kmme - williams

www.km-me.com [email protected]

DavidWilliamsAustralianSocietyofKnowledgeManagement

UniversityofCanberraPresenta�ontoKMMiddleEast

March2016

Innova�onHubs–FadorFantas�c!Ge�ngvalueformoneyoutofyourR&Dinvestment

AbstractA fall in the price of oil, gas, iron ore and other commodi�es hasdecimated the GDP of Australia. Major LNG projects have recentlybeenputonholdandanumberofminesandprocessingplantshaveclosed.The Australian Government is now looking towards new ideas ininnova�on and science to grow services in the ICT and engineeringsectors to replace the income previously obtain from the mineralsindustry.Theemphasisisonstart-upstos�mulategrowththroughinnova�on,butthis isaveryhighriskac�vitywithmoststart-upsfailingwithin5years.Cri�csclaim that innova�onprogramsshould requirea robustbusiness case, risk analyses and measures to indicate success.Measuring thereturnon investment for intangibleprogrammessuchas innova�onareextremelychallengingandopentosubjec�vityandinterpreta�on.Keywords:Innova�on,socialcapital,knowledgemanagement,intellectualcapital,future,networks,learning.


  Typesofhubs  Innova�onStrategies  ReturnonInvestment  Impactontheorganisa�ons

Scope

Innova�on1.  Theamalgama�onoftwoseparatestepsof

Crea�vityandImplementa�on(Tushman&O’Rielly)2.  Thesuccessfulexploita�onofnewideas(Deptof

TradeandIndustry,UK).3.  AQuantumimprovementfortheorganisa�on(Peter

Drucker,1985)4.  Issignificantposi�vechange(Sco�Berkun,2013)Tobeaninnova�onmeansnotonlythecrea�onofanidea,butthesuccessfuldeliveryittotheworldasaproductthatmakesdifference.


Whydowes�llinvestinhigh-riskICTstart-ups?


Start-ups  90%ofstartupsfailwithin5years

Forbes2015  Causes

–  Incompetence– UnbalancedExperienceor– LackofManagerialExperience

h�p://www.sta�s�cbrain.com/startup-failure-by-industry/

Innova�onHubsAphysicalorvirtualfacilitythat:  buildscollabora�vecommuni�eswithentrepreneurialindividualsatthecentre.  a�ractsdiversememberswithheterogeneousknowledge  facilitatescrea�vityandcollabora�oninaphysicaland/orvirtualspace,and  localizesglobalentrepreneurialculture

Toivonen,T.andN.Friederici(2015)


Innova�onHub

CaseStudy-Inspire  INSPIREisaninnova�onhubandnetworkfornewapproachestolearning,communica�onandcollabora�on  Itappliesdesignthinkingandlearningdesignprinciplesforeduca�ontoworkwith:– Principals,teachersandstudents– Learningdesigners– Governmentandcommunityorganisa�ons

  INSPIREisalearningcommons,aplacetoimagine,experimentanddesignnewwaysofworkingandlearningdigitally.


CaseStudy–RioTinto

Cri�cism

  Generallydonotengagewithscien�sts  Createsdivision  Dissuadesthemajorityofworkersfrompar�cipa�ng  Createsfightsforfunding  Requirespor�oliomanagement  Detractsfromcorebusiness


Incubators  Forwould-beentrepreneursandexis�ngandexternalSubjectMa�erExperts  Providesfacili�esandexper�setoaddresstheirneeds,and  developtheirbusinessideas,andtransformthemintosustainablereali�es.

CaseStudy

MaRSToronto,Canada  Bringstogethereducators,researchers,socialscien�sts,entrepreneursandbusinessexpertsunderoneroof.  Foundedbycivicleaders,withamissionthatisequalpartspublicandprivate  Anentrepreneurialventuredesignedtobridgethegapbetweenwhatpeopleneedandwhatgovernmentscanprovide.


Accelerators

Aresimilartoanincubatorbuto�entakeanequityinexternallydevelopedideasinreturnforprovidingresources,support,smallamountsofcapitalandmentorship.

CaseStudyGRIFFINAcceleratorAgroupofseasonedentrepreneurswhoinvestin,host,guideandpartnerwiththefoundersofselectedinnova�vestart-ups.3monthintensiveprogramgetsstart-upsmovingfastandachievingini�albusinesssuccess.


Organisa�onalSuccess  Longtermsuccessrequiresstreamsofinnova�ons  Needtocreateambidextrousorganisa�ons  Celebratestabilityandexperimenta�on  Supportrisktaking  Toleratemistakes  Recognise/rewarda�empts

TushmanandO’Reilly

SixLessonsforCorpora�onsbuildinginternalInnova�onAccelerators

1.  Buildcomprehensivesocialnetworks,internallyandexternally

AlasdairTro�er(2013)


SixLessonsforCorpora�ons

"Innova�onhasnothingtodowithhowmanyR&Ddollarsyouhave.WhenApplecameupwiththeMac,IBMwasspendingatleast100�mesmoreonR&D.It'snotaboutmoney.It'saboutthepeopleyouhave,howyou'reled,andhowmuchyougetit.“SteveJobs1998

2.Donotthrowexcessivecapitalatearlystages


3.Fundingandpoten�alshouldbebasedontenacityandcrea�vityoftheteamandtheiden�fica�onofasignificantunsolvedproblem,whichifsolved,wouldcreaterealvalue.




4.Developstandardprac�cesforentrepreneurialmethodology


Definetheproblem/opportunity

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5.createanetworkofmentorsandchampionstosupporttheirentrepreneurs


SixLessonsforCorpora�ons6.Focusonspecificbusinessfunc�onsorexper�seincertainareassuchasapar�culartechnologyoranindustryver�cal.



Issuestobeaddressed

  Howisfundingprovided?– bywhom?– howmuch?– Howlong?– Priority?

  WhocontrolstheIP?  Whatisthestructureofthelegalen�tycreatedforthebusiness?  Whatliabili�esarecreated?

Uncertainty

Highvelocity,orhighuncertaintyenvironmentsrequiresimplerou�nes,andadependenceonpeopleoverprocess

(EisenhardtandMar�n,2000)


Diversity

Wecan'tsolveproblemsbyusingthesamekindofthinkingweusedwhenwecreatedthem.AlbertEinstein

ReferencesandReading  h�ps://ia.acs.org.au/tag/innova�on  h�ps://hbr.org/search?term=innova�on+hubs  Leifer,R.,O'Connor,G.C.,&Rice,M.(2001).Implemen�ngradicalinnova�oninmaturefirms:Theroleofhubs.

TheAcademyofManagementExecu�ve,15(3),102-113.  Knight,J.(2011).Educa�onhubs:Afad,abrand,aninnova�on?.JournalofStudiesinInterna�onalEduca�on,

15(3),221-240.  Lange,A.,Handler,D.,&Vila,J.(2010).Next-Genera�onClustersCrea�ngInnova�onHubsToBoostEconomic

Growth.CiscoInternetBusinessSolu�onsGroup.  Boardman,C.,&Ponomariov,B.(2011).Apreliminaryassessmentofthepoten�alfor“teamscience”inDOE

EnergyInnova�onHubsandEnergyFron�erResearchCenters.EnergyPolicy,39(6),3033-3035.  DaCunha,I.V.,&Selada,C.(2009).Crea�veurbanregenera�on:thecaseofinnova�onhubs.Interna�onal

JournalofInnova�onandRegionalDevelopment,1(4),371-386.  Tushman,M.L.(1997).Winningthroughinnova�on.Strategy&Leadership,25(4),14-19.  Leifer,R.(2001).Implemen�ngradicalinnova�oninmaturefirms:Theroleofhubs.TheAcademyofManagement

Execu�ve(1993-2005),15(3),102-113.  Sta�s�cBrainStartup(2016)BusinessFailureRateByIndustry

h�p://www.sta�s�cbrain.com/startup-failure-by-industry/  TheSteveJobsMBAUnit103:Connectyourpeople

h�p://www.wired.co.uk/magazine/archive/2011/07/steve-jobs-mba/unit-103  Eisenhardt,K.M.,&Mar�n,J.A.(2000).Dynamiccapabili�es:whatarethey?.Strategicmanagementjournal,

21(10-11),1105-1121.  Crea�ngthefutureofmining[Accessed12MAR2016]

h�p://advanceqld.ini�a�ves.qld.gov.au/innovators/future-mining.aspx  Tro�er,A.(2013)SixLessonsforCorpora�onsBuildingInnova�onAccelerators

h�p://www.innosight.com/innova�on-resources/strategy-innova�on/six-lessons-for-corpora�ons-building-innova�on-accelerators.cfm

  Toivonen,T.andN.Friederici(2015)TimetoDefineWhata“Hub”ReallyIsh�p://ssir.org/ar�cles/entry/�me_to_define_what_a_hub_really_is#sthash.V44W3vxB.dpuf


Workshop5:UsingSocialCapitaltoBuildCapability

Whatcanyouexpect:  AninsightofmystudyonleveragingSocialCapital  2collabora�veac�vi�estoexploretechniquesandaspectsofSocialCapital  Prizesforwinningteams  Atakeawayoftheresults

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Ques�onsandDiscussionwillbeatthisa�ernoon’sforum

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