
housing, finance etc.

Individual technopreneurs
(students, professionals,
companies)
Project groups of
technopreneurs

Museum

People/partners
who help the Fab
Labs and/or their
services up and
running

5. P
 articipating in research
and development projects
with other Fab Labs; the
Fab Lab network is a global
distributed research and
development system

M
 ain contractor and its
client

6. C
 onsulting to other Fab
Labs in how to set-up
the lab; consulting to the
external world, in fact acting
as an engineer consulting
firm

7. P
 roducing for the external
world, using the machines
to produce

Wholesale

Cost structure
The initial costs of a Fab Lab
mainly are housing, workspace and
installations, machines and tools
(including computers), an initial
supply of materials / components,
office facilities and other costs
(e.g. the costs of the project itself).
The initial costs of machines and
materials may vary from USD
5,000-10,000 for a grassroots Fab
Lab, up to USD 50,000 - 100,000
for a Fab Lab complying with CBA
specifications (and much more for
super Fab Labs at university level).

Free on some days, paid on other

days; better than free services is
asking some change in kind, like
documenting or cleaning. Free,
small fee or voluntary gift. Contract
with school, vouchers from school,
tuition fee

Based on fixed price proposal,

paid by hour, paid by government
agencies via distributed vouchers

Technical infrastructure - The

technical infrastructure of a Fab
Lab consists of the machines
and tools and an initial supply of
materials and components. The
following table refers to three
different inventories. Many Fab Labs
follow the Fab Lab Inventory by
Neil Gershenfeld (CBA), and even
extend the common base set with
dedicated machines corresponding
to their "signature", e.g. embroidery
machines in one case, a large metal
workshop in another.

Depending on sub-contracts, grants

and aid, especially related to
development or disaster relief
Based on fixed price proposal (or in
kind); paid by hour
Wholesale price for products sold

3.2.4. UNIQUE SELLING PROPOSITION OF FAB LABS6

manufacturing, open source hardware and software,

What is unique about the Fab Lab? Which

dedicated user interfaces, the internet of things and

characteristics should be protected and developed

advanced uses of ICT,

further? In our view, Fab Labs in general are unique

the Fab Lab worldwide network, its diversity of

thanks to:

people from many socio-economic backgrounds,

the combination of machines, tools and software

their knowledge and experience and the network as a

the combination of knowledge on both design and

platform for distributed research, development and:

making, both the bits and atoms, both theory and

 ab Labs
F
Schools
Companies
Government agencies

Revenu stream

practice, both the old materials, tools and processes

and the new ones,
the combination of people, not only the Fab Lab staff,

productions
the track record of creating feasible solutions for
social-economic issues e.g. derived from almost all
the Millennium Development Goals 2015 and the

but also the heterogeneity of people and organizations

proposed sustainable development goals for the years

coming together in the Fab Lab, meeting and inspiring

to come.

each other and collaborating eventually,

the culture of learning by making, innovating, sharing
and collaborating,
the focus on open and participative design, digital

Examples of Fab Labs are described in Chapter 4: Field

Research in 4.2.8 Case study 8 - BUDA::lab and
4.2.11. Case study 11 - Fab Lab Technoport
Luxembourg

12

5) B
 ased on the document: The Fab Lab Life Cycle Report
of the FAB10 workshops - Barcelona 2014 Pieter van der
Hijden & Beno Juarez

6) The Fab Lab Life Cycle Report of the FAB10 workshops Barcelona 2014 Pieter van der Hijden & Beno Juarez

13

CHAPTER 4: FIELD RESEARCH

Based on the 5 value propositions (offerings) of the

From the 30 hubs data, not all the percentages of the

design innovation hubs network and space are popular

proposition could be figured out, such as space and

4.1. RESEARCH ON 30 DESIGN INNOVATION HUBS

value propositions (offerings) among all the design

research, since it is hard to know exactly whether they

In this research part, over 60 design innovation hubs

innovation hubs, 28% of network and 27% of space.

own the space or not; and do they just sell the research

around the world (over 80% of hubs are based in

On the other hand, just one-third of the hubs focus

result from their website. Other propositions, such as

Europe, the others come from Asia, Africa and America)

on providing making and research, 10% and 13%,

event, network and making, have their percentage result

are searched based on the definition of the design

respectively. The number of event (21%) shows that

shown in the Figure 5.1.3. It shows that workshops,

innovation hubs found via the literature review. The

over half of the hubs would host this kind of activity.

providing a platform for connection and providing

researchers aimed to gain more information about the

current business models used (e.g. what kinds of value
proposition, resource, key customers etc. used by the
hubs currently) in order to compare and do further
analysis with the result of the literature in [research
step 01] desk research, as well as to confirm and

facilities are more common services that the hubs

Figure 5.1.2. Different value propositions and the contents

(1)Space

(2)Event

(3)Research

(4)Network

(5)Making

Provide
own space

Workshop

Selling
research
results

Help form
cennetion

Provide
facilities

Provide
venue hire
service

Conference

Help research
process

Provide
platforms

Help skill

provide.

Figure.
5.1.3
five
key
value
proposition
containdifferent
differentcontent
content (Confidence intervals: 95% Standard
Figure
5.1.3.
Fivefive
keykey
value
proposition
contain
content
Figure.
5.1.3
value
proposition
contain
different
Figure.
5.1.3 five key
value 95%
proposition
contain
different
content
Confidence
intervals:
95%Standard
Standard
error:
2(0.01557)
0.03114

intervals:
error:
2(0.01557)
==0.03114
error:Confidence
2(0.01557)
= 0.03144)
Confidence intervals: 95% Standard error: 2(0.01557) = 0.03114

(2)Event
Event
(2)
(2) Event(2) Event

based on the value propositions. However, since all

Looking at each of the data separately, each value

the data comes from the hubs homepages or relevant

contains different content (Figure. 5.1.2). For instance:

online websites such as newspapers, journals etc. the

(1) Space could be separated into two types; the hubs

information is not quite completed; only 30 design

provide their own space for users or they provide

innovation hubs were appropriate for analysis via the

relevant venue hire services.

(2) Event could be held in various ways. In this

An online analysis of 30 design innovation hubs data

research we sort it into three contents: workshops,

of business models shows that: Since the hubs always

conferences and exhibitions. Activities, such

contain different value propositions in one hub, the sum

as training or lectures, are just some different

of the number of the samples (Figure 5.1.1) is not 30

approaches of host workshops or conferences.

hubs.

(3) Research could be offered in two different ways, just

re. 5.1.1. The number of 5 key value propositions among 30 design innovation hubs
onfidence intervals:
95%
Figure 5.1.1. The number of 5 key value propositions among 30 design
innovation hubs (Conference intervals 95%)

Network
28%

Space
23

Space

Event

Research

23

18

11

Event

14

18

Research

just provide platforms for P2P connection.

(5) Making mainly run as Fab Lab, focusing on providing

11

can provide experts to instruct users on how to

Network

Making

Hub

24

10

30

24

with two or three value propositions form the majority of

the chart in (figure 5.1.4). Even the different contents
of each proposition could all be offered in the same
hubs (figure 5.1.5).

1 offering, 5 offerings,
0%
7%
2 offerings,
37%

4
offerings,
17%
3 offerings,
37%

Figure.
Figure.
5.1.5
5.1.5
thethe
percentages
percentages
of different
of different
content
content
combine
combine
in the
in the
same
same
hubs
hubs
Figure. 5.1.5
the percentages
of different
combine
in the same hubs
Confidence
Confidence
intervals:
intervals:
95%
95%
Standard
Standard
error:
error:
content
2(0.01557)
2(0.01557)
= 0.03114
= 0.03114
Confidence
intervals: 95% Standard error:
2(0.01557) = 0.03114 (5)Making
(2) Event
(4)Network

(2)(2)
Event
Event
(2) Event

(4)(4)
Network
Network
(4) Network

(5)(5)
Making
Making
(5) Making

3"contents"
3"contents"
3"contents"
11%"
11%"
11%"

1"content"
1"content"
56%"1"content"
56%"
56%"

2"contents"
2"contents"
2"contents"
33%"
33%"
33%"

2"contents"
2"contents"
2"contents"
37%"
37%"
37%"
1"content"
1"content"
63%"1"content"
63%"
63%"

1"content"
1"content"
30%"1"content"
30%"
30%"
2"contents"
2"contents"
2"contents"
70%"
70%"
70%"

use facilities and also to give advice on the design

specify.

Network

one of all the 5 value services. For instance, the hubs

error: 2(0.01557) = 0.03114

directly gain from the hubs, but some hubs could

Event
21%

Whereas, the results show the hubs often use more than

go through the research process and get the result

facilities or helping people develop skills. This

Research
13%

provide$
provide$
58%$
70%$
help$innova1on$ 70%$
58%$
provide$
help$innova1on$
exist$ 58%$
exist$
help$innova1on$
70%$
exist$
conference$
50%$
conference$ 50%$

1$

1$

1$

1$
provide$

1$

1$
conference$ 50%$
provide$

1$
79%$

1$

1$
79%$
provide$
provide$facili1es$
100%$
pla0orm$ 79%$
provide$facili1es$
100%$
pla0orm$
workshops$
67%$
provide$facili1es$
100%$
workshops$
67%$
pla0orm$
workshops$
67%$
0%$ 50%$
50%$ 100%$
100%$
0%$
0%$
50%$100%$
100%$150%$
150%$
0%$
50%$
0%$ 50%$
50%$ 100%$
100%$
0%$ 50%$ 100%$
0%$
0%$ 50%$ 100%$ 150%$
0%$ 50%$ 100%$

Figure. 5.1.4 the percentages of hubs which combine different numbers

of value proposition (offering) Confidence intervals: 95% Standard

(4) Network with the target people, sometimes, just

Space
27%

exhibi7on$ 39%$
39%$
exhibi7on$
exhibi7on$ 39%$

selling the research result or helping target people

together.

Making
11%

(5)Making
Making
(5)
(5) Making (5)Making

Exhibition

further understand the characteristics of these models

business model canvas.

(4)Network
Network
(4)
(4) Network
(4)Network

Making
samples
10

Hub
samples
30

Figure 5.1.4. The percentages of hubs combine

different numbers of value proposition (offering)
(Confidence intervals: 95% Standard error:
2(0.01557) = 0.03144)

Figure 5.1.5. The percentages of different content combine in the same hubs (Confidence intervals:
95% Standard error: 2(0.01557) = 0.03144)

15

4.2. INTERVIEW CASE STUDY

resources for them to make the project successful. The

the number of people who rent this place is the most

and business-consulting services. They also provide six

Based on the [Step1] desk research, literature review

project in the hub could also attract government funding

important. Others I do not very care. Moreover, they

categories of research project to look for new service

and [Step2] online website research of the design

and university collaboration. The landlord of the building

provide multiple choices for the tenants, not only the

opportunities.

innovation hubs, the concept, features and the current

is also willing to rent a big place out as well.

big spaces with large desks for long-term renting, but

Research results from programs can provide tangible

situation of the hubs and its business models have been

Therefore their key activities are how to create and

also some small table in the middle of the corridor of

solutions. Also, prototypes can bring further ideas to

clarified in general. However, the issues, such as how

maintain collaboration through design an attractive

the whole workspace for temporary use. This component

improve their products. Actually, the research labs

the business models running in the hubs, the resources,

project or goal. In the mean time these networks, as well

of the business model seems to provide more income

require people to spend considerable time on learning

stakeholders and revenue streams etc. cannot be known

as designed workspace, become an attractive offering or

opportunities

through creation, so it is not easy to maintain a long-

just from the book or website. Thus, the researchers in

USP to increase and enhance the collaboration.

Although they intend, and have begun to try, to

term relationship with the public. However, having six

[Step3], using face-to-face interview to deepen their

So far, as the manager said, this business model has

collaborate people in the hubs to working on some

areas of research can be a differential feature to create

study on the design innovation hubs in Europe. In order

shown the ability to help business grow. However, it is

particular project, this has not become the main part

cross-disciplinary research environments. The main

to know in details how the business models work in their

highly related to the power of lobbying.

of their business model. As the manager said, all of the

income may come from projects financiers, the margin

tenants have their own business to do.

of selling their products and services, or selling research

hubs and visualized through

the business model canvas,

results. Regarding key partnerships, Waag Society

as well as try to find the gap

requires various partners and financiers in different

and feasible solutions. The

aspects of industries or organizations. When considering

researchers summarised the

cost, salaries and overhead fees accounted for the

key information below and

largest portion of their spending.

map their business model.

In an interview of Waag Society, a manager said, we

4.2.1. CASE STUDY 1

want to establish trust in these facilities, foster a close

Figure 5.2.2.1. The environment of Little Mountain (Source: Little mountain website)

philosophy driver of research, which means we do not

LITTLE MOUNTAIN

4.2.2. CASE STUDY 2 STRIJP-S

Little Mountain is a 7 years old design innovation hub,

Strijp-S has 800 square meters of space to renting

located in the Netherlands. Focusing on creating an

to different independent professionals in design and

incubator for start-up entrepreneurs by establishing a

technology disciplines. Currently, the fee of the venue

4.2.3. CASE STUDY 3 WAAG SOCIETY

and search for business opportunities from the external

network, mixing and within different disciplines, among

hire might be the cheapest one in that area. They began

Waag Society is an organization combining three

environment. With the construction of infrastructure

governments, development companies, universities, and

five years ago. At the beginning of the business, they

components (art, science and technology) to accelerate

in terms of IP (Intellectual Property), cost searching

the spaces landlord.

were funded by the local government when the funding

social innovation among the public, companies and

agreement, legal consideration and business service, it

They believe in working together and treat it as the

stopped after one year they got enough money and

the communities by developing creative technology.

can create a fair and open sources platform for clients in

core idea of their business model. Thus the collaboration

became self-sustaining. It could be a shortcut case in

Their aim is to use research as a trigger to explore the

order to develop a long-term and sustainable economic

of the hub is based on all the participants focusing on

this research.

possible business opportunities in introducing better

development.

one project (goal) but through a different approach.

Similar to Little Mountain, they also have an agreement

services into peoples lives and establishing open

This could strongly ensure multiple collaborations. For

with the landlord, and become a middleman between

source environments to create long-term benefits among

instance, on the start-up entrepreneurs part, taking

the tenants and the owner. When the occupancy rate is

stakeholders.

part in the project, they could gain workspace (need to

higher than the agreement, they have to pay extra money

They provide various kinds of services for the public

pay venue hire), training and network in three years and

to the owner or make the relevant investment. However,

and SMEs such as free use of machines at the Fab

prepare further steps of their enterprises. On the mature

in contrast to Little Mountain, they just focus on gather

Lab, knowledge-sharing services about innovation, open

firms part, those young entrepreneurs are good human

target people to rent, so far. As the manager said,

data and education, research programs for prototyping,

16

know what comes out, but we know something we can

Figure 5.2.3.1. The environment of Strijp-S

adopt. Thus, this research-based hub has an ability to

takes advantage of social innovation to find solutions

 igure 5.2.8.1.The connection of research and social innovation (Source: WAAG

F
society website)

17

4.2.4. CASE STUDY 4 SNIJLAB

4.2.6. CASE STUDY 6 MAD BRUSSELS

Snijlab is located in Rotterdam,

MAD Brussels is a non-profit organization funded by the

Netherlands, it was opened two years ago,

government created in 2010 exploring exploitation in

it provides a professional cutting service

the fields of design. The aim of this hub is to help local

mainly for artists, product designers and

fashion designers present their works on national and

architects. The laser-cutting machine of

international stages, stimulating the development of

Snijlab was built by themselves, so they

Figure 5.2.6.1. Interview P.T. in the Stadslab, which organized by him

can have a competitive price. Alongside

the cutting service, Snijlab also have a

There are three offerings this hub provides for designers,

Figure 5.2.5.1. Snijlab built laser cutting machine by themselves and provides professional
cutting service

design consultancy service to help people

make a rough idea into a real product, this service is
still under development, so it is not the business model
at present.
Snijlab have very a different market share with Fab Lab,
Snijlab is a place for production, people can pay to
get a fast and professional service from Snijlab, as the
manager in Snijlab said), Fab Lab is very laboratory,
you do thing by yourself, you use different machine, and
get help from different people. There are some people
wouldnt able or dont have time to go to Fab Lab, for
these people, we provide high quality service Although
Snijlab is a profit organization, they almost dont spend
any money on advertising, they believe in the power
of word-ofmouth, so they just experiment with the
different possibilities of the technology and material,
then develop promotional products to show people what
they can do. They also organize workshops, which the
participants can attend for free, this is because they
want to use workshops to expand their network, and
engage with more people.
In the future, Snijlab wants to separate into two
independent companies; one is a production company,
only providing a cutting service for professional people,
in their plan, they wish this company to be running
complete online. The other company Snijlab want to
have is a design consultancy, which helps clients build
bridge between design and manufacture, Snijlab have
the knowledge of both, which is very rare in the market
at present.

18

fashion design in Brussels.

To achieve the above plan, they have one difficult

problem in that they do not know how to transfer
experts experience to their employees and maintain
standards, so they are still looking for a way to overcome
this issue.
4.2.5. CASE STUDY 5 STADSLAB ROTTERDAM
P.T. is a researcher at the intersection of business
administration, society and technology. He has a great
knowledge of business models of open-source related
areas, and various experience in building and operate
Fab Lab. During the interview, he gave us a lot of
information about Fab Lab from his own experience.
Fab Lab offers small workshops providing facilities for
people to making things by themselves and share their
ideas with others. Most Fab Labs are open to public,
and use different business models to self-sustain, the
most common one is to use a membership system to
get profit, only members can use the labs facilities,
and people have to pay to become a member. Another
common way for Fab Lab to self-sustain is to work with
companies, get funding from them, and then become
a commercial partner. Beside those two usual models,

No matter what kind of business model Fab Lab use,

which include providing funding, organizing events to

the most important factor for Fab Lab to self-sustain

promote designers abroad, and finding jobs. Therefore,

is to build a community of users, like P.T. said when

their direct customers are designers, while indirect

talked about the challenge of build new Fab Lab, In

customers are the companies or manufacturers in

general, the most difficult and important is to build

design fields. Providing knowledge in terms of marketing

the community of users. Find machine, money, space

and business development and helping designers to

is relative easy, but finding the right people who have

achieve their goals are the main service this hub can

interest and would like to come to make the interesting

create. The main channels through which they choose

project that the most challenge. Users can create

to deliver services are face-to-face consulting service,

value, and the community can bring more people to the

events and exhibitions. As a manager in MAD Brussels

lab. The easy way to build the user community is to find

said, they think hosting events is the best way to help

the people first, then build the Fab Lab for them.

their native designers. As this hub is based in the

Now, the number of Fab Labs doubles every 18 months

government, it can not only get funding, but can also

around the world, but in the future, the form of Fab

take advantage of some government resources such as

Labs will very possibly be different, as P.T. said, There

the latest databases, information and existing networks

are various roads to be imaged in the future, unlike now

to promote Brussels fashion design. Also, providing 10

people go to a lab to do their stuff. One could be the

hours of free professional coaching services focusing

kind fabricator, that the machine is more advanced and

on fashion, design and finance is another feature that

the lab becomes more professional for some people. The

supports designers directly. Although it is totally funded

other could be that the big industry notices Fab Lab is

by the government, there will be a rental income for self-

eating their market, so they start to fight with it (Fab

sustaining once the new building is available in 2017.

Lab). It is very hard to predict which kind of Fab Lab

However, the government, creative and manufacturing

will be successful or will fail in the future; the best way

centres and Fab Lab are their key partners when they

to study the possibilities of Fab Lab is really to build

provide services.

one.

there is a new emerging model: some Fab Labs ask

people to pay in time instead of money; people who work
as volunteer in the Fab Lab can use the facilities in the
lab for free for the same amount of time they work there,
it can help Fab Lab save cost on salary, which is the
largest cost of Fab Lab.

Figure 5.2.7.1. The promotion of local designers (Source: MAD Brussels website)

19

CASE STUDIES PROUD PARTNERS:

Therefore, MAD Brussels can be an event-oriented hub

registration software, working spaces, meeting rooms,

at the heart of the creative Buda Island in the centre of

because well-organized events can attract more people

food and drink. However, methods of promoting their

to exchange their knowledge. Launches different subject

space and maximizing space utilization play an essential

Within the PROUD project, 5 partners developed their

life is about the people you meet, and the things you

events, conferences and workshops can help to promote

role in impacting their revenue. The relevant activities in

own Design innovation hubs five different types of

create with them. so go out and start creating (The

the hubs reputation and Brussels design internationally.

operating this hub may relate to venue maintenance, the

design innovation hubs with five different Business

HOLSTEE manifesto)

efficiency of the reservation system, and the preparation

Model Canvas. The Business Model Canvas is a strategic

The current business model focuses on managing

4.2.7. CASE STUDY 7 SEATS2MEET

of hosting events. With regard to their key partners,

management and lean startup template for developing

the space and making as the major resource and

Seats2meet (S2M) was set up in 2007. It offers a

software developer is an important role to support this

new or documenting existing business models. It is a

service offering. BUDA::lab hopes to become self-

free co-working environment instead of a traditional

hub, and the public and other branch owners can also

visual chart with elements describing a firm's value

sustaining within a few years. (currently it is funded

organization in order to foster the collaboration of

give valuable opinions on improving the operation of this

proposition, infrastructure, customers, and finances.

by the City Kortrijk, Province West-Flanders, Howest,

networks among the public. Their aims are to create

hub. Its cost structure mainly consists of two points; one

The Business Model Canvas was initially proposed by

Intercommunale Leiedal and PROUD Europe

a physical space and a virtual platform for users to

is the regular cost of business operation, the other is the

Alexander Osterwalder.

INTERREG IVB NWE).

increase the opportunities of interaction; combining

software cost of each user.

Kortrijk.

The making area (BUDA::lab) is located on the ground

various features such as education, service, social

4.2.8. CASE STUDY 8 BUDA::LAB (KORTRIJK

floor (200 m) of Budafabriek, about 2000 square

innovation and a unique business model into this hub.

BELGIUM)

meters with 3 floors. with different equipment and

This combination of different components results in a

BUDA::lab opened in December 2012 as a hub of

machines, such as a plotter, laser cutter, 3D printer

boundless and cooperative place for learning, working

Designregio Kortrijk, based in Belgium. Its aim is to

etc. (Figure 5.2.1.1). Next to BUDA::lab is a co-working

and exchanging creative ideas. With this connectivity

attract the creators of the region, students, creative

space to facilitate synergy.

among people, different characteristics of clusters can

communities and SMEs or even big enterprises to use

BUDA::lab rents its working place to the city and has

be developed and this network-oriented hub would be

the space and making facilities for communication and

to pay as well the cost of electricity, insurances for

able to contribute sustainable benefits for stakeholders.

collaboration.

machinery and users fablab,... BUDA::lab is charging a

BUDA::lab is a public workplace and a meeting point

membership fee mainly to cover the obliged insurance

where companies, individuals, students, schools,

cost/member and electricity for the use of machinery.

As a manager in Seats2meet explained, because

Figure 5.2.9.1. The free co-working area (Source: Seats2meet in Eindhoven)

people who are coming here, the ranges are very broad
or their knowledge, you have a lot new influences in it,

Therefore, this network-based hub uses a virtual

designers, ... can go to make, to attend workshops, to

This membership fee is not covering the total exploring

new ideas coming from this networks.

platform as a tool to connect people and also provide a

meet, to be inspired and to be challenged.

cost of Budalab. (Figure 5.2.1.2).

This hub provides free Wi-Fi workspace, free coffee and

physical, flexible, free co-working and meeting space to

BUDA::lab proposes a range of analog and digital

Beside the challenge of attracting more target people,

food, and event spaces for the public and companies,

enhance the quality of interaction. It makes people co-

machines (3D printers, lasercutter, welding machine,)

the venue hire of this space, staff salary and equipment

where people can connect and cooperate with others

create their own experience within networks, building up

available to a wide audience and brings together people

fee are crucial facts in deciding the hubs future.

from different backgrounds, which creates added value

links with different groups of experts, resulting in a more

who have expertise in different sectors and disciplines

BUDA::lab has its own website, Facebook page and

within this network. There is well-designed software to

efficient way of communication, learning, exchanging

to emerge synergies. BUDA::lab is a co-working place

e-newsletter (www.budalab.be)

support the interaction, communication and reservation

knowledge. Owing to the freedom of the space, the hub

service among users, and hosting events is another

can differentiate its service with others and is more

channel to develop the relationship as well. Thus, the

able to take advantage of social innovation as a unique

key resources in this case are an easy-to-use, interactive

selling proposition for self-sustaining.

Website BUDA::lab

20

Figure 5.2.1.2. The membership fee of BUDA::lab

21

Business Model Canvas - BUDA::lab

Key Partners
BUDA::lab is a
department of
Designregio-Kortrijk

Key Activities
Permanence of
BUDA::lab

Value Propositions
Serial workshops for
children between
5 - 13 Y, maker
holiday camp, STEM
events (science,
technology,...)

Customer
Relationships
Membership +
benefitpackage

Customer Segments
Students primary
school

Intercommunale
Maintenance of
Volunteer working
Leiedal, Howest,
machinery
Province West-Flanders
are partners of
BUDA::lab
Design agencies
Programmation of
Machine use,
Flexibel opening
workshops and events participation
hours
workshops, use space

Students secondary
school

Suppliers of machinery Billing

in BUDDA::lab

Creative guidance,
Evaluation after a
participation
workshop
workshops, use space

Local citizens of
Kortrijk

DIY companies

Networking

Infosessions

Creative citizens
(outside Kortrijk)

City Kortrijk is a
partner of BUDA::lab
and owner of building
Budafabriek
Voka - Chamer of
commerce is a partner
of BUDA::lab as they
inform their members
(companies) about the
activities of BUDA::lab
Volunteers: are helping
with permanence of
BUDA::lab

Performing machine
training

Quiet workingplace,
access to make
network, coffee,
printer, catering
Space & facility
renting for groups

Accessibility and
visibility at the
facility

Class groups

Performing advice

Space & facility

renting for groups

Bring a new member Associations

(member gets
member)

Frontoffice

Quiet workingplace,
access to make
network, coffee,
printer, catering

Ingegno: partner for

organising workshops
for children in
BUDA::lab
Flanders In Shape

Production for
customers

Photography and
exposure of the
BUDA::lab - made
- works: digital and
physical window
Design competition

Quiet workingplace,
access to make
network, coffee,
printer, catering
Rent & advice model Active prospection
construction, contract
work maquettes

Artists

Teachers and
docents: they inform
the students about
the possibilities of
BUDA::lab
OKRA: association for
seniors

Maintenance of
communication tools

Creative workshops
design agencies and
customers

Design agencies /
Flanders In Shape

Development of long
term strategy

New Year
giftsvouchers and
present vouchers

Tour and information Workshop programme availability

sessions of BUDA::lab & teambuilding

Highschool students

Key Resources
Machines in Fablab

Channels
Facebook

Cost Structure
Staff cost

Revenu streams
Fees

Staff

Infosessions

Machine depreciations

Machine use

Equipment: coffee
machine, printers,
fotoprinter,... for coworking space

Posters (city council, DIY

stores, high schools)

Maintenance

Material use

Materials

Workshop fee

Displacements

Funding

Volunteers

E-newsletter

Freelance fees

Communication tools

Open company day

Communication cost

Markup to partnership
make network
Hour fee: advice

Materials

Website

Rent of BUDA::lab

Machine training

Space

Modelling workshops

Starter in the
creative economy

Stand constructors/
decor constructors /
architects
Figure 5.2.1.1. BUDA::lab Kortrijk

Event and
communication
agencies
Seniors

22

23

Business Model Canvas - Capital D (Design Innovation Space)

Key Partners

Key Activities

An extensive
community of designers
and representatives
of business, public
institutions and
knowledge institutes

Value Propositions

Capital D is the
design platform of
Brainport eindhoven
that facilitates and
connects an extensive
community by a
program of activities
and events. It
organises and hosts
design based iniatives
like workshops,
masterclasses,
exhibitions, lectures
and conferences.
Founders of DIS Capital Capital D is the
D are the City of
design innovation
Eindhoven, the Design platform of Eindhoven
Academy Eindhoven
region
and the University of
Technology Eindhoven
The University of
The keypartners and
Technology Eindhoven founders of Capital
is also involved in
D can make use of
the creation of the
the infrastructure to
multifunctional space
meet their clients, to
network and to learn.

DIS is offering
space for co-design
driven people and
organisations

Capital D is partner
of PROUD. All Proud
members share their
experience and give
support to the creative
ideas of Capital D

Capital D supports
and develops new
ways of knowledge
transfer on design on
innovation, design
thinking and codesign

Proud Academy
where the design
community can
network, meet and
learn, focussing on
co-design

Governmental
organisations such
as the Chamber of
Commerce and the
Ministry of Economy

Capital D organises
the Dutch Design
Week, a worldfamous
Design festival and
several (European)
projects promoting
the added value of
design
Capital D offers
the DIS as a
multifunctional
space that can
be transformed
into different
settings: exhibition
hall, lecture
room, workspace,
meetingrooms,...

The development
and coordination
of projects that
stimulate co-design
thinking on societal
and economical
challenges

Structural sponsors of
events such as Dutch
Design Week

24

Customer
Relationships
Capital D is offering
advice, support
and coaching on
co-design based
projects

Customer Segments
The hub is set
up for the Design
Community
around Brainport
Region Eindhoven,
including all
regional, national
and International
connections.

DIS hosts a lot

of initiaves about
sharing insights and
knowledge on design
innovation.

Capital D offers a
program of activities
in the field of design
innovation.

The stakeholders of
Capital D come out
of the triple helix:
private, public and
knowledge segment

DIS has developed an

open source toolbox
to work with a codesign approach.

Capital D promotes
and stimulates
collaboration
and knowledge
sharing between
a wide range of
participants.
Capital D offers a
design basis for the
key partners and
their customers

The keypartners and

sponsors of Capital
D belong to the core
group of customers.

The peer-to-peer
community of Proud
Academy, housed by
Capital D, generates
valuable exchange of
knowledge on codesign

4.2.9. CASE STUDY 9 - CAPITAL D

organizes Dutch Design Week every year for designers to

Capital D is a design innovation hub in the Eindhoven,

showcase their work, and promote regional design and

Netherlands, their aim is to provide a hub for

Dutch design.

designers, design clients, user communities and

Although Capital D has already hosted these activities,

other stakeholders, so they can work together to make

they still want to attract more designers and companies

innovation happen, then promote design innovation in

to use these hubs for co-creation and to build a network

the regional area.

for design innovation.

This hub is a multifunctional space, the manager of

At present, Capital D gets funding for the hub from the

Capital D introduced the main function of their space

government and from INTERREG IVB NWE, however,

is to promote design innovation, The designer can use

this funding will stop by mid 2015. In that time, Capital

this place to meet clients, to work, to collaborate, and

D should become a well-developed organization and

also we want to use this space to organize events, like

find a business model in order to self-sustain. In the

trainings for designers, conference, all about promoting

future, the company considers covering the costs for the

design innovation. Designers can use this place to

hub from their core income the cooperation gains from

work, to learn, and to present their work; industry can

memberships and other projects.

come here to seek help for design innovation from

designers.
In order to gather more people to come to this hub,
Capital D organizes different activities for different
stakeholders, such as: a co-design caf where designers

Small and Medium

enterprises,
industries and
public services who
want to implement a
co-design approach
in their innovation
projects.
A special segment
is educational
institutions;
secundary
schools as well as
universities

The general
public: citizens
from Eindhoven
and elsewhere,
communities of
people collaborating
on different societal
themes

can interact and discuss ideas with other designers;

master classes where designers and companies can
learn from experts; special events for companies to
launch new products and attract designers to collaborate
with. Besides the above activities, Capital D also

Key Resources
The multifunctional
space existing out of
several rooms is the most
important asset of Capital
D
The projects and events of
Capital D are key assets

Channels
Events such as Dutch Design
Week, Dutch Design Awards,
Co-Design Caf are transfer
channels for knowledge
Capital D makes use of
all digital/social media to
communicate about their
programs
Capital D has set up a PR
& Press networking plan
through the channels of the
key partners. The Proud
website is one of them

Figure 5.2.4.1. Capital D provides multifunction space for various design

innovation related activities

Cost Structure
Staff
Rent

Running costs like

energy

Revenu streams
Subsidies by PROUD
Subsidies by the
local and regional
government
Sponsor income of the
main events (eg Dutch
Design Week)

Catering
New equipment and
furniture

25

4.2.10. CASE STUDY 10 DESIGN ZENTRUM

How does the museum succeed in making profit?

NORDRHEIN WESTFALEN / RED DOT DESIGN

First of all, the entrances fees are an important source of

MUSEUM

substantial and stable income. With more than 120.000

The Red Dot Design Museum is part of the world famous

visitors in 2013, this is a reliable cash generator.

Design Zentrum Nordrhein Westfalen that is located in

Essen (Germany). The museum is the largest exhibition

Secondly, the museum organises the highly reputated

on design worldwide.

Red Dot Awards. This yearly contest supports best

According to the general manager, the design museum is

practises in several design categories (Product Design,

a rather atypical partner of PROUD.

Communication Design, Design Concept). With 1.500

Since the museum has an outspoken B2C-focus,

participants and more than 4.500 products entered into

it does not offer any of the core services such as

the competition, it is the most prestigious Design Award

providing space, research facilities, production support

contest worldwide.

or networking. But yet, they have developed some

Consequently, companies are interested to link their

interesting activities that match very well with the

name, their brand and their reputation with this

PROUD-objectives.

successful event. They are willing to pay for the use

The core task of this innovation hub is to transfer

of the communication platform of the Red Dot Design

knowledge on design to the public and make them

Museum.

understand the importance of design quality.

Based upon these two income sources, the Red Dot

The Red Dot Design Museum is a 100% private

Design Museum has the opportunity to invest in

initiative that finances its own activities. The final aim

additional staff for organising workshops, guided tours

is to obtain a fat zero result, which means that the

and educational programs. This leads to the conclusion

result is slightly positive. This small but firm profit is

that the PROUD-project that is linked with the museum

invested in new initiatives and programs that support

can be considered as a successful event oriented

the execution of their core task. The participation in

project.

PROUD must be seen as a result of this strategy. It

Business Model Canvas - Red Dot Design Museum (Design Innovation Hub Essen)
Key Partners

Key Activities

Red Dot Design

Museum is part of
the Design Zentrum
Nordrhein Westfalen.

The permanent
exposition of RDDM
displays a complete
range of current
product design.

The Design Zentrum

Nordrhein Westfalen
supplies all hosting
facilities for the Red
Dot Design Museum.

RDDM organises
temporary special
exhibitions on design
trends.

RDDM has cooparation

programs with
secondary schools and
universities

The expositions are

supported by guided
tours, workshops and
presentations relevant
to design.

RDDM regards
design as an integral
part of economic
and technological
promotion, and as an
essential component
in the striving for
innovation

Red Dot Design

Museum is a partner of
PROUD, the European
platform that brings
together organisations
characterised by design
and innovation.

The yearly Red

Dot Design Award
is a worldwide
competition for the
design business.

The community
that has been build
up around the Red
Dot Design Award
generates high
added value in terms
of branding and
reputation.

makes it possible to invest in additional services such as

workshops, guided tours and educational programs for
secondary schools.

Key Resources
Most important key
activity of RDDM is the
organisation of highly
reputated Red Dot Design
Award
The Red Dot Design Award
logo for best design has
become an internationally
recognised quality label.

Figure 5.2.10. Pictures of Red Dot Museum

26

Value Propositions
The purpose of
the RDDM is
the promotion of
knowledge, research
and education
concerning design.
One of its core
tasks is to transfer
knowledge on design
and make the public
understand the
importance of design
quality.

Channels
Promotion by means of
social media, internet etc.
is most effective for B2C
communication to promote
guided tours, workshops and
special exhibitions.
Event organisation is
important for branding.
The communication around
the Red Dot Design Award
is essential for the B2B
sponsors.
RDDM has set up a
networking plan to reach
the design industry and the
public institutions.

Customer
Relationships
The museum has a
very diverse public
of about 120,000
visitors per year.

10% of visitors
are professionals
15% of visitors
are students
and teachers
75% of visitors are
consumers

The Red Dot Design

Award organises
a worldwide
competition for the
design industry
to promote the
relevance and
seriousness of good
design.

Customer Segments
The consumer
market at large is
the most important
target group

As for B2B
customers, the
RDDM aims at
design-orientated
industrial
enterprises,
design studios,
communication
and multimedia
agencies.
A special segment
is educational
institutions on
secondary and
higher level

Cost Structure
RDDM has a total
budget of 700,000

Revenu streams
Exhibiton fee for
the award presented
products generates
40% of cashflow
30% is personnel +
Entrance fees of the
overhead
consumers, event fees
for B2B events
55% is material,
Subsidies by PROUD
equipment, exhibitions (only for investment
and rental fee for the
into the Design
space (to Stiftung
Experience Exhibition/
Zollverein)
Lab)
15% is communication Result is a "fat zero".
Profits are reinvested
in the further projects.

27

4.2.11. CASE STUDY 11 TECHNOPORT

- 25% of the budget is supported through the

LUXEMBOURG

participation of the Technoport in a range of European

Technoport Ltd is the result of a merge between two

projects (INTERREG, FP7, Horizon2020)

existing incubation facilities that existed since 1998

- 10% are finally generated thanks to the Fab Lab

and 2004. This merge took place back in 2012. This

activity as well as the organisation of events or

new private company is hold by two shareholders.

sponsoring activities.

On one side the Ministry of Economy of Luxembourg

(75%) and on the other side the Socit Nationale de

This Design Innovation Hub focuses more and more on

Crdit et d'Investissement (25%), a national economic

co-design sessions to explore new business models and

diversification bank.

innovative approaches for their clients. That might be

The Technoport has since developed new activities

an interesting future service to launch on the market,

like the co-working space where major events are

moreover because of the strong combination that exists

organised like the Startupweekends, Barbecue Game

between three dimensions within Technoport (business

Jams, Apps Foundry Contests, and many more. In 2013

incubator + co-working space + fabrication lab). On

it decided to open a new platform namely the Fab

the level of business modelling, it is obvious that one

Lab, to address a new segment of product oriented

can categorise the Fab Lab Luxembourg dimension as

entrepreneurs and makers.

a making model with a recent tendency towards events

The Fab Lab activity supports global creativity,

within a broader structure that is an interesting mix of

knowledge sharing, innovation and local manufacturing

Venue hire + Events + Making

by offering open access to different kinds of equipment

Fab Lab will also have to take benefit from the arrival of

(3D printers, laser cutter, milling machines) and

the University of Luxembourg on the same geographic

services (3D modeling and digital fabrication) to

location in Belval this huge opportunity can increase

users in order to materialize almost all types of ideas.

significantly the outcomes of the Lab.

More concrete, Fab Lab aims at starters, academic

For the moment the local press (radio, TV) is covering

researchers, entrepreneurs and individuals.

quite regularly the activities of the Fab Lab and social

Fab Lab has a 150m fab lab space where the

networks are working efficiently for spreading the word

equipment is situated. Besides the use of this range of

of mouth. But further efforts need to be done to touch a

machinery, one can also count on the expertise of the

more general public.

lab crew (CAD/CAM) and on the lab space. Prices are

2015 will also be an interesting expansion phase (new

fairly moderate.

equipment and new part-time employee) for the Fab

Business Model Canvas - Fab Lab Luxembourg (Technoport)

Key Partners
The Ministry
of Economy of
Luxembourg:
shareholder

The Socit
Nationale de Crdit
d' Investisssement:
shareholder

PROUD: partner for

organising the FabLab
Kids workshops

Greater region Fab

Labs: partners

Key Activities
Availability of the
coworking space

Technoports overall budget will cover any financial gap

three main sources:

on this activity. They also have developed well-balanced

- The incubation of technology-oriented start-ups

partnership formulas, which have been launched lately

generates around 65% of the annual budget.

and should bring some positive developments in 2015.

A multifunctional
Incubator space with
possibility to work,
prototype, meet,
train, network,

Customer
Relationships
renting of facilities
and equipment

Customer Segments

Starters and
young SME's in
the domain of
innovation and
product oriented
devices
renting out of the
The use of advanced 1-to-1 individual
The hub also
machinery such
equipment and
projects
aims at designas a lasercutter,
machinery for
orientated industrial
3D-printer, milling
prototyping
enterprises,
machines,
design studios,
communication
and multimedia
agencies.
Organising workshops, Exchange of
workshops (corporate A special segment
trainings and
knowledge on
or thematic)
is educational
seminars on codesign codesign between the
institutions on
thinking. Kidslab is a design community
secondary and
specific program for
higher level
secondary school level
Specific programs
The DIH welcomes
Organisation of coAcademic
for product oriented
startups in the IoT
design events
researchers
startup coaching and field
support on innovative
thinking
Open Design
Individuals with
Conference &
a special interest
Workshop
in innovation
technology

Key Resources
Channels
The well equiped coworking Promotion by means of
space (450m)
social media and internet to
announce the events
Fab lab space (150m)
with up-to-date machinery
and materials

Lab. Until the optimal growth rate will be achieved

The turnover of Technoport is based on revenues from

Value Propositions

promotion through different

channels (TV, radio,
newspaper, participation at
fairs)

Growing user community

Knowledge and experience
in the field of rapid
prototyping

Cost Structure
Staff costs

Revenu streams
Machine renting

Machine depreciation

customised projects
(support in 3D
modelisation and
fabrication)
workshop feeds

Running cost for

the fablab space
(energy,small
material)

Subsidies from
European projects
(PROUD)

Figure 5.2.12. The pictures of Fab lab Luxembourg

28

29

CHAPTER 5: RESEARCH FINDINGS

Business Model Canvas - Imagination Lancaster

Key Partners

Key Activities

University Of
Lancaster

Research on design
oriented themes such
as design management,
sustainability, service
design, urban design,..
Local authorities of Research projects on
Lancaster
design based solutions
and innovation
Partners and
funders in a wide
range of sectors

Development of digital
and physical tools to
support co-design

Arts & Humanities

Research Council

Value Propositions

Customer
Relationships
Participants of
the DIH activities,
workshops, events,
projects,

A multifunctional
coworking space
with possibility to
work, meet, train,
network,
Imagination
Customers who
Lancaster facilitates make use of the
innovation for a wide coworking space
range of organisations

Academic
researchers

Bridge between
design practice and
science and social
science methods
Development of
knowledge exchange
tools and approaches
on prototyping and
testing

Sponsors of the
coworking events

Participants of the
events, workshops,
trainings,...

Proud partners

Key Resources
Flexible creative space for
events and teaching

Channels
Communication by means
of social media and
internet to announce the
events, programs,
Network in the public and
private sector

4.2.12. CASE STUDY 12 LANCASTER UNIVERSITY

ImaginationLancasters hub sits within the premises of
Lancaster University, a university with over 2500 staff
and ranked top 10 in the UK overall for research and
top 2 for `Art and Design. The hub consists of a flexible
creative facilitation space and up-to-date machinery,
focussing on research on design-oriented themes such
as design management, sustainability, service design,
and uban design.
Co-design is critical for the approach
ImaginationLancaster takes to knowledge exchange.

1) By researching 30 design innovation hubs website,

and visiting design innovation hubs and interviewing
their managers, we once confirm that there are five
main offerings that design innovation hubs provide

Design
professionals,
artists,

for promoting design innovation; the five value

propositions are:

(1) Space

Social enterprises,
charity
organisations,

(2) Event

(3) Research

(4) Network

Companies, mostly
SME's, open
to design and
innovation

(5) Making

Public sector
such as the local
government

The Imagination
Laboratory is a large
space with up-to-date
machinery and materials
Knowledge and experience Events where people
in the field of codesign
can share ideas and
thinking
experiences on desing and
innovation

30

Customer Segments

They have a number of projects where they co-design

with various stakeholders. Target audiences are
academics, research students, design support agencies,
public authorities, local companies and private sector
bodies.
Their philosophy is that each problem is an individual
and working with the people who have the closest
knowledge of these challenges will give the best results.
So co-design is central to their working practices.
The Imagination Laboratory is a space with up-todate machinery and materials, where amongst others
innovative knowledge exchange tools and approaches are
developed through prototyping and testing.
As for revenu streams, the University covers the running
costs of the hub. They do not have university charges for
space of utilities for the innovation hub separated from
the overall university costs. The overall sustainability of
the investment comes from follow on projects and other
activities. It also depends on continuing numbers of PhD
and masters students and most of all the assessment of

2) Even when two design innovation hubs provide the

same offering, they still do this in different ways.
For example, BUDA::lab and Snijlab all have making
service, but in BUDA::Lab people can make objects
by themselves, only registered member (but everyone
is welcome and can learn to use the machine) can
use those machines; on the contrary, Snijlab provides
a professional making service, people are not allowed
to use machines there, customers just prepare the
document, and Snijlab will help people to make
products.
3) There is no one specific business model can apply to
all design innovation hub, the research from Searle
(2011) also indicates that there is no business model
could fit for all sectors in creative industry. For this
reason, in this project, we need to seek different
business models for the various services respectively.
The business models in this project are not only to
provide the solutions for each offering, but also have
to provide a guideline about how to combine different
offerings together to support each other. Therefore,
the modular business model is required in this
research.

CHAPTER 6: DESIGN DEVELOPMENTS

AND CHARACTERIZING YOUR SPACE
Combining the results of the research, the different
value propositions and the relevant criteria will be listed
here in six blocks:
(1) What potential benefits the hubs can get (Benefits)
(2) How the hubs can create value by this model (Value
creation)
(3) The existing good example of this kind of hub
(Example)
(4) What kinds of key resources the hubs need (Key
resource)
(5) What kinds of key activities the hubs need to do (Key
activities)
(6) What kinds of preparation the hubs need to do
(Preparation)
6.1. SPACE
(1) B
 enefits: The potential benefits for the hubs mainly
comes from two profitable ways: renting income (own
space) and middleman service fee (provide venue
hire service), as well as the intangible values such as
peoples networks and good reputation of the hubs.
(2) Value creation: The value creation of the hubs (own
space) need to provide a permanent space for target
people or help to find an appropriate space to fit
clients needs, such as space to host events, offices
for work or for research activities etc.
(3) E
 xample: Strijp-S is a special example of the renting
space. Although they do not own the space, they rent
the space from the landlord. However, they divide
their space into two different functions and rent it
as an owner: one is open space office another is to
rent permanent space to various designers. Thus,
the researchers treat it as can charge tenting fee of
the value proposition. The tenants could personalize
their space and use it over a long-term period for a

their research excellence.

31

could help to find out the what resources the hubs

which can lead to better interaction and develop a

area. If someone just needs a table to do works in

can use; and external market environment research

long-term cooperative relationship.

few days, they could also book it in the flexible

helps to position what kinds of space could gain the

working space. The payment is calculated by days.

opportunities to attract customers. Besides, if the

events-oriented hubs. Through providing the latest

When promoting events some activities, such as

Only Seats2meet in this research as a middleman

hubs need to provide a venue hire service, alliance

professional information and relevant events or

issuing invitations to clients by mail, e-mail, and

provides venue hire service and gains self-sustaining;

collaboration is very important, since it could reduce

workshops, they can help their target audiences to

social media, as well as marketing through various

others are funded by governments, so they do not

the cost of hiring a space from partners and increase

understand what hubs can do for them and develop

advertising channels such as media, magazines and

charge money to the clients. However, it doesnt

the services profits. These preparations could also

links among stakeholders. Furthermore, based on the

newspaper, should be considered according to the

mean this kind of benefits could not become a

help the space owner to check whether their chosen

understanding of clients needs, it may present more

hubs resources.

common way of the revenue to the hubs.

value proposition is right or not.

opportunities to develop cooperation.

Additionally, searching for possible sponsors

(4) K
 ey resources: The key resource that the hubs need

(3) E
 xample: Capital D and MAD Brussels are two

(4) K
 ey resources: Activity planners play important roles

among stakeholders is needed in order to explore

and achieve the needs of the target audience.

is essential for events, so knowledge of how

to have is a space that can apply its benefits to fulfill

6.2. EVENT

in hosting hubs events because they requires various

to approach the potential sponsors and what

the target audiences specific needs.

(1) B
 enefits: Holding events is the best way for existing

consideration such as planning activities, contacting

advantages sponsors can gain from events is

and potential customers to understand what hubs

relevant stakeholders, organizing resources and

required.

on doing space maintenance, which keeps the

can do and how they do. It also promotes their

controlling the procedures of events.

attractiveness for target people; creation and

services in order to increase revenue through service,

Inviting key people to a speech or to join a

customers is essential because hubs can develop

maintenance of relationship with target people, such

access and membership fees.

conference and workshop is beneficial for hubs to

various categories of events in order to satisfy

as creating special services to keep attract future

Intangible benefits: Events provide more

increase the their reputation and the chance of

clients needs, so doing some research to analyze

and exist customers; as well as using marketing

opportunities to have connections with people from

developing new ideas.

what advantages hubs can provide and emphasizing

skills to let more potential customers know about

different backgrounds, accelerating idea exchange,

In order to enhance the performance of events,

the difference of hubs services should be considered

this space.

and increasing the hubs reputation.

preparing the relevant infrastructure for events is

in order to attract more clients.

(5) K
 ey activities: The key activities mainly focus

(6) P
 reparation: The preparations the hubs need to do

(2) V
 alue creation: In order to increase the number of

are: doing research of target people, which helps

people taking part in events, there are various kinds

to understand their needs and preference of the

of activities that hubs can host including exhibitions,

space. In addition, the internal strength analysis

conferences, training programs and workshops,

Rent income (own space)

Provide venue hire service
A network of people
Better reputation
To provide permanent space for target people
(2) Value creation Own space
Renting service Help to seek appropriate space for fitting clients needs.
(1) Benefits

(3) Example

E.g. Strijp-S

(4) Key resource

A specific space which can fulfil specific needs

(5) Key activities

Space maintenance
Create and maintain the relationship of target people
Marketing
Sponsor finding
Research of target peoples needs
Internal strengths analysis - what kinds of resources I can use
Market Environment research - help position what kinds of space could gain opportunity to
attract target people
Explore stakeholders - to raise range of services

(6) Preparation

Figure 7.1.1. The value propositions and the relevant criteria - Space

32

(5) K
 ey activities: Maintaining stable relationships

much lower renting fee compared to others in that

(6) P
 reparation: Knowing how to identify their key

essential, which includes space, tools and facilities.

Access fee
Service fee
Membership fee
A network of people
Better reputation
Idea creation
(2) Value creation The hubs can gather relevant people to arrange an event such as, exhibitions, conferences,
training program or workshops etc.
(1) Benefits

(3) Example

Capital D, MAD Brussels

(4) Key resource

Activity planner
Key people
Activity space
Facilities for event
Gather relevant people
Marketing and communication
Maintaining relationship with target people
Find sponsors
Target people needs research
To identify internal strengths - what kinds of resources I can use
Market Environment research - help position what kinds of events could gain opportunity to
attract target people

(5) Key activities

(6) Preparation

Figure 7.2.1. The value propositions and the relevant criteria Event

33

6.3. RESEARCH

research as a trigger to lead people to exchange

6.4. NETWORK

services is important because their unique selling

(1) V
 alue: Through research programs, hubs have

knowledge. This will not only develop solutions

(1) B
 enefits: Hubs can act as brokers to build up a

proposition is the variety of people working together.

the ability to produce solutions to solve clients

from research results, but can also create long-term

physical environment or a virtual platform to increase

Thus key activities that include promoting hubs,

problems such as useful databases, selling

benefits and innovation among all stakeholders.

potential connections among stakeholders from

maintaining relationships and designing a suitable

various backgrounds. The more stable relationship

environment for users demands, should be well

organized.

Intellectual Property or discovering potential

(4) Key resources: Experts, their research teams and

business opportunities to improve current services.

facilities in research-based hubs play a vital role

hubs can make with target audiences, the more

Also, selling the hubs research results, consulting

because they can impact the quality of research

chances they have to provide their services and

and prototyping services can be a way to increase

results.

increase revenue from access, membership or

internal resources, designing an open environment

middleman fees.

and building up connectivity among users is

(5) K
 ey activities: Creating a cross-disciplinary research

revenue.
Intangible benefits: Through the variety of research

environment should be planned well as it may affect

Intangible benefits: Developing networks is beneficial

needed. Then how to differentiate and promote the

projects, hubs can increase the chances of

whether research results can satisfy clients needs or

for hubs because it can make people with different

hubs services is important in order to increase the

cooperation with different partners, of developing

have positive effects on hubs. The relevant research

techniques communicate with each other in a

utilization of space and reduce each users unit cost.

research-oriented networks and of promoting the

activities include collecting cognitive resources in

physical environment or a virtual platform, where

hubs reputation at the same time.

order to understand different thinking. They also

different professional groups of people can create

6.5 MAKING

need to create tools for doing research. Furthermore,

their own communities. The increasing number of

(1) Benefits: For the profit value, the hub can ask for a

stakeholders, hubs should continuously explore new

hubs should find solutions for how hubs can

communities can expand the scale of the hubs

machine using fee from the user, charge a service

business opportunities for customers. Thus, they

maintain relationships between key partners, which

networks and increase the hubs reputation.

fee by providing a course related to the making, or

may accelerate the communication and cooperation

kind of project has the potential to do research and

between experts, the public and industries by

who will be the key people to help them.

(2) V
 alue creation: In order to maximize benefits for

designing a series of workshops, experiments and

(6) P
 reparation: Looking for potential or target clients,

(2) V
 alue creation: Hubs should provide a flexible and

selling the material, machine-build equipment and

comfortable environment, where people are willing

some products which made in the hub.

to share and exchange their knowledge as well as

For the non-profit value proposition, the hub can

prototypes, which can fulfil the clients' demands and

taking advantage of internal resources and exploring

develop people-to-people connection with people

expand its own network from the user, and promote

expand into a wide range of research projects.

external market opportunities can help hubs utilize

from different backgrounds.

its reputation by providing unique machines or

(3) E
 xample: Waag Society is an example of conducting

resources, focusing on main clients.

(3) E
 xample: Seats2meet and Little Mountain focus on
maintaining relationships with people. Seats2meet

Intellectual property
Service fee
Data fee
A network of people
Better reputation
(2) Value creation The hubs can help target people to do research project or sell their research result.
(1) Benefits

few companies. Seats2meet use both virtual and

make stuff by themselves; secondly, they can host

physical space to expand the connectivity among the

a workshops or a training programs about making

public. On the other hand, Little Mountain provides

skills; thirdly, it can provide a professional service

a co-working space and prototyping service in order

to help designers produce their product in a small

amount.

to shorten the time of new product development,

(4) Key resource

Experts
Facilities
Existing network of target people
To do research activities
Create a cross-disciplinary research environment
Maintain relationship with target people
Create tools for doing research
Find sponsors
Target people needs research
To identify internal strengths - what kinds of resources I can use
Market Environment research - help position what kinds of research could gain opportunity
to attract target people

both of which can contribute to the hubs dynamic

(6) Preparation

Figure 7.3.1. The value propositions and the relevant criteria Research

(2) V
 alue creation: the hubs can get benefits in three
ways: firstly, it can provide machines for people to

Waag Society

(5) Key activities

services.

is open for the public; Little Mountain is for a

(3) Example

34

(6) P
 reparation: Identifying the hubs potential users and

(3) Example: Snijlab provides a cutting service mostly

environment and create potential cross-disciplinary

for designers and artists, by focusing on one

cooperation.

professional area, it now has a good reputation

(4) Key resources: The relevant facilities are required

among professional designers and has built its own

such as a physical space, infrastructure maintenance

brand. Designregio Kortrijk wants to self-sustain on

and a web content management system.

long term, a member ship fee is asked to cover the

Furthermore, clusters based on different technique

obliged insurance fee and cost of renting space,

or knowledge within the hubs would be seen as

electricity of Budalab (overall cost)

indirect resources to deliver value.

(5) K
 ey activities: Attracting people to use the hubs

(4) K
 ey resource: to provide a making service, the hub
has to have its own user community, appropriate
35

Access fee
Membership fee
Middleman fee
A network of people
Better reputation
Increase communication chance
(2) Value creation The hubs can provide specific network for people or provide a platform for P2P connection.
(1) Benefits

(3) Example

Seats2meet, the Little Mountain

(4) Key resource

Platform (virtual / space)

Facilities
Existing network of creative communicates (clusters)
Invite relevant people
Marketing and communication
Create and maintenance of stakeholders network
Create and maintain of a platform
Sponsors finding
Target people needs research
To identify internal strengths - what kinds of resource I can use
Market Environment research - help position what kinds of event could gain opportunity to
attract target people

(5) Key activities

(6) Preparation

spaces, machines and making tools, staff, and

to operate hubs. Then they can continuously explore

maybe the expert to help organize these activities.

more business opportunities or expand the ranges of

(5) K
 ey activity: the main activity for the hub is to
provide and maintain machines, because this is

skilled staff, experience and creative people working

where its value comes from, it also needs to build

in the hubs. Also, their intangible assets such as

and maintain a good relationship with its user

reputation, the number of members, and the benefit of

community, communicate its value to target people,

social innovation, collaboration and peoples trust should

as well as sponsor finding sponsor.

be considered because they require considerable time

(6) P
 reparation: before providing a making service, the

Service fee (facilities using, skills training, IP creation etc.)

Sales income (material selling, product selling, machine selling etc.)
Access fee
Network of people
Better reputation
(2) Value creation Provide machine and training relevant skills to help
Help target people to product their ideas.
Provide production service.
Snijlab, BUDA::lab, Fab Lab Luxemburg
(3) Example
(4) Key resource

(5) Key activities

(6) Preparation

Experts, staffs
Facilities (Machine, tools, material, software)
Space
Existing a network of people
Provide machines
Maintain facilities
Host training programs (teaching relevant skills of machine)
Build and maintain user communities
Marketing
Find Sponsors
Research on target people
Internal strength clarify - what kinds of resource can be use
Market Environment research - research on brand position and how to communicate its
value and attract target people
Gather target people - to maintain the number of users

Figure 7.5.1. The value propositions and the relevant criteria Making

36

to develop it. Seats2meet is an example that explains

hubs need to research the market environment and

the importance of time. In their first year, the number of

its user community, to identify the users needs and

users was low, but after one and half years, the income

what kind of resource hub can use. Then, the hub

from users was enough to pay their rent. Therefore,

needs to use research result to decide its position

using the hubs strengths to provide direct services to

and how to operate a making service. In addition,

support daily expenditure, and then considering how to

the hub gather target people before opening the

take advantage of the current infrastructure to maximize

lab, since, it is necessary to make sure it will have a

profits would be a way to ensure reach break-even point.

stable community to come to this service.

Therefore, both physical and intangible assets can bring

Figure 7.4.1. The value propositions and the relevant criteria Network

(1) Benefits

services, based on the existing reputation, networks,

different values to the hubs as long as the hubs can

CHAPTER 7 : DISCUSSION OF
FINALISED PROPOSAL OR SOLUTION
Building on the previous sections, we have suggested
five different services modules for hubs to use: Space,
Events, Research, Network and Making. However, it
is clear that each hub should clarify whether they can
afford the costs coming from these multi-functional
services or combine two or three modules to develop a
differential modular business plan.
Although each module can create tangible and
intangible benefits, it would be better if they can
consider how to make their short-term and longterm strategies in order to ensure self-sustaining. For
example, Snijlab and Waag Society have already found
their unique selling propositions to sustain themselves
such as the ability to explore new business potentials,
providing the laser cutting outsourcing service, getting
profits from co-developing products and selling the labs
products or machines. Those can cover their fixed cost

clearly understand customers needs. Then, providing

subsequent solutions such as the creation of ideas
through social collaboration, interactive workshops,
expanding networks and experiments in the labs can
directly or indirectly provide various benefits to all
stakeholders. However, because each hub might have
a different background such as culture, legislation,
environment, society or language, these design
innovation hubs would benefit from these differences
and then create their own unique modular business
models.
Based on these five modules, three topics developed
from this research will be discussed further in the
researchers individual parts, including what kind of
strategy can help hubs increase revenue, how to plan
a network to enhance collaboration among users and
how to use branding and communication strategy to
attract more people. These three different aspects of
research will explain more about how to plan and make
appropriate decisions for design innovation hubs.

37

7.1. HOW TO DESIGN REVENUE STREAMS OF THE

7.1.2. USING DESIGN INNOVATION HUBS REVENUE

DESIGN INNOVATION HUB

STREAMS AS A CASE TO STUDY

(BY ZHANG JUNRU)

When these categories are combined with the different

value propositions, patterns of current design innovation

7.1.1 HOW TO CHOOSE A REVENUE STREAM

hubs revenue streams appear. The results show that

There are ten forms of revenue stream which are listed

each value proposition can generate a profit through

below (Fig. 8.1.4.3.1):

different types and uses in many different ways

(Figs. 8.1.4.5.18.1.4.5.5).

(01) Booking fee

(e.g. Seats2meet)
The hubs charge money for
space bookings.

(02) Access fee

(e.g. The Storey, 2013)

People have to pay to participate
in an event or a network

(03) Membership (e.g. Buda Lab)

fee
Use membership fees.
(04) Product/
material fee

(e.g. Snij Lab)

Selling design products or
relevant material in the hubs

(05) Tenant
venue hire
fees

(e.g. Strijp-S)
Charge money for venue hire.

(06) Brand
license fees

(e.g. The International Design

Center, Berlin)
Sell brand licenses to allow
target people to use the brand
logo in their own marketing
activities

(07) Advertising
fees

(e.g. thelighthouse)
Provide a platform, such as an
online website or presentation
event for clients to advertise
their products or services and
charge for them.

(08) Project fee

(e.g. Jewellery industry)

Charge to provide services for the
whole project.

(09) Intellectual
property

(e.g. the Waag society)

Intellectual property as a
resource to charge clients money

(10) Brokerage
fees

(e.g. Little Mountain)

Some hubs gain money throug
renting space from a landlord
and subletting it as an office and
network platform to target people

Figure 8.1.4.5.3. Profit from research

Figure 8.1.4.5.2. Profit from events

Figure 8.1.4.5.1. Profit from space

Figure 8.1.4.3.1. T
 en forms of revenue streams that hubs currently use

Figure 8.1.4.5.4. Profit from network

38

Figure 8.1.4.5.5. Profit from making

39

7.1.3. THE COSTS OF DESIGN INNOVATION HUBS

7.1.3.1. THE COSTS OF EACH HUB'S VALUE

outright, they still have overheads. Even if they are not

Based on our interviewees, the categories of cost in

PROPOSITION

renting it is likely there is a mortgage. Marketing and

design innovation hubs are similar to each other, except

The results show how costs are related to the value

communication fees will vary depending on the different

that the research value proposition will cost a lot of

proposition.

themes of events (Fig. 8.1.4.7.2).

money for research activities (the Waag society said

80% of costs are experts salaries) and intellectual

(1) The cost of space

property protection

For hubs renting their own space to customers, space

and facilities maintenance fees have to be paid to

(01) Venue hire

(02) Space/facilities
maintenance

(03) Experts/staff
salaries

(04) Marketing and

communication
fees

(05) Intellectual
property
protection

Unless the hub owns the

space, this is a large part of
the whole cost
Even if hubs have their
own space, this also costs
a lot of money spent on,
e.g.., electricity, machines,
furniture, etc.
Each value proposition needs
experts ideas and staff to work
to keep the whole hub running
on the right track.

ensure the quality of the hubs; salaries are paid to

experts and staff' to manage the hubs daily operations;
and marketing and communication fees are costs that
hubs have to cover in order to reach more target people.
On the other hand, for the venue to provide a hired
helping service, hubs have to pay money to the landlord
as well as to experts and staff, also marketing and

Figure 8.1.4.7.2. The cost of events

communication fees (Fig. 8.1.4.7.1).

(3) Cost of the research
Research costs can be divided into two parts doing

Each value proposition needs

to spread out and to let target
people know about it. It
must also maintain customer
relationships. Fees involve
costs such as advertising, PR
or inviting celebrities, etc.

research and selling research results; collaborating in

(4) Cost of the network

research.

Regarding hubs that offer a network value proposition,

To do research and sell research results, the hubs first

some hubs just provide a platform for making

need to do the research and get the results, and then

connections; others focus on activities that make

protect the relevant intellectual property; selling the

connections. The costs generally look similar, but the

results is the third step of this process. Thus, the costs

biggest differences are in the space and relevance

mainly arise for space/ facilities maintenance (e.g. the

aspects. Running connection-making activities needs

Waag society has professional equipment for scientific

more intimate communication with customers and

research), relevant experts and staff salaries, intellectual

an understanding of what kinds of alliances and

property protection and marketing and communication

relationships they seek. Thus, a place for face-to-face

fees. Venue hire fees are based on whether hubs have to

consultations will be necessary. This also results in

(2) The cost of the event

rent space or use their own space.

a different working environment for experts and staff

In the event value proposition part, although there are

Collaboration in research is a service that needs much

here the experts staff mainly provide answers to

three different aspects to it, the costs related to venue

more intimate co-operation with target people and

questions of how and with whom to collaborate, and

hire fees, space and facilities maintenance, expert and

stakeholders. The hubs not only need to pay money to

a consulting and strategic decision-making service.

staff salaries as well as marketing and communication

gather target people together to take part in a project,

Marketing and communication fees will be spent on

fees. Here, the venue hire fees relate to whether the

but also need relevant stakeholders to support them.

advertising and to provide catering to promote better

hubs own its own space or not. If they do have their

In addition, space, as a place to do these activities, is

communication.

own space, there are maintenance costs, such as 'fixing

another essential element, which needs money to pay for

On the other hand, providing a platform needs experts

the roof', and service costs, for example 'electricity

it (Fig. 8.1.4.7.3).

to design a friendly place (real or virtual) and staff may

Hubs (for the research value

proposition) may need to pay
money for intellectual property
protection

Figure 8.1.4.6.1. Costs of design innovation hubs

Figure 8.1.4.7.1. The cost of space

bills' need to be paid. If they own their own building

40

Figure 8.1.4.7.3. The cost of research

need to maintain an open atmosphere so that customers

41

can find what they want in terms of collaboration

advice on how to innovate, not just for their facilities-

by themselves. That means that cost mainly arise

using skills (Fig. 8.1.4.7.5). In an interview, Peter

for platform design and relevant maintenance fees.

Troxler, 2013 shared an interesting view on trading in

Experts and staff are paid to market and maintain

that experts can use the machine free by providing the

the platform. Their salaries may be different to those

same time to supervising others using the equipment.

people who provide consulting services. Marketing

This could be another way to reduce the cost of making

and communication fees will be spent to advertise the

a value proposition, though this depends on the

platform (Fig. 8.1.4.7.4).

willingness of experts.

The type of Transaction revenues: to gain profit in the

short term via Asset sales, such as selling products or
material fees.
The type of Recurring revenues: to make profit which
includes more service demand via Usage fees, such as
booking fees and access fees to use the hubs facilities,
or Subscription fees (mainly membership fees) to
cover all the fees and make a long-term profit.
The problem that the manager needs to consider is how
to organize these profit sources in order to cover the cost
within the allowed time, such as in three years before
the funding runs out or if the start-up capital can only
maintain the hubs running for one year, etc.
For example, if a hub is eager to make a net profit in a
short time, big companies, SMEs and the general public
may not be wise choices, since big companies and SMEs
do not need the hubs machines, such as a plotter, laser
cutting or 3-D printer. They have better machines than
us (BUDA::lab, 2013). With the general public, on the
other hand, the hub has to spend more time and labour

costs to coach them in how to use the machines (Snijlab

2013). Students, independent professionals and
business start-ups might be better as target people. The
research results show that they are willing to pay to book
facilities or to pay a product-making service fee and for
the relevant materials (e.g. Snijlab, 2013; BUDA::lab,
2013). If a hub builds a good reputation by offering a
making service over a long period, customers may be
willing to pay more money to become a member, and
thus enjoy long-term service (fig. 8.1.4.10.1-2).
In addition, the manager can make a profit by not
just focusing on making but through multiple value
propositions, after considering the cost of each of them.
Since a hub also has a space that could become another
value proposition to be used, such as charging a specific
venue hire fee, as well as forming a people network,
which could be generated from the value proposition
of making and hooking more target people to use
the hub. Thus the revenue streams model could be
modular with streams compensating for each other (fig.
8.1.4.10.3)

Figure 8.1.4.7.4. The cost of Network

Figure 8.1.4.7.5. The cost of making

(5) The cost of making

Making, as a value proposition needs to be divided

7.1.3.4. SCENARIO OF HOW TO CHOOSE A REVENUE

into two parts, one is providing facilities; the other is

STREAM

providing experts to help with innovation. No matter

Based on desk research and interview assessments, how

which a hub chooses, physical space is essential,

to choose a revenue stream can be identified. Therefore,

because facilities need to be put somewhere, and also

the next chapter will use a scenario to show how the

require appropriate maintenance. Both of these offerings

process works. Take making (provide the facilities) for

need to do daily marketing to attract users and maintain

example:

the number of customers. The Experts and staff, from

If a hub wants to provide making as a value proposition:

the perspective of hubs as facilities providers, are

firstly, the manager may specify what kinds of value

mainly paid for their knowledge of how to use the 3D

proposition, providing facilities or helping skills that

printing or laser-cutting machine. However, from a

fit the hub, then choose target people from the general

helping innovation perspective, experts and staff will

public to develop the company. If a hub decides to focus

be paid because they can make creative ideas or give

on offering facilities, the profit will be located in:

42

Figure 8.1.4.10.1. Scenario of a hub choosing revenue streams (01)

Figure 8.1.4.10.2. Scenario of a hub choosing revenue streams (02)

43

do it (Seats2meet, 2013 and Strijp-S, 2013).

7.1.5. CONCLUSION

Third, the idea or concept of a design innovation hub

This dissertation offers an overview of the theories of

is quite fresh and developing, its future could be more

revenue streams in order to find a feasible planning

diverse than it is today (Peter Troxler, 2013). Hence,

approach based on hubs business strategies (hubs value

variable and specific revenue streams could lead to

propositions). It can help to choose appropriate revenue

variety too. Take Fab Lab as an example, the value

stream models for design innovation hubs. Through

proposition and revenue stream are always based on

analysis via desk research and interviews with current

the specific region that the hub is in. An engineer

hubs, a pattern of revenue streams, profit, costs and

prototyping service may help the Manchester Fab Lab

timing is laid out. If profit can cover the cost within the

to become self-sustaining but it would probably fail in

time allowed, this revenue stream could be used. Based

Germany, since they prefer to use in-house machines

on these results, a scenario is built to describe how to

(Troxler, 2013). In addition, some big companies are

use the results of the research and to provoke critical

begun to realize the threat from Fab Labs. For example,

thinking about the outcome.

Nokia (2013) is providing specs for the 3-D printing

of a Lumia phone-shell so that users can design their

7.2. BRAND AND MARKETING COMMUNICATION

own shell, and thus face up to the challenge of hubs

STRATEGY FOR DESIGN INNOVATION HUBS (BY LIU

by making products more customizable (Nokia, 2013;

LI-LIN)

Troxler, 2013). Furthermore, the increasingly number

Figure 8.1.4.10.3. Four steps in the process to choose making revenue stream

However, this is only theoretically feasible; in practice,

revenue stream models that could be tried. This is a

things do not seem as easy as they look. For instance,

complicated matrix. Even if a revenue stream has been

most of the hubs offer a making value proposition based

proven as a successful model and has good feedback, a

on their local market. There is some upper limit to the

slight difference may cause the whole revenue stream to

number of target people and the power of consumption.

turn onto the wrong track. For instance, as Peter Troxler

Thus, there might be an upper limit to the profit.

(2013) said, there was a hub that wanted to focus on

Moreover, there may be more than one hub in one place.

providing making facilities. They copied everything that

The competition forces managers to provide different

a making Fab Lab has, except the network element; they

offerings in order to attract regional people. This is

neglected to build a community before the hub opened.

another condition that managers must consider, whether

One year later, the hub had to close.

their revenue stream model can be chosen or not.

Secondly, the workflow in this thesis follows a logical

way to design a feasible hub via these steps: (1) choose

7.1.4. CRITICAL THINKING ABOUT THE WORKFLOW

the value proposition; (2) consider the target people;

AND TOOLKIT

(3) list the possible profit and costs; (4) make sure the

Firstly, there are five different value propositions, all of

profits can be larger than the costs within the allowed

which could be applied to two types of revenue stream,

time. However, how to calculate the exact profit and cost

which also offer least three kinds of making a profit and

is also a complicated question. Not everything can be

cost generation. Thus, there are many possibilities for

considered closely; sometimes it is a question of just

of design innovation hubs now established will lead

7.2.1. MARKET COMMUNICATION STRATEGY FOR

to competition as well as changing how hubs develop.

DESIGN INNOVATION HUBS WITH DIFFERENT

Therefore, a workflow and a toolkit for profit and costs

BUSINESS MODELS

are ways of considering how revenue stream generation

In order to build a strong brand, a well-designed

will work, but it is not an unchanging formula, especially

marketing communication strategy is very important

if the toolkit is opened up for innovation.

for a design innovation hub; however, every design

A final point is that managers should realize that

innovation hub provides different services, so the

revenue streams need experts and staff to apply them.

strategy they need, will be different too. This section

Many approaches of the revenue streams discussed

will discuss marketing communication strategies for the

above need people in the hubs to lobby stakeholders

different business models, which this research identified

and target people (e.g. events need staff to find the right

before, including space, events, research, network and

guests, good places and to convince target people to get

making.

involves). Thus, a qualified human resources manager is

essential to a hub 's development.

SPACE

EVENT

RESEARCH

NETWORK

MAKE

Figure 8.2.7.1. Five business models for design innovation hub

44

45

7.2.1.1. SPACE MODEL

7.2.1.2. EVENT MODEL

latest magazines some people may come for those

When a space offering is known by its target people,

attractions, then they will see the advantages of the

the second stage is promoting by word of mouth, i.e.

space by themselves. Seats2meet offers free lunches

encouraging current customers to transmit information

and beverages in its hub, many independent workers go

to potential customers. In order to let people

there for free food and working space; when they need a

communicate the features of the space more efficiently,

place to meet a client, they will choose to use the paid

the hub can provide some printed material for them.

The design innovation hub uses a space model to create

meeting room at seats2meet because they already know

Seats2meet offers postcards with space information

A design innovation hub uses an event model to create

value by renting space to target people to do design

the advantages of the space.

on them and ask its users to give a postcard to their

value by hosting design innovation related events for

friends, thus promoting the hub

different people, or helping customers to organize

innovation related activities.

events.
Target people
The target customers of the space model are designers

Target people

and companies; for designers, the hub can provide

For the event model, the target customers are the

space for them to work, to show their work and to meet

general public, designers and companies. The general

clients; for companies, especially start-ups and SMEs,

they also need space to launch new products, to use as

public may come to events for fun or to learn basic

Figure 8.2.7.1.1. Seats2meet provides free working space and free meals to
attract people come to its space

design skills; for designers, they may attend events to

an office and to meet clients.

show their creativity, interact with other people, or learn

The hub can also organize events in its space or be

advanced design skills from experts; for companies, they

Main goal of marketing communication

a sponsor and provide space for events; by hosting

can attend events hosted by a hub or ask a hub to help

For a design innovation hub which uses a space model,

events in the hub, people will come to the space and

them organize special events to train their employees or

the main goal of marketing communication is to let

better understand its characteristics. The content of

more people know it has space to offer, the features of

events should be carefully chosen, they have to be

the space, how the space can help people achieve their

consistent with the hubs value and show the spaces

goals, what kinds of facilities the space has, what kinds

features. Capital D hosts co-design cafs in its space,

Web promotion is also important for a hub to promote

For a design innovation hub which offers an events

of activities are suitable for hosting in the space, past

thus they successfully let local designers know it has a

space; besides a traditional website, a hub can use new

service, the main point of a marketing communication

successful cases, and extra benefits they can have by

multifunction venue that can be used by designers and

technology to develop a 3D virtual reality presentation of

plan is inform potential customers that it hosts events,

using the space (e.g. the chance to meet famous people

companies to innovate by design together.

the space, so people who are interested but are unable

about the special features of different events, how

to go to the space can still appreciate the environment

these events are different from those of other hubs,

and see the advantages of the space via the Internet.

what people can gain by attending an event, previous

or to work with a big company).

Figure 8.2.7.1.3. Seats2meet use postcard to let people know more detail
information about its space.

launch a new product.

Main goal of marketing communication

Marketing communication method

successful events, and detailed information about events

The marketing communication plan for a space model

(e.g. time, criteria, attendance fee, schedule.) It also

can be divided into two stages; in the first stage, the

important to let people, especially companies, know

goal is to raise peoples awareness, to let more people

that the hub can help them organize special events or

know about the space offering and its features, so really

training programmes according to their needs.

it needs to attract people to come to the space and

experience it. To attract people, the hub can provide
some attractive stuff in the hub to make people want

Figure 8.2.7.1.2. Capital D organizes Co-Design caf for designers in its space,
then the designers will know Capital D has a multifunction space for them to
use. (Source: Capital D website)

Marketing communication method

To achieve the above goals, there are some marketing

to come to the space, such as free meals or the free

communication methods that can be used by the hub.

At the beginning, the aim is to publicise events, so the

46

47

7.2.1.3. RESEARCH MODEL

hub can use social media to convey information about

events will affect their decisions to attend future events.

good ways to promote a brand and make connections

events, such as Facebook or Twitter, the advantage

This strategy can be used with a word-of-mouth strategy.

between the knowledge provider and its target audience.

of using social media being that it is convenient and

Word-of-mouth is one of the most effective ways to

To advertise research findings, a hub can publish its

cheap. When using social media, the hub not only

promote events (Hede and Kellett, 2011), because

research results as a book or in a journal; publishing a

releases information, it has to focus on how to transmit

people in the same community have the same demands

book can generate media exposure, this strategy is used

information to the right community, such as a group

of an event. MAD Brussels organizes various training

by many consulting companies to promote their brand

of designers or companies, which are interested in

programmes for designers at no charge; designers who

The design innovation hub uses a research model to

(Eppler& Will, 2001); on the other hand, publishing

design innovation. According to Hede and Kelletts

are satisfied with a programme will attend again and

create value by doing research with various partners or

an academic paper in a journal can help a hub to build

research (2011), they found that people like to receive

recommend MAD Brussels to their friends.

selling research results (e.g. data, IP).

a strong reputation in its professional research area,

information about a special event via the infrastructure

Moreover, the hub can use personal selling techniques

they interact with at present rather than a new one; and

to target specific customers who meet their requirements

Target people

academic institutes.

our research found that almost all design innovation

for events, such as a training programme for company

The target customers of the research model are

Being a sponsor for events is a good way for a design

hubs had used Facebook fan pages to communicate

or a personal exhibition for a designer. Personal selling

companies and academic institutes, a hub with a

innovation hub to raise awareness of its research service,

event information to their customers (e.g. Waag Society,

can customize the message to the customer, identify

research service can sell data or IP to companies,

and by supporting some research related events, such

MAD Brussels, Designregio Kortrijk and BUDA::lab

customers prospects and tailor a solution to their

or develop new products or technologies with them;

as conferences or academic speeches, a hub can have

Kortrijk).

needs (Keller, 2008). By satisfying their needs, the

academic institutes can also buy data or do research

more opportunities to make contact with its target

hub can build a good reputation and establish a long-

projects with a design innovation hub.

customers (Keller, 2008), because only those who are

this strategy is used more by research organizations or

Besides using social media, a hub can host some events

term relationship with those people or companies. MAD

interested in the specific area will attend academic

for free; by participating in these free events, people

Brussels assists designers to host their own exhibition

Main goal of marketing communication

events.

will learn more about the content of different events and

or exhibit their work at international design events;

The main aim of a marketing communication plan for a

Another way for a hub to build its research reputation

understand what kind of benefits they can get, and also

such exhibitions not only help designers to become

research model is to let target customers know about the

and demonstrate its capacity is by working with famous

talk to others about an event. Gitelson and Kerstetters

independent, but also let MAD Brussels be known about

hub has a research department, as well as to let them

organizations or big companies; then, the hub can not

study (2000) shows that peoples experience of previous

by more people.

know about the different kinds of research the hub can

only learn from experience but also get endorsements

do, the different types of data the hub can provide, the

from them and be noticed within a short period of time.

partners that the hub collaborates with at present, how

The Waag Society does research with different partners

the hub can help them to achieve their goal by research,

from various industries, to develop new technologies

the quality of the research from previous good cases, the

or products via collaboration; it not only gets profits

special resources a hub has (e.g. experts, experimental

form selling the products but also build its research

equipment, experience) and other research related

reputation.

services that the hub offers (e.g. help them to apply IP).
Marketing communication method
For a design innovation hub, which wants to promote a
research service, it not only needs to let people know
Figure 8.2.7.2.1. Waag society communicates its event information by using
Facebook fan page. (Source: Waag society in Facebook)

about the research service, but more important is to

convince people to trust the quality of its research.
Eppler and Will (2001) point out that for a knowledgebased product, advertising findings, collaborating with
other reputable organizations and sponsoring events are

48

49

7.2.1.4. NETWORK MODEL

7.2.1.5. MAKING MODEL

network and endorse it; Pringle (2004) indicates that

Little Mountain also wants to form a network and

using celebrities can be very powerful when launching

believes in the power of working together; so it rents

a new brand, especially when the product category is

a big space for young designers to work together on

new, because celebrity offers customers reassurance. By

various projects there. Designers can only work in Little

involve experts in the network, it not only guarantees the

Mountains space for three year; but, by collaborating

quality of the network and raises the networks name,

with others during these three years, even when

A design innovation hub uses a network model to create

but also attracts people who want to connect with those

designers move out, they still have the connections

A design innovation hub uses a 'making' model to create

value by establishing a network for designers and

experts who thus will join the network, too.

with those still at Little Mountain and so a network of

value by providing making facilities (e.g. 3D printer,

companies for then to have the chance to interact and

Another way to let people know about a network is to

mature and younger designers is formed and will keep

laser cutting machine), or helping customers to make a

exchange knowledge.

participate in trade shows or international exhibitions. A

developing.

prototype.

network is an intangible thing and very hard to promote

Target people

via traditional media, but trade shows and exhibitions

Target people

There are two main types of potential customer for a

offer a personal interactive opportunity for the hub to

For a hub with a making model, its target customers are

network model: designers and companies. The network

show the content of the network and how it can help

the general public, designers and SMEs. The general

helps designers to make connections with other

customers achieve its goals (Elliott, Percy & Pervan,

public can come to the hub to experience making

designers to form a designers' community, and also gives

2011).

machines and make things by themselves; designers

them the chance to get in touch with other companies.

Although a network is an intangible thing, a hub can

can use the hubs making facilities to produce products

The companies use the network to reach the designers

still use tangible facilities or events to attract people to

on a small scale; SMEs may need the hub's facilities

they need and work together in innovation.

join the network; through facilities and events, people

in the network can interact with others face by face

Figure 8.2.7.4.2. Little Mountain

establishes network of designers
by offer them the working space to
work together.

and professional skills to help them make and test a

prototype.

Main goal of marketing communication

and build strong connections. Seats2meet wants to

For a design innovation hub which wants to promote

form a network of people with different knowledge, it

Main goal of marketing communication

a network service, marketing communication can

started by providing a comfortable working space where

When designing a marketing communication plan for a

help the hub to tell its target customers that the hub

everyone can work for free, they only have to register

design innovation hub with a making model, the most

has established a network, about the functions of the

their profession on a virtual board; if one person working

important thing is to tell people that the hub offers a

network, how the network works, how it can help target

there has a problem and wants to seek help from others,

making service and how this can help them achieve

customers to perform better, who can target customers

he/she just needs to check which professionals can help

their goal. It is also important to let the hubs target

build relationships within in the network, what kinds

him/her on the board, and go to ask them for help; over

customers know what kinds of facilities the hub offers,

of information the network provides, what special

time, a network of knowledge exchange will form and

how it charges for using the making facilities, how the

knowledge is only shared in the network and other

grow up naturally via people who work at Seats2meet.

making service at the hub is different from those of

benefits that people can have by joining the network

others, and information about making-related activities

(e.g. joining the network as a status symbol).

that the hub provides (e.g. information about workshops

or machine-use training programmes).

Marketing communication method

To promote a network, a design innovation hub can

Marketing communication method

use various marketing communication methods to help

A making service is a new concept for most people,

the network become known and attractive to a target

especially the general public, some of them may never

audience.
Firstly, the hub can invite celebrity experts to joint the

50

have heard about it before; thus, in the beginning,

Figure 8.2.7.4.1. Seats2meet establishes network of people form different

backgrounds by provides intangible space and virtual platform. (Source:
Seats2meet website)

the objective of marketing communication is to raise

51

Figure 8.2.7.5.1. Snijlab promotes itself by putting the photos of their work in
famous design websites and blogs. (Source: Hypebeast, 2011; Synthetos, 2011;
Remodelista, 2012)

Figure 8.2.7.5.2. Manchester Fab Lab provides the platform for its users can
share their work and experience to others. (Source: Manchester Fab Lab)

Figure 8.2.7.5.3. Buda Lab organizes events to attract target people to become
user of Budalab.

peoples awareness about the making service. To do this,

7.2.2. CONCLUSION

communication plan, it is necessary first to think about

the design innovation hub can use existing social media,

This section has discussed brand strategies for design

who is the target audience, what kinds of messages

with which people interact frequently, to communicate

innovation hubs and marketing communication

they want to hear, and how they expect to receive those

with its target customers about what a making service

methods for the different business models, which this

messages; then, based on such information and the

is, such as posting photos of the stuff which is made in

research designed before. Brands are very important

resource hub has, the hub can develop an appropriate

the hub on popular design blogs or design forums. This

to organizations to show their differences and make

marketing communication plan.

strategy is usually used by a newly established design

delivery promises to customers; and marketing

To communicate with and attract customers

innovation hub. For example, when Snijlab was starting

communication helps organizations to inform, persuade

successfully, the hub must ensure it has an integral

up, it did not spend any money on advertising, it just

and remind customers of its offerings, and thus achieves

brand and marketing communication plan and that it

put photos of the products made by its facilities on

its goal to promote brands.

transmits a consistent message to customers.

some design websites and then waited for information to

Brands and marketing communication are very

be spread via the Internet; after a few months, Snijlab

important for design innovation hubs, because design

7.3. CREATING A NETWORK DEVELOPMENT PLAN

was known about by many people in the region.

innovation hubs only offer a service rather than tangible

FOR DESIGN INNOVATION HUBS

products. Service products are intangible and create

(BY CHEN PEI-JU)

Another useful method for promoting a making service is

value only at the moment of purchase and/or experience;

by word-of-mouth; in interviews, the managers in design

these features make it very hard for customers to

PROUD is a project funded by the EU as part of

innovation hubs with a making service all mentioned

make a choice, especially as the design innovation

the INTERREG IVB NWE programme, which uses

that many of their users came to their hub via others'

hub is a relatively new concept for most people, so it

design as a driver to seek innovation and economic

recommendations. Such word of mouth not only means

needs a brand strategy and a well-designed marketing

development in a sustainable way. Therefore, PROUD

people-to-people oral communication, written and

communication plan to communicate its values and

partners established design innovation hubs to use new

electronic communications are also included (Keller,

promote itself to potential customers.

methodologies focusing on co-creation to collaborate

2009). In order to motivate people who would like to

This discussion proposes three brand strategies that

with people from different backgrounds in order to

talk about their experience, a design innovation hub can

can be used by a design innovation hub, including a

collect new ideas for improving current products,

provide a showcase for current users to share their work

corporate brand strategy, an individual brand strategy

services and spaces.

and good experiences and thus attract more people.

and an endorsement brand strategy. By using a

This collaborative model can be seen in a large amount

Manchester Fab Lab provides a platform for people to

corporate brand strategy, a design innovation hub only

of literature, but it usually focuses on the increase of

share their designs on its website, everyone can upload

develops one brand for all the services it provides, so

network economy in an inter-organizational network,

their work made at Fab Lab and their opinions about it

the hub can be promoted with limited resources; by

or on maximizing the efficiency of a companys supply

to the website, and also see others' ideas. Through the

using an individual brand strategy, a design innovation

chains (Man, 2004; Roseira, Brito and Henneberg,

experience sharing of current users, it can help the hub

hub can develop different brands for different offerings,

2010; Holmen, Aune and Pedersen, 2013). However,

to communicate its values to potential customers and

thus attracting a wide range of customers; by using an

many scholars have discussed a trend towards a

promote its name.

endorsement brand strategy, a design innovation hub

collaborative network that places emphasis on its

can work with different organizations, and thus become

different contributions to the development of innovation

The hub can also plan programmes for its target

known in a short time or extend itself into new markets.

(Arana and Castellano, 2010; Eschenbcher, Seifert,

customers so that they can experience its making

This discussion also includes some marketing

and Thoben, 2009). This is because collaborating

facilities and have a deep understanding about how the

communication methods that can be used by a design

with different organizations or the public is helpful

hub can help them achieve their goals via the making

innovation hub for different business models, and some

as it enhances an organizations capacity to develop

service. According to our research, almost all the design

examples to show how an existing design innovation hub

innovative ideas (Dahlander and Gann, 2010).

innovation hubs offering a making service are using

can use those strategies. When designing a marketing

Therefore, it is worthwhile for design innovation hubs to

workshops to promote it.

52

53

understand how to develop their networks, in order to

in terms of their network development, benefits and

acquire relevant resources and ideas for innovation.

challenges.

In addition, there are many advantages to being a part of

network such as sharing knowledge, the increase in the

7.3.1.1. A SPACE HUB

use of facilities, cost and time reduction, and increasing

Strijp-S is an example of a hub that provides space for

the organizations flexibility in a dynamic environment

professional workers from different backgrounds to work

(Camarinha-Matos and Afsarmanesh, 2004; Huxham

together. It is totally different from traditional working

and Vangen, 2005). Thus, if a hub can access different

styles, and crosses boundaries between people that

benefits from different networks, it is useful to increase

work for different companies. As a manager in Strijp-S

the effectiveness of its modular business plan. But it

pointed out two key values of the hub:, he said that

might be a challenge for design innovation hub, as can

[it]provide[s] an open area for other people to join

be seen in the previous chapter, because each hub has

[and] can accelerate new ideas. This useful opinion

a different business model and it is not easy to gather

explains that providing a flexible working area for people

people together in order to develop a collaborative

is an effective means of getting new ideas.

network.

The other value the manager emphasized regarded their

So the aim of this research is to help design innovation

strategic design team. He explained that although most

hubs use different networks advantages in order to

of the time people work for their own clients, when a

enhance their modular business plan through a network

project requires a multi-discipline team, they could team

development plan. There are four objectives including

up strategically, and this would be more competitive

(1) identifying the different benefits of a collaborative

than a design studio or design agency. Also, the cost

network and its challenges (2) clarifying different

of rent in this shared environment is very competitive.

methods to develop a network (3) uncovering different

However, one of Strijp-Ss main challenges is to gather

network developments of five models (4) creating a

a wide range of professional workers, so it is necessary

network plan to enhance the modular business plan.

to consider how networks can make it easier to build up

This chapter will focus on three elements, first, five

this strategic team.

Figure 8.3.2.1.1. The network impacts at Strijp-S (source: Appendix B-11)

different design innovation hubs network developments

will be discussed. The next section will create a network

7.3.1.2. EVENT HUBS

development plan for design innovation hub, to describe

Capital D and MAD Brussels are two examples of hubs

how network development can help modular business

that use design as a driver for developing their networks.

plans work better, in order to help hubs self-sustain.

A project manager in Capital D said that co-design is an

Then, the last two sections detail the relevant limitations

approach they used to get new ideas and to find possible

and conclusion.

solutions from the public. Because of this cooperation

between hubs, designers, the public and industries,

7.3.1. FIVE DIFFERENT NETWORK DEVELOPMENTS

it forms an interdependent relationship and gradually

Face-to-face interviews and the relevant data from

creates a design culture.

websites show that each hub chooses a different way

Although MAD Brussels say that launching events

to develop its network according its current situation.

is the best way to promote designers, raising events

In this section, five different hubs including Space,

or activities requires a great deal of time to prepare.

Event, Research, Network and Making will be discussed

Furthermore, Capital D points out that inviting people to

54

Figure 8.3.2.2.1. The network impacts in Capital D and MAD Brussels (source: Appendix B-9 and B-3)

55

join co-design is not easy because you have to find an

between people: as a manager of Seats2meet said,

appropriate person to lead the activity. Therefore, it is

knowledge is also another money. Knowledge in this

important to consider how networks can help these two

hub can be a shared commodity that can be accessed

hubs to find the appropriate people to promote design

by people within networks. Besides, an easy-to-use

culture through events.

infrastructure can be seen as a critical factor in

making people feel more comfortable interacting and

Figure 8.3.2.3.1. The network impacts in WAAG Society (source: Appendix B-5)

7.3.1.3. RESEARCH HUBS

building trust with each other. Over time, a diverse

Firstly, Waag Society developed an internal network

range of people would gather here and share an

consisting of six categories of research labs to launch

abundance of knowledge to build better connections

the relevant research projects. In order to foster social

with others.

innovation, it crosses research boundaries to provide a

This type of hub requires a long period of time to

space for professionals, students, companies and the

develop a variety of characteristics of communities,

public to express their ideas. In interview, a manager in

but choosing an appropriate way to help people find

Waag Society said that, providing this open environment

the community they want is the most important

is an approach to encourage connections with different

thing. Therefore, inviting more people from different

people and also maximize ways of using these

backgrounds of knowledge would help to make this

infrastructures to produce different benefits.

hub competitive.

This research-based hub takes advantage of combining

social values in order to provide better products or

7.3.1.5. MAKING HUBS

services to the market. Therefore, a manager in Waag

Stadslab Rotterdam and Snijlab are both use the

Society pointed out the relationship with customers, she

Fab Lab concept to promote ideas exchange. Troxler

said, in this network, they encourage people to share

provides an insight into the positioning of Fab lab,

their resources in order to create more profit, which

which focuses on sharing knowledge and providing

develops an interdependent relationship and builds trust

useful facilities for learning through creation. Snijlab

accordingly.

chooses to provide a professional laser cutting

service for clients to accelerate idea exchanges.

However, one of the difficulties cited by a manager in

These machines can be used as a bridge to build

Waag Society regards getting funding from sponsors,

up connections, stimulate people to exchange ideas

because it might be risky if doing research from this

and develop problem-solving abilities. But, there is

creative perspective cannot produce predicable results.

a challenge in this Making hub. As Troxler explains,

Therefore, through the assistance of network members,

the most difficult and important [thing] is to build

it might be possible to financially support this research-

the community of users. Thus, taking advantage of

based team so as to lower the risks of creative ideas.

networks to maintain a long-term relationship is a

possible way of enhancing this type of innovation.

7.3.1.4. NETWORK HUBS

Seats2meet provides a good model for building up a

As can be seen, it is clear that each type of hub

collaborative network. The aim of this hub is to provide

has a different focus in order to integrate different

an open space that can accelerate knowledge exchange

stakeholders and develop their networks. All of them

Figure 8.3.2.4.1. The network impacts at Seats2meet (source: Appendix B-8)

56

57

try to provide open, flexible environments to create

7.3.2. CREATING A NETWORK DEVELOPMENT PLAN

networks in order to maximize their impacts on people.

FOR A MODULAR BUSINESS PLAN

Graph
Theory

STEP 1:
To identify a network structure and the possible route of network development

All of them rely on partners with whom to exchange

knowledge and enhance problem-solving abilities. Also,

7.3.2.1. THE SIX STEP NETWORK DEVELOPMENT

they have similar challenges such as time constraints,

PLAN

getting funding and the difficulties of developing

According to network theories, developing a network can

networks. Although not all of them are working in the

be viewed from different perspectives, and there is no

field of design, their working and living environment

specific approach or model that can be used to explain

might have possibilities to relate to design, or they may

networks dynamic development. Therefore, I will take

use their creative ideas or knowledge to improve existing

ideas from three theories - Graph Theory, the Strength

services or products.

of Weak Ties and Collaborative Network Relationship

Because of these common behaviours, experience and

Analysis (CNRA) - to explain how this network plan

problems, it is possible to find a common reason to

works. There are six steps that can be used to describe

create networks between people in order to achieve a

how a network development plan can help the modular

common goal. Therefore, the next section will discuss

business plan have a better collaboration and thereby

ways in which a network development plan can be used

ensure a hubs sustainability (see Figure 8.3.3.1.1):

The
strength
of weak
ties

STEP 2:
To expand the scale of a network

STEP 3:
To identify networks common aim

Collaborative
Network
Relationship
Analysis
(CNRA)

STEP4:
To analyse how mutual benefits can provide the incentive for tacking challenges
STEP 5:
To analyze the contribution from different networks
STEP 6:
To evaluate whether the network development has improved

to help the modular business plan to integrate the five

models strengths and achieve sustainability.

Figure 8.3.3.1.1. The six step network development plan

7.3.2.2. THE APPLICATION OF THE NETWORK

relationships. Besides, according to insights from

DEVELOPMENT PLAN

research, although not all people in the hub are working

Then, the next part will discuss how to apply these six

in the design industry, they still have some connection

steps into the modular business plan in order to help

to each other (Figure 8.3.3.2.2).

design innovation hub enhance its self-sustaining ability.

Also, over time when the scale of network is expanded,
Step 1: To identify the network structure and route of

it is possible to build up new relationship (Figure

network development

8.3.3.2.3). Furthermore, as I will show in the last

In the first step, because each hub has different

section, it is possible to take advantage of the impact

resources, so there are many routes that hubs can take.

of network for building connections with people from

This research chooses four services (Space, Event,

different backgrounds. Therefore, it is assumed that

Research and Making) as a start pointing (Figure

networking is an effective way of connecting with

8.3.3.2.1) to display how this network development plan

people. The assistance of networking can effectively

can help hubs connect to others.

build up a relationship with another network and develop

common goals to solve their problems.

Step 2: To expand the scale of a network

Figure 8.3.2.5.1. The network impacts at Stadslab Rotterdam and Snijlab (source: Appendix B-6 and B-7)

58

As can be seen from Figure 8.3.3.2.2, network

Step 3: To identify networks common aim

development can play an important role in building

According to the previously mentioned interviews, there

connections with others and forming closer

are some common aims in these different services

59

Figure 8.3.3.2.1. Four different routes in the network development plan

Figure 8.3.3.2.2. The connections between the five different services hubs

networks, which are designed to facilitate the increase

From Network:

of flexibility, new business opportunities, knowledge

The network-based hubs network provides a platform

exchange and new ideas.

for creating connections with different professional

workers, end users and the public. Then, this

Step 4: To analyze how mutual benefits can provide the

collaboration can help the space-based network to be

incentive for tacking challenges

flexible so as to form a strategic design team in terms

However, as can be seen in this research, the different

of the improvement of public benefits, services and

hubs pose different challenges. Thus, step 4 will

products in a sustainable manner.

be divided into four parts (Space, Event, Research,

From Event:

Making), to describe how these four different hubs

The event-based network can help the space-

can collaborate with each other so as to create

based network to explore or introduce new business

interdependent relationships and get benefits from each

opportunities, and also to build connections with

other.

people in different industry.

From Research:

I. Space hubs challenge:

Professionals in the space-based network can benefit

It is difficult to increase the number of people who

from research results, which can help the design team

come from different professions in order to become

to lower the risks of new product development and

more flexible and competitive, generate more new

making designs become more easily acceptable by

ideas and exchange knowledge.

clients.

Figure 8.3.3.2.3. The relationships and development in the five different services hubs

i. The benefits from the other hubs networks

60

61

 From Making:
A making-based network enhances professionals

i. The benefits from the other hubs networks

From Network:

quick-response abilities through prototypes, and helps

Spreading information through networks is an effective

designers to engender their clients satisfaction. Also,

way to approach the target audience, because this

through cooperation with people experienced in lab-

information comes from their friends who know that

work, designers can receive useful suggestions about

they are interested in a specific design area or topic.

the selection of materials.

ii. The benefits that a space-based hubs network can
contribute to another networks
To Network:

From Research:
The research group can provide compelling research
directions for design innovation hubs to invite people
coming from different industries to join this cross-

It can provide people who are interested in design

disciplinary discussion, and develop one-to-one

with practical working experience from professional

relationships in order to increase the chances of

workers.

providing services.

To Event:

From Space:

Professional design teams from different backgrounds

Professional designers or artists can help hubs

can help design innovation hubs events use different

attract more people through different media such as

design disciplines to attract more people who are

a concert, an art exhibition, or fashion and digital

interested in applying design to their services and

design.

products.
To Research:

From Making:
Skilled people in Making-based network can support

Through connection with the space-based network,

this type of hub to provide practical experience in

the research group might have more chance to find

manufacturing. For example, they can exchange their

out sponsors from the government, or from large

experience in co-design activities, and conduct or test

companies.

the relevant projects after activities.

ii. The benefits that an event-based hubs network can

As can be seen in Figure 8.3.3.2.4, when the spacebased network starts to expand, all networks can get

contribute to another networks

To Network:

benefits through collaboration, which results in long-

Joining events can help people to access the latest

term relationships. Also, this networks development

information, and can also aid network members in

helps designers or design teams to become more

expanding their social lives, meaning that they are not

competitive, flexible, and to continuously improve the

limit to connecting through the Internet.

current situation for the public from the perspective of

service design.

To Research:
Launching events can help research groups to find
suitable sponsors and promote the research-based

II. Event hubs challenge:

It requires a considerable amount of time to prepare

62

networks reputation.
To Space:

events that attract people, and inviting appropriate

The space-based network can expand the scale of the

people from different backgrounds to guide

network and explore the possibility of potential co-

workshops or projects is not easy.

working design partners.

Figure 8.3.3.2.4. The cooperation between the Space hub and the others hubs' networks

To Making:

and business potential to create a valuable, profitable

People in the making-based network can benefit from

research project to increase funding.

events, because they might aid an increasing demand

i. The benefits from the other hubs networks

for prototypes. Also, people joining in at events might

From Network:

have common aims, skills or backgrounds, which

Network-based hubs can provide an open space for

would help the making network to develop a different

research groups to collect ideas from the public for

community of users or SMEs and thereby maintain

research projects. This explores the possibilities

long-term relationships with labs.

of creative ways of challenging current services or

products.

Therefore, as can be seen in Figure 8.3.3.2.5, the

From Space:

event-based hub can help other hubs promote reputation

Professional workers can team up flexibly according

and increase potential customers or co-working partners.

to the requirements of different research projects.

Other hubs can also benefit from the promotion of

This strategic design team can help the research hub

design culture, the increased connections between

to explain or to communicate with clients from the

design industry and business, and maximized positive

concept of human-centered design or service so as

impacts on our society through sustainable and creative

to connect business value to the research project.

design.

By increasing effective communication, it is possible

to meet sponsors needs and thereby find suitable

III. Research hubs challenge:

Doing research from a creative perspective means that is

sponsors to invest in different research projects.

From Event:

not easy to get funding from sponsors. So it is important

The benefits coming from the event-based hub

to explore connections between the publics need

concern the promotion of researchs reputation.

63

Different conferences may attract different audience

development started from research is an alternative way

such as academics, SMEs, large international

to support the hubs sustainability.

companies, the government and the public, so it is

possible to find a group of sponsors.
From Making:

IV. Making hubs challenge:

It is difficult to find or develop a community of users.

A making-based hub can help evaluate business

i. The benefits from the other hubs networks

potential from the control of the design budget in

From Network:

manufacturing. It is helpful to clearly present the

People in the network-based hub are varied, so it

relevant risks of research projects and to make

is possible to find different communities who are

sponsors aware of the possibility of failures or a

interested in learning through creation or whose work

change in the direction of research.

requires prototyping services.

From Research:

ii. The benefits that a research-based hubs network can

contribute to another networks
To Network:

Figure 8.3.3.2.5. The cooperation between the Event hub and the others hubs' networks

In order to test or experiment as part of the research

project, it might need the facilities or creative people
in the lab to help or to provide suggestions from

The research-based hub can provide cutting-edge and

different perspectives in order to improve the research

cross-disciplinary knowledge to the public, so it is

results.

beneficial for people to exchange ideas and explore

possible business opportunities.
To Space:

From Space:
Professional designers might contribute design
capability to help users in the find strategic ways to

Professionals in design can access the latest trends

present their products. Connecting professional design

from research results and adopt these into their

and innovative ideas would be another way to support

designs, in order to enhance their competition.

social innovation.

To Event:

From Event:

Event coming from different research disciplines

A making-based hub can benefit from different topics

would contribute to knowledge exchange and new

of workshops, which can bring different groups of

ideas, which could create more opportunities to attract

people to prototype products, work together or develop

more people to join events.

further topics within the network. This community

To Making:
Research ideas coming from social innovation would
stimulate people to try to bring their creative ideas to
life, which may increase the number of users.

can be gradually self-developed by hosting different

events.
ii. The benefits that a making-based hubs network can
contribute to another networks
To Network:

Figure 8.3.3.2.6. The cooperation between the Research hub and the other hubs' networks

Thus, the research-based hub (Figure 8.3.3.2.6) can

Learning by creation is another way of helping people

encourage sponsors to focus on the improvement of

to exchange knowledge and they can develop more

public benefits and also adopt human-centered design

new ideas in this cross-disciplinary environment.

into services or products. Not only can it help sponsors

64

To Research:

to explore potential requirements, but this type of

Researchers can benefit from the testing of the

hub might elicit funding from them. So this network

research project by a different community of people

65

Step 6: To evaluate whether the network development

plan how to structure a mutual benefit network in order

has improved

to maintain a better relationship among stakeholders.

In the beginning, each hub provides different services,

Furthermore, this network plan should be assessed

but after a period of time, this collaborative network can

regularly to ensure its competitive advantages according

be formed for using design to maximize public benefits

to changes in the external environment such as new

from different perspectives such as design culture,

technology or new competitors, in order to maximize the

co-design, service design, human-centred design and

benefits of its modular business plan.

design and innovation. However, it should be considered

whether there is another design component that can be

7.3.3. CONCLUSION

added to this network in order to keep its competition.

As has been shown, the aim of setting up design

innovation hubs is to employ design to accelerate

Figure 8.3.3.2.7. The cooperation between the Making hub and the others hubs' networks

7.3.2.3. RECOMMENDATIONS

innovation and sustainable development. Co-creation

In this network development plan, a hub can choose

is one of the methods they choose to collect innovative

one model to develop its network, or it can be flexible

ideas from cross-sectorial partners, before applying them

and combine two or three according to the current

to the improvement of current services. However, this

situation. Besides, this research provides four different

is a challenge for design innovation hubs, because it is

in lab, which can lower the potential risks of a new

increase potential customers. However, it is important

routes to explain how network development can help a

not easy to collaborate with a wide range of stakeholders

project.

when planning a network development to consider

hub gain benefits from others, but there is no specific

and to find how these stakeholders can help design

whether a hub can access or take advantage of other

rule that must be followed. Therefore, each hub should

innovation hubs self-sustain.

To Space:
Professional designers can cooperate with skilled

hubs resources, and what value a hub can share or

people in the lab, which can make their designs more

receive from another hub. It would be better if all

feasible and more readily accepted by their clients

services could be connected with each other not only

after seeing professional prototypes.

because it can build up long-term relationships, but

To Event:
Launching events requires a wide range of people

it can also increase chances of providing services to

clients.

to communicate design culture from different

perspectives, so a making-based hub can provide

Step 5: To analyze the contribution from different

a practical alternative for people to transform their

networks

creative ideas into real products. It can accelerate the

In step 5, it is important to identify the unique

integration of design and innovation.

contributions of each hub (see Figure 8.3.3.2.7),

because it can help each hub to ensure their different

From Figure 8.3.3.2.7, it is apparent that a making-

focus, which will then enable them to share their

based hub can support other hubs in a practical

different values with each other. For example, in this

way through the labs infrastructure. Similarly, other

network development plan, each hub offers a different

hubs can provide people with an alternative means of

contribution including a collaborative network, human-

solving their problems and achieving their needs in a

centred design, design and innovation, service design,

sustainable way.

and design culture, so each hub can contribute different

benefits from different perspectives.

Therefore, it is clear that through collaboration, it is

Figure 8.3.3.2.8. The different contributions in the five others hubs' networks

possible for different hubs to enhance their ability and

66

67

Figure 8.3.3.2.9. The different contributions for public benefits through the collaborative network

According to the relevant literature, it is clear that there

Therefore, a network development plan can help design

are many different benefits that design innovation hubs

innovation hubs to take advantage of others shared

may encounter through cooperation with others, such as

resources in order to be better positioned within this

the increase of potential clients, business opportunities,

network. The six steps of this network plan describes

new ideas, reputation and the deduction of cost. Thus,

how each hub can enhance their own capacities for

developing their networks will offer design innovation

self-sustaining, but can also provide benefits to others

hubs more potential opportunities to self-sustain.

in the long term. Although they develop their networks

However, building trust and maintaining competitive

from different perspectives including design culture,

advantages are necessary when developing a network,

co-design, service design, human-centred design and

because it could impact the efficiency of collaboration

design and innovation, when they form a collaborative

within a network.

network, the contributions from design would largely

Three methods from different perspectives including

impact on the regional economy and the development of

Graph Theory, the Strength of Weak Ties theory and

innovation. However, there are some recommendations

Collaborative Network Relationship Analysis can be

that the hubs should consider when creating a network

usefully employed to develop a network development

development plan such as the external environment,

plan: they show how to structure the network and

abilities, resources and competitors.

suggest the strategies of expanding their network and

Although developing a network requires considerable

of analyzing their mutual benefits. Then, the analysis of

time to plan, to organize resources and activities,

five different services of network development (Space,

to encourage people to join in and to evaluate the

Event, Research, Network, Making) shows that the

efficiency of collaboration, it is an effective way of

hubs have similar behaviours and goals, but different

influencing people to engage in design innovation hubs

challenges.

and use a sustainable means of maximizing public

benefits.

68

69

CHAPTER 8 PRE-COMMERCIAL

- pool the efforts of several procurers.

PROCUREMENT (PCP)

Pre-commercial procurement gives an opportunity to

8.1. WHAT IS PRE-COMMERCIAL

PROCUREMENT (PCP)
When starting or operating a Design Innovation
Hub, organizations will be faced with procurement
regulations, being procurers themselves, participating
in a procured assignment of advising their network on
procurement issues. This chapter will help the hubs
organisations in the procurement processes.
PCP is an approach for acquiring Research and
Development services which enable public procurers to:
- share the risks and benefits of designing, prototyping
and testing of new products and services with the
suppliers and other stake-holders such as the endusers
- create the optimum conditions for wide
commercialization and take-up of R&D results through
standardization and/or publication

develop different ideas in parallel where one, or few

of the initial ideas that will eventually be selected for
commercial public procurement in accordance with the
Procurement Directives.
Pre-commercial procurement starts earlier in the
innovation cycle of a product than a more conventional
procurement project would do. It is also a competitive
process where solutions are step by step selected or
abandoned.
-T
 he first phase in pre-commercial procurement may
involve a pre-study or solution exploration where
several different solutions are explored.
- A second phase may include prototype development

8.2. EUROPES VIEW ON PCP

customer / early adopter / first buyer. Its a demand

- PCP has to steer the development of solutions towards

driven strategy that opens innovative new possibilities on

of the solutions that are judged most promising. This

concrete public sector needs, whilst comparing/

can be followed by the development of a small test-

validating alternative solution approaches from various

batch of some of the remaining solutions. Eventually

vendors

one or few of the remaining solutions are selected for

commercial roll-out.

- Public procurement/demand driven innovation can

the market.
8.3. DESIGN PROCUREMENT
Public procurement related to design is an interesting

open markets for industry/researchers creating growth

domain for applying PCP because it is often criticized by

& jobs in Europe

the innovation and design industry. The main accusation

- However, potential is underutilised in EU due to

is that governments and public authorities too often try

fragmentation of demand, lack of incentives ->

to buy design as though it were a discrete commodity,

transnational PCPs/PPIs

rather than a creative service, and that this seriously

hampered the ultimate outcome for both buyer and

8.2.1. OBJECTIVES:

supplier.

- Price/quality products that better fit public sector

needs
- Earlier customer feedback for companies developing
solutions
- Better take-up/Wider commercialisation of R&D results

8.3.1. DEFINITION OF DESIGN

The problem with discussing design procurement is
partly one of definition. Design activity as it relates to
the business of government can range from laying out a
tax form or building a website, to developing an entirely

The overall objective is to support public authorities in

new policy or service.

undertaking pre-commercial procurement (PCP) actions,

Additionally, the iterative nature of the design process is

which stimulate innovation by engaging the suppliers in

often a poor fit with static procurement processes.

the market as well as the end-users (Living Labs).

70

PCP has the advantage that it can be considered as a

8.3.2. PROCESS THINKING

tool for launching innovative solutions tested by end

The public Procurement Process has become a

71

classic example of a means becoming an end in itself.

8.3.3. SERVICE DESIGN THINKING

and how these organisations can embed learning into

knowledge of the market, and suppliers can build their

Outcomes are often secondary, with public services

Small businesses help to bring new ideas to larger

the process to enable governments to be more innovative

knowledge of procurement protocol for future scenarios.

frequently trying to second-guess the market through

organisations, many adapt to meet client needs and

and efficient in their approaches to understanding and

complex specifications based on inputs, and requiring

work to keep quality high and costs low.

procuring design, and in re-imagining procurement

This model reveals the needs of a good public

a level of information that was daunting for all but the

Design delivers. If one were to assume that this message

process.

procurement process. This tool should address:

largest firms to provide.

is becoming more widely understood and that across

Small businesses tend to stimulate innovation, create a

sectors, organisations of all kinds now want to engage

The innovative strength of Design Thinking lies in the

competitive spur by keeping costs down and value high

with design, how do they then go about procuring and

co-working of business/organization + technology +

and work flexibly to meet client needs. They follow the

commissioning it? Given the complexity, dynamism and

end users. Thats the key factor for successful Design

demand driven approach that is required for a short time

breadth of design activity in the design industry, how

Thinking.

to market strategy.

can public authorities effectively procure such a diverse

The vast majority of design businesses are SMEs and

and dynamic, ever-evolving service in a way that delivers

8.3.4. CULMINATUM INNOVATION MODEL

the experience shows that access is the key barrier for

value? Embracing a broader view of what constitutes

This innovative new procurement model developed by

in securing deployment (through commercial

small businesses in trying to supply to government. The

value for money is key to this.

Culminatum Innovation (Finland) facilitates knowledge

procurement) of the new solution/service as a final step

time and cost involved with the public sector tendering

Using service design thinking, creative research methods

exchange between procurement and supplier, so that

in the Innovation chain

process is prohibitive, contracts can be difficult to

such as prototyping, blueprinting, storytelling, a lot of

commissioning and procurement teams can build their

find and supplier selection criteria are not always

organisations (e.g. Imagination Lancaster), are seeking

transparent. Track record also counts for a lot, making

to uncover good procurement practice and to imagine

it difficult for new entrants to tap into government as a

the future of procurement. These projects are currently

market.

defining indicators of what good procurement looks like,

- a thorough early needs assessment including all key

parties (business/organizations, end-users, suppliers)
- clear contractual and legal procedures, including the
IPRs and transparency
- formal commitments and roles of the parties involved
in the process
- focus also on the commercialization phase, i.e.

the conditions under which good procurement happens,

72

73

8.4. PRIORITIES FOR THE FUTURE OF DESIGN

public procurement of innovation at national and

PROCUREMENT?

regional level
- Support soft, non-legal instruments as well as the

8.4.1. FEATURES OF DESIGN PROCUREMENT

development of practical tools for procurement of

- Effective design procurement is about good practice in

innovation and design, in combination with other

procurement, not just good design

- Whistleblowing bad practice is all very well, but
design thinking can provide a way of re-imagining
procurement beyond current conditions and mind-sets
- Design thinking can help re-imagine innovative
procurement of services, and not just design services
- Procurement should be a sustainable process that

policy instrument
- Deferent interests and incentive systems must be
overcome in order to capture riskpredatory strategies
- Develop skills and methodologies for cooperation,
Formalize the collaboration
- Overcome the asymmetry of information by increased
Communications

facilitates knowledge exchange between procurement

and supplier, considers beyond cost, builds
relationships between supply and demand, and gives
government a closer proximity to market.
8.4.2. ADVANTAGES OF DESIGN PROCUREMENT
- Facilitates negotiations between procures and suppliers
- Time to market is shorter
- Less risks of failure because the clients needs are
dealt with
- Elimination of suppliers before the call for tender: less
work afterwards
- Getting in touch with possible future team members in
an early stage
- Less pre-work because there is a possibility to learn
about the market and the needs throughout the
process
- Creates a win-win-win for procurers, suppliers and end
users.
- New opportunities for companies to invest
8.4.3. ACTIVATION OF PCP
- Turn the image of public procurement and PCP into an
activity, where people are allowed to take risks and ask
for new solutions that pull innovations
- Enable the recognition of best practice examples in

74

75

76

TIME (since you may need a period of

time to gain self-sustainability?)

- Can you afford to invest this amount of

- Is the INCOME > COST?

- Are the target group WILLING TO PAY?

You need to think:

Marketing fee

(if you own the space)

Space/Facilities maintenance fee

- The COSTS you pay:

e.g.Middleman fee

strategic team.

people to rent this space and form a

exchange and interaction

e.g. Seat2meet

target audience to attract more

environment to encourage knowledge

them some printed material.

Create a cross-disciplinary

people to meet each other easily

people to choose.

Provide an open space for

for
professional workers

environment to attract

Provide a co-working

- How can you GATHER THEM?

products or services.

workers to help them develop

People who need professional

Visualize the space in 3D virtual

information to their friends by giving

current users to spread the

Use word-of-mouth to encourage

e.g. Capital D (co-design caf)

reality on you website.

Figure 9.1. The space model guideline

achieve their hubs sustainability.

Explore stakeholders

for design innovation hubs to develop their strengths to

& external environment

and the visualised guidelines below will prove helpful

Analyse your internal strengths

Therefore, combining this flexible modular business plan

Identify your target clients

of them, in order to produce a new business plan.

- The PREPARATION you need:

sustain.

hubs might focus on one service, or select two or three

stakeholders network

business plan can help design innovation hubs to self-

self-sustain in the long term. It is very flexible, because

Creation and maintenance of

stream. This demonstrates further how this modular

e.g. Seat2meet (free lunch)

communicating strategy, network plan and revenue

Marketing & communication

three different perspectives, including marketing

in the hub to attract people

(Figure 9.1-9.5) are created to help hubs in adopting

Space maintenance

accessible, five toolkits and guidelines for the services

according to each hubs current situation, in order to

- The ACTIVITIES you do:

In order to make this modular business plan more

environments, it is important to allocate services

A relevant network of people

TOOLKIT

As each hub has different internal and external

events.

their internal and external environments.

approaches.

sponsor and provide space for

different services to offer to their clients, depending on

further discussion depending upon the three different

AND/OR

Design innovation hubs can have the flexibility to choose

five different services' offerings, and they provide

- The RESOURCE you prepare:

5. Making

hubs visually to consider the business models of these

Host events in your space or

4. Network

The toolkits and guidelines can help design innovation

Renting service

3. Research

relevant research can be consulted in this document.

- How to ATTRACT an aduience?

2. Event

three perspectives and the five different services. The

Own space OR

1. Space

description, indicating the connections between these

Companies

to form a modular business plan:

There are small icons placed in each services

Designers

services for design innovation hubs have been described

how to make a profit by providing Space services.

- The VALUE you offer:

According to the conducted research, five different

Space, how to maintain relationships in this space and

disciplines and want to work in a

Value propositions in the modular business plan

three approaches illustrate how to attract people to this

Better reputation

Design Innovation Hubs.

the relevant resources to offer this Space service. The

People who come from

models together form the modular business plan for the

for hubs managers to evaluate whether their hubs have

A network of people

strategies to support each other. These various business

and relevant preparation, providing an overall concept

- Who are your STAKEHOLDERS?

have been created to combine different services and

model includes the benefits, values, resources, activities

- Who are your main AUDIENCE?

network and revenue stream. Additionally guidelines

considering developing this Space service, its business

Rent & service income

including strategies for marketing communication,

providing a physical space for clients. Therefore, when

- The BENIFITS you gain:

propositions and created business models for each,

For instance, a Space-based hub is concerned with

Network
Plan

innovation hubs. The research identifies five value

offering.

Marketing
communication
strategy

business model that can be applied to all design

three approaches that apply to the service that they are

SPACE
as a value proposition

As this research demonstrates, there is no one specific

to provide or not. The rest of the sections provide the

Brokerage fees

managers confirm whether it is the service they want

e.g. Membership fee

FOR DESIGN INNOVATION HUBS

Subscription fees

description of the services business models, to help

e.g. Tenant venue hire fee

FOR DESIGNING A BUSINESS PLAN

Leading/Renting/Leasing fees

into four columns. The left-hand section shows the

- The INCOME you gain:

RECOMMENDATIONS, AND TOOLS

Revenue
Stream

As can be seen, these five tools are each divided

Provide

CHAPTER 9 CONCLUSIONS,

77

78

79

Designers Companies

Companies

those in your research area

Creation a cross-disciplinary

Figure 9.3. The research model guideline

& external environment

Analyse your internal strengths

Identify your target clients

- The PREPARATION you think:

stakeholders network

Create and maintenance of

Marketing & communication

e.g. Waag Society.

recognition/publicity

also get endorsements and wider

not only gain experience, but it could

big companies, and your hub will

organizations or

Collaborate with famous

and you will quickly be known by

Conduct research

research environment

such as conferences or speeches,

- The ACTIVITIES you do:

Sponsor research events,

reputation.

Facilities
Existing a network of people

media exposure and build a strong

as a book or in a journal, to generate

Publish your research results

- How to ATTRACT an aduience?

Academic
institutes

- Who are your main AUDIENCE?

- Are the target group WILLING TO PAY?

exchange

TIME (since you may need a period of

time to gain self-sustainability?)

and generate fundings.

Encourage to share resource

- Can you afford to invest this amount of

to attract target audience

- Is the INCOME > COST?

You need to think:

Intellecture protaction fee

Marketing fee

Space/Facilities maintenance fee

Venue hire fee (if needed)

- The COSTS you pay:

e.g. Booking, Access & project fee

Usage fee

e.g. Middleman fee

Brokerage fees

e.g. Membership fee

Subscription fees

e.g. Intellectual property fee

Licensing fee

- The INCOME you gain:

Revenue
Stream

TIME (since you may need a period of

time to gain self-sustainability?)

- Can you afford to invest this amount of

- Is the INCOME > COST?

explore new ideas and knowledge

Use research as a driver to

explore business opportunities

environments to help stakeholders

Provide a cross-disciplinary

promote stakeholders business

Use social innovation result to

to promote public social innovation

Create open spaces & facilities

- How to GATHER THEM?

Experts

Students

Companies

Research groups

General public

- Who are your STAKEHOLDERS?

Network
Plan

their products

e.g. MAD Brussels

Marketing
communication
strategy

to use events for promoting

design culture and attract companies

Be at the forefront of promoting

as a training program for company.

Use personal selling to meet the

- Are the target group WILLING TO PAY?

their friends.

to extend partnerships

You need to think:

Marketing fee

Space/Facilities maintenance fee

Venue hire fee ( if needed)

- The COSTS you pay:

e.g. Charge the right for advertising

their products or services

Advertising fee

e.g. Middleman fee

Brokerage fees

e.g. Membership fee

Subscription fees

e.g. Booking, access & project fee

Usage fee

- The INCOME you gain:

Revenue
Stream

trust the information given to them by

Use word-of-mouth as people

e.g. Introduce the chances of

cooperating with companies to
form an interdependent relationship

and learn more about the hubs events

e.g. MAD Brussels

Provide useful information

will mean that more people to participate

visually-attractive media

collaboration between stakeholders

to encourage innovation and

- How to GATHER THEM?

Independent designers

Design communities

- Who are your STAKEHOLDERS?

Network
Plan

e.g. concert; art exhibition;

fashion or digital design

Free attendance to an event

e.g. Designregio Kortrijk.

such as Facebook or Twitter.

to convey information about events,

Use existing social media

- How to ATTRACT an aduience?

General
public

- Who are your main AUDIENCE?

Marketing
communication
strategy

Experts

- The RESOURCES you prepare:

Provide research results

research projects

Help clients to conduct

- The VALUE you offer:

Better reputation

A network of people

Product & service fees

Research result

- The BENIFITS you gain:

Research
as a value proposition

Provide

Figure 9.2. The event model guideline

& external environment

Analyse your internal strengths

Identify your target clients

- The PREPARATION you need:

stakeholders network

Creation and maintenance of

Marketing & communication

Gather relevant people

- The ACTIVITIES you do:

Facility for events

Activity space

Key partners

Activity planners

- The RESOURCES you prepare:

relevant people

Arrange events to gather

- The VALUE you offer:

Better reputation

A network of people

Idea creation

Service income

- The BENIFITS you gain:

Event
as a value proposition

Provide

IP

80

81

Figure 9.5. The making model guideline

& external environment

Analyse your internal strengths

build user communities

Identify your target clients &

- The PREPARATION you think:

Marketing & communication

Build users communities

Host training programs

Maintenance of space and facilities

- The ACTIVITIES you do:

Existing a network of people

A physical space

Facilities

Experts and staff

- The RESOURCES you prepare:

services for product making

Provide outsourcing production

products

or help clients to turn ideas into

help people manufacture things

Provide machines and experts to

- The VALUE you offer:

Better reputation

A network of people

Product & service fees

- The BENIFITS you gain:

as a value proposition

Making

Provide

Figure 9.4. The network model guideline

external environment

Analyse your internal strengths &

Identify your target clients

- The PREPARATION you think:

of a platform for interaction

Creation and maintenance

stakeholders network

Creation and maintenance of

Marketing & communication

Invite relevant people

- The ACTIVITIES you do:

Existing creative communities

Facilities

a physical space

A virtual platform OR

- The RESOURCES you prepare:

promoting P2P connection

Providie a network for

- The VALUE you offer:

Better reputation

An network of people

Service fees

- The BENIFITS you gain:

Network
as a value proposition

Provide

Companies

Designers Companies

users communities
e.g. Manchester FabLab

e.g. Buda Lab

process

deep understanding of the making

customers to experience and gain a

Plan an event for target

Develop and maintain

users in order to create new ideas

Create more interaction among

experience to others

create prototypes and also share their

Provide machines for people to

professional projects

Support stakeholders to their

environment around manufacture

Provide a knowledge exchange

- How to GATHER THEM?

e.g. Experts, students and SMEs

into products

People who want to turn ideas

- Who are your STAKEHOLDERS?

Network
Plan

long-term relationship

in this network, in order to maintain a

people to develop the communities

Encourage diverse range of

more people to join.

free interaction network can attract

The trust developed in this

feel more comfortable interacting

physical spaces to make people

infrastructure in virtual and

of sharing ideas

environment, to accelerate creation

Provide a knowledge exchange

cooperation

everyone to increase the chances of

Create an open space for

- How to GATHER THEM?

open space

People or companies come from

- Who are your STAKEHOLDERS?

Network
Plan

work and experiences.

a showcase for users to share their

communications, you can provide

including oral, written and electronic

Through word-of-mouth,

e.g. Snij Lab

design forums.

the hub on popular design blogs or

posting photos of things made in

Use social media , for example by

- How to ATTRACT aduience?

General
public

- Who are your main AUDIENCE?

Marketing
communication
strategy

e.g. Site2meet, Little Mountain.

strong connection

other face-to-face, thereby building a

in the network to interact with each

the network, and encourage people

or events to attract people to join

Use tangible facilities

you to show off your network.

personal interactive opportunity for

exhibitions: these events offer a

Participate in trade shows or

connect with those experts.

but also attracts people who want to

and raises the networks reputation,

guarantees the quality of the network

your network, which not only

Invite celebrity experts to join

- How to ATTRACT aduience?

Designers

- Who are your main AUDIENCE?

Marketing
communication
strategy

TIME (since you may need a period of

time to gain self-sustainability?)

- Can you afford to invest this amount of

- Is the INCOME > COST?

- Are the target group WILLING TO PAY?

You need to think:

Marketing fee

Space/Facilities maintenance fee

Venue hire fee (if needed)

- The COSTS you pay:

e.g. Intellectual property fee OR

Sell brand licenses to allow
target people to use the brand
logo in their own marketing
activities

Licensing fee

e.g. Membership fee

Subscription fees

e.g. Booking, access & project fee

Usage Fees

e.g. Product or Material fee

Asset sale

- The INCOME you gain:

Revenue
Stream

TIME (since you may need a period of

time to gain self-sustainability?)

- Can you afford to invest this amount of

- Is the INCOME > COST?

- Are the target group WILLING TO PAY?

You need to think:

Marketing fee

Space/Facilities maintenance fee

Venue hire fee (if needed)

- The COST you pay:

their products or services

e.g. Charge the right for advertising

Advertising fee

e.g. Booking, access & project fee

Usage fees

e.g. Middleman fee

Brokerage fees

e.g. Membership fee

Subscription fees

activities

logo in their own marketing

target people to use the brand

e.g. Sell brand licenses to allow

Licensing fees

- The INCOME you gain:

Revenue
Stream

REFERENCES
Aaker, D. A., Joachimsthaler, E., 2000. The brand relationship spectrum. California Management Review, 42(4),
pp.8-23.
Aalto University Design Factory, 2013. Aalto University Design Factory. [online] Available at: <www.
aaltodesignfactory.fi/>[Accessed 10 May 2013].
Alexakis, S., Kolmel, B. and Heep, T., 2004. VO in industry: state of the art. In: L. Camarinha-Matos and H.
Afsarmanesh, eds. 2004. Collaborative networked organizations, a research agenda for emerging business model.
Massachusetts: Kluwer Academic, pp. 15-26.
Amit, R. and Zott, C., 2001. Value creation in e-business. Strategic Management Journal, 22, pp. 493-520.
APCI, 2013. The APCI [online] Available at: < http://www.francedesigninnovation.fr/?cat=27> [Accessed 10 May
2013].
Arana, J. and Castellano, E., 2010. The role of collaborative networks in business model innovation. [e-book]
Berlin: Springer Berlin Heidelberg. Available through: Springer Link website < http://link.springer.com/chapter/10.
1007%2F978-3-642-15961-9_11> [Accessed 10 August 2013].
Avital, M., 2011. The generative bedrock of open design. IN ABEL, B.V., EVERS, L., KLAASSEN, R. and Troxler, P.
(Eds.) Open design now, why design cannot remain exclusive. Netherlands: BIS Publishers.
Avital, M., 2011. The generative bedrock of open design. In: B.V.ABEL, L. EVERS, R. KLAASSEN, and P.Troxler,
eds. 2011. Open design now, why design cannot remain exclusive. Amsterdam: BIS Publishers.
Barcelona centre de disseny, 2013. Barcelona centre de disseny. [online] Available at: <www.bcd.es/>[Accessed
10 May 2013].
Baregheh, A., Rowley, J. and Sambrook, S., 2009. Towards a multidisciplinary definition of innovation.
Management decision, 47(8), pp. 1323-1339.
Bask, h, A., Tinnila, M. and Rajahonka, M., 2010. Maching service strategies business models and modular
business processes [online] Available at: < www.bus.iastate.edu/nilakant/.../Bask%20et%20al2010.pdf>
[Accessed 25 June 2013].
Batho, M.T.S., 2012. Targeted process for the development of Innovation Centres in academic year 2012/13.
Available at http://www.sfc.ac.uk/web/FILES/Knowledge_Exchange/Innovation_Centres_process_AY2012_13[pdf.
pdf. [Accessed 1 June 2013].
Batho, M.T.S., 2012. Targeted process for the development of Innovation Centres in academic year 2012/13.

Bogers, M. and West, J., 2012. Managing distributed innovation: Strategic utilization of open and user innovation.
Creativity and Innovation Management, 21(1), pp.61-75.
Boons, F. and Ldeke-Freund, F., 2013. Business models for sustainable innovation: state-of-the-art and steps
towards a research agenda. Journal of Cleaner Production, 45, pp. 919
British DesignInnovation (EastSussex) (2013) British DesignInnovation. [online] Available at: <http://www.
britishdesigninnovation.com>[Accessed 10 May 2013].
Brousseau, E. and Penard, T. 2006. The economics of digital business models: A framework for analyzing the
economics of platforms. Review of Network Economics, 6(2), pp.81-110.
Butler, R. and Gill, J., 2010. Knowledge and trust in partnership formation. In: J. Genefke and F. McDonald, eds.
2001. Effective collaboration managing the obstacles to success. New York: Palgrave, pp. 17-43.
Bymer, C., 2009. What makes brands great. In: R. Clifton, J. Simmons, ed. 2009. Brands and branding. London:
Profile. Ch.4
C4di - center fordesign and innovation Aberdeen, 2013. [online] Available at: < http://www.c4di.org.uk/who.htm>
[Accessed 10 May 2013].
C4di, 2013. C4di - center fordesign and innovation Aberdeen. [online] Available at: <www.c4di.org.uk/>[Accessed
10 May 2013].
Camarinha-Matos, L.M., 2004. Emerging collaborative forms. In: L. Camarinha-Matos and H. Afsarmanesh, eds.
2004. Collaborative networked organizations, a research agenda for emerging business model. Massachusetts:
Kluwer Academic, pp. 41-46.
Cambridge Dictionary, 2013. Cambridge dictionaries online [online] Available at: <http://dictionary.cambridge.org>
[Accessed 12 June 2013].
Caparo innovation centre, 2013. Caparo innovation centre. [online] Available at: <http://www.
caparoinnovationcentre.com>[Accessed 10 May 2013].
Capital D, 2013. Capital D. [online] Available at: <http://www.capitald.nl> [Accessed 10 May 2013].
Cellini, R, S. and Kee, E, J., 2010. Cost-effectiveness and cost-benefit analysis [online] Available at:<http://home.
gwu.edu/~scellini/CelliniKee21.pdf> [Accessed at 15 July 2013]
Centre for design innovation, 2013. Who we are. [Online] Available at <http://www.c4di.org.uk/who.htm#>
[Accessed 18 July 2013]

[online] Available at: <http://www.sfc.ac.uk/web/FILES/Knowledge_Exchange/Innovation_Centres_process_

Cheltenham: Edward Elgar.

AY2012_13[pdf.pdf> [Accessed 1 June 2013].

Chesbrough, H.W., 2003. Open Innovation: The New Imperative for Creating and Profiting from Technology.

Berry, L. L., 2000. Cultivating service brand equity. Journal of the Academy of Marketing Science, 28(1), pp. 128137.
Bhat, S., Kelley, G. E., and ODonnell, K. A., 1998. An investigation of consumer reactions to the use of different
brand names. Journal of Product and Brand Management, 7(1), pp.41-50.
Big innovation centre, 2013. Big innovation centre. [online] Available at: <www.biginnovationcentre.
com>[Accessed 10 May 2013].

82

Boston: Harvard Business School Press.

Chesbrough, H.W., 2003. The Era of Open Innovation. MIT Sloan Management Review, 44, pp.3541.
Chesbrough, H.W., 2010. Business model innovation: opportunities and barriers. Long range planning. 43, pp.
354-360
Christensen, C.M., 1997. The Innovators Dilemma: When New Technologies Causem Great Firms to Fail. Boston:
Harvard Business School.

83

 Collier, R., 2011. Health care system needs new revenue streams, expert argues. CMAJ. September 20; 183(13):
E989E990 [online] Available at: <http://www.ncbi.nlm.nih.gov/pmc/articles/PMC3176884/>[Accessed 10 July
2013].
Cox, G., 2005. Cox Review of Creativity in Business: building on the UKs strengths, Design Council. [Online]
Available at <http://www.designcouncil.org.uk/publications/the-cox-review/> [Accessed 21 April 2013]
Crainer, S., Dearlove, D., 2003. The ultimate book of business brands : insights from the world's 50 greatest
brands. Oxford: Capstone.
Creative Innovation Centre CIC, 2013. Creative Innovation Centre CIC. [online] Available at: <www.
creativeinnovationcentre.co.uk/>[Accessed 10 May 2013].
CSO, 2012. Intellectual Property Protection: The Basics [online] Available at:<http://www.csoonline.com/
article/204600/intellectual-property-protection-the-basics#>[Accessed at 15 July 2013]
Culminatum Innovation, 2013. Culminatum Innovation. [online] Available at: <http://www.culminatum.fi/sivu.php>
[Accessed 1 May 2013 ]
Dahlander, L. and Gann, D.M., 2007. How Open is Innovation?, Copenhagen: DRUID.
Dahlander, L. and Gann, D.M., 2010. How open is innovation? Research Policy, 39(6), pp.699-709.
Danish Design centre, 2013. Danish Design centre. [online] Available at: <www.ddc.dk/>[Accessed 10 May
2013].
Davis, M., 2006. More than a Name: An Introduction to Branding. SA: AVA Publishing.
DCMS, 2001. Creative Industries Mapping Documents 2001 [online] Available at: <https://www.gov.uk/
government/publications/creative-industries-mapping-documents-2001> [Accessed 13 May 2013].
de Chernatony, L., Riley, F.D., 1999. Experts' views about defining services brands and the principles of services
branding. Journal of Business Research, 46(2), pp.181-192.
Demil, B. and Lecocq, X., 2010. Business model evolution: in search of dynamic consistency. Long range
planning. 43, pp. 227-246.
Desginregio Kortrijk, 2013. Desginregio Kortrijk. [online] Available at: <http://www.designregio-kortrijk.be>
[Accessed 15 May 2013 ]
Design Council, 2012. The Power of branding: a practical guide. [pdf] Available at: <http://www.designcouncil.org.
uk/Documents/Documents/Publications/Power_of_branding.pdf> [Accessed 5 July 2013]
Design Hub, 2013. Design Hub [online] Available at: <www.designhub.jp/eng/>[Accessed 10 May 2013].
Design London, 2013. Design London 20072011 [online] Available at: < http://designlondon.rca.ac.uk >
[Accessed 25 June 2013].
Design Wales, 2007. Case Study of Good Design Support Practice, Denmark design: PARTNER, Danish Design
Centre (DDC). [online] Available at: < http://www.seeplatform.eu/uploaded_files/DENMARK%20design%20partner.
pdf> [Accessed 1 June 2013].
Design Wales, 2011. Case Studies in Design Policy and Programmes. [online] Available at: <http://www.
seeplatform.eu/images/file/Case%20Study%20pdfs/Centre%20for%20Design%20and%20Innovation%20c4di.

Designhub RMIT UNI, 2013. Designhub RMIT UNI [online] Available at: <http://www.rmit.edu.au/capitalworks/
designhub>[Accessed 10 May 2013].
Designlondon, 2013. Design London 20072011 [online] Available at: < http://libweb.anglia.ac.uk/referencing/
harvard.htm > [Accessed 25 June 2013 ].
Desyllas, P. and Sako, M., 2010. Profiting from business model innovation: evidence from pay-as-you-drive auto
insurance. Research Policy, 42, pp. 101 116.
Devlin, J., 2003. Brand architecture in services: the example of retail financial services. Journal of Marketing
Management, 19(9-10), pp.1043-1065.
Dutta, B. and Jackson, M.O., 2003. On the formation of networks and groups. Networks and Groups, Models
of Strategic Formation. In: B. Dutta and M.O. Jackson, eds. 2003. Networks and groups, models of strategic
formation. Berlin: Springer-Verlag Berlin Heidelberg, pp. 1-15.
DZNW/ reddot, 2013. DZNW/ reddot. [online] Available at: < http://en.red-dot.org>[Accessed 10 May 2013].
Elliott, R.R., Percy, L., Pervan, S., 2011. Strategic brand management. 2nd ed. Oxford: Oxford University Press.
Eppler, M. J., Will, M., 2001. Branding knowledge: Brand building beyond product and service brands. The
Journal of Brand Management, 8(6), pp.445-456.
Eschenbcher, J., Seifert, M. and Thoben, K., 2009. Managing Distributed Innovation Processes in Virtual
Organizations by Applying the Collaborative Network Relationship Analysis. [online] Available at: http://link.
springer.com/content/pdf/10.1007%2F978-3-642-04568-4_2.pdf [Accessed 10 August 2013].
Fab Lab UK, 2013. Fab Lab network UK. [online] Available at: <http://www.fablabsuk.co.uk> [Accessed 8 May
2013]
Facebook, 2013. Waag Society fan page. [online] Available at: <http://www.facebook.com/
Waagsociety?ref=ts&fref=ts
Foster, L, W., Kim, P. and Christiansen, B., 2009. Ten Nonprofit Funding Models. [online] Available at< http://
www.ssireview.org/articles/entry/ten_nonprofit_funding_models> [Accessed 8 May 2013]
Gallaugher, M, J., Auger, P. and BarNir, A., 2001. Revenue streams and digital content providers: an empirical
investigation. Information & Management, 38(7), pp.473485
Gershenfeld, N., 2005. Fab: The coming revolution on your desktop - from personal computers to personal
fabrication. New York: Basic Books.
Gershenfeld, N., 2007. Neil Gershenfeld on Fab Labs. [online] Available at < http://www.ted.com/talks/neil_
gershenfeld_on_fab_labs.html. > [Accessed 1 June 2013].
Gitelson, R., Kerstetter, D.L., 2000. A new perspective on the decision-making process of arts festival visitors. In:
Events Beyond 2000: Setting the Agenda. Sydney, Australia 15 July 2000.
Govindarajan, V. and Trimble, C., 2005. Building breakthrough businesses within established organizations.
Harvard Business Review 83, pp.5868.
Granovetter, M.S.,1973. The strength of weak ties. [online] Available at: <http://www.stanford.edu/dept/soc/people/
mgranovetter/documents/granstrengthweakties.pdf> [Accessed 10 August 2013].

pdf> [Accessed 1 June 2013].

84

85

 Gray, D., 2004. Doing research in the real world. London: SAGE Publication
Grthaug, H., 2011. A Software Roadmap for the Fab Lab Network. [online] Available at: < http://www.nada.kth.
se/utbildning/grukth/exjobb/rapportlistor/2011/rapporter11/grothaug_hans_erik_11130.pdf> [Accessed 1 June
2013].
Hackley, C., 2005. Advertising and promotion : communicating brands. London : SAGE.
Hakansson, H, Ford, D, Gadde, L., Snehota, I. and Waluszewski, A., 2009. Business in networks. Glasgow: Wiley.
Hanna, V. and Walsh, K., 2002. Small firm networks: a successful approach to innovation?. [online] Available at <
http://onlinelibrary.wiley.com/store/10.1111/1467-9310.00253/asset/1467-9310.00253.pdf?v=1&t=hheo5vdq&s
=9b9321c55a7e61feae1f4d91a93a8c792ac97663. >[Accessed 1 June 2013].
Hede, AM., Kellett, P., 2011. Marketing communications for special events: Analysing managerial practice,
consumer perceptions and preferences. European Journal of Marketing, 45(6), pp. 987-1004.
Hemphala, J., Magnusson, m., 2012. Networks for Innovation But What Networks and What Innovation? Creativity
and innovation management, 21(1), pp.3-15.
Henry, C. and Bruin, D, A., 2011. Entrepreneurship and the creative economy: process, practice and policy,
Cheltenham: Edward Elgar
Holmen, E., Aune, T.B. and Pedersen, A., 2013. Network pictures for managing key supplier relationships.
Industrial Marketing Management, 42(2), pp.139-51.
Howkins, John., 2002. The creative economy: how people make money from ideas. London: Penguin.
Hunter, M., 2013. What design is and why it matters. [online] Available at: < http://www.designcouncil.org.uk/
about-design/What-design-is-and-why-it-matters/ > [Accessed 20 May 2013 ].
Huxham, C. and Vangen, S., 2005. Managing to collaborate, the theory and practice of collaborative advantage.
London: Routledge.
Hypebeast, 2011. SNIJLAB Wooden Notebooks. [online] Available at: <http://hypebeast.com/2011/10/snijlabwooden-notebooks > [Accessed 20 July 2013 ].
IdcN, 2013. International design center Nagoya. [online] Available at: <http://www.idcn.jp> [Accessed 5 May
2013]
Innovation centre Denmark, 2013. Innovation centre Denmark. [online] Available at: <http://icdk.um.dk>[Accessed
10 May 2013].
INTERREG IVB, 2013. 242H PROUD People, Researchers and Organisations, Using Design for co-creation and
innovation. [online] Available at: <http://www.nweurope.eu/index.php?act=project_detail&id=5370
Julier, G., 2006. From visual culture to design culture. [pdf] Available at: <http://www.sfu.ca/cmns/
courses/2008/428/Readings/CMNS%20428,%20(2008)%20Reference%20Readings/Julier%20(2005).pdf>
[Accessed 18 July 2013]
Julier, G., 2007. The culture of design. London: Sage.
Kapfere, JN., 2004. The new strategic brand management : creating and sustaining brand equity long term.
London : Kogan Page
Katzy, B.R., Loeh, H.L. and Zhang, C., 2004. Virtual organizing scenario. In: L. Camarinha-Matos and H.
Afsarmanesh, eds. 2004. Collaborative networked organizations, a research agenda for emerging business model.

Keller, K. L., 2008. Strategic brand management : a European perspective. Harlow : FT Prentice Hall.
Keller, K. L., 2009. Building strong brands in a modern marketing communications environment. Journal of
marketing communications, 15(2-3), pp. 139-155.
Korel, H. and Little, C., 2009. Creating an Innovation Center: A Guide. [online] Available at < http://xnet.kp.org/
innovationcenter/docs/KorelLittleCreatingInnovationCentersAGuide.pdf. > [Accessed 1 June 2013].
Kotler, P., 2003, Marketing management, Upper Saddle River. N.J.: Prentice Hall
Kumar, V., 2009. A process for practicing design innovation. Journal of Business Strategy, 30(2/3), pp.91-100.
Laforet, S., 2010. Managing brands: a contemporary perspective. Maidenhead: McGraw-Hill Higher Education.
Laforet, S., Saunders, J., 1994. Managing brand portfolios: how the leaders do it. Journal of Advertising Research,
34(5), pp.64-76.
Laurel, B., 2003. Design Research : Methods and Perspectives, Cambridge: MIT Press
Layard, R. and Glaister, S., 1994. Cost-benefit analysis, UK: Cambridge University Press.
Leonard, D., Sensiper, S., 1998. The Role of Tacit Knowledge in Group Innovation. California Management Review,
40, pp.11232.
Lepla, F. J., Parker, L. M., 2002. Integrated Branding: Becoming Brand-driven Through Companywide Action.
London : Kogan Page.
Linden, R.M., 2010. Leading across boundaries, creating collaborative agencies in a networked world. San
Francisco: A Wiley Imprint.
Lindgre, P., 2012. Business model innovation leadership: how do SMEs strategically lead business model
innovation? International Journal of Business and Management. 7(14) p.53.
Luxinnovation, 2013. Luxinnovation. [online] Available at: <www.luxinnovation.lu/>[Accessed 10 May 2013].
Macaulay, A., Miles, I., Wilby, J., Tan, Y.L., Zhao, L., and Theodoulidis, B., 2012. Case Studies in Service
Innovation [e-book] Available at< http://link.springer.com/book/10.1007/978-1-4614-1972-3/page/1>[ Accessed
14 June 2013]
MacLean, D and MacIntosh, R., 2003. Complex Adaptive Social Systems: Towards a Theory for Practice. In: E.
Mitleton-Kelly, ed. 2003. Complex systems and evolutionary perspectives on organizations, the application of
complexity theory to organization. Oxford: Elsevier science, pp. 149-165.
MAD Brussels, 2013. MAD Brussels mode and design center. [online] Available at: <http://www.madbrussels.be/
en/MAD> [Accessed 15 May 2013 ]
MAD Brussels, 2013. Wardrobe assistant. [image online] Available at: <http://www.madbrussels.be/en/Profile-ofthe-Week/Wardrobe-Assistant> [Accessed 10 August 2008].
MAD Brussels, 2013. Wardrobe assistant. [image online] Available at: <http://www.madbrussels.be/en/Space>
[Accessed 10 August 2008].
Mahadevan, B. 2000. Business models for Internet-based e-commerce: An anatomy. California Management
Review, 42(4): pp.55-69.
Malins, J., 2012. Centre for Design & Innovation, Project Evaluation. [online] Available at < http://www.c4di.org.
uk/pdfs/c4di_project_report.pdf> [Accessed 6 June 2013].
Man, A. D., 2004. The network economy, strategy, structure and management.

Massachusetts: Kluwer Academic, pp. 27-40.

86

87

 Mason, K. and Spring, Martin., 2011. The sites and practices of business models. Industrial Marketing
Management, 40(6), pp.1032-1041.
Michelini, L., 2012. social innovation and new business models: Creating Shared Value in Low-Income Markets.
[e-book] Available at:< http://link.springer.com/book/10.1007/978-3-642-32150-4/page/1> [Accessed 14 June
2013]
Mul, J.D., 2011. Redesigning Design. In: B.V.ABEL, L. EVERS, R. KLAASSEN, and P.Troxler, eds. 2011. Open
design now, why design cannot remain exclusive. Amsterdam: BIS Publishers.

PROUD, 2013. About PROUD. [online] Available at: <http://www.proudeurope.eu/content.php?p=3> [Accessed

May 15 2013 ].
Rajagopal. Sanchez, R., 2004. Conceptual analysis of brand architecture and relationships within product
categories. The Journal of Brand Management, 11(3), pp. 233-247.
Ramon, C. and Zhu F., 2013. Business model innovation and competitive imitation: the case of sponsor-based
business models. [online] Available at: < http://onlinelibrary.wiley.com/doi/10.1002/smj.2022>[Accessed 13 June,
2013]

Murphy, J. M., 1990. Brand strategy. MI: Director Books.

Redloop, 2013. Redloop. [online] Available at: <http://www.redloopdesign.co.uk>[Accessed 10 May 2013].

Mutlu, B. and Er, A., 2003. Design Innovation: Historical and the theoretical perspectives on product innovation.

Remodelista, 2012. Accessories: Wooden Booklets by Snijlab. [online] Available at: <http://www.remodelista.com/

In: 5th European academy of design conference. Barcelona, Spain April 2003.
Nokia, 2013. Expanding the 3DK now with Lumia 520 goodness! [online] Available at:< http://developer.nokia.
com/Blogs/News/blog/2013/02/25/expanding-the-3dk-now-with-lumia-520-goodness/> [Accessed 25 June 2013 ].
Northern design center, 2013. Northern design center. [online] Available at: < http://www.gateshead.gov.uk/
Business%20and%20Industry/NorthernDesignCentre/Homepage.aspx>[Accessed 10 May 2013].
Oakley, M., 1990. Design Management: A Handbook of Issues & Methods, Oxford: Basil Blackwell.
OED, 1989. Oxford English Dictionary second edition. [online] Available at: < http://www.oed.com > [Accessed 20
May 2013 ].
Olins, W., 1989. Corporate identity : making business strategy visible through design. London : Thames & Hudson.
Olinw, W., 2002. Corporate Identity the ultimate resource. [pdf] Available at: < http://www.wallyolins.com/
includes/corporateidentity.pdf > [Accessed 10 July 2013].
Osterwalder, A., 2004, The business model ontology: A proposition in a design science approach [online] Available
at: <http://www.stanford.edu/group/mse278/cgi-bin/wordpress/wp-content/uploads/2010/01/TheBusiness-ModelOntology.pdf> [Accessed 25 June 2013 ].

posts/accessories-wooden-booklets-by-snijlab > [Accessed 20 July 2013 ].

Riezebos, R., 2003. Brand management : a theoretical and practical approach. Harlow : Financial Times Prentice
Hall.
Rocha, M., 2012. Brand Valuation: A versatile strategic tool for business. [pdf] Available at: < http://www.
interbrand.com/Libraries/Articles/Brand_Valuation_Final.sflb.ashx> [Accessed 3 Feburary 2013]
Rogers, M., 1998. The definition and measurement of innovation. Melbourne: Melbourne Institute of Applied
Economic and Social Research.
Roseira, C., Brito, C. and Henneberg, S.C., 2010. Managing interdependencies in supplier networks. Industrial
Marketing Management, 39(6), pp.925-35.
Royal College of Art, 2013. Design London (20072011) [online] Available at: <http://www.rca.ac.uk/Default.
aspx?ContentID=159559 > [Accessed 25 June 2013 ].
Royal College of Art, 2013. Innovationrca: about us. [online] Available at: <http://www.innovation.rca.ac.uk/182/
all/1/about-us.aspx> [Accessed 18 July 2013 ].
Sanchez, N.G., Zubiaga, D.A.G., Atahualpa, J., Gonzalez, I. and Molina, A., 2013.Virtual breeding environment: a

Osterwalder, A., Pigneur, Y., 2010. Business model generation. New Jersey: John Wiley & Sons, Inc.

first approach to understand working and sharing principles. [online] Available at: <http://interop-esa05.unige.ch/

Oxford dictionary, 2013. Oxford dictionaries online [online] Avaialble at: < http://oxforddictionaries.com >

INTEROP/Proceedings/Interop-ESAScientific/PerPaper/I04-1%20456.pdf> [Accessed 10 August 2013].

[Accessed 12 June 2013].

Palmer, A., Kavanagh, M. (2011). Principles of services marketing. 6th ed. New York: McGraw-Hill.
Panos, D. and Mari, S., 2013. Profiting from business model innovation: evidences from pay-as-you-drive auto
insurance. Research policy. 42(1), pp.101-116.
Pateli, A, G. and Giaglis, G, M., 2005. Technology innovation-induced business model change: a contingency
approach, Journal of Organizational Change Management,18 (2), pp. 167183.
Phillips, L, Robert., 2005. Pricing and Revenue Management, Stanford University Press. California: Stanford.
Porter, M. E., 1980. Competitive strategy: Techniques for analyzing industries and competitors. New York: Free
Press.
Prahalad, C.K. and Hart, S. (2002). The fortune at the bottom of the pyramid. Strategy and Business, 26, pp.
2-14.
Prell, C., 2012. Social network analysis: history, theory & methodology. London: SAGE.
Pringle, H., 2004. Celebrity sells. Chichester : J. Wiley

Schumpeter, J.A., 1942. Capitalism, Socialism and Democracy. London: Unwin University.
Searle, N., (2011) Changing business models in the creative industries: the cases of television computer games
and music. [online] Available at: <www.ipo.gov.uk/ipresearch-creativeind-full-201110.pdf> [Accessed 3 May
2013].
Seat2meet, 2013. Seat2meet. [online] Available at: <http://www.seats2meet.com>[Accessed 10 May 2013].
Seelos, C., and Mair, J., 2007. Profitable business models and market creation in the context of deep poverty: A
strategic view. Academy of Management Perspectives, 21,pp. 49-63.
Shively, G., and Galopin, M., n.d. An Overview of Benefit-Cost Analysis. [online] Available at:< http://www.agecon.
purdue.edu/staff/shively/COURSES/AGEC406/reviews/bca.htm> [Accessed 15 July 2013]
Stewart, D. W. and Zhao, Q., 2000. Internet marketing, business models and public policy. Journal of Public
Policy and Marketing, 19, pp. 287-296.
Stiles, J., 2001. Managing strategic alliances success: determining the influencing factors of intent within
partnerships. In: J. Genefke and F. McDonald, eds. 2001. Effective collaboration managing the obstacles to
success. New York: Palgrave, pp. 17-43.

88

89

 Strijp-S, 2013. Strijp-S works. [image online] Available at: <http://www.strijp-s.nl/office-s> [Accessed 10 August
2008].
Synthetos, 2011. Synthetos 20plexi strip SNIJLAB style. [online] Available at: < https://www.synthetos.com/
synthetos-20-plexi-strip-snijlab-style/ > [Accessed 20 July 2013 ].
Talluri, T, K. and Van Ryzin, J, G., (2005) The Theory and Practice of Revenue Management. New York: Spring
science + business media, INC.
TechShop, 2013. Welcome. [online] Available at: <http://www.techshop.ws> [Accessed 3 May 2013].
Teece, D., 1980. The diffusion of an administrative innovation. Management Science 26, pp.464470.
Teece, D.J., 2010. Business models, business strategy and innovation. Long Range Planning, 43, pp.172-194.
The innovation centre for RCA graduates and business, 2013. The innovation centre for RCA graduates and
business. [online] Available at: <http://www.innovation.rca.ac.uk>[Accessed 10 May 2013].
The International Design Center Berlin, 2013. The International Design Center Berlin [online] Available at: <www.
idz.de/en/>[Accessed 10 May 2013].
The Jewellery Industry (2013) The Jewellery Industry. [online] Available at: < http://www.bcu.ac.uk/business/ourresearch-and-expertise/jewellery-innovation-centre>[Accessed 10 May 2013].
The Light House, 2013. The Light House. [online] Available at: <http://www.thelighthouse.co.uk> [Accessed 25
April 2013 ]

Waag Society, 2013. Call for participation: mobiles for good 2013. [image online] Available at: < http://Waag.org/
en/news/call-participation-mobiles-good-2013> [Accessed 10 August 2008].
Waag Society, 2013. Open wetlab in financial daily newspaper. [image online] Available at: < http://Waag.org/en/
blog/open-wetlab-financial-daily-newspaper> [Accessed 10 August 2008].
Waag, 2013. Waag Society. [online] Available at: <http://Waag.org/nl> [Accessed 25 May 2013]
Wilson, R.J., 2010. Introduction to graph theory. Essex: Pearson education limited.
Winter, S.G. and Szulanski, G., 2001. Replication as strategy. Organization Science, 12(6), pp.730743. [online]
Available at: <http://orgsci.highwire.org/content/12/6/730.full.pdf+html> [Accessed 3 May 2013].
Zott, C., Amit, R. and Massa, L., 2011. The business Model: Recent Developments and Future Research, Journal
of Management. 37(4), pp.1019-1042.
Emma Murphy, Jussi Sorssimo, 2013, Masterclass on Design Procurement
Emma Murphy, Sally Collier, Camilla Buchanan, 2013, Buying Design: Where are we now?
Cordis, 2011, Pre-commercial Procurement: Driving Innovation to ensure high quality public services in Europe
Cordis, 2012, Policy related frequently asked questions on Pre-commercial Procurement (PCP)
Decipher, 2014, Pre-commercial procurement
Jussi Sorssimo, 2014, Helsinki Masterclass: Engendering Empathy in Design Procurement Culminatum
Innovation

The storey (2013) The storey. [online] Available at: <http://www.thestorey.co.uk>[Accessed 10 May 2013].

Suzan Ikvalko, 2013, Pre-commercial procurement in eHealth Culminatum

Thompson, J.D. and MacMillan, I.C., 2010. Business models: Creating new markets and societal wealth. Long

InnovationWolfgang Knapp, Nina Widmark, Stephen Hughes, Ilona Lundstrm, Angelica Roschier, 2011, Design

Range Planning, 43, pp. 291-307.

Options Paper - Pre-commercial Procurement of Innovation (PCP) European Commission Enterprise and Industry

Timmers, P., 1999. Electronic Commerce. Chichester: John Wiley.

Trott, P. and Hartmann, D, 2009. Why 'open innovation' is old wine in new bottles. International Journal of
Innovation Management, 13(04), pp. 715-736.
Troxler, P. and Schweikert, S., 2010 Developing a Business Model for Concurrent Enterprising at the Fab Lab.
[online] Available at <http://www.ami-communities.eu/pub/bscw.cgi/d573159/Developing%20a%20Business%20
Model%20for%20%20Concurrent%20Enterprising%20at%20the%20Fab%20Lab.pdf> [Accessed 1 June 2013].
Troxler, P., Schweikert, S. and Scheidegger, M., 2010. Personal Fabrication: designing a business model for the
next digital revolution. [online] Available at: <http://square-1.eu/site/wp-content/uploads/2012/02/Troxler-2010.Personal-Fabrication.-Designing-a-Business-Model-for-the-Next-Digital-Revolution.pdf> [Accessed 18 July 2013]
Ul-Haq, R. and Morison, I.C., 2001. The forms and purposes of strategic alliances in the European banking
sector. In: J. Genefke and F. McDonald, eds. 2001. Effective collaboration managing the obstacles to successl.
New York: Palgrave, pp. 44-61.
Villanueva, O. A., Chacn, X. N., Artazcoz, O. B., de Acedo Lizarraga, M. L. S., and de Acedo Baquedano, M. T.
S., 2009. Web2. 0 Tools to support the Instructional Method Thinking actively in a Creative Environment. In
Computational Science and Engineering, 2009. CSE'09. International Conference.
Von Hippel, E., 1988. The sources of innovation. USA: Oxford University Press
Waag Society, 2013. Building bio electricity reactors@ OHM. [image online] Available at: < http://Waag.org/en/
blog/building-bio-electricity-reactors-ohm> [Accessed 10 August 2008].

90

91

A Modular Business Plan for the

creation of Design Innovation Hub
Designregio Kortrijk and Lancaster University
December 2014

92