Managing the Innovation Family in a Dynamic World
How to create new business in Corporates?
Corporate Venturing almost sounds like a ‘contradictio in terminis’. Can colossal, slow and inflexible dinosaurs live and work together with small, agile and entrepreneurial ventures? This book describes why and how Corporates can successfully use venturing to create new business that is crucial for their long term survival. It describes how Corporate Venturing is part of the company’s ‘innovation family’, where babies and teenagers are the new business initiatives and the parents and grandparents represent the established business, including the tension amongst the family members.
There is no ‘one size fits all’ approach and there are different flavours of Corporate Venturing. This book allows you to take a look behind the scenes of fifteen innovation families, all members of the Corporate Venturing Network Netherlands, being: Asahi Glass Company, ASML, Bekaert, Brightlands Chemelot Campus, Dutch Polymer Institute, Royal DSM, Fujifilm, KLM Royal Dutch Airlines, Océ Canon, Port of Rotterdam Authority, Sibelco, Sioux, Solvay, TNO and Vision Dynamics. They will provide you insights into their strategy, the venture instruments they use, the way they have organized Corporate Venturing and how they deal with entrepreneurship within their companies.
“This is an essential reference for anyone interested in corporate venturing. It is full of helpful insights, and is illustrated with loads of great examples.” – Henry Chesbrough, professor at uc berkeley and author of open innovation
“DSM has endeavored on many different tools to create its future by corporate venturing. In this book you will find an excellent overview and a valuable structure on how to implement venturing in your organization.” – Rob van Leen, chief innovation officer, royal dsm
“In this book you will find thought provoking ideas, examples and a wealth of tools on how corporate enterprises can organize their new business activities and be successful at it.” – Doug Berger, managing director, innovate, publisher the innovators ezine
“Corporate Venturing describes the struggle of companies with new business development and elegantly shows how co-creation and partnerships can help companies in shaping their future.” – Frits van Hout, chief program officer and member of the board of management, asml
If you want to order the book outside the Netherlands: The book is available on Amzaon
Chapter 6: Granularity of Innovation, Causation and Corporate Effectuation
The ever faster changing world requires flexibility and strategic action. The future can no longer be predicted, therefore the world is complex and highly connected. The question is how to meet the challenges and successfully continue. You must create your own future …
But how? We can now learn from experienced entrepreneurs. Saras Sarasvathy examined, under the watchful eye of the Nobel laureate Herbert Simon, how businesses operate. They discovered five success principles that keep coming back to successful entrepreneurship and conflict with what we’ve been taught: the principles of Effectuation
Chapter 6 is about the different types of innovation and focus on disruptive innovation. Corporate ventures are like teenagers and large companies find it difficult to raise them. Effectuation can offer a helping hand to let them grow into successful adults
ORCHESTRATION OF EFFECTUATION
Chapter 8: Effectual Business Innovation by building mountains
Companies today are seeking new areas of growth by innovating their business, products and solutions. Within their existing business they can do that by improving their existing products and services to better meet their customer’s needs. These products and services are delivered into existing markets, where performance and price of products is known and the main gains are in winning market share. Alternatively, they can create entirely new solutions not yet known to the customer. In such disruptive innovations the customer needs to adapt their behavior to benefit of the new features of a product. Established companies generally struggle with this type of innovation which encompasses the development of new business in new markets. Yet shareholders more and more determine the value of a company on their ability to disrupt themselves.
In chapter 8 the concept of building mountains is explained and how effectuation can help. It describes how to develop a new market, while changing the behavior of your customer. Apple is used as an example to show the importance of a solid platform as the basis for the new mountain, while creating synergies across different applications.
English version: available in December