The Concept of Corporate Entrepreneurship - Intrapreneurship

Presentation on Corporate Entrepreneurship, its strategies. Intrapreneurship & Leaders of such culture in market. Case Study of Google and its successful products and innovations.

1. 1
Corporate Entrepreneurship
Gaurav Singh Bisen
MBA-Tech Program-Marketing
NMIMS University

2. Defining the concept
Corporate entrepreneurship is the process by which teams within an
established company conceive, foster, launch and manage a new
business that is distinct from the parent company but leverages the
parent’s assets, market position, capabilities or other resources.

3. The Corporate Entrepreneurship Process

5. The Four Models of Corporate Entrepreneurship
THE ENABLER
“Company provides funding & senior
executive attention on prospective
projects”
THE OPPORTUNIST
“Company has no deliberate approach for
corporate entrepreneurship. Internal &
external networks drive concept selection
& resource allocation.”
THE PRODUCER
“Company establishes & supports a full-
service group with a mandate for
corporate entrepreneurship”
THE ADVOCATE
“Company strongly evangelizes for
corporate entrepreneurship, but
business units provide primary funding”
Dedicated
Ad-Hoc
Resource
Authority
Diffused FocussedOrganizational Ownership

6. 6
Innovation in Corporate
Entrepreneurship

7. 7
WHY
INNOVATION?
To Survive
Employee
Engagement
Increase
Revenue
Attract New
Markets
Customer
Expectations

8. 8
Types of Innovation in Corporate
Entrepreneurship
Radical Innovation
Incremental Innovation
“New to the entire world.”
- Google Glass
-Google’s Self Driven Cars
“ New to the organization itself.”
-Auto-complete, Voice Search, Universal
Search etc.

9. How they are different ?
Radical Innovation Incremental Innovation
Requires new competencies, skills &
expertise
Risk is high
Utilizes existing competencies, skills
& expertise
Risk is low
Changes the business model Business model remains same
Helps in increasing the market
share
Market Share remains the same
Explores new technologies Exploits the existing technologies

10. 10
Creating an Innovation Culture for
Corporate Entrepreneurship
The story of innovation has not changed. It has always been a small team of people who have a new idea,
typically not understood by people around them and their executives.- Eric Schimdt - Chairman Google

11. 11

12. 12

13. #5 Successful Innovation till 2015
Project Loon
Google Search
Google Glass
Google Drones
Google Self
Driven Cars

14. 14
Corporate
Entrepreneurship
Strategy

15. Conceptualizing Corporate Entrepreneurship Strategy
A vision-directed, organization-wide reliance on entrepreneurial behavior that
purposefully and continuously rejuvenates the organization and shapes the scope
of its operations through the recognition and exploitation of entrepreneurial
opportunity.

16. Critical steps of a Corporate
Entrepreneurial Strategy
STEP 1
Developing the vision & mission
Encouraging Innovation
Structuring for Intrapreneurial climate
Developing individual manners for corporate
entrepreneurship
Developing Venture Teams
STEP 2
STEP 3
STEP 4
STEP 5

17. An Integrative Model of Corporate
Entrepreneurship Strategy
Source: Duane Ireland, Jeffery G. Covin, and Donald F. Kuratko, “Conceptualizing Corporate Entrepreneurship Strategy,” Entrepreneurship Theory and Practice 33, no. 1

18. 18
Corporate Venturing &
Identifying Intrapreneuers

19. 19
Corporate Venturing
Create new business within an existing business.
4 Key
Elements

20. Culture powering Corporate
entrepreneurship
Work on frontiers of cutting edge technology, and embrace new ideas.
Encourage experimentation, people learn from their mistakes.
Ensure no organizational obstacles are present that inhibit creativity.
Resources are available and easily accessible.
Multidisciplinary teamwork approach, and establish long time-horizon
Intrapreneurship through volunteer programs.
Appropriate reward system & Support from top management.

21. Identifying Intrapreneurs

22. Establishing Intrapreneurship
Secure commitment to corporate entrepreneurship by different
management.
Identify areas & the amount of risk money where top management is
interested.
Use technology to enable flexibility.
Appropriate training programs should be adopted.
Exploit current set of database and work with least set of resources.
Establish strong support system and proper evaluation mechanism.

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Failures, Planning & Success
Mantra

24. Intraprenurial Failures
Google Wave
•Emails
•Maps
•Social Networking
•Instant Messaging
•Media Sharing

25. Reasons for Failure
Process
Complexity
Lack of Ability
Process
Inadequacy
Uncertainty
Deviance
A process
composed of
many elements
tends to break
down
An individual
doesn't have the
skills, conditions
or adequate
training the
perform the task
A competent
individual
adheres to
prescribed but
faulty or
incomplete
process
An individual
chooses to
violate and a
prescribed
process or
practice
Lack of clarity
about future
events
and unplanned
situations

26. Failure
Planning
Is a more
thoughtful and
a practical
approach.
Helps being
more analytical
and objective
by looking at
all possibilities.
Helps you move
on. Learn from
your failures
and bounce
back stronger.
Keeps you
away from
resting on your
laurels and
strive harder.

27. Create a Learning Culture
Make Risk-Taking and Failure Acceptable
Give People Ownership
Support People With Ideas
Create a Safe Place for Innovation
Celebrate and Reward Intrapreneurial Behaviour
Encourage Cross-Discipline Projects
Encourage Knowledge Sharing
Create and Allocate a Funds
Success Mantra

28. Entrepreneurs VS Intrapreneurs
Entrepreneurs Intrapreneurs
Independent in Operations
Self Fund Raising
Dependent on organization
resources.
Fund raising & resources by
organization
Operates from outside Operates within organization
Begins with a new enterprise
Brings new ideas to an established
organization.

29. 29
Decide what you want to be?