Value Creation at the Private and Public Sector Interface

Abstract

Understanding value creation has a significant impact on regional vitality. Money or economic factors alone cannot generate vitality; it requires action according to human values, the production of customer value and the reconciliation of common interests. The mutual needs and interests of the private and public sectors must therefore be addressed and balanced as common acceptable policies. The objects of policy balancing are located at the interfaces of the sectors, which can be called value points. Value points focus critical interests and tensions between the partners. The balance of value points, mutual understanding and clarity of roles enable the emergence of vitality. Therefore, economic benefit is generated continuously by the processes and systemic nature of the private and public sector and as their result. Digitalization—the adoption of electronic services and operating models that utilize this systemic nature—enables new elements to generate value creation in constant change. Services, encounters and operating models must be renewed to meet the requirements of the operating environment. This article introduces how the Evolute method can be used to conceptualize and find the necessary information for successful change management in the layered and interdependent environment of continuous change.