Presented to masters degree classes in computer science at Trinity College.

1. University of Dublin
Trinity College
Leadership
&
Innova0on
Presenta)on
to
M.Sc.
classes
13th
February
2013
Paul
Woods

2. Background
•
Commercial
experience


Successful
design,
launch
and
scaling
of
many
products.

Direct
transac)on
experience;
acquisi)ons
and
sales.

Integrated
start-­‐up
into
Vodafone
in
2008.

•
Led
teams
winning
customer
service
and
ICT
team
of
the
year.
Opera)ons
management
(IT
/
Service
/
logis)cs
/
call
centres).
Technical
experience

Strong
knowledge
of
engineering,
product
and
process
design.

Managed
P&L
of
eircom’s
infrastructure
division.

Programmed
fault
tolerant
distributed
systems.

Evaluated
IPR
ranging
from
encryp)on,
early
cancer
detec)on,
hea)ng,
energy,
food
preserva)on
…

3. Leadership
•
Leadership
and
management
differ


Managers
role
is
to
plan,
organise
and
coordinate.

•
Leaders
role
is
to
set
a
vision
and
inspire
and
mo)vate
a
team
desire
to
execute.
Natural
born
leaders
enjoy
leadership
and
developing
the
poten)al
of
their
followers.
Leadership
poten)al
can
be
developed


•
Develop
innate
knowledge
of
weaknesses.
Challenge
yourself
to
con)nuously
develop.
How
do
leaders
you
admire
lead
and
behave?

What
values
do
they
hold?

How
do
they
start
and
finish
their
day?

Strategic
vision:
Amazon
versus
Apple?

4. Innova)on
•
Innova)on
comes
from
the
La)n
word
innovare:
“to
change”


•
Passion
is
key
to
innova)on,
willingness
to
go
beyond
the
status
quo.
Lack
of
innova)on
can
quickly
damage
large
companies;
Microsoe,
HP,
Dell
…
Difficult
tradeoff
in
ensuring
business
focus
while
retaining
innova)on

This
tradeoff
usually
provides
gaps
for
new
start-­‐ups.

Many
corporate
companies
allow
start-­‐ups
take
the
risk
and
acquire
if
successful.

5. Understanding
value-­‐add
key
•
Problems
that
can
be
solved


Social
networks,
a
new
market
based
on
humanity’s
innate
social
dimension.

•
Iden)fying
new
markets
or
beher
products
/
services
for
exis)ng
markets.
A
Kindle
allows
you
to
carry
thousands
of
books.
Opera)ng
efficiency


•
Opera)ng
efficiency
can
offer
value-­‐add,
either
due
to
lower
overheads
or
directly
in
product
design.
A
drone
can
pull
a
higher
g
force,
fly
for
longer,
an
operator
can
manage
many,
and
that
operator
isn’t
put
in
danger.
Ecosystem

Keystone
strategy,
developing
an
ecosystem
that
acts
as
a
biosphere
for
growth.

Ensuring
clear
/
stable
incen)ves
to
join
ecosystem!
Example
app
developers.

6. Start-­‐up
culture
/
team
•
Convex
lens
leadership


•
Think
big!
Choreograph
team
like
an
orchestra.
Darwinian
selec)on.
Limited
resources
/
)me,
understand
when
to
pivot
/
adapt.
Team


Start-­‐up
environment
only
suited
to
high-­‐energy
individuals.

It’s
easy
to
find
a
good
idea,
pulng
in
place
a
great
team
is
hard.

•
Many
start-­‐up
CEOs
would
not
make
good
corporate
CEOs
and
vice
versa.
Highly
incen)vise
team
for
success,
rapidly
deal
with
underperformance.
Culture

Culture
of
‘demo
or
die’.

‘Will
to
win’
needs
to
be
cul)vated
and
protected.

7. Vectors of differentiation
•
There
are
many
vectors
of
differen)a)on
including

Free
to
customer
(Google).

Ease
of
use.

Improving
customers
produc)vity.

Design
aesthe)cs
(Apple).

Reducing
customers
total
cost
of
ownership
(cloud
compu)ng).

Unique
fundamental
capabili)es
(Kindle
versus
tablet).

Ecosystem
(Amazon
/
Facebook).

Low
cost
(airlines).

8. Thinking outside the box
•
If
a
baby
incubator
cost
$25,000,
could
a
product
with
equivalent
benefit
be
made
for
$25?

Yes!
Engineer
insulated
infant
sleeping
bag
with
wax
hea)ng
module.

9. Understanding
customer
life)me
value
•
CLV
for
the
customer
(i)
using
current
service
can
be
denoted
as:
Where
CFi,k
=
the
net
cash
flow
D
=
discount
factor
K
=
)me
period
•
Time
period
(K)
=
Customer
length
of
service
(LOS)

Number
of
transac)ons
a
customer
will
make.

Impacted
by
contract
dura)on,
compe))veness
&
special
promo)ons.

Long
LOS
not
necessarily
correlated
to
higher
CLV.

Acquire
customers
when
CLV
>
customer
acquisi)on
costs.

10. Understanding
poten)al
value
•
Current
value
doesn’t
provide
insight
into
poten)al
value
via
up/cross
selling
of
add-­‐ons
or
new
products.
•
Poten)al
customer
value
can
also
be
calculated
as:
Where
i
=
customer
who
uses
service
j
from
compe))ve
op)ons
available.
ij
=
profit
company
can
make
from
customer
i.
•
Decision
tree
can
be
used
to
evaluate
poten)al
value
for
distribu)on
of
customers,
taken
into
account
probability
of
up-­‐selling
op)ons.
•
Acquisi)on
threshold:
weighted
poten)al
value
>
acquisi)on
costs.

11. Super trends highlight opportunity
①
Popula)on
growth
and
aging

②
New
healthcare
products
/
services
and
approaches
to
preventa)ve
care.
Globalisa)on
and
urbanisa)on


③
Smart
ci)es,
grids
&
water
management.
New
forms
of
ci)zen
protec)on,
ways
of
working
…
Intelligence,
knowledge
and
innova)on


④
Designing
and
interpre)ng
big
data.
Decision
support
tools
that
can
take
increasing
variety
of
inputs.
Environmental
and
resource
strain

New
technologies
to
op)mise
and
control
use
of
scarce
resources.

12. Conclusions
•
Leadership
is
a
choice


•
Many
are
born
with
leadership
traits,
but
skills
can
also
be
developed
/
honed.
Iden)fy
key
weaknesses
and
embrace
opportuni)es
for
personal
growth.
Innova)on
requires
passion

•
Innovators
don’t
just
consider
rewards,
love
to
challenge
the
status
quo.
Customer
value


•
Understanding
value-­‐add
is
key
to
developing
a
successful
company.
Consider
economics
of
customer
acquisi)on
and
prospec)ve
life)me
value.
Super
trends

Several
super
trends
emerging,
opening
up
opportuni)es
for
you
all!