john rauscher - yseop - stanford - jan 11 2010 - v1 8

Copyright Yseop 2010 – Confidential1/11/2010

John Rauscher

CEO – Yseop

[email protected]

European Entrepreneurship & Innovation Thought Leaders Seminar

Stanford School of Engineering, Dr. Burton H. Lee

Second session - Monday, January 11th, 2010

Managing Software Innovation in France

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John Rauscher’s Key Career Points

Serial entrepreneurs are not common in France essentially for

cultural reasons

Cyrano – did IPO 5 years after startup - Exit valuation 185 M€ - 1998 – COO International Operations

Sunopsis – private company – strong profitability – acquired by Oracle – high valuation - CEO

Yseop – 20 years of R&D - University spin out – starting now the 2nd year of sales – currently B to B - 10

existing French customers – disruptive technology for every business and individuals – patent pending USPTO

John is CEO and founding investor – based in Lyon

Became a serial entrepreneur with:

Paris University – Business Administration with minor in Computer Science

Author of 2 published business/marketing books (1999 and 2008)

Worked for large US companies in France:

Xerox – Laser printing division – #1 Sales Rep in France in 1986 (out of 1,000 SR)

Sybase – Startup of the French subsidiary to 50 M€ - VP Sales – 1989 to 1995

In a nutshell

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Difficulties of Starting a Business in France

It is a cliché! In fact, it is cheaper than in the US, even if it takes more time

Starting business in France is not that difficult

Employees are generally not

entrepreneurs – mainly in latin countries

Europe is a set of markets, not a

unified market

European VCs are bankers, not risk

takers

However, the 3 main challenges

you may cope with in France &

Europe are:

Highly qualified people at reasonnable

cost and low turnover – mainly in France

Spending on structure and marketing is

lower in Europe

Educated markets

But, benefits of setting up a

business in France & Europe are:

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Yseop Key Facts

Addressing a €10 Bn Enterprise Software Market Globally

10 existing customers in France, annual revenues of 250K€ for the first year

First large scale customer in production

Angel investor

10 employees

Potential exit: IPO or acquisition by a large software or Internet player

Achievements:

Founded in 2007 after 17 years of R&D from a team coming from ENS Cachan University

First year selling products in 2009

Enterprise software solution aimed at:

Automating value-added service activities that require the use of spoken or written language

Conveying expertise to others automatically

Applying a context to a knowledge database to get a personalized answer to a request

Company Overview

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Application example #1: Automatic Car Sales Recommendation Expert

(1/4)

Hum

I want a red one

…

Hum…

With enough space for my

dog

And low gas consumption…

Hum… my new car will be great!

Wish List Questionnaire (filled out by prospective customer)

1

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(2/4)


1

Automatic Vehicle Scoring

of 5,800 car models with Yseop

2

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Automatic Vehicles Scoring

of 5,800 models of cars

2

1


(3/4)

Personalized recommendation

written automatically by Yseop3

Sale!

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(4/4)

Wish List Questionnaire (filled up by prospective customer)

1

Automatic Vehicles Scoring

of 5,800 models of cars

2

Personalized recommendation3

Automatic one-to-one follow up4

Value added: Greater market penetration and lower customer acquisition costs

When a new car

is in inventoryCustomer

Wish List

Car sold!

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Application example #2 :

Field service and maintenance assistant for home broadband equipment

repair

Customer

Assistance

department

Hi, I get a problem

connecting to

Internet….

Yseop Virtual

Expert

Contextual customer

data

Expertise database

Enterprise best

practices

She has

broadband

network issue…

Quicker customer support and problem resolution, at least 50% reduction in

field service visit costs, higher customer satisfaction

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Application example #3: Business Intelligence

Automated Generation of Company Annual Reports and Audits

• Spreadsheets & graphics without comments,

analyses, diagnoses or recommendations

Spreadsheets & Graphics

Individualized comments in natural language

Prospective analysis

Customized diagnosis

Possible action plans

Yseop creates automated “life-like” communications, just as a highly-skilled expert would

The Traditional Business Intelligence

Approach…The Yseop Approach: Data +

Interpretation + Diagnosis + Action Plans

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Other examples of applications:

ENABLE ONE-TO-ONE

MARKETING

COMMUNICATION

SET UP A NEW

GENERATION OF

INTELLIGENT IVR

ASSIST CALL CENTERS

PERFORM LIKE EXPERTS

WITHOUT TRAINING

AUTOMATE DELIVERY OF

PERSONALIZED ADVICE

WITHOUT HUMAN

INTERVENTION

FULLY AUTOMATE

CUSTOMER RELATIONSHIP

ON INTERNET: EMAILS, FAQ

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Conclusion

Gutenberg accelerated the

transmission of static

knowledge

The Internet digitized

information and made static

knowledge easy to access

• Cuts the cost of transmitting expertise to employees & customers

• Dramatically enhances customer experience

• 2 to 10X boost in productivity

Yseop goes one step further:

it automates the transmission

of contextual information,

know-how and personalized

expertise instantly

john rauscher - yseop - stanford - jan 11 2010 - v1 8

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