Innovation is a really scary thing for public agencies. Democracies and public bureaucracies are set up specifically to mitigate risk. Yet risk is an essential factor in the success of innovative companies, many of which are now all dealing with gov't regulations and bureaucracies (think Uber or Airbnb). Here's how New York City Mayor Michael Bloomberg put it in the Aug. 2011 issue of Fast Company:
"The public," Bloomberg says, "insists, and arguably has a right to insist, that it knows where its money's going. [They] have a very high expectation of results." He is talking about how the government spends its funds. "That is not the way innovation works. Innovation--the essence of innovation--is you don't know what you're going to build, what it's going to be called, how much it's going to cost. You cannot use public monies unless you can answer virtually every one of those questions, which is why government tends not to innovate. The public wants that accountability in advance, that justification in advance. But that's not going to work for certain things."
"The public," Bloomberg says, "insists, and arguably has a right to insist, that it knows where its money's going. [They] have a very high expectation of results." He is talking about how the government spends its funds. "That is not the way innovation works. Innovation--the essence of innovation--is you don't know what you're going to build, what it's going to be called, how much it's going to cost. You cannot use public monies unless you can answer virtually every one of those questions, which is why government tends not to innovate. The public wants that accountability in advance, that justification in advance. But that's not going to work for certain things."