Why (companies need to continuously innovate in order to survive, the foundation of the business might change entirely every 5 years) What (definition of intrapreneurship incl. examples from companies, characteristics of intrapreneurs, many preach about the freedom of the entrepreneur VS the slavery as employee – intrapreneurship is the middle ground..)Intrapreneurship borrows from the principles of entrepreneurship. Whereas entrepreneurship is the act of spearheading a new business or venture, intrapreneurship is the act of spearheading new programs, products, services, innovations, and policies within your organization. How (what is required: incentive structure, culture, people, resources, processes, tools, environment, leadership)The entrepreneur is a unique breed. Whereas nearly everyone can be taught the skills of decision making and problem solving, not everyone is born with the motivation needed to turn nothing into something and many existing businesses are aware of this. These businesses provide the perfect environment for those who may possess entrepreneurial talent but who are not necessarily compelled to come up with the next, great startup from scratch.
I’ve be asked to come here to interrupt your lunch and talk a bit about intrapreneurship and how to make it happen..I’ll share my personal experiences from working with several companies different innovative companies, and primarily try to talk a bit about this magical place called silicon Valley and why companies tend to create so many successful innovation in this place..
We have forgotten our creativityPut people in cubicles and make them only do one task then we forget our lateral divergent thinking skills that enables us to think quick on our feet to come up with brilliant solutions..We have all these services that help us all the time.. Sometimes it’s great to get some help, but not always cause eventually we unlearn the creative skills we where born with and become helpless.. We stop thinking about solutions and only see problems..
Back in the stone age, we were all forced to be entrepreneurs – we didn’t rely on anybody to come and help us out, we didn’t expect the system to take care of us.. Back then we had to provide for ourselves in all aspects of life – find shelter, hunt for food, make fire, protect ourselves, take care of our family… I understand that society has developed for the better in many ways, but it’s certainly worth remembering where we all come from!In todays society we have grown so accustumed to only doing one simple task.. That now we can’t event solve super simple shit anymore? We are so narrowminded.. Need to challenge ourselves to get out of our comfort zone, out of our usual roles! If you’re an engineer you need to pickup the phones and talk to customers, or even more scary actually go out in the real world and interact with real customers every now and again – you’ll be surprised how much you learn when you go and do something different.. How about a monthly “swop roles day”? Caveman analogy – get out of your comfort zone.. challenge yourself with new tasks, cross organizational teams, challenges, competitions,
Let’s talk a bit about EQ and how to collaborate and lead most effectively
The culture of Silicon Valley is the secret sauce, not the money, not the smart people, not the big corporations.. The culture is really the key aspect to a well functioning entrepreneurial ecosystem..Work smarter and harder
"Lean Startup" is an approach for launching businesses and products, that relies on validated learning, scientific experimentation, and iterative product releases to shorten product development cycles, measure progress, and gain valuable customer feedback. In this way, companies, especially startups, can design their products or services to meet the demands of their customer base without requiring large amounts of initial funding or expensive product launchesToo many startups begin with an idea for a product that they think people want. They then spend months, sometimes years, perfecting that product without ever showing the product, even in a very rudimentary form, to the prospective customer. When they fail to reach broad uptake from customers, it is often because they never spoke to prospective customers and determined whether or not the product was interesting. When customers ultimately communicate, through their indifference, that they don't care about the idea, the startup fails.
The definition of innovation… highlight the difference between invention and innovation.. Many inventions are useless because nobody uses them, in order for something to be defined as an innovation it has to be implemented successfully. Innovation can be measured on the bottom line; do you make money and/or create real impact, then it is an innovation.
Good way to define entrepreneurship… “just like all of you, most entrepreneurs don’t have a lot of money nor a lot of resources but they still pursue their dreams, they still want to change things for the better so they just go ahead anyway – and often times those who have the persistency and the right mindset will succeed.” It’s therefore extremely important that we have this “go-for-it” attitude, that we believe in ourselves and we give it a try although the odds are against us.
Ideas are fragile
….Unfortunately I have some bad news for you! Most of us in this room are going FAIL! We are not going to succeed with our ideas and companies – at least not in the first try! Reality is that most innovations fail, and most startup companies crash and burn! It is super hard to innovate and extremely hard to build a startup company… about 80% of all innovations fail and only about 1/3 or all new companies are successful..So now when you know this… – how many of you do still believe you can become successful innovators?*quickly change slide
…GREAT (*if most of them still believe) Cause you need to be delusional to be a successful entrepreneur! You need to believe that you can be the one to beat the odds and change the world.. That is the true mindset of a good innovator! And you will fail on your way to success, probably multiple times, but as long as you learn from your failures it is okay to make mistakes! *very important rule! Entrepreneurship and innovation is an extreme sport!One of the greatest entrepreneurs and angel investors in world is Reid Hoffman, and he has a great analogy about entrepreneurs…*change slide*(http://en.wikipedia.org/wiki/Reid_Hoffman)
*This slide is optional – but works well to give a boost of energy.. If you want to do it then REMEMBER TO HAVE 20 BUCKS IN YOUR POCKETWell now we’ve talked a bit about innovation and a bit about entrepreneurship… so… who wants 20 dollars right now?“the first one who raises his/her hand gets the 20 bucks right away”….. *Click, YES my friends you need to be fast and take initiative to make sure you don’t miss an opportunity here in life! Being an innovator requires your full attention and sometimes you need to react fast.. This money is for you to keep – give him/her a round of applause Okay so let’s talk a bit more about why it’s important to have an entrepreneurial mindset..
Founders of Airbnb were not having such an easy time.. Went through YC, and Paul graham didn’t believe in them.. They had spend all their own money and the seed money from YC and still hadn’t started making money..
Our innovation processes became so well known that Our CEO co-authored a book to document our methodology a few years agoIt identifies 5 key factors- the 5 disciplines of innovation– as critical in the drive to achieve market successAnd this became a best seller and the basis for our coursework on making R&D work better for national labs and other technical organizations
Larry Brilliant is an American physician and epidemiologist. Brilliant initiated and led the worldwide campaign against smallpox. In 1980, the World Health Organization (WHO) certified the global eradication of the disease. Larry later became the first director of Google’s philanthropic arm, google.org
Two of today’s most popular gaming systems also stemmed from the work of intrapreneurs. Sony’s Playstation was born out of Ken Kutaragi’s critical reception of his daughter’s Nintendo console, while he was working at Sony Labs. While still working at Sony, he started putting together a cd-rom based gaming system that eventually became the Playstation. A few years later, Robbie Bach and J Allard’s Microsoft team saw the Playstation dominating the market. They started an enormous project that would have been impossible without working under the umbrella of Microsoft research. It became the wildly successful Xbox console.
5 Disciplines in Silicon Valley
Networking - sharing knowledge and connections Build the right team Global ambitions from day 1 Fail faster – fail cheaper! Work smarter and harder - and have fun doing it
Characteristics of an intrapreneur •
They are the dreamers of new projects and they have the ability to execute. • They can find their way from the idea to actualization. • They find the necessary resources within the organization: • Funds • Manpower
How to be an intrapreneur?
1.No more “buts” 2.Deliver solutions 3.Show your smarts 4.Be a hero to your boss 5.Use positive executive behavior
How can organizations keep the
intrapreneurs from leaving? • Stay on the frontier of new technology • New ideas are encouraged • Trial and error encouraged • Failures allowed • Resources available and accessible • Multi-discipline teamwork approach • Top-Management support and buy-in
Market Success SRI’s Five Disciplines
of Innovation Important Customer & Market Needs High Value Creation Innovation Champions Innovation Teams Organizational Alignment Disciplines are multiplicative SRI International
Innovation Champion - Clears obstacles
for triumph of an idea - Identifies with customer needs - Addresses every challenge innovation faces: • Funding • Bureaucratic • Political • Human • Technical SRI International No champion – no project!
Analytical/disciplined Managerial skills Hierarchical/positional authority
Very current with project management systems & tools Commands respect Wants to make things “right” Solve problems as presented Driven by Budget, Schedule, Metrics, Specifications PROJECT LEAD Passion and commitment Leadership skills Enrolls teammates Constantly learning innovation skills and sharing with others Cross-disciplinary Wants to create customer value Looks beyond immediate problems Driven by the Value Proposition, Customer Needs, Market Opportunities CHAMPION SRI International