A vital new strategy for achieving a new level of innovation is the utilization of “nudges” in government operations and services. “Nudges,” per Nobel Prize-winning-economist Richard Thaler and Harvard Law School Professor Cass Sunstein, are “methods of augmenting the design of the environment in which people make decisions in order to improve individual and societal outcomes.” Nudges, per Thaler and Sunstein, “shift behaviors that maintain freedom of choice, but have the potential to make people healthier, wealthier and happier."
The convergence of behavioral economics, data and analytics, and design thinking enables leaders to create a “nudge loop” that helps inform the innovation needed to improve citizen-centric public value and outcomes. This new formula for innovation not only enables, but also accelerates, the power of nudges in public sector programs and services.