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Innovation Theory, Aesthetics, and Science of the Artificial After Herbert Simon

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Abstract

In innovation, the role of aesthetics is important, possibly paramount, but this factor is not reflected in mainstream innovation theory and research. The paper suggests that aesthetics, supported by serendipity, imagination, and creativity constitute the core, i.e., the “soul” of innovation, and that these factors fuel the dynamics of innovation. These factors are set within a framework, a type of conceptual “iron triangle” or trinity of innovation consisting of: diffusion, entrepreneurship, and novelty. Within this, the novelty, this “something” new becomes an innovation because of diffusion, but the diffusion of the innovation is critically dependent on actors with an agency of promoting innovation, i.e., diffusion is pushed by entrepreneurship. Aesthetics fuels this dynamic together with factors related to serendipity, imagination, and creativity. The challenge of incorporating aesthetics and its associates in innovation theory may become feasible by adoption and further development of Herbert Simon's theory of the science of the artificial. The article suggests how this could be done; basically by redefining Simon's notion of the role of the “utility function” in optimization as one that is ruled by aesthetics.

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Notes

  1. Ironically, in spite of their achievements in innovation research and theory building, they are not, as economists, what in German is called Salonfähig, as evident in their discourses where they often expend much energy on a criticism of rival economic approaches, in particular the so-called neo-classical economic approach and its notion of equilibrium; their critique is that these approaches do not recognize the dynamic factor of innovation in economic development.

  2. Of course, there are exceptions, such as Robert Merton and Myron Scholes, who received the Nobel Memorial Prize in economics (not a real Nobel prize) in 1997 for developing a new method to determine the value of derivatives, and subsequently served as partners in the hedge fund Long-Term Capital Management, that went out of business in year 2000, primarily because its speculative ventures flopped. Myron Scholes later established the Platinum Grove Asset Management that went bankrupt in 2008. Robert Merton went on as a “science officer” in The Trinsum Group, another hedge fund, which went bankrupt in January 2009.

  3. A somewhat similar distinction is made by the theories that suggest that modern knowledge production systems consist of two disparate modes, “Mode 1” and “Mode 2.” Mode 1 is equated with knowledge systems organized as disciplines, typically at universities, and Mode 2 knowledge systems, having a solutions oriented approach, found mainly outside the academia, such as in private sector, governmental agencies, public sector R&D organizations, industrial R&D, etc. (cf. [11, 12].

  4. Possibly, Simon may be interpreted as having a positive idea of “artificial”; in the text, it does not have a negative connotation. In colloquial English and many other European languages (e.g., “künstlich” in German), the expression “artificial” also carries a derogatory connotation as it may imply insincerity, hypocrisy, falsehood, such as in the statement “He seemed artificially friendly.”

  5. In innovation research, one may at times encounter characteristics such as “innovation that failed”. This term has been used for the Picturephone, developed by AT&T’s Bell Labs and launched on the market in 1964. Because only 500 units were sold, this was subsequently withdrawn from the market and designated as a commercial failure, i.e., it did not become the innovation that the Bell Labs researchers had hoped for because the diffusion of Picturephone did not happen. Logically, there is no such thing as an “innovation failure” because this is a contradiction of terms, what is sometimes called a “category mistake”, somewhat similar to the notion of a corpse being “vitally dead”.

  6. This is based on the statement Louis Pasteur made in a lecture at the University of Lille in 1854: “Dans les champs de l'observation le hasard ne favorise que les esprits préparés.”

  7. An explanation of this is given in the works of Peirce, cf. “§3. Pragmatism—the Logic of Abduction”—http://www.textlog.de/7663.html

  8. Cf. http://website.lineone.net/~sobriety/ for a presentation of chindogu.

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Godoe, H. Innovation Theory, Aesthetics, and Science of the Artificial After Herbert Simon. J Knowl Econ 3, 372–388 (2012). https://doi.org/10.1007/s13132-011-0055-6

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