INTRAPRENEURSHIP

Interest in Intrapreneurship
1 Intrapreneurship is, spirit of Entrepreneurship within an Organization 2 Interest in doing your own thing, your way to create some thing on your own. 3 Xerox Technology Venture (XTV) is a prominent example (PARC) 4 Innovation VS Invention 5 Cannon (Contact Lenses Software) 6 It is important to keep the Entrepreneurial spirit in order to innovate Flexibility, Growth & Diversification

Intrapreneurial Activities
1 New Business Venturing 2 Innovativeness 3 Self Renewal

Corporate VS Intrapreneural Culture

1 In the Corporate Culture the decision is based on Data collection 2 In Traditional culture emphasis is on following instructions & protecting oneself 3 Corporate follows hierarchical systems. Intrapreneural system is flat with
1 2 3 4 Networking Team work Sponsors Mentors

Comparison
Traditional Manager
1 Promotion, Power, money 2 Short term meeting quotas & Budgets 3 Delegation more than direct involvement 4 Careful 5 Concerned about Status

Intrapreneur
1 Independence, Opportunity to create 2 Long term achieving the growth plan 3 More Direct involvement 4 Risk Taker 5 Casual, Independence

Comparison
Traditional Manager Intrapreneur
6 Avoids Mistakes & 6 Deals with mistakes Surprises at all times 7 Agrees with upper 7 Follows dreams with management decisions 8 Hirarchiel Relationship 8 Based on Transactions and deal making

Barriers to Market Driving in Established Companies

1 Overturn Industry Expectations
1 React negatively to surprise 2 People dont unlearn existing practices (self image) 3 E.g. Kodak, Microsoft

2 Market Driving ideas are risky

1 Risk of failure 2 Can destroy careers

Barriers
3 New Ideas constantly lose to incremental innovation
1 Not bad, predictable progress 2 Resources are allocated to proven technologies 3 R&D also favors familiar business projects

4 Radical Ideas kill existing business 1 IBM focused on Mainframe Business

2 Microsoft stuck to its product business

Intrapreneurial Environment Transformation Process

1 Organization operates on frontier of Technology
1 2
1 2 1 2

Apple iPhone, iPod & iPad Searle - Neutrasweet

NEC Xerox 3M Searle

2 Develop processes to Indentify hidden potential 3 Trial & Error encouraged 4 No Opportunity Parameters
No departmental Barrier

Transformation Process
5 Resources are made
1 2 Available Accessible

6
1 2 1 2

Multidisciplinary Team approach

People from different departments Match employees for creativity Outlook of a VC Not sitting on your head

7 Long time Horizon 8 Voluntary Program

Transformation Process
9 Multiple Channels for new idea Approval 10 Establish Competitive Spirit 1 Motorola several teams for its wireless division
2 IBM had 6 teams working on the PC

9 Kill your own Products

1 2 3 4 Start Bucks, Benetton HLL & P&G Microsoft HP mandate - 60 % new products, last 3 years

Intrapreneurial Leadership Characteristics

1 2 3 4 5 6 7 Understands the Environment Is Visionary & Flexible Creates Management Options Encourages Team Work Encourages Open Discussion Builds a coalition of Supporters Persists

Establish Intrapreneurship process within an Organization

1 Top management should initiate the process (after getting convinced thoroughly) 2 Consultants & Internal Champions to be identified 3 Focus areas to be determined & Ideas to be identified, including funding & resources 4 Should use technology to maximum possible extent 5 Sponsors & Mentors to be identified 6 Establish strong support structure 7 Reward performance 8 Review the performance of the various initiatives

Success of Intrapreneurship Venures

1 Success not as much compared to the independent ventures 2 However focused efforts have yielded results
1 3M 2 IBM (PC, ATM, Industrial Robot) 3 Build to last Principles