# Crowdsourcing



# Key Takeaways

<span style="font-size: 12.0pt;">Crowdsourcing has emerged as a potent tool for businesses and organizations to harness the collective intelligence of large groups of people. </span>

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**<span style="font-size: 12.0pt;">Definition</span>**<span style="font-size: 12.0pt;">: Crowdsourcing involves obtaining ideas, content, opinions, or solutions from a large group of people, typically from an online community, rather than from traditional employees or suppliers.</span>

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**<span style="font-size: 12.0pt;">Advantages</span>**<span style="font-size: 12.0pt;">:</span>

<span style="font-size: 10.0pt; mso-bidi-font-size: 12.0pt; font-family: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol;"><span style="mso-list: Ignore;">·<span style="font: 7.0pt 'Times New Roman';"> </span></span></span>**<span style="font-size: 12.0pt;">Diversity of Input</span>**<span style="font-size: 12.0pt;">: Tapping into a vast and varied group of individuals can lead to a range of ideas and insights.</span>

<span style="font-size: 10.0pt; mso-bidi-font-size: 12.0pt; font-family: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol;"><span style="mso-list: Ignore;">·<span style="font: 7.0pt 'Times New Roman';"> </span></span></span>**<span style="font-size: 12.0pt;">Cost-Efficiency</span>**<span style="font-size: 12.0pt;">: It can be more cost-effective than traditional R&amp;D methods.</span>

<span style="font-size: 10.0pt; mso-bidi-font-size: 12.0pt; font-family: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol;"><span style="mso-list: Ignore;">·<span style="font: 7.0pt 'Times New Roman';"> </span></span></span>**<span style="font-size: 12.0pt;">Speed</span>**<span style="font-size: 12.0pt;">: Quick access to feedback, solutions, or ideas.</span>

<span style="font-size: 10.0pt; mso-bidi-font-size: 12.0pt; font-family: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol;"><span style="mso-list: Ignore;">·<span style="font: 7.0pt 'Times New Roman';"> </span></span></span>**<span style="font-size: 12.0pt;">Innovation</span>**<span style="font-size: 12.0pt;">: Opens doors to out-of-the-box thinking and breakthrough solutions.</span>

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**<span style="font-size: 12.0pt;">Types of Crowdsourcing</span>**<span style="font-size: 12.0pt;">:</span>

<span style="font-size: 10.0pt; mso-bidi-font-size: 12.0pt; font-family: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol;"><span style="mso-list: Ignore;">·<span style="font: 7.0pt 'Times New Roman';"> </span></span></span>**<span style="font-size: 12.0pt;">Idea Generation</span>**<span style="font-size: 12.0pt;">: Collecting ideas on new products, services, or solutions.</span>

<span style="font-size: 10.0pt; mso-bidi-font-size: 12.0pt; font-family: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol;"><span style="mso-list: Ignore;">·<span style="font: 7.0pt 'Times New Roman';"> </span></span></span>**<span style="font-size: 12.0pt;">Micro-tasks</span>**<span style="font-size: 12.0pt;">: Breaking down tasks into smaller parts for the crowd to solve (e.g., Amazon's Mechanical Turk).</span>

<span style="font-size: 10.0pt; mso-bidi-font-size: 12.0pt; font-family: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol;"><span style="mso-list: Ignore;">·<span style="font: 7.0pt 'Times New Roman';"> </span></span></span>**<span style="font-size: 12.0pt;">Crowdfunding</span>**<span style="font-size: 12.0pt;">: Raising capital for projects or ventures from a large number of people, often via platforms like Kickstarter or Indiegogo.</span>

<span style="font-size: 10.0pt; mso-bidi-font-size: 12.0pt; font-family: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol;"><span style="mso-list: Ignore;">·<span style="font: 7.0pt 'Times New Roman';"> </span></span></span>**<span style="font-size: 12.0pt;">Open Innovation</span>**<span style="font-size: 12.0pt;">: Inviting external participants to contribute to internal R&amp;D.</span>

<span style="font-size: 10.0pt; mso-bidi-font-size: 12.0pt; font-family: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol;"><span style="mso-list: Ignore;">·<span style="font: 7.0pt 'Times New Roman';"> </span></span></span>**<span style="font-size: 12.0pt;">Data Collection and Analysis</span>**<span style="font-size: 12.0pt;">: Gathering and analyzing data from a large community (e.g., using citizen scientists).</span>

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**<span style="font-size: 12.0pt;">Risks &amp; Challenges</span>**<span style="font-size: 12.0pt;">:</span>

<span style="font-size: 10.0pt; mso-bidi-font-size: 12.0pt; font-family: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol;"><span style="mso-list: Ignore;">·<span style="font: 7.0pt 'Times New Roman';"> </span></span></span>**<span style="font-size: 12.0pt;">Quality Control</span>**<span style="font-size: 12.0pt;">: Ensuring the quality and reliability of crowd-contributed content.</span>

<span style="font-size: 10.0pt; mso-bidi-font-size: 12.0pt; font-family: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol;"><span style="mso-list: Ignore;">·<span style="font: 7.0pt 'Times New Roman';"> </span></span></span>**<span style="font-size: 12.0pt;">Intellectual Property</span>**<span style="font-size: 12.0pt;">: Managing the rights to ideas, content, or solutions sourced from the crowd.</span>

<span style="font-size: 10.0pt; mso-bidi-font-size: 12.0pt; font-family: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol;"><span style="mso-list: Ignore;">·<span style="font: 7.0pt 'Times New Roman';"> </span></span></span>**<span style="font-size: 12.0pt;">Motivation</span>**<span style="font-size: 12.0pt;">: Ensuring participants are adequately incentivized to participate.</span>

<span style="font-size: 10.0pt; mso-bidi-font-size: 12.0pt; font-family: Symbol; mso-fareast-font-family: Symbol; mso-bidi-font-family: Symbol;"><span style="mso-list: Ignore;">·<span style="font: 7.0pt 'Times New Roman';"> </span></span></span>**<span style="font-size: 12.0pt;">Communication</span>**<span style="font-size: 12.0pt;">: Effective communication can be challenging due to the decentralized nature of participants.</span>

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**<span style="font-size: 12.0pt;">Motivational Factors</span>**<span style="font-size: 12.0pt;">: Understanding what drives people to participate is crucial. Some are motivated by monetary rewards, while others seek recognition, intrinsic satisfaction, or are driven by a sense of community.</span>

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**<span style="font-size: 12.0pt;">Technological Infrastructure</span>**<span style="font-size: 12.0pt;">: Implementing crowdsourcing often requires robust online platforms or apps to gather, manage, and analyze contributions. Familiarity with these tools can give an edge.</span>

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**<span style="font-size: 12.0pt;">Ethical Considerations</span>**<span style="font-size: 12.0pt;">: It's essential to treat participants fairly, ensure transparency, and avoid exploiting contributors by offering too low compensation or not recognizing their contributions.</span>

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**<span style="font-size: 12.0pt;">Applications in Different Industries</span>**<span style="font-size: 12.0pt;">: From designing T-shirts to software bug testing, crowdsourcing is used in diverse industries. </span>

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**<span style="font-size: 12.0pt;">Integration with Business Strategy</span>**<span style="font-size: 12.0pt;">: Crowdsourcing shouldn't be an afterthought. It should be integrated into the business's overall strategy, considering its advantages and limitations.</span>

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<span style="font-size: 12.0pt; line-height: 107%; font-family: 'Calibri',sans-serif; mso-ascii-theme-font: minor-latin; mso-fareast-font-family: Calibri; mso-fareast-theme-font: minor-latin; mso-hansi-theme-font: minor-latin; mso-bidi-font-family: 'Times New Roman'; mso-bidi-theme-font: minor-bidi; mso-ansi-language: EN-US; mso-fareast-language: EN-US; mso-bidi-language: AR-SA;">As the business world becomes more interconnected and digital, the power of the crowd will only grow in importance.</span>

# Notable Examples

1. **<span style="font-size: 12.0pt; line-height: 107%;">Wikipedia</span>**<span style="font-size: 12.0pt; line-height: 107%;">: Perhaps the most famous example, Wikipedia is a free online encyclopedia created through the collaborative effort of volunteers around the world. Anyone with internet access can write and make changes to Wikipedia articles (except in certain cases where editing is restricted to prevent vandalism). This crowdsourcing approach has made Wikipedia one of the largest and most popular reference websites.</span>
2. **<span style="font-size: 12.0pt; line-height: 107%;">Waze</span>**<span style="font-size: 12.0pt; line-height: 107%;">: This GPS navigation software app uses crowdsourcing to gather real-time traffic and road info. Users of Waze can report traffic incidents, road hazards, speed traps, and other useful information, which is then shared with other users in real time. This approach helps drivers avoid traffic jams and find the best routes.</span>
3. **<span style="font-size: 12.0pt; line-height: 107%;">Kickstarter</span>**<span style="font-size: 12.0pt; line-height: 107%;">: This is a global crowdfunding platform focused on creativity and merchandising. Individuals or companies can use Kickstarter to fundraise for their projects or products, gathering small amounts of money from a large number of people. This has enabled numerous projects, from films to gadgets, that might not otherwise have found funding.</span>
4. **<span style="font-size: 12.0pt; line-height: 107%;">OpenStreetMap</span>**<span style="font-size: 12.0pt; line-height: 107%;">: Similar to Wikipedia but for maps, OpenStreetMap is a collaborative project to create a free editable map of the world. It's built by a community of mappers who contribute and maintain data about roads, trails, cafés, railway stations, and much more, all over the planet.</span>
5. **<span style="font-size: 12.0pt; line-height: 107%;">Zooniverse</span>**<span style="font-size: 12.0pt; line-height: 107%;">: A platform for citizen science projects, Zooniverse enables volunteers to contribute to scientific research. These volunteers help professional scientists with tasks that require human cognition, such as classifying galaxies, transcribing handwritten documents, or identifying wildlife in camera trap images.</span>

# Further Reading

<span lang="FR" style="font-size: 12.0pt; line-height: 107%; mso-ansi-language: FR;">Vermicelli, S., Cricelli, L., &amp; Grimaldi, M. (2021). </span><span style="font-size: 12.0pt; line-height: 107%;">How can crowdsourcing help tackle the COVID‐19 pandemic? An explorative overview of innovative collaborative practices. R&amp;D Management, 51(2), 183-194.</span>

[<span style="font-size: 12.0pt; line-height: 107%;">https://doi.org/10.1111/radm.12443</span>](https://doi.org/10.1111/radm.12443)