Cross-Industry Innovation Case Studies

The G7 Toolkit for Artificial Intelligence in the Public Sector, prepared by the OECD.AI and UNESCO, provides a structured framework for guiding governments in the responsible use of AI and aims to balance the opportunities & risks of AI across public services. ✅ a resource for public officials seeking to leverage AI while balancing risks. It emphasizes ethical, human-centric development w/appropriate governance frameworks, transparency,& public trust. ✅ promotes collaborative/flexible strategies to ensure AI's positive societal impact. ✅will influence policy decisions as governments aim to make public sectors more efficient, responsive, & accountable through AI. Key Insights/Recommendations: 𝐆𝐨𝐯𝐞𝐫𝐧𝐚𝐧𝐜𝐞 & 𝐍𝐚𝐭𝐢𝐨𝐧𝐚𝐥 𝐒𝐭𝐫𝐚𝐭𝐞𝐠𝐢𝐞𝐬: ➡️importance of national AI strategies that integrate infrastructure, data governance, & ethical guidelines. ➡️ different G7 countries adopt diverse governance structures—some opt for decentralized governance; others have a single leading institution coordinating AI efforts. 𝐁𝐞𝐧𝐞𝐟𝐢𝐭𝐬 & 𝐂𝐡𝐚𝐥𝐥𝐞𝐧𝐠𝐞𝐬 ➡️ AI can enhance public services, policymaking efficiency, & transparency, but governments to address concerns around security, privacy, bias, & misuse. ➡️ AI usage in areas like healthcare, welfare, & administrative efficiency demonstrates its potential; ethical risks like discrimination or lack of transparency are a challenge. 𝐄𝐭𝐡𝐢𝐜𝐚𝐥 𝐆𝐮𝐢𝐝𝐞𝐥𝐢𝐧𝐞𝐬 & 𝐅𝐫𝐚𝐦𝐞𝐰𝐨𝐫𝐤𝐬 ➡️ focus on human-centric AI development while ensuring fairness, transparency, & privacy. ➡️Some members have adopted additional frameworks like algorithmic transparency standards & impact assessments to govern AI's role in decision-making. 𝐏𝐮𝐛𝐥𝐢𝐜 𝐒𝐞𝐜𝐭𝐨𝐫 𝐈𝐦𝐩𝐥𝐞𝐦𝐞𝐧𝐭𝐚𝐭𝐢𝐨𝐧 ➡️provides a phased roadmap for developing AI solutions—from framing the problem, prototyping, & piloting solutions to scaling up and monitoring their outcomes. ➡️ engagement + stakeholder input is critical throughout this journey to ensure user needs are met & trust is built. 𝐄𝐱𝐚𝐦𝐩𝐥𝐞𝐬 𝐨𝐟 𝐀𝐈 𝐢𝐧 𝐔𝐬𝐞 ➡️Use cases include AI tools in policy drafting, public service automation, & fraud prevention. The UK’s Algorithmic Transparency Recording Standard (ATRS) and Canada's AI impact assessments serve as examples of operational frameworks. 𝐃𝐚𝐭𝐚 & 𝐈𝐧𝐟𝐫𝐚𝐬𝐭𝐫𝐮𝐜𝐭𝐮𝐫𝐞: ➡️G7 members to open up government datasets & ensure interoperability. ➡️Countries are investing in technical infrastructure to support digital transformation, such as shared data centers and cloud platforms. 𝐅𝐮𝐭𝐮𝐫𝐞 𝐎𝐮𝐭𝐥𝐨𝐨𝐤 & 𝐈𝐧𝐭𝐞𝐫𝐧𝐚𝐭𝐢𝐨𝐧𝐚𝐥 𝐂𝐨𝐥𝐥𝐚𝐛𝐨𝐫𝐚𝐭𝐢𝐨𝐧: ➡️ importance of collaboration across G7 members & international bodies like the EU and Global Partnership on Artificial Intelligence (GPAI) to advance responsible AI. ➡️Governments are encouraged to adopt incremental approaches, using pilot projects & regulatory sandboxes to mitigate risks & scale successful initiatives gradually.

I’m thrilled to share that our paper, "Opening Up Military Innovation: Causal Effects of Reforms to US Defense Research," co-authored with the brilliant Sabrina Howell, John Van Reenen, and Jun Wong, has been officially published in the Journal of Political Economy. For decades, the conventional wisdom in government R&D procurement has been for the government to tightly specify the products it wants. Think of the Henry Ford quote: "If I had asked people what they wanted, they would have said faster horses". Our research explores what happens when the government stops asking for "faster horses" and instead opens the door for industry to propose the "automobile." We studied the US Air Force Small Business Innovative Research (SBIR) program (e.g., R&D for small businesses) where two approaches were run simultaneously: a conventional model with highly specific topics and a new open model where firms could propose any technology they thought the Air Force might need. Using a sharp regression discontinuity design, we uncovered striking causal effects for companies that won an open topic award. These companies saw significant, tangible economic benefits: * 📈 A 12 point increase in the probability of receiving subsequent Venture Capital investment * 🚀 An 11.4 point increase in winning larger, non-SBIR Department of Defense (DoD) contracts, a key measure of military adoption and scale. * 💡 An 8.9 point increase in securing a patent and a 7 point increase in securing a high-originality patent, signaling novel innovation. In stark contrast, winning a conventional award had no positive effects on commercial innovation or military adoption. In fact, its main effect was increasing the chances of winning another small SBIR award, a form of program "lock-in”. Our research demonstrates that the open approach doesn't just work by attracting different firms; the open incentive structure itself drives greater innovation. It provides an avenue for firms to identify technological opportunities the government isn't yet aware of, creating an entry point to much larger public sector contracts and private investment. This work has powerful implications for how we procure innovation across the public sector. I'm incredibly proud of what our team accomplished and hope it contributes to building a more dynamic and innovative industrial base. You can read the full paper here: [https://lnkd.in/eV7uEqeH] #Innovation #Economics #NationalSecurity #DefenseTech #SBIR #VentureCapital #DualUse #AirForce #JPE

On May 22, 2025, Microsoft signed a deal to purchase over 600,000 tons of #lowcarbon cement from Sublime Systems ; cement produced without fossil fuels, using an innovative electrochemical process. Just a few days later, on May 28, Google expanded its partnership with Arable an agtech startup helping U.S. farmers save 2 billion liters of #water using smart irrigation technology. These aren’t CSR headlines. They’re clear signals that environmental goals and financial sustainability are not in conflict. This is happening in the US even with the strong stance on #sustainability. When driven strategically, sustainability is both a climate solution and a long-term value play. But what’s even more powerful is the catalytic effect of such moves: 1- Microsoft’s purchase enables Sublime Systems to scale its technology faster and cheaper. 2- Google’s validation helps Arable prove its model and unlock broader adoption. When industry giants act as early adopters, they don’t just decarbonize they create entire markets! This is exactly the kind of thinking that can supercharge the #startupecosystem in the #GCC. With ambitious sustainability agendas, national champions in the region can turn their assets into real world #testbeds, validating technologies, shortening the path to commercialization, and nurturing homegrown solutions. We often speak of ecosystems. But ecosystems thrive not in isolation, but through interdependence between the boldness of big players and the brilliance of small innovators. #Sustainability #Innovation #ClimateTech #CircularEconomy #GCC #Startups #GreenGrowth #WaterManagement #GreenConstruction #CenterForSustainableFuture Elias Aad Dragos Fundulea

Global Regulatory Trends for Digital Public Infrastructure... #DPI This Timely Report Explores ... ➟ How foundational DPI systems, such as digital identity, real-time payments and consent-based data sharing frameworks, are transforming financial ecosystems by enhancing efficiency, reducing costs and expanding access to financial services. ➟ Institutional case studies and direct engagements with central banks, regulators, technologists and policymakers, the report offers practical insights to help navigate the governance and regulatory implications of DPI at scale. ➟ Evidence from 113 jurisdictions that have adopted at least one core DPI component, with 56 implementing all 3, the report signals a global shift toward integrated DPI and digital financial services (DFS) infrastructure. ➟ Governance, security and interoperability challenges, requiring regulators to adapt and find new ways to balance innovation with oversight. ▬▬▬▬▬▬▬▬▬▬▬▬▬ ▣ Evolving DPI landscape Global case studies provide valuable insights into the diverse approaches by different jurisdictions as they begin to implement DPI. For example, India’s #UPI exemplifies a government and private sector-led model that has rapidly accelerated digital payments adoption, whereas Brazil’s #Pix system demonstrates how a regulator-driven but industry inclusive approach can achieve similar impact. Meanwhile, other jurisdictions have adopted hybrid models that balance public-private partnerships with regulatory oversight. ➟ Early empirical evidence shows that jurisdictions with all core components coincide with better outcomes across DFS indicators - 1. Increase in debit or credit card ownership 2. Digital payment usage. 3. Better access to credit, 4. Effective government support delivery 5. Increased financial resilience. ▬▬▬▬▬▬▬▬▬▬▬▬▬ ➟ Concluding... What becomes clear from these experiences is that there is no single way to develop DPI. Instead, each jurisdiction should navigate its unique context, balancing trade-offs between innovation, control, protection, and market inclusivity. Since there is no single way to implement DPI, there is also no single way to govern DPI. Instead, governance models must be context-specific, evolving in response to each jurisdiction’s regulatory landscape, institutional capacities and market dynamics. ▣ Way forward Given these developments, the DPI principles of openness, interoperability and modularity present new opportunities for regulators to explore adapting their traditional approaches to oversight and potentially other regulatory functions ➟ Excellent Report - ‘Digital Public Infrastructure and Digital Financial Services: Convergence, Landscape and Regulatory Considerations’ was produced by the Cambridge Centre for Alternative Finance (CCAF) with support from the UK Foreign, Commonwealth and Development Office (FCDO). Source https://lnkd.in/dHJCJrXe

Something interesting is happening with AI adoption. And most people are not paying attention to it. We usually assume: Private sector → moves fast   Public sector → moves slow  But this data tells a slightly different story. AI usage is not just growing… it’s stabilizing. Public sector employees are catching up, not just experimenting, but actually using AI in their day-to-day work. And that’s a big shift. Because earlier, AI adoption was driven by: curiosity, hype and early adopters. Now it’s becoming: structured, supported and expected. There’s one detail most people overlook. It’s not just about access to AI tools. It’s about support from leadership. Where managers encourage usage, experimentation turns into habit. And habit turns into workflow. That’s when real adoption happens. If you look at the trend closely: AI is moving from: Something you try to Something you rely on And this matters more than it looks. Because once AI becomes part of daily work, the expectation from professionals also changes. Not: Do you know AI? But: How effectively do you use it? That’s a completely different game. We’re not early anymore. We’re entering the phase where AI usage starts becoming a baseline skill. And the gap will not be between who knows AI and who doesn’t It will be between who uses it well and who doesn’t.

Europe and New Zealand - a natural partnership for the global Bioeconomy The global bioeconomy is expanding rapidly, valued at over US$4 trillion and projected to exceed US$8 trillion by 2030. Spanning agriculture, forestry, aquaculture, biotechnology, bioenergy, and advanced manufacturing, this growth presents a unique opportunity for strategic collaboration. Europe and New Zealand, with distinct yet complementary strengths, are well-positioned to lead together. 🫵 Europe’s strategic edge - policy-driven innovation Europe’s approach, guided by the EU Bioeconomy Strategy, emphasizes circularity through residues, waste, and renewable biological resources. It prioritizes competitiveness by scaling bio-based innovations to strengthen industry. Climate alignment supports the European Green Deal and net-zero goals, while industrial scale-up is accelerating the shift from pilot to full-scale bio-based production. These pillars drive policy-led demand for sustainable, high-performance products. 🫵 New Zealand’s integrated strength - science meets nature New Zealand offers a sector-agnostic bioeconomy linking forestry, agriculture, and aquaculture with biotechnology, synthetic biology, and advanced manufacturing. Increasingly, companies and research organisations are translating biodiversity and scientific expertise into high-value, globally trusted products, including marine bioactives, natural ingredients, and functional foods. 🫵 Shared vision, complementary strengths Europe and New Zealand are aligned in advancing circular systems and technologies like synthetic biology and biotechnology. New Zealand’s agile, export-focused manufacturing complements Europe’s industrial ambitions, while its sustainable primary sectors support Europe’s innovation goals. Europe’s regulatory frameworks pair well with New Zealand’s strengths in sustainability and traceability, creating synergy between policy pull and export ambition. 🫵 Integration in action - what collaboration could look like Collaboration could take the form of cross-sector value networks spanning farms, forests, biotech labs, and global markets. There’s potential for culturally grounded innovation, where biotechnology intersects with mātauranga Māori to create globally distinctive products. Shared scale-up pathways, especially in the TRL5–8 range, could de-risk innovation, while aligned standards in certification, life cycle assessment, and data frameworks would enable seamless market access. 🫵 The opportunity - innovation with global impact Together, Europe and New Zealand can deliver high-value food and bio-based products, sustainable materials and ingredients, and technologies that enhance global brands while protecting biodiversity. This partnership holds immense promise for shaping the future of the bioeconomy. #Bioeconomy #Biotechnology #Biomanufacturing #CircularEconomy #EUstrategy #NewZealand https://lnkd.in/gpqW2VCV

The Senate’s approval of Microsoft Copilot, alongside other generative AI tools, for official Senate data marks a notable step in public-sector AI adoption. It reflects a broader shift from experimentation toward governed use for routine work such as research, drafting, summarization, and briefing preparation.    For AI to be useful in government, access has to be paired with policy, guardrails, and clarity on how data is handled. That balance will shape how institutions build trust internally while expanding use in practice.    As governmental bodies continue to evaluate these tools, the opportunity is bigger than productivity alone. This is about helping public servants reduce administrative burden, work more efficiently, and stay focused on the mission of the institutions they serve. 

A modern state does not need to build everything itself to remain sovereign, trustworthy, or in control. In many cases, the stronger model is the opposite. Government should remain responsible for the rules, public interest, accountability, continuity, and trust. Private-sector partners can bring delivery capacity, product thinking, technical depth, and execution. The role of the public sector is to define the problem, set the boundaries, and demand outcomes. Within that framework, capable partners should help build, operate, and continuously improve solutions. The real choice is not between a state that does everything itself and a state that gives everything away. The real challenge is to build a model where the state keeps legitimacy, stewardship, and final accountability, while making much better use of private-sector capability. In practice, that means being much clearer about what must remain public, what can be co-created, and where external capability should be used more systematically. Given the current discussions around this topic, it feels timely to share the guideline we have developed.

✈️🌍 Partnerships are a key ingredient in sustainability. One of the things I have learned throughout my career is that the most complex sustainability challenges cannot be solved by a single organisation, no matter how ambitious its targets or how advanced its technology. That’s why I am encouraged to see the collaboration between American Airlines and Google to help scale Sustainable Aviation Fuel (SAF). Aviation is one of the most difficult sectors to decarbonise. While SAF is not a perfect solution, it is one of the important tools available today to help reduce emissions from air travel. The main challenge is scaling production and making it commercially viable. It requires investment, demand, and a willingness for organisations to work together. This partnership demonstrates how businesses can use their influence to support market transformation and accelerate solutions that benefit an entire industry. The same principle applies far beyond aviation. In hospitality and tourism, we see similar opportunities every day. Whether it is supporting local farmers and fishermen, investing in renewable energy, protecting biodiversity, reducing waste, or advancing regenerative tourism, meaningful change happens when businesses, communities, governments, suppliers, and guests work towards a common goal. No organisation can create a sustainable future on its own. Real progress happens when ask questions like “What can WE do together?” That shift in mindset is often where the most impactful and lasting solutions begin. #Sustainability #SustainableAviationFuel #SAF #ClimateAction #NetZero #Collaboration #Leadership #RegenerativeTourism #Hospitality #Aviation #FutureOfTravel #ESG #SustainableBusiness

Some partnerships go beyond the brief. This is one of them.   Three years ago, Dow set out to solve one of the hardest commercial problems in industrial chemicals: how to turn lower-emission production into a revenue stream that customers can buy, trust, and report against. Andre Argenton, Daniel Futter, and Joseph Cronkright led that charge on the Dow side with a level of ambition and cross-functional commitment that made everything that followed possible. And my colleagues Nicky Collins, Prakash Chandrasekar, Lilly Connett, Jamie Ingram and many others helped to bring the idea to life on the BCG side.   What we built together is the Carbon Footprint Ledger: a certified mass-balance platform that decouples verified lower-carbon attributes from physical product flows, so they can be packaged, sold, and traced across global value chains.   Three years. Forty people. Dozens of disciplines. From concept to flagship commercial contract.   The methodology is certified to ISO 14067, independently assured by ERM-CVS, and embedded across thousands of products and dozens of sites. A pioneering approach to a problem the industry had not yet solved, and proof that the gap between sustainability investment and market return can be closed.   We presented this work at New York Climate Week in 2024 and 2025, in front of customers, standard setters, and regulators. Each time, the response confirmed that something genuinely new had been built.   Andre, Dan, Joe: thank you for your trust, your openness, and for sharing this story so candidly in this video. It was an honour to build this with you.   Watch the full video. And read the case study for the full picture: the methodology, the platform, the commercial model, and why this blueprint is designed to travel to other hard-to-abate industries. And stay tuned for NYCW 2026 for an update!   Read the case study: https://lnkd.in/dr48qVR4