GNEC-STEP, Ludhiana Thapar University, Patiala ICRISAT,Hyderabad STP-Pune SINE-Mumbai CIIE-IIM, Ahmedabad NDBI-NID, Ahmedabad JSSATE-STEP,Noida STEP-IIT, Roorkee BITS-Pilani MITCON, Pune STEP-IIT, Kharagpur BEC-STEP, Bagalkot NITK, Surathkal ICICIKP,Hyderabad CTP, Bangalore SJCE-STEP, Mysore TBI-NITC, Calicut VIT-TBI, Vellore PSG-STEP, Coimbatore TBI-KEC, Perundurai TREC-STEP, Tiruchirappalli PMCTech-TBI, Thanjavur Madras Univ, Chennai E-Health, Bangalore Univ, Hyderabad TBI TechnoPark-TBI, Trivandrum ISBA Network Bannari Amman Inst. of Tech Ekta Incubation Centre WBUT, Kolkata SIIC, IIT, Kanpur Amity Innovation Incubator,Noida EDC, SXC,Kolkata NCL, IPVC,Pune KIIT-TBI, Bhubaneswar RTBI,IIT-Madras, Chennai MUT-TBI, Manipal MMRDA,Mumbai CEDOK,Dharwad SPC-TBI, Avadi SSGMEC, Shegaon UDSC-TBI, New Delhi SINED, Karnal Villgro, Chennai IAN Incubator, New Delhi
Standing on the Shoulders of the Giants Peter Drucker Adam Smith “ Innovation is the Vehicle for entrepreneurship …” “ It is not from the benevolence of the butcher, the brewer, or the baker that we expect our dinner, but from their regard to their own interest.”
Capital Machinery Management Land Labour Natural Resources Science & Technology Innovation Entrepreneurship Agricultural Economy Industrial Economy Knowledge Based Innovation Economy Democracy BarbarismSavagerySlavery Imperialism 44 yrs 65 + yrs
Industry Agri, Services, Banks, FIs etc Institutions Hunter Gatherer Society Government Judiciary, Army, Welfare etc
Industry Agri, Services, Banks, FIs etc Institutions Hunter Gatherer Society Agri Cultural Society Government Judiciary, Army, Welfare etc
Industry Agri, Services, Banks, FIs etc Institutions Government Judiciary, Army, Welfare etc
Industry Agri, Services, Banks, FIs etc Institutions Government Judiciary, Army, Welfare etc Incubators
Dream Innovation SPIRIT Reality Higher Productivity Resources Teams Productively organized and Efficient
Incubators SME Entreprnr ProfYYY ZZZ XXX Fund Start-up Entrepreneurs: Social and Economic Innovation Leaders
Business Incubator, The Rainbow Equation …! BI Investment After 5 to 7 years Tax Revenue to Governments ( Profit, Turnover, Manufacturing Taxes) Innovation : New products / processes pobJs 030 er mln. I n v e s t m e n t Government & Society Community Regional Development Human Development MISS Most Impt. Statistical Signifince.
Incubators Jobs Regional Development Affirmative Action Investment Growth Innovation Stimulus Others: Taxes, Culture … Which is the most Unique Contribution?
Why are very big Companies pursuing Incubators ?? CISCO Intel Pricewaterhouse Coopers IBM Etc Reference Books:- 1.Structure of Scientific Revolutions – Thomas Kuhn 2.Innovators Dilemma – Clayton Anderson
Top Class Companies facing certain Innovative Technology / Markets fail Why they failed ? Precisely because they followed “ Best Management Practices ” and decisions, like Listened to customers carefully, Studied the market carefully, Systematically invested on innovation with best returns e.g Mainframe-Minis_PCs, Integ Steel Mills,Earth movers, Photocopiers, Disk Drives etc There are times at which it is right NOT TO Listen to your customers, right to invest in developing low perform products / innovation & right to aggressively pursue small rather than substantial markets TIMES OF DISRUPTIVE INNOVATION -in ‘Innovators Dilemma’- Clayton Anderson
Required Functionality Maximum Usable Features Outdated Technology Current Average Technology Best Practice Best Lab Technology Promising Technology Graduate Thesis Crack Pot Idea Now Time Real Utility In c u b at or s Tepp 1Tepp 1 Tepp 2Tepp 2 Ac ad em ics RIs
Grown Ups Start-ups Isn’t it too good to be true for Incubators ? Yes, because of VALUE NETWORKS ( Context of Business ) 1. Product Performance, 2. Tech grows faster than market demand 3. Not a Rational Investment Option for DI 100 mln 200 mln 1 mln
Consider a Turkey, fed every day. Every single feeding shall make the bird assume that it is the general rule of life to be fed every day by friendly members of the human race “looking out for its best interests,”. However, on the afternoon of the Wednesday before Thanksgiving, something unexpected will happen to the turkey. It may incur a revision of belief. - ‘The Black Swan’, Nassim Nicholas Taleb
Towards a Metrics for Incubation : Good and Bad If a thing can not be measured it can not be improved. Improvement needs defined Processes and Process Capabilities Best Practices / Processes Objectives / Charter #$%^&*&! ++)( #$%&@ ^#@^:>?.,/. @$%$)(*** Input Conditions Best Practices / Processes Targets : $ $ $ TDP + + Mkts Glob/ Loc GR Inputs Good Business Incubation Practices : Are they really good ?
BUTTERFLIES: Once a little girl saw a pupa She was watching it for many hours as the butterfly inside was struggling to come out. Then it got stuck. Wanting to help the butterfly she cut open the cocoon and freed it. BUT ALAS! IT COULD NOT FLY AND IT NEVERWOULD. The Butterfly’s struggle to get through the small opening is nature’s way of forcing fluid from the body to its wings, so it would be ready for flight.
Next day the same thing happened …. She saw another butterfly struggling to come out. She can not do anything. She stood there shouting and yelling “ Come up “, “ Be careful“, Don’t get hurt “,” Keep it up” “ No-No”, “Yes-Yes” “ Prepare a Business Plan”, “ No good strategy” Finally the butterfly came out and started flying beautifully. She was in laughter and tears The Butterfly came, sat on her shoulders & said “ Thank you, I became a butterfly only because of you ! ”
“ Business Incubators & Science Parks are the greatest innovation of the 21 st Century Industrialization ” - Jiang Zhameen, Former Chinese Premier