Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.

Innovationandentrepreneurship 110421040011-phpapp01

236 views

Published on

Peter Drucker - Innovation and Entrepreneurship

Published in: Business
  • Be the first to comment

  • Be the first to like this

Innovationandentrepreneurship 110421040011-phpapp01

  1. 1. Innovation and Entrepreneurship Agsb entrepreneurship elective lecture
  2. 2. Book by Peter Drucker, management guru
  3. 3. Peter Drucker
  4. 4. Definitions • Entrepreneurship – “shift of economic resources out of an area of lower to higher productivity of greater yield.” J. B. Say 1800 • Innovation – “creating value out of existing resources.” A specific tool of entrepreneurship. They go hand in hand!
  5. 5. Innovation & Entrepreneurship
  6. 6. Entrepreneurship
  7. 7. NEW VALUE FROM EXISTING • Entrepreneurship – “destroying old order and creating something new.” Schumpeter • Innovation – innovare to make new - creating value from existing things processes - not just new things; they have to be NEW VALUE
  8. 8. Types of innovation • Technical • Social • Economic Most innovations are social and economic. THEY HAVE THE MOST IMPACT!
  9. 9. Social innovations • Textbooks • Hospitals • Management • Organizations • Universities • Night/adult schools
  10. 10. Technological Innovations
  11. 11. Review • Creativity • Innovation • Inventor • Entrepreneur Who was Edison?
  12. 12. Is innovation only for small businesses?
  13. 13. Characteristics of innovation • It is hard work • It is systematic • It focuses on opportunities; not problems • It is focussed • It is customer-centric • Its effect is felt in the economy and society
  14. 14. Practices of innovative companies 1. Responsibility for innovation 2. Rewarding innovators 3. “Hiving off” – divisionalisation 4. Changing corporate rules to nurture innovation
  15. 15. Skunk works at Lockheed
  16. 16. 3M
  17. 17. 3m products
  18. 18. R & D
  19. 19. Johnson & Johnson
  20. 20. R & D
  21. 21. R & D
  22. 22. Innovation Strategies
  23. 23. 1.“The Fustest with the Mostest” Original innovations
  24. 24. At the Lead Pack..
  25. 25. Example companies
  26. 26. Original innovators
  27. 27. 2. Creative imitators “Not the orig..”
  28. 28. “Wheel suckers?”
  29. 29. Examples • IBM • J &J • Seiko • National • Swatch
  30. 30. Battle of the watches
  31. 31. 3. Creating main value propositions Business model
  32. 32. How does a company earn? – business model
  33. 33. MVP 1. Utility to the customer 2. Price 3. Customer’s reality 4. True value
  34. 34. Innovation policies in nations WHAT WILL NOT WORK: • CENTRAL PLANNING • RELYING ON TECHNOLOGICAL INNOVATION ONLY
  35. 35. Communist Party approving a central dev’t plan
  36. 36. What will work? CREATIVE DESTRUCTION OF THE OBSOLETE: • New tax laws that will favor sale of non – performing assets. • Sunset laws for obsolete gov’t agencies.
  37. 37. “Every generation needs a revolution” -Thomas Jefferson
  38. 38. French Revolution
  39. 39. Entrepreneurial Revolution?
  40. 40. Another revolution in Egypt – entrepreneurial revolution
  41. 41. Vernuft wind Unsinn,Wohltat Plage “Reason becomes nonsense, Boons afflictions” Goethe
  42. 42. Obsolescence
  43. 43. Old Manila
  44. 44. The new gets old
  45. 45. Thank you! Profjorge.entrep@gmail.com
  46. 46. acknowledgement • The picture and photographs are from Google images; • The bulk of the presentation are interpretation of the work of Peter Drucker’s book on innovation and entrepreneurship. (creative innovation?)

×