My morning presentation for Alcatel-Lucent Bell Labs, on May 4, 2012.
Whether it's incremental or radical, at its core innovation is about changing the market. To do so, most multinationals start to learn that they also have to adapt from within, and at some point escape from the slow-moving innovation pipeline paradigm. From open innovation to intrapreneurship, many innovation trends have been surfacing to answer this issue. But successful or not, these new paradigms are in many cases a gamble, that doesn't fit in a comprehensive strategic vision. Based on our experience with several blue chip companies and our own research, this short keynote will try to give a clear perspective and ground rules to select and implement new forms of innovation.
Philippe Méda has had several lives in innovation markets: as a biotech researcher with a PhD, as a sales and marketing director in large pharmaceutical corporations, but also as a SME manager. He founded in 2007 Merkapt, a consulting and training agency that copilots the innovation process of startups, incubators and multinationals in Europe and Singapore on highly challenging, fast-growing markets.
Welding Electrode Making Machine By Deccan Dynamics
Intrapreneurship or Extrapreneurship?
1. Intro
INTRA- OR
Innovation
Unknown waters
Reasonable risk?
Culture
Openness EXTRAPRENEURSHIP?
Alcatel-Lucent / Merkapt
Philippe MÉDA, Mai 2012
2. Intro
Innovation
Philippe MÉDA / business designer
Unknown waters
Reasonable risk?
Culture
Openness
3. Intro
Innovation
Our secret sauce
Unknown waters
Reasonable risk?
Culture
Openness
( )+( )
Innovative
people
startups X multinationals X business
in transition
model
4. Intro
Innovation
Innovation as seen in MBAs
Unknown waters
Reasonable risk?
Culture
Openness
11. Intro
Innovation
Innovation doesn’t care about your product
Unknown waters
Reasonable risk?
Culture
Openness
2002
12. Intro
Innovation
Innovation doesn’t care about your product
Unknown waters
Reasonable risk?
Culture
Openness
13. Intro
Innovation
Innovation doesn’t care about your product
Unknown waters
Reasonable risk?
Culture
Openness
14. Intro
Innovation
Innovation doesn’t care about your product
Unknown waters
Reasonable risk?
Culture
Openness
15. Intro
Innovation
Innovation doesn’t care about your product
Unknown waters
Reasonable risk?
Culture
Openness
Product?
Service?
Experience?
Way of life?
16. Intro
Innovation
We don’t see the future*
Unknown waters
Reasonable risk?
Culture
Openness
«There is little reason for an individual
to have a computer in their home»
Ken OLSEN, CEO Digital Equipment, 1977
17. Intro
Innovation
We don’t see the future*
Unknown waters
Reasonable risk?
Culture
Openness
18. Intro
Innovation
We don’t see the future*
Unknown waters
Reasonable risk?
Culture
Openness
«Slow hunch»
20. Intro
Innovation
Innovation vs. status quo
Unknown waters
Reasonable risk?
Culture
Openness
« Within a group of macaques, the last to adopt
innovation are alpha males»
François TADDEI (Laboratoire de Génétique Moléculaire Evolutive et Médicale, U571 INSERM)
28. Intro
Innovation
Unknown waters
Unknown waters
Reasonable risk?
Culture
Openness
Techno risk
ROI
Horizon
Innovation
pipeline
Market risk
RI
So M
No ny
kia
31. Intro
Innovation
Unknown waters
Unknown waters
Reasonable risk?
Culture
Openness
Innovation Killers : How Financial Tools
Destroy Your Capacity to Do New Things
by Clayton M. Christensen, Stephen P. Kaufman, and Willy C. Shih,
Harvard Business Review, 2008.
DCF Trap
Fixed & Sunk Costs
Earnings /Share Focus
Stage-Gate Innovation
35. Intro
Innovation
3 Strategies
Unknown waters
Reasonable risk?
Culture
Openness
Innovation
pipeline
We know the problem
and the solution
In-house
Status quo
x ROI
Stock market valuation
36. Intro
Innovation
3 Strategies
Unknown waters
Reasonable risk?
Culture
Openness
Innovation Strategic
pipeline portfolio
We know the problem We know the problem,
and the solution and don’t believe there’s a
clear solution yet
In-house Outsource
Status quo Budget
x ROI x Skills
Stock market valuation
37. Intro
Innovation
3 Strategies
Unknown waters
Reasonable risk?
Culture
Openness
Innovation Strategic
Intrapreneurship
pipeline portfolio
We know the problem We know the problem, We don’t really get
and the solution and don’t believe there’s a the problem yet,
clear solution yet but we are the best
to create a solution
In-house Outsource In-house?
Status quo Budget Politics
x ROI x Skills x Freedom
Stock market valuation VISION
39. Intro
Innovation
The buccaneer’s guide
Unknown waters
Reasonable risk?
Culture
Openness
Get a «Privateer letter of marque»
Get «Rules of engagement»
Navigate out of the pipeline
«Steal» resources from BUs
Be neither in nor out
Trap competition in a guerilla
Shortcut decisions
Create an open network
Flirt with IP infringement
Sell mockups and prototypes
Pivot when necessary
Ramp up...
Or fail and learn fast
Politics x Freedom
40. Intro
Innovation
Unknown waters
Reasonable risk?
Culture
Planned innovation vs. Actually doing something
Openness
mentoring
Incubation
training
consulting
coaching
➊ BOOT ➋ BUFF ➌ BOOST
«IN» «THROUGH» «OUT»
Rules of engagement Explore and fail early Plug in the ecosystem
6 months 6 months 6 months
300 5 prototypes sales
30 ideas 10 3
47. Intro
Innovation
#1 Culture
Unknown waters
Reasonable risk?
Culture
Openness
Eliminate waste
Fail early
Pivot / Iterate fast
Get to actually know customers!
Sexy
48. Intro
Innovation
Innovation pipeline
Unknown waters
Reasonable risk?
Culture
Openness
MORE SPECS
COMMODITIZE
TECHNOLOGY PATENTS SPECIFICATIONS ROI
49. Intro
Innovation
Entre / Intra-preneurship
Unknown waters
Reasonable risk?
Culture
Openness
CHANGE
THE MARKET
ADDED BUSINESS
( TECHNOLOGY ) REVENUES
VALUE MODEL
55. Intro
Innovation
Unknown waters
Reasonable risk?
Degree of openness
Culture
Openness
Innovators
Open
Outsiders Extrapreneurship
Innovation
Blue
Employees Intraprenarship
Ocean
Final
Structure
BU Startup
56. Intro
Innovation
Unknown waters
Reasonable risk?
Degree of openness
Culture
Openness
Outsiders Work Outside
Open challenge Investment
Open innovation mentoring Acquisition
with customers New partnership
Co-innovation Incubation New coopetition
with partners Spin-o!
Public incubators training
consulting
Research grant coaching Work Inside
New version
Insiders New product
Internships New market
Cross-BU creativity New business line
Corporate task force New business unit
Market research
Strategic focus (Reincubation)
57. Intro
Innovation
Unknown waters
Reasonable risk?
Extrapreneurship
Culture
Openness
• One place to bind them all
3. WALLED GARDEN • Hardcore integration of user experience Apple, Facebook,
• No, or low, barrier of entry to play in Salesforce...
• High ramp up potential
58. Intro
Innovation
Unknown waters
Reasonable risk?
Extrapreneurship
Culture
Openness
Outsiders
Open challenge Work Outside
mentoring
Open innovation Investment
with customers Acquisition
Excubation
Co-innovation New partnership
with partners New coopetition
Public incubators Spin-o!
Research grant
59. Intro
Innovation
Unknown waters Innovations
Reasonable risk?
Culture
Openness
Structure O"re Marché
valeur activités et partenaires offre canaux de modes de segments
ressources monétisation communication
ajoutée clefs stratégiques produits distribution clients
MAXIMISER INNOVATION OUVERTE ALLIANCES MICRO SÉRIES PARTAGER L’ADDITION LES CLIENTS DANS «GO GLOBAL» CLIENTS INSOLVABLES
WoW, Star Wars, Dofus, InnoCentive, Spigit TEMPORAIRES Zynga, Shapeways, Crowdfinancing, L’ENTREPRISE cavissima.com, levin2.0, myrecyclestuff
Disney merkapt, DavidS vs. archiduchesse friendsclear, tupperware, pesinet.org, think as a website - go
Goliath, bundle of apps mymajorcompany, clicboutique, global, jedepose.com
RECRUTER LE CLIENT wyseed, lookatmygame, DÉPLACEMENT
goldenhook,
REVENIR AU COEUR Beta tests, Apple At Home CUSTOMISATION DE macminicolo.net, blue ocean
supermarmite
IBM, Seesmic, Zodiac Advisors, Labotec COOPÉTITION MASSE colocation, location «GO LOCAL»
IBM / Oracle, Microsoft / Maqet.com d’actifs, myfab parenco.org,
Mozilla, logiciel libre, GUÉRILLA DESTRUCTION
COLLISION DES «CROWDSOURCE»
Peugeot 107 / Toyota tupperware, pesinet.org, CRÉATIVE
BESOINS Wikipedia, Guerra RECYCLER / REMIXER CHANGER LA «GO GLOCAL»
Creativa, Eyeka, Aygo / Citroën C1 clicboutique, franchiser
Hôtel hospitalier (H. Carrefour City
GRANULARITÉ
Dieu), tourisme médical 99designs, iStockphoto MARCHÉS EN
FRACTALISER KIndle singles, location
CONSTRUIRE UN auto, payer à la conso PACKAGER CASCADES
Smart 4x4 LONGUE TRAÎNE
ÉCOSYSTÈME Zeri, propagation
«BOTTOM-UP» «NO FACTORY» Amazon, Zappos
P&G, GE... Nike Google / Apple apps vs. STATUFIER
Microsoft, Facebook / TRANSFORMER EN TARIFICATION
Rolex, Channel 5,
Zynga vs. Myspace, DYNAMIQUE COURT-CIRCUITER
SERVICE McDonald’s
MINIMALISME EXTERNALISATION Salesforce offre / demande, temps iTunes, Auchan Drive
chaud-devant, restoin
Google, Craiglists, Alibaba, EXTRÊME réel, matière première /
Dropbox, Youtube, Taxi G7 stock «GAMIFY»
Slideshare... DÉCALER DANS LE
«micro-rewards», morsel,
Nokia N9, Logan Dacia, epicwin TEMPS
Minecraft, Jolicloud, MICRO REVENUS crèche de nuit,
Chrome OS, Boeing Scan recrutement de séniors
Eagle «FREE BUSINESS»
limiter (freemium, DÉMATÉRIALISER
COPIER-COLLER période essai, cathode) , digibidi
Jimmy Fairly appâter, sponsoriser
ÉLARGIR LA
RÉMUNÉRATION
$ / recommendation /
connaissance
BÉNÉFICE MUTUEL
61. Intro
Innovation
Unknown waters
Reasonable risk?
If you got it right...
Culture
Openness
AL - MBA
Students?
External Incubator
IP
Hackathon
Product
International Challenge
SDK
Bottom-up Innovation
62. Thanks! Innovation copilots
Philippe MÉDA
pmeda@merkapt.com
@PMerkapt
«I haven't failed ...
I've just found 10,000 ways
that do not work.»