Academic research on failures and success factors of innovation projects presented by the University of Antwerp on Innovation Day 07

1. © UNIVERSITEIT ANTWERPEN
Failures and success factors in innovation, a research
VERHAERTINNOVATIONDAY – OCTOBER 12th, 2007
www.mastersininnovation.com
Failures and success factors in
innovation, a research
Sven H. De Cleyn
sven.decleyn@ua.ac.be
www.ua.ac.be
Commercially confidence – This presentation contains ideas and information which are proprietary of University of Antwerp, it is given in confidence. You are authorised to open and view the
electronic copy of this document and to print a single copy. Otherwise, the material may not in whole or in part be copied, stored electronically or communicated to third parties without prior
agreement of University of Antwerp.
www.mastersininnovation.com
12.10.2007 Slide 1
CONFIDENTIAL

2. © UNIVERSITEIT ANTWERPEN
Failures and success factors in innovation, a research
LECTURE CONTENT
www.mastersininnovation.com
1. Context of the research
2. Research objectives
3. Research approach
4. Key performance indicators
5. Valorisation
12.10.2007 Slide 2
CONFIDENTIAL

3. © UNIVERSITEIT ANTWERPEN
Failures and success factors in innovation, a research
1. Context of the research
www.mastersininnovation.com
• Many untapped potential in Flanders,
partially due to absence of financially
strong companies.
• High technological and financial risk profile
of projects.
12.10.2007 Slide 3
CONFIDENTIAL

4. © UNIVERSITEIT ANTWERPEN
Failures and success factors in innovation, a research
1. Context of the research
www.mastersininnovation.com
• Primary motivation: Corporate venturing
facility (Verhaert).
• Importance:
– Foundation of new high-potential ventures
– Diversification & growth of incumbents
Flanders as incubation region
12.10.2007 Slide 4
CONFIDENTIAL

5. © UNIVERSITEIT ANTWERPEN
Failures and success factors in innovation, a research
2. Research objectives
www.mastersininnovation.com
• Joint research project to assess feasibility
of the project concept.
• Partners: &
• Funding: &
12.10.2007 Slide 5
CONFIDENTIAL

6. © UNIVERSITEIT ANTWERPEN
Failures and success factors in innovation, a research
2. Research objectives
• Final objective: Develop instrument to screen
www.mastersininnovation.com
and select projects and product ideas efficiently.
• First phase: Analyse feasibility of software
development to resolve this problem.
• Next phase: Large scale international research
to gather data and build up model / software.
12.10.2007 Slide 6
CONFIDENTIAL

7. © UNIVERSITEIT ANTWERPEN
Failures and success factors in innovation, a research
2. Research objectives
www.mastersininnovation.com
• Requirements of software:
– Scoring of projects (including identification of
weaker dimensions)
– Differentiation according to industry sector
– Clustering of similar projects
– Artificial Intelligence approach (feeding
database with new projects’ information)
12.10.2007 Slide 7
CONFIDENTIAL

8. © UNIVERSITEIT ANTWERPEN
Failures and success factors in innovation, a research
3. Research approach
www.mastersininnovation.com
• Specification of required data set
– Size
– Geographic and industry sector diversity
• Required techniques
– Statistical analysis
– Artificial Intelligence
12.10.2007 Slide 8
CONFIDENTIAL

9. © UNIVERSITEIT ANTWERPEN
Failures and success factors in innovation, a research
3. Research approach
• Similar models exist to assess ventures and
www.mastersininnovation.com
NPID projects
– Business Platform Model (M. Klöfsten)
• Likert-5 assessment on 8 dimensions
• Multi industry approach
• Growth companies
– Bell-Mason Diagnostic
• Holistic assessment with yes/no questions
• Single industry focus (ICT / software)
• Growth / Mature companies
12.10.2007 Slide 9
CONFIDENTIAL

10. © UNIVERSITEIT ANTWERPEN
Failures and success factors in innovation, a research
3. Research approach
www.mastersininnovation.com
• Uniqueness of our approach:
– Holistic view
– Early stage assessment
– Integration of Artificial Intelligence (learning
system)
– Cross-industry approach, with fine-tuning per
industry sector
12.10.2007 Slide 10
CONFIDENTIAL

11. © UNIVERSITEIT ANTWERPEN
Failures and success factors in innovation, a research
3. Research approach
www.mastersininnovation.com
• Research confirms feasibility and
usefulness of model (success ratio
of 40% vs up to 85%).
• Database with more than 200 potential
influencing success factors.
• First attempt on 1 dimension in small
sample reveals discriminatory power.
12.10.2007 Slide 11
CONFIDENTIAL

12. © UNIVERSITEIT ANTWERPEN
Failures and success factors in innovation, a research
www.mastersininnovation.com
12.10.2007 Slide 12
CONFIDENTIAL

13. © UNIVERSITEIT ANTWERPEN
Failures and success factors in innovation, a research
4. Key success factors
www.mastersininnovation.com
• Small research sample of 16 product-
oriented spin-off ventures as pre-test
• Some key success factors appear, even in
this small sample
• Confirmation required in larger sample
12.10.2007 Slide 13
CONFIDENTIAL

14. © UNIVERSITEIT ANTWERPEN
Failures and success factors in innovation, a research
4. (Presumptive) Key success factors
www.mastersininnovation.com
• Preliminary screening of competitive
technologies
• Government subsidies (mainly IWT
funding)
• Product idea originating from clear market
demand (market pull vs technology push)
12.10.2007 Slide 14
CONFIDENTIAL

15. © UNIVERSITEIT ANTWERPEN
Failures and success factors in innovation, a research
4. (Presumptive) Key success factors
www.mastersininnovation.com
• Preliminary test of compliance with
customer needs through panels / lead user
analysis
• Realisation of product development within
project timing
• Business / industry experience of key
team member(s)
12.10.2007 Slide 15
CONFIDENTIAL

16. © UNIVERSITEIT ANTWERPEN
Failures and success factors in innovation, a research
4. (Presumptive) Key success factors
www.mastersininnovation.com
• Actual trademark protection and future
patents and trademarks
• Integrated product development team
(technology, market & human interface)
12.10.2007 Slide 16
CONFIDENTIAL

17. © UNIVERSITEIT ANTWERPEN
Failures and success factors in innovation, a research
5. Valorisation
www.mastersininnovation.com
• First stage valorisation:
– Input for further research
• Second stage valorisation:
– Instrument for monitoring projects
– Strategic instrument for fund management
– Service package (advice in project selection)
– Stand-alone software package
12.10.2007 Slide 17
CONFIDENTIAL

18. © UNIVERSITEIT ANTWERPEN
Failures and success factors in innovation, a research
5. Valorisation
www.mastersininnovation.com
• Target group:
– Innovating companies
– Venture Capitalists and other investors
– Incubators and technology transfer offices
12.10.2007 Slide 18
CONFIDENTIAL

19. © UNIVERSITEIT ANTWERPEN
Failures and success factors in innovation, a research
Questions?
www.mastersininnovation.com
University of Antwerp
Faculty of Applied Economics
Prinsstraat 13
2000 Antwerp
Belgium
Tel +32 (0)3 220 41 11
Fax +32 (0)3 220 44 20
www.ua.ac.be
sven.decleyn@ua.ac.be
johan.braet@ua.ac.be
12.10.2007 Slide 19
CONFIDENTIAL

20. © UNIVERSITEIT ANTWERPEN
Failures and success factors in innovation, a research
www.mastersininnovation.com
Verhaert New Products & Services nv
Hogenakkerhoekstraat 21
9150 Kruibeke
Belgium
Tel +32 (0)3 250 19 00
Fax +32 (0)3 254 10 08
www.verhaert.com
info@verhaert.com
www.mastersininnovation.com
12.10.2007 Slide 20
CONFIDENTIAL