INNOVATION: MANAGING RISK, NOT AVOIDING IT

The following is an annual report prepared by the Government of the UK to help policy makers prioritise support and funding for new scientific and technological advances. The report is titled, "Innovation: managing risk, not avoiding it", and true to its name, it calls for an approach that balances technological advantages with economic growth as well as responsible governance. A very interesting read! Link to Article.

•  Innovation involves more than just physical products. Some 78% of the UK economy is in services, where innovation plays a key role.

•  Technological improvements will increase productivity by as much as 25% and will generate a predicted $3.7 to $10.8 trillion for the world economy by 2025.
•  As digital access increases, it is estimated that four billion people will be online by 2020, using up to 50 trillion gigabytes of data.

•  Risk of failure is an intrinsic aspect of innovation.

• Psychological factors shape the decisions people make about innovation.

• Innovation and the associated flow of ideas,products,services and people are likely to continue to provide significant opportunities for progress  but these same trends are also likely to be associated with increasing systemic risk, complexity and uncertainty.

• As our world becomes increasingly interconnected and complex, we become increasingly vulnerable to systemic risks
• Many of our greatest inventions have come through partnerships between states and corporations.

• Policy makers and societies need to prepare for the inventions that 

          will emerge and disrupt the global economy.

• The volcanic eruption showed how a single shock can cause widespread impact.

• Flooding in Thailand interrupted the production of electronics, cars and soft drinks.

• Governments must look beyond five-year terms to ensure genuine preparedness and resilience.

• SOCIAL MACHINES: MANAGING RISK IN A WEB-ENABLED WORLD (Page 88) 

•  Powerful technologies put more power into fewer hands.

• The products in use today have never been safer. However, the regulatory systems themselves have become more complex, more time consuming and considerably more costly.
  
  
  Technology foresight has contributed to government support for the development of innovative technologies for over 30 years.
  
  It is clear that French society encounters problems when debating regulatory frameworks for new technologies.