Presentation on theme: "Entrepreneurship & Intrapreneurship: What it takes to make it work. This is not in the text."— Presentation transcript:
Entrepreneurship & Intrapreneurship: What it takes to make it work. This is not in the text.
Entrepreneurship §The process of uncovering and developing an opportunity to create value through innovation and seizing that opportunity without regard to either resources (human and capital) or the location of the entrepreneur—in a new or existing company (Churchill, 1992: 586).
Entrepreneurship Characteristics §Commercial leanings §Lack of structure/self-control §Visionary tendencies. §Risk-taking/appetite for uncertainty §Persistence §Doer/high initiative §Charisma and extroversion
Entrepreneurship Characteristics §High-energy level §Strong self-image §Team building skills/uses contacts and connections §Views failure as learning §Commitment and fun
Entrepreneurs vs. Managers §Reward System - Doing what they like.Independence. §Activity - Direct involvement. §Risk - Moderate risk taker. §Status - Not concerned about status symbols. §Reward System - Corporate rewards. Promotion, staff, office, money. §Activity - Delegates and supervises. §Risk - Avoids risk. §Status - Concerned about status symbols.
Entrepreneurs vs. Managers §Mistakes - Deals and learns from them. §Decisions - Follows dreams with decisions. §Who serves - Customers and self. §Relationships - Deal- making and reciprocity. §Time orientation years. §Mistakes - Avoids or shifts blame. §Decisions - Agrees with those above them. §Who serves - Others. §Relationships - Hierarchy. §Time orientation - Short- term.
Intrapreneurship Characteristics §Understands the environment. §Visionary and flexible. §Creates management options. §Encourages teamwork. §Encourages open discussion. §Builds a coalition of supporters. §Persists.
DimensionDefinition New VenturesCreation of new autonomous or semi- autonomous units or firms. New BusinessesPursuit of and entering into new businesses related to current products or markets Product/Service Innovativeness Creation of new products and services Process Innovativeness Innovations in production procedures and techniques Dimensions of Intrapreneurship (Antonic and Hisrich, 2003)
DimensionDefinition Self-renewalStrategy reformulation, reorganization and organizational change Risk TakingPossibility of loss related to quickness in taking bold actions and committing resources in the pursuit of new opportunities ProactivenessTop management orientation for pioneering and initiative taking Competing Aggressiveness Aggressive posturing towards competitors Dimensions of Intrapreneurship (Antonic and Hisrich, 2003)
Critical Questions that need to be asked to create wealth generating activities. §Where and in what ways is change creating the potential for new rules and new space? §What is the potential for revolution inherent in the things that are changing right now, or have already changed? §What are the discontinuities we could exploit? §What aspect of what’s changing can we come to understand better than anyone else in our industry? §What’s the deep dynamic that will make our new business concept oh-so-relevant right now? (Hamel, 2000)
Recommended Reading Antoncic, B. & Hisrich, R.D Clarifying the intrapreneurship concept. Journal of Small Business & Enterprise Development, 10 (1): Churchill, N.C Research issues in entrepreneurship. In Sexton, D.L. and Kasarda, J.D. (Eds.), The State of the Art of Entrepreneurship, PWS-KENT, Boston, MA: Hamel, Gary Leading the Revolution. Harvard Business School Press, Boston.
How to Start An Insurrection 1.Build a point of view 2.Write a manifesto 3.Create a coalition 4.Pick your targets and pick your moments 5.Co-opt and neutralize (create win-win propositions) 6.Find a translator 7.Win small, win early, win often 8.Isolate, infiltrate, integrate (Hamel, 2000)
III. What’s the Process §Scan for external opportunity and internal improvements §Set explicit agreed upon goals §Rewards and Responsibility outlined §Supply energy and determination
Overview of the Process Concept Proposal Investment Director Seed Proposal Pitch Business Proposal Seed Funding Pitch Again 1st Round Biz Funding $ustainable Business GOAL
Intrapreneurship Environment § New ideas encouraged §Trial and error encouraged. Failure ok! §Resources available and accessible §Long time horizon §Appropriate reward system §Sponsors and champions available §Support of top management
Don’t Lose Focus!!! “It is the customer who, in the end, determines how many people are employed and what sort of wages companies can afford.” Lord Robens