Presentation for DHCD Innovation Summit, 12/67/17

1. Some thoughts on …
Thinking Entrepreneurially
Internally & Externally
Marty Kaszubowski
Executive Director
Center for Enterprise Innovation
MJKaszub@ODU.edu

2. 1.Innovation and entrepreneurship can
happen anywhere, anytime, by anyone
2.Culture trumps strategy
3.It’s not (just …) about money, it’s about
building and maintaining a community
and “Managed Serendipity”
Three Key Concepts

4. 367 Addison Ave, Palo Alto, California

5. 10704 NE 28th, Bellevue, Washington

6. 232 Santa Margarita Ave, Menlo Park, California

7. 2066 Crist Dr, Los Altos, California

8. 4651 Kingswell Ave, Los Angeles, California

9. Somewhere in Southern California

10. Message #1 …
Innovation and entrepreneurship can happen
anywhere, any time, and by anyone.

11. In a healthy ecosystem, every participating species
benefits from the presence of every other
participating species.
But …
What happens in the garage, stays in the garage …
unless there’s an active and complementary
community outside the garage…

12. A startup is a
temporary
organization designed
to search for a
repeatable and
scalable business
model.

13. The search for a repeatable model …
1. Core business concept defined
2. Prototype/MVP built & tested
3. First external users
4. First repeatable client has paid
5. First non-friends & family
funding raised

14. Emphasis on High-Growth, High-Impact
Ventures
There are six types of venture:
1.Lifestyle Ventures: Work to Live their Passion.
2.Small Business Ventures: Work to Feed the Family.
3.Social Ventures: Driven to Make a Difference.
4.Buyable Ventures: Born to be Bought.
5.Scalable Ventures: Born to Be Big.
6.Existing Company Organization Ventures: Innovate or
Evaporate.

15. Types of startup ventures
1. Lifestyle Startups: Work to Live their Passion. Examples: Professional
Photographers, Healthclubs, Surf Shops, Ski Instructors, Golf Pros
2. Small Business Startups: Work to Feed the Family. Examples: Restaurants,
Clothing stores, coffee shops, Cleaning Services, Contractors,Taxi Cabs, Consultants
3. Social Startups: Driven to Make a Difference. Examples: Tom’s (shoes), Ethos
(water), Husk Power Systems (electricity generation)
4. Buyable Startups: Born to Flip. Examples: Tumblr (acquired byYahoo), Instagram
(acquired by Facebook), Groupon (should have taken the offer fromGoogle!)
5. Scalable Startups: Born to Be Big. Examples: Google, Facebook, Skype, Apple,
Ford, Boeing, МобильныеТелесистемы, SoftServe, etc.

16. Types of startup ventures
6. Existing Organization Startups: Innovate or Evaporate.
Examples: Boeing (satellites, rockets, IT Services), Ford Motor
Company (Ford credit), Apple Computer (iPod, iPhone, iPad,
iTunes), Hewlett Packard (printers), Google (operating systems,
browsers, phones, mail, documents, maps), IBM (IT consulting,
PCs, cloud, blockchain), Amazon (AWS), Research In Motion (?)

17. How does your organization evaluate ideas?
George H. Heilmeier, a former DARPA director, crafted a set of questions
known as the "Heilmeier Catechism" to help Agency officials think through
and evaluate proposed research programs.
1. What are you trying to do? Articulate your objectives using absolutely no
jargon.
2. How is it done today, and what are the limits of current practice?
3. What is new in your approach and why do you think it will be successful?
4. Who cares? If you succeed, what difference will it make?
5. What are the risks?
6. How much will it cost?
7. How long will it take?
8. What are the mid-term and final “exams” to check for success?

18. The 3 Cs of Innovation
• Curiosity
• Lies at the heart of all innovation
• Prompts us to ask ‘why’ and ‘what if’ even when we think we know the answer
• Inspires us to question our assumptions and dig deeper into our customer’s needs, wants and behaviors
• Causes us to ask:What if X didn’t limit us?What could we accomplish?
• Enables us to reframe problems and see opportunities where others only see obstacles
• CriticalThinking
• Integral partner with creativity
• Prevents unintended biases like stereotyping, jumping to conclusions, confirmation bias
• Customer-Centric Design
• Places a laser-like focus on impact
• The opposite of product-centric design
• Helps generate long-term competitive advantage, provides value to their customer by making their lives
easier and more fun
• Teams focus on the ability of their initiatives to make an impact by solving problems
Source: Rita Santelli

19. The 3 Cs of Innovation
In your next few team meetings, ask yourself the following
questions:
• How many new ideas did the team suggest during this meeting?
• Were the new ideas based on what our company wants to achieve or the problems our
customers are experiencing?
• When someone suggested a new idea, how long did it take for others to begin listing
reasons why that idea wouldn’t work?
• Did the team succumb to any cognitive biases such as overconfidence or group think?
• How often did the team make decisions based on long-standing assumptions about
our customers?
• How often were new ideas evaluated by their ability to impact the lives of our
customers?

20. Business Model v. Mission Model

21. Business Model v. Mission Model

22. Two Kinds of Culture
Zero-Sum Non-Zero-Sum

23. Two Kinds of Culture
Zero-Sum
1.Compete first
2.Cooperate second
3.Collaborate when
forced …
Non-Zero-Sum
1.Collaborate first!
2.Cooperate when
customer needs emerge
3.Compete when markets
and customer needs
mature

24. In an Innovative, “Non-Zero-Sum” Culture:
• People share a faith in the culture of innovation and entrepreneurship.
• Everyone is open to meeting anyone in this community.
• Everyone understands that, as part of the community, they will often receive valuable help from others
for free or at a very low cost.
• They agree to “pay forward” whatever positive benefits they receive.
• They give trust to others before expecting to receive trust in return.
• They treat everyone fairly and take advantage of no one.
• They bring people together, as none of them are as smart as all of them...
• They understand that mistakes and failure are acceptable ways of testing new ideas.
• They learn from others, and help nurture learning in others.
• Each person is a role model for everyone else.
Culture, culture, culture

25. Message #2 …
Culture trumps
strategy

26. 1. Access to talent & technologies
2. Access to professional advice, counsel, mentoring,
services
3. Access to stage-appropriate capital
4. Access to networks of people & institutions to
help them gain access to the above …
So … What Do New Ventures Need?

27. What do we mean by …
• Acceleration = relatively short-term programs aimed at getting
products/services ready for immediate market entry
• Incubation = longer-term programs aimed at products and
services that need to mature before heading to market
• Co-Working = collaborative spaces and programs to support
participants in the growing “gig economy”

28. • Incubators, accelerators, and co-working spaces operate in different ways and
serve different aspects of the entrepreneurial ecosystem.
• All three can make important contributions because they:
• offer a place for current and future entrepreneurs to meet and form relationships that
will help them in later incarnations;
• serve as a means for support organizations to provide services to current and future
entrepreneurs;
• allow funding sources to meet and form relationships with high-performing ventures
that may ultimately become viable investment opportunities; and
• serve as the physical and social hub for both formal and informal events and related
personal interactions that are vital to the evolution of a disconnected and disjoined set
of programs into a more coherent and effective ecosystem.
Incubators, Accelerators, Co-Workers, Oh my …
“Managed Serendipity”

34. Some local examples
Strome Entrepreneurial Center

35. And let’s not forget …

36. And …

38. The ODU Innovation Center is a hub for entrepreneurial
activity. Situated conveniently in downtown Norfolk, we
provide space and programming to startups and service
providers within the Hampton Roads ecosystem.We seek
to engage with scalable, innovation-driven startups, as
well as freelancers and service providers engaged in the
entrepreneurial ecosystem.
The "community" aspect of the Center is our
most important asset. It is the community that
will enable us to ultimately achieve our vision.

43. 1. Access to talent & technologies
2. Access to professional advice, counsel, mentoring,
services
3. Access to stage-appropriate capital
4. Access to networks of people & institutions to
help them gain access to the above …
Reminder … What Do New High-Growth
Ventures Need?

49. Message #3 …
It’s not (just …) about money, it’s about
building and maintaining communities!
But money matters …

50. 1.Innovation and entrepreneurship can
happen anywhere, anytime, by anyone
2.Culture trumps strategy
3.It’s not (just …) about money, it’s about
building and maintaining a community
and “Managed Serendipity”
Reminder: Three Key Concepts

51. Marty Kaszubowski
Executive Director
Center for Enterprise Innovation
MJKaszub@ODU.edu