I’m a fan of startup innovation having followed the practice and written about it extensively. This culminated in an eBook/trend report a few years back: Startup Innovation. The Information has just written a post about how the UK government is embracing the practice: How Silicon Valley Is Rewiring Downing Street’s Brain (registration required).Continue reading Startup innovation is alive and well in UK GOV
See excerpt – interesting point:
Full article on FT here: Kraft Heinz makes £112bn approach to Unilever
I’m tracking these updates with the #innerventuresupdate tag – you can find all of them by following the link. They all tie in with and add to the findings from my trend report which covers startup driven innovation in large corporates, corporate venturing efforts and the role of the intrapreneur. You can buy the report from iBooks or add a comment (which requires an email that no one will see) and I can provide a voucher for a FREE COPY :)
- How to Disrupt Your Own Organization through Startup Innovation (SlideShare). The same author (Ben Yoskovitz) also wrote this complementary piece: Why it’s Important for Big Companies to Regularly Launch New Ventures
- 5 Ways to Convert Employees into Intrapreneurs
- Going the distance: Leveraging big brands and understanding startups. Good post which gives a balanced view, including coverage of Coca Cola’s decision to scupper its startup incubator efforts. A good post which looks at incubators and questions their role and value: Who Exactly Benefits From Startup Incubators?
- The epic plan to transform government into a startup
- Corporate Venturing News:
- Oracle launchs a startup accelerator in Israel
- Amazon is also in on the game in India.
- From this article, apparently in 2017 GE Will Buy More Tech Startups Than Google.
- BMW’s Venture Capital Arm Is Moving To Silicon Valley And Looking For Startups
- EY’s Jeff Wong brings startups into the boardroom
- Abu Dhabi’s government is going to invest $10 billion in the world’s largest VC fund. It will do this through Mubadala, a holding company established and owned by the government of Abu Dhabi.
- Match-Maker Ventures and Arthur D. Little have released an interesting report, titled “The Age of Collaboration“. The study does a good job in synthesizing the global state of play of corporate-startup collaboration and latest findings on success requirements for its implementation. Great summary in this post for the lazy.
- 10 things corporates can learn from startups on innovation
- 5 Intrapreneurship Issues to Consider Before Taking the Plunge. Some really practicals pointers and pitfalls to consider.
- Building a Startup Accelerator at a Large Company: Lessons from Target. More lessons learned from a collaboration between Target and Techstars, who are known for creating one of the best global ecosystems for entrepreneurs to bring new technologies to market.
- Turning the tables here: When Large Companies Are Better at Entrepreneurship than Startups.
- Lean Innovation: Design Thinking Meets Lean Startup For The Enterprise
- Big Companies Should Collaborate with Startups
- A great strategy piece on how to do corporate venturing right: Corporate Innovation Ventures: Separation vs. Integration
- The state of startup / corporate collaboration 2016 – Cracking report from Imaginatik and MassChallenge.
- Amazon’s new grocery store proves the $350 billion company acts more like a giant startup – Amazon is a definite leader in this space.
- Research: How a New CEO Can Make a Firm More Entrepreneurial
A great article describing the closure of Coca-Cola’s Founders startup incubator over on TechCrunch. It details some of the challenges with this approach that I thought were worth sharing here. I especially love the quoted thought below:
You need a translator to help them understand what’s going on. That’s why a lot of platforms inside big companies fail and you have to take the time.
This could apply equally to my role as a customer success manager I thought and with the launch of new platforms and the challenges with this which I wrote about here: Launch like a boss – bringing consumer startup practice to your enterprise technology platform
Cracking report from Imaginatik and MassChallenge. Its available to download from either site if you can find the page (registration required) but I’ve added the the-state-of-startupcorporate-collaboration-2016 (pdf). Key findings below:
1. INTERACTIONS MOVING EARLY STAGE
While most startup/corporate interactions used to begin at the negotiation table, corporations and startups increasingly recognize the benefits of earlier interactions. Corporations said that 67% now prefer working with startups at earlier stages, mainly “to explore new technologies and business models”.
2. INTERACTIONS WITH STARTUPS BECOMING “MISSION CRITICAL”
At an overwhelming 82%, corporations now view interactions with startups as “somewhat important” to “very important”, and 23% indicated that these interactions were “mission critical”. Innovation efforts, it seems, are no longer just nice-to-have programs within corporations.
3. CORPORATE INNOVATION MODELS ARE STILL IN THEIR INFANCY
While 86% of large organizations view innovation as crucial to their future, most of their current attempts to work with startups to further that objective are early stage, underfunded, and scattershot—such that 25% of corporations aren’t even sure how much they’re spending.
4. STRATEGIC FIT IS PARAMOUNT, BUT THE UNDERLYING GOALS VARY
Startups and corporations agree that “strategic fit” is by far the primary criterion for working together, but the way they interpret the term diverges significantly. Thus, a lost-in-translation problem sometimes persists, despite the best of intentions. This is exacerbated by remaining cultural issues within corporations: many are still struggling to re-organize themselves to enable productive interactions. Conversely, startups are persistent, but remain frustrated at the number of hoops to jump through.
5. MINDSET CHANGE— NO LONGER ‘US’ VS.‘THEM’
Startups are seeing corporations in a variety of roles—no longer are they cast solely as either “competitors” or “potential acquirers”. As the startup culture matures, founders are realizing that corporations have a lot of wisdom, experience, and resources to be leveraged, and that perhaps working with, rather than against them, could be the smarter way to go. Also, in a post-Uber and Airbnb world, startups realize that the power is not only with large corporations, and that leads them to be more selective with whom they choose to work. In fact working with corporations is shaping up to be a startup’s most powerful growth hack.
AND ON A RELATED NOTE…
I found this interesting website/activity on my travels. It’s an up to date database of Corporate Accelerators being run by company’s around the world.
Ties in nicely with findings from my trend report which you can buy from iBooks or add a comment and I can provide a voucher for a FREE COPY :)
Lots going on recently so this is a big update with an excellent selection of articles and activities.
- The Barriers Big Companies Face When They Try to Act Like Lean Startups
- Corporate accelerators A growing number of innovation-hungry companies are taking inspiration from Silicon Valley: They are setting up accelerators that nurture start-ups. From Deloitte University Press.
- ‘Corporate innovation does not work,’ says Accenture Accenture’s Narry Singh tells WIRED2016 that startups and corporates should collaborate for the best results.
- Here’s why Microsoft is giving nearly a third of its New York employees memberships at WeWork
- This company helps HSBC, Santander, and Visa decide on startups to partner with or invest in — here’s what it looks for
- Gigaom Q&A with Howard Love: What large organizations can learn from startups
- You Don’t Need To Work At A Startup To Be An Entrepreneur
- Startup Engagement in Corporate Innovation Match-Maker Ventures and Arthur D. Little have released an interesting report, titled “The Age of Collaboration“ which this post covers.
- Can Hackathons Give Big Banks The Fintech Edge? Banks and other financial institutions are taking on some surprising partners in an effort to keep pace with innovation.
- The Lean Startup Is Doing More Than Transforming Business, It’s Changing The World
- Why CPG Giants Are Buying Eco-Friendly Startups
- Why This 22-Year-Old Company Thinks Like a Startup Trading Technologies is a global provider of technology solutions for the capital markets industry. In this video, CEO Rick Lane talks about how his 22-year-old company manages to stay nimble like a startup.
- Partnerships between startups and large companies key to ‘smart disruption’: Optus An Optus report concludes that big established companies and startups should form mutually-beneficial relationships in order to thrive in the digital realm.
- The Accelerator As A Source Of External Innovation + Startupbootcamp Targets Global Corporates
- 3 Ways Professional Organizations Can Benefit Any Startup
- Film Review: ‘Generation Startup’ A documentary looks at six young on-line entrepreneurs and celebrates their Internet idealism — maybe a little too much.
- The art of the Side Hustle When your out-of-office hours are consumed by some sort of side-project, whether that’s writing a book, developing a new product, contributing to some philanthropic cause or some other, etc.
- What Corporations Can Learn from Startups And…Cattle
- The Value Of Corporate Venture Arms Tracking the rise in corporate venture capital (CVC) that has created a new dynamic in the investment ecosystem.
- You Don’t Need To Act Like A Startup To Innovate Some contrarian views to all this startup goo goo, ga ga
- Unilever Ventures pours more cash into Discuss.io, a consumer market research platform
- Iceland: A Small Country With an Outsized Startup Culture
- A Dedicated Team of Problem Solvers Can Help Big Companies Act Like Lean Startups Experian DataLabs actively seeks out unresolved problems its customers are having and uses them as a launchpad to seek out new opportunities and create new products.
- The lessons from Telstra’s startup stumbles Investing in start-ups is hard enough, and even more so for big companies.
- Disrupted businesses are struggling in the valley of death Corporate leaders are facing the same valley of death faced by many startups, judging by the latest round of financial results.
You can see other updates like this by checking out posts with the #innerventuresupdate tag as well as the original posts I curated under the #research tag which I then used in the InnerVentures trend report that you can find here: Trend Reports
Here it is below. Admittedly it is somewhat narrowly focused on acquisitions of tech companies as a means to extend their digital capabilities. Still, a strong indicator from a very powerful voice. The commentary below the slide came from the article where I first read about her latest report and I cannot be sure of the source but think it was TechCrunch.
Ties in nicely with the kinds of trends I was picking up in my my trend report which you can buy from iBooks or add a comment and I can provide a voucher for a FREE COPY :)
Couple of new things happening in the world of startup driven innovation since my last post, at least new things I’ve found – some articles/announcements are from a while ago. Here they are:
- HP’s new Tech Ventures arm looks to invest in emerging startups
- 8 principles for innovation in a corporate ecosystem
- Naspers Plants a Flag in U.S., with New Venture Group. This is awesome, I used to work for this company, or at least a company that is a part of this huge conglomerate that nobody has ever heard of, outside of South Africa :) Good to see.
- Corporate Hackers which is reminiscent of my video on Innovation Hacking
- Ford invests $182.2 million in software company Pivotal
- Meet C-Lab Space, Creative Lab’s New Heart of Innovation. Samsung Electronics has lifted the curtain on C-Lab Space, a complex dedicated to the C-Lab (Creative Lab) program, at the Samsung Digital City in Suwon, Korea. C-Lab is an internal program that aims to cultivate innovative projects and business ideas, and this new development will function as a venue for exchanging and building upon ideas.
- Millennials Are Snubbing the Corporate World for Entrepreneurship – Infographic
- Zain Jordan partners with Wamda to support startups via Corporate Entrepreneurship Responsibility
- How established firms can fight back against fintech startups and being “uberised”
- Seeking Start-Ups: Topshop Launches Innovation Program Geared To Wearable Tech
- And last but not least is this SlideShare embedded below about Rabobank the more than 110 year old startup
As always there lots going on and the last few weeks have brought some interesting new announcements and great stories from the trenches.
- From indifferent to Intrapreneur – Getting employees on board
- Autoglass parent company launches global startup accelerator
- Alibaba’s cloud service launches global program for startups
- 3 Big company practices that work for any startup. Some reverse engineering.
- Goldman Sachs arm looks to invest in fintech startups
- How companies like Facebook really hack innovation
- The seven biggest trends in Entrepreneurship of 2016
- Accelerators, Incubators and Ecosystems
- General Mills and 7-Eleven join the venture capital crowd
- 5 ways every company can embrace startup culture (without overdoing it)
- Google is building an in-house startup incubator called ‘Area 120’
I gave this (i.e. the Fintech scene) special coverage in a separate section of my trend report.
Banks around the world are realising that in the rapidly developing world of smartphones and apps they are at risk of falling behind in the innovation race. Fresh-faced financial technology start-ups (fintechs) are coming up with new mobile-first services – payments, loans, money transfers, digital currencies – and threatening to steal customers, particularly younger ones.
This is why many old banks have been flirting with younger models in an effort to stay hip. But are such apparently mismatched relationships doomed to failure?
From the BBC website.