entrepreneurs stay on top of the world - prof. hans crijns

ENTREPRENEURS STAY ON TOP OF THE WORLDEXPERIENCE VLERICK 2014

PROF. HANS CRIJNS, PARTNER

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VLERICK BUSINESS SCHOOL

Vlerick Business School is to substantially contribute to the development of management and entrepreneurship in an International context by carrying out Academic Research - Knowledge Creation - and by offering high quality Management Education - Knowledge Transfer.

Vlerick Business School intends to actively contribute to networking amongst its current and former participants and to create forum action for the Management Community, Government and Society.

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ENTREPRENEURSHIP AND MANAGEMENT

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EN

TR

EPR

EN

EU

RSH

IP

MA

NA

GEM

EN

T

Initialdiscovery

Opportunityrefinement

Marketmaking

Resourceacquisition

(New) co-ordination of(new) resources

Co-ordinationof oldresources/on-going activity

Discovery process

Exploitation process

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Today’s businesses, especially the large ones, simply will not survive in this period of rapid change and innovation unless they acquire entrepreneurial competences.

Peter Drucker

1985 (!)

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AG - The Entrepreneurial Manager

2005

Bron: David Birch, MIT and Cognetics Inc., USA in ‘Dynamic Entrepreneurship in Central and Eastern Europe’, 1993.

Job creation Job destruction

Top 500

Big

Small

The economy as a thundercloud

“FORTUNE TOP 500” COMPANIES

1996

Mitsubishi 1

Mitsui 2

Itochu 3

Wal-mart 4

Microsoft 219

2006

137

348

328

1

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“FORBES” MOST VALUABLE CO’S

October 2011

Apple1

Exxon Mobil 2

Nestlé 5

Microsoft 6

Google 12

General Electric 20

“Every morning in Africa, a gazelle wakes up.

It knows it must run faster than the fastest lion or it will be killed.

Every morning a lion wakes up.

It knows it must run faster than the slowest gazelle or it will starve to death.

It doesn’t matter whether you are a lion or a gazelle.

When the sun comes up, you better start running”.

- Thomas L. Friedman (in “The World Is Flat”) -

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IMAGES OF “ENTREPRENEURSHIP”?

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STUDENT’S INTEREST IN ENTREPRENEURSHIP

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7%

12%

10%

15%

19%

33%

10%

67%

Vlerick

USA

EU

B

Within 30years aftercompleting studies

Within 3years aftercompleting studies

Source: Ministry of Economical Affairs/Netherlands

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ENTREPRENEURS ?

What is in your view a « good» entrepreneur?

Important characteristics?Conditions for a « good

idea » ?

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ENTREPRENEURIAL ATTRIBUTES

Initiative

Strong persuasive powers

Moderate rather than high risk-taking ability

Flexibility

Creativity

Problem-solving ability

Need for achievement

Imagination

High belief in control of one’s own destiny

Leadership

Hard work

N° 1 Predicting value : ????

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(G.B. Shaw)

“The reasonable man adapts himself to the world,

the unreasonable one persists in trying to adapt the … to ….

Therefore all progress depends on the …….. man”

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FAILURE?

“The greatest glory in living lies not in never falling,

but in rising every time we fall."

     (Nelson Mandela)

How entrepreneurial is your organisation/company/busin

ess unit/department… ?

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E.O. Perception “As is”?

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ENTREPRENEURSHIP AND MANAGEMENT

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EN

TR

EPR

EN

EU

RSH

IP MA

NA

GEM

EN

T

Initialdiscovery

Opportunityrefinement

Marketmaking

Resourceacquisition

(New) co-ordination of(new) resources

Co-ordinationof oldresources/on-going activity

Discovery process

Exploitation process

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STRATEGY ENTREPRENEURIAL ORIENTATION

An entrepreneurial firm is one that engages in product-market innovation, undertakes somewhat risky ventures, and is first to come up with “proactive” innovations, beating competitors to the punch.A non-entrepreneurial firm is one that innovates very little, is highly risk averse, and imitates the moves of competitors instead of leading the way.

Entrepreneurial Orientation (EO) =

Risk Taking

Proactiveness

Innovativeness

22 AG - The Entrepreneurial Manager

Danny MILLER (Canada)

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INNOVATIVENESS

“A willingness to introduce novelty through experimentation and creative processes aimed at developing new products and services as well as new processes”

Your score : 1 low 2 medium 3 high

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PROACTIVENESS

“A forward-looking perspective characteristic of a marketplace leader that has the foresight to seize opportunities in anticipation of future demand”

Your score : 1 low 2 medium 3 high

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RISK TAKING

“Making decisions and taking action without certain knowledge of probable outcomes; some undertakings may also involve making substantial resource commitments in the process of venturing forward”

Your score : 1 low 2 medium 3 high

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LEO HEOStable

Reliable quality

Secure

Risk Averse

Proven Track Record

Continuous improvement

Opportunistic

Dynamic

Out of the box

Risk taking and sharing

New challenges

Drastic change

LEO VS HEO

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INGREDIENTS OF E.O.

Imagination and creativity

Promoting creation, distribution and usage of knowledge

Supporting information and communication infrastructure

Social architecture

Under no circumstances will all innovations succeed!

=> Matching Internal capabilities & External opportunities

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DECLINE OF THE GENIUS

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Age % divergent thinking

3 -5 98 %8 -10 32 %13 -15 10 %

(from Ken Robertson, 2006)

+25 2 %

External environment

Ingredientsof EO

What does it require?

Entrepreneurial orientation

EO

Performance

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WHAT DOES IT REQUIRE ? (LINK WITH PERFORMANCE !)

Devise a coherent strategic focus

Assessment of emerging entrepreneurial opportunities

Integration entrepreneurial pathways with existing activities

Timing of strategic decisions in line with environmental requirements ( = speed)

Excellence in project execution: 5% inspiration and 95% perspiration

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THE PARADOX

“Nothing can start / be created without enthousiasm and creativity …,

… but nothing can last without systems and control”

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FEEL LIKE SOME MORE?

• In search of new business Opportunities (start 2 October)

• SME Excellence (start 12 November)

• Executive Master Class Entrepreneurship & Innovation (start 22 October)

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ENTREPRENEURS,STAY ON TOP OF THEWORLD

HANS CRIJNS

Multi room 2

DEFINING YOUR PATHTO SUCCESS

INGE DECLIPPELEER

Lecture room 1

LEVERAGING YOURCUSTOMERS

MARION DEBRUYNE

Lecture room 5