1. Corporate Entrepreneurship
İhsan Elgin
Ozyegin University
Corporate Entrepreneurship

2. Why do Corporations Need Entrepreneurship?
Kodak Underestimates the Upcoming Digital Photography Trend.
Apple vs. Nokia: Share Prices
Relative to Jan. 9, 2007– The Day S. Jobs Introduced iPhone at Macworld.
The Rise of Netflix Results in
the Fall of BlockBusters...
Why do Corporations Need Entrepreneurship?

3. Corporate Life Spans Are Shrinking
“In 1958 the average tenure of a company on the S&P 500 was 61 years; by 1980 it had dropped to 25 years. Today it’s just 18.”
- Clark Gilbert, HBR
Corporate Life Spans Are Shrinking

4. Disruption is Becoming Easier
Competition is less dependent on location
“0” Marketing budget is not a burden anymore
Customer adaptation to new products is increasing
Y-Z Generation: Cool Today- Gone Tommorow Approach

5. New Trends Affecting Corporates
Technology and Consupmtion
%56 increase in global smart phone penetration
LED lamp cost decreased by %78
Number of dresses sold per minute on Ebay has increased 15 times.
Digitalization
Fastest growing banks have no actual money (SocietyOne)
Most popular media owner creates no content (Facebook)
Largest software vendors don’t write the apps (Apple & Google)
Airbnb: $25 billion
Uber: $65 billion
LendingClub: $1.7 billion(market cap)
Sharing Economy
Before:
Bank of America vs. Wells Fargo
Today:
Bank of America vs. Google
Bank of America vs. Intel
Bank of America vs. LendingClub
Vertical Competition
Startup Revolution
$14 billion investment in the last 12 months.

7. First Search of Corporates
( ? )
First Search of Corporates

8. The Word “Innovation” is Misunderstood
Employee Suggestion System
R&D Units
# of Succesful Products
( ? )

9. .0006% of Success

10. Budget / Resources / Time
Need to Release A LOT
but never enough
Budget / Resources / Time

11. Corporations need to be able to work like startups…
test ideas with a minimial amount of time and resources in order to bring those ideas to life.

12. A Culture for Innovation
Bringing Lean In

13. A Culture for Innovation
5 Types of Solutions
A Culture for Innovation
Increase
the Wealth
of Ideas
Diversify
the Porfolio
of Ideas
Change the
Approach
to Innovation
Engage with the Startup Ecosystem
Rethink
Human
Resources

14. “Fail fast, fail small.”
In each business unit, a growth board approves or rejects potential FastWorks projects
GE estimates that FastWorks can save several million dollars in development costs per project
Current GE has > 300 FastWorks- backed projects

16. A Culture for Innovation
Like serial entrepreneurs, serial intrapreneurs are more successful than one-time intrapreneurs, so we need tolerance and a supportive environment.

17. Engage with Startup Ecosystem

18. ACCELERATOR/ INCUBATOR Channels & Resource Allotment
EVENT
(One-day event, Hackhaton, Business Plan Competition)
ACCELERATOR/ INCUBATOR
Insource
Outsource
CORPORATE VC
API X
Market Access
Office Space
Biz Dev
Support
Shared Services
Cash
Channels & Resource Allotment

19. Looking for Innovators Within
Rethink HR:
Looking for Innovators Within

20. Employees never leave because of an intrapreneurship program; they leave because of the lack of intrapreneurship.