navigating the labyrinth from research to commercialization: of cults and leadership
TRANSCRIPT
Navigating The Labyrinth From Research to Commercialization: Of Cults and
Leadership
Richard LeBlanc
Leader | Entrepreneur | Mentor | Investor
TODAY’S AGENDA
STATEMENT: Research & commercialization are startups
QUESTION: Why does research have a poor commercialization track record?
HINT: Successful startups build a cult with mafioso rules
Leadership skill set and tools
Do small things really well - world class preferably
ENTREPRENEURS ARE ARTISTS
https://www.youtube.com/watch?v=r51eQ2vPZSs
CONTRIANISM (IT ISN’T FOR EVERYONE)
Nietzsche: “Madness is rare in individuals, but in groups, parties, nations and ages it is the rule.”
Step 1 = question what we know to be true
Step 2 = find a most contrarian truth
Step 3 = build a cult around that truth
3 effective steps for dealing with
…evolving, uncomfortable reality vs. a stable fantasy…
STARTUP THINKING SHAPES HUMANITY
Vast majority of new tech comes from startups. Jobs, GDP, wealth, social / political outcomes too.
All great world bettering accomplishments came from:
Small groups of people
Bounded fanatically by a common sense of mission
What is a startup? (insert your definition _______)
STARTUP THINKING - PEOPLE
Startup = largest group of people you can convince of a plan to build a different future
Negative contributors to success BigOrg very hard to develop new things
Risk averse, slow, metrics about activity, invested
Solo even harder – cannot create an industry
Positive contributors to startup success #1 strength is new thinking – nimble space to think
Question received wisdom, rethink from scratch
THINKING = BUILDING NEW MENTAL CAPITAL
People + Leadership = Mental Capital Mental capital is the most valuable asset you can ever construct And it doesn’t even show up as an entry on a balance sheet What mental capital is missing from your opportunity in order to advance? 5KH
BIG ORG + MENTAL CAPITAL
People + Leadership = Mental Capital Mental capital is the most valuable asset you can ever construct Asset allocation = CEO differentiator Not taught in MBA schools Big problem… not thinking differently
DESIGN THE FUTURE – FROM BEGINNING TEAM
Founding matrimony – date first
Ownership vs Possession vs Control
Board of 3-5-7-9, excess of advisors
Align everything to LTV
60% cash, balance of hurdle bonus + performance vesting equity
CEO has lowest salary, but huge upside
BUILD A CULT / MAFIA
Company IS a culture, not has one (existential not possessive)
Mission is manifested in the culture - oxygen
Hire talented people you like, no passengers
Hire on mission and team, nothing else
Each hire = 1 unique thing – no competition or overlap
Startups rot from inside – bad foundation can’t be fixed
Fanaticism about something unique not employment agency
Before the startup ID first 5 key hires (5KH)
CULTISH MANTRAS – PEOPLE CHANTS
Wendy's: "Healthy fast food" Nike: "Authentic athletic performance" Walt Disney: “Happiest Place on Earth“ Southwest Airlines: “Lowest cost airline” Federal Express: “Peace of mind” http://guykawasaki.com/mantras_versus_/
WHY BUILD AN INTERNAL MANTRA?
Mission statements don’t cut it McKinsey + MBAs
Must be real (based on core mission) not made up words
When seas get rough (and they will)…clarity on alignment of purpose in 2 ways
What next discretionary action adds VALUE?
What next discretionary action adds NOISE?
PART 2 - LEADERSHIP SKILLS AND TOOLS
Mission statements don’t cut it McKinsey + MBAs
Must be real (based on core mission) not made up words
When seas get rough (and they will)…clarity on alignment of purpose in 2 ways
What next discretionary action adds VALUE?
What next discretionary action adds NOISE?
WHY THIS…?
My vision/dream for you:
Become the best CEO / leader
Surround yourself with the best cult (board, advisors + employees)
Use tools safely to maximal impact
Achieve your goals and dream!
SIX POINT PLAN
POINT ONE: YOU AS LEADER
POINT TWO: SELECTING YOUR TEAM
POINT THREE: WORKING WITH YOUR TEAM
POINT FOUR: SELECTING ADVISORS
POINT FIVE: WORKING WITH ADVISORS
POINT SIX: NETWORKING
YOU THE LEADER
POINT ONE: YOU AS LEADER
POINT TWO: SELECTING YOUR TEAM
POINT THREE: WORKING WITH YOUR TEAM
POINT FOUR: SELECTING ADVISORS
POINT FIVE: WORKING WITH ADVISORS
POINT SIX: NETWORKING
THE LEADERSHIP SKILL SET – 16 SKILLS
Leadership is Art + Science
Leader As “Technician” (3) Leader As “Engager” (8) Leader As “Artist / Composer / Navigator” (5)
LEADER AS TECHNICIAN
Enables Business to Thrive
1. Finance, Cash Flow, Budgeting
2. Logistics and Operations
3. Understanding the Economic Underpinnings
LEADER AS ENGAGER
Internal + External Dialogues to Shape Perceptions 4. Negotiation 5. Communication 6. Media relation 7. Dealing with personnel and labour issues 8. Analysis and policy-making 9. Chairing meetings and briefings 10. Performance review / measurement 11. Public speaking
LEADER AS ARTIST / COMPOSER / NAVIGATOR
Assimilates Skills into a Repeatable Template
12. Balance
13. Vision 14. Judgement
15. Leadership
16. Authenticity (>Integrity)
SELECTING YOUR TEAM
Select For Authenticity First
Intellect Second
Passion Third
You can always teach or hire the skills
Trust in your team BUT verify [always] - David Sokol
SELECTING YOUR TEAM
Special Forces only for startups
Exceptionalism matters
Zero room for error
BUILD A GREAT FOUNDATION… or fail
WORKING WITH YOUR TEAM
Select For Authenticity First
Intellect Second
Passion Third
You can always teach the skills Use leadership style tests and personality assessments
SPECIAL FORCES ONLY FOR STARTUPS = NO ROOM FOR ERROR = GREAT FOUNDATION
WORKING WITH YOUR TEAM
Three tools you can use:
1. BIG 8 TEAMWORK TRAPS 2. T-BAR 3. ATTILLA THE HUN 4. MICROSCOPIC TRUTH
WORKING WITH YOUR TEAM
BIG 8 TEAMWORK TRAPS:
DO I GIVE OR TAKE? Give first DEADLINES = Commitments SECONDARY (hidden) AGENDA PROCRASTINATION (cover) SPEAK UP TOO LATE – giddy up WIDE SCREEN – see 7 valleys over SWIRL – no drama DO I SUPPORT? Invest in investable, cull others
WORKING WITH YOUR TEAM
THE “T-BAR” Tool
A way to check in on any issue at any time on any level of significance Produces unavoidable conclusion Produces the real issue Cannot be faked
T-BAR TOOL IN ACTION
My Perception of my Top 5 Goals for Q1
Your Perception of my Top 5 Goals for Q1?
One for you One for your boss / leader / colleague
WORKING WITH YOUR TEAM
WHAT ATTILA THE HUN SAYS ABOUT:
Risk taking and working without all the facts Promising only what you can deliver and commit to delivering what you promise Lucky breaks Leaders disease Self-inflicted wounds ………and many other topics!
WORKING WITH YOUR TEAM
We never addressed the real issue, never came to terms with reality” OR “we never stated our needs or told each other what we were really thinking”
Microscopic Truth Method
Two General Ways Fierce Conversations – good and intense
Fireside Chats – good and casual
WORKING WITH YOUR TEAM
7 Principles of Fierce Conversations
Master the courage to interrogate reality Make it real Be here, prepared to be nowhere else Tackle your toughest challenge today Obey your instincts Take responsibility for your emotional wake Let silence do the heavy lifting
SELECTING ADVISORS
Advisory Board Group of independent people that bring business management acumen, sector and issue expertise to help coach the management of a company.
Companies with Advisory Boards (BDC Study) Annual Sales +24% Sales per Employee +18%
SELECTING ADVISORS
First develop a Personal Advisory Board (PAB)
THEN a Board of Advisors!
Define needed skill set first:
marketing finance
technology negotiator
strategist other?
SELECTING ADVISORS
Short list 3 for each skill set
Define the top candidates IN THE WORLD!
Don’t settle for second best
Don’t be too humble
INTERVIEW!
Calculate how FAR they can journey with you (baton race)
WORKING WITH ADVISORS
Certain classics have strong content to consider:
Sun Tzu “The Art of War”
Machiavelli “The Prince” (Virtù + Fortuna)
Virtù is what you can control / achieve great things by bravery, civic humanism, strength and ruthlessness.
Fortuna is luck + what you cannot control (others)
ADAPTATION = SURVIVAL OF FITTEST
NETWORKING
The lost art of networking
Improving the yield from networking
Getting to key people at trade shows or conferences
Self-made woman is a baseless myth
People help people, relationships create success, wealth and durability
Networking is dangerous – beware!
STRATEGIC LEADERSHIP
Leading organizational change
Creating sustainable value for all stakeholders
Analyzing and navigating market ecosystems
Designing and building agile companies
Business model discovery, design and innovation
DO NOW
OPERATIONAL LEADERSHIP
Building excellence in the innovation
Creating customer devotion and retention
Executing with speed, quality, and efficiency (TQM et al)
Strategic partnerships to carry freight
Post-merger integration
DO LATER
CULTURE MATTERS
The Only Truly Sustainable Competitive Advantage is Corporate Culture - George Brandt (Forbes Magazine)
Entrepreneurial culture needs three components:
Mindsets - achievement, individualism, control, focus and optimism
Motivations - self-efficacy, cognitive motivation and tolerance for ambiguity.
Behaviours - confidence, interpersonal skills, social capital and risk tolerance
Nothing happens without the right kind of LEADER + a united CULT