Creating Entrepreneurial business know how for high tech high
Transcript of Creating Entrepreneurial business know how for high tech high
Creating Entrepreneurial
business know how for high
tech high potential business in
Networks
case: Venture Lab TwenteProf. Dr. Aard J. Groen
Head of department Entrepreneurship, marketing, strategy
and international management
Director NIKOS, Centre of Entrepreneurship and Innovation
VentureLab Twente: High-tech / High potential business development
This project is made possible by cointributions of the European Union and the Province of Overijssel
Motivation of VentureLab promotors
• Economic development & Employment
• Need for fast growing successful companies– Increase average of 10 fte / spin off company
• Research on entrepreneurship (Nikos)
This project is made possible by cointributions of the European Union and the Province of Overijssel
Entrepreneur
and
Enterprise
Not market
oriented
Scope:
from idea
to
Strategy
Social
Network-
Contacts
Skills:
Patterns of
Organisation
Scale:
Economy:
Financial
means
• Ideas
• Assessing the opportunity
• Strategic processes
• Business plan
• Culture, values, norms
• Facilities
• Personelarrangements
& Systems
• Knowledge
Contacts with:
• Clients
• Suppliers
• Experts
• Colleagues
• support agents
• Own capital
• Bridging development
period
• Financing investments
- Venture Capital
- Loans
Mono-disciplinary
teams (tech)
Management skills
Strategic drift
technology/market
Small ambition
“Death valley”
Long time to market
High costs-high risk
Little VC available
Academic networks
too little market
networks
Balancing weak-
strong ties
Reasons for small growth
Support instruments
Entrepreneur
and
Enterprise
Coaching,
Training
& Courses
Scope:
from idea
to
Strategy
Social
Network-
Contacts
Skills:
Patterns of
Organisation
Scale:
Economy:
Financial
means
• Culture, values, norms
• Facilities
• Personelarrangements
& Systems
• Knowledge
• Ideas
• Assessing the opportunity
• Strategic processes
• Business plan
Contacts with:
• Clients
• Suppliers
• Experts
• Colleagues
• support agents
• Own capital
• Bridging development
period
• Financing investments
- Venture Capital
- Loans
Knowledge & Space
Organisational
support
Strategic Coach
Soft loans
Participation
Contacts
Brokerage
1. Entrepreneur high ambition
2. Product and market with large
(world) potential
3. Multi disciplinary entrepreneurial
team from beginning
4. Sufficient venture capital in early
phase
Four success factors for growth*(Leuven, Stanford, Cambridge)
* Martijn Enter; Identifying factors that contribute to
high-groth knowledge intensive ventures; Nikos ,
February 2006
VA
LU
EC
RE
AT
ION
Training programFollows the value creation processin relation to 4S model and 4 teamroles
Opportunity
recognition
Opportunity
preparation
Opportunity
exploitation
CTO/COO
Culture Capital
CFO
Economic Capital
CEO
Strategic Capital
CMO
Social Capital
Entrepreneur
and
Enterprise
Entrepreneuria
l
and market
orientation
Scope:
from idea
to
Strategy
Social
Network-
Contacts
Skills:
Patterns of
Organisation
Scale:
Economy:
Financial
means
• Culture, values, norms
• Facilities
• Personelarrangements
& Systems
• Knowledge
• Ideas
• Assessing the opportunity
• Strategic processes
• Business plan
Contacts with:
• Clients
• Suppliers
• Experts
• Colleagues
• support agents
• Own capital
• Bridging development
period
• Financing investments
- Venture Capital
- Loans
COO / CTO
Balanced teams
operations organized,
Q-systems in place &
product offering
CEO
Clear Growth ambition
Strategic focus
• developed T-M-O
• strategic process/network
• path of value creation/exit
CFO
Managing cash flow rounds
of investment
FFF
Venture capital
(Formal-informal investors)
CMO
Strong connections with
market (suppliers-clients)
Managing strong & weak ties
(in business & academic
world)
Characteristics of VentureLab Twente Ventures
VentureLab Twente characteristics
• Focus on high-tech / high growth
• From early phase to business realisation• Opportunity recognition
• Business Model
• Business Plan
• Company start up
• Building entrepreneurial competences
• Building entrepreneurial team
• Worldwide networking
• Group approach in own office facilities
Training Program
Lecture
Project
Staff &
Entrepreneurs
‘Normal’
Company
Advisors
Technology
Screening
Process
Research
Institutes
& Firms
Participants
100 Interested
Individuals
Screening
Process
Entrepreneurial
teams
Instructors Follow up
(support)
Network (eg. VC’s)
Selection & Matching
High
Growth
Company
60 Selected
Individuals
Month 1 Month 7 -12Month 2 Month 4 - 6Month 3
TOP
Design VentureLab Twente
e.g. TOP
+ Contact VC
Visit
Silicon Valley
• 12 groups of 30 participants: 360
• 210 new companies started (58%)
• including 30 companies with high growth potential (8%)
After 5 years
• 157 companies survive (75%)
• including 15 high growth (50%)
• Ca 2850 new jobs
• including 1500 in high growth companies
Expected Results of Project
Unique approach
• Early stage support from (international) trainers, coaches and experts
• Building of and working with multidisciplinary entrepreneurial teams
• Being part of a dynamic and large technology entrepreneurial community, including connection to an interesting technology base and facilities