1

Plenty of Ideas. No Companies. Is Idea = Innovation?

Company

Product

Program

Technology

• Idea ≠ Technology

• Technology ≠ Program

• Program ≠ Product

• Product ≠ Company (?)

• Company = Innovation

Idea

1%1%

5%5%

25%25%

75%75%

100%100%

2

ArchitectureManagementArchitectureManagement

ProgramManagement

ProgramManagement

Program DevelopmentReally Competitive

Program DevelopmentReally Competitive

Global Technology Company with R&D in Russia

Non-CriticalNon-CriticalCriticalCritical

4. Sales4. Sales

1. R&D1. R&D

2.Marketing2.Marketing 3. BizdevPartnerships

3. BizdevPartnerships

7. Operations(HR, IT, ОA)

7. Operations(HR, IT, ОA)

5.Tech Support5.Tech Support

6. Finance, Legal6. Finance, Legal

Expertise in Russia(somehow present)

ExpertiseNot in Russia(limited)

ProjectManagement

ProjectManagement

TestManagement

TestManagement

Advanced OutsourcingMaybe Competitive

Advanced OutsourcingMaybe Competitive

Programmingand Testing

Programmingand Testing

Simple OutsourcingNot Competitive

Simple OutsourcingNot Competitive

5 years10 years

15years

Product DevelopmentProduct Development

3

“Unless you have a lot of passion about this you’renot going to survive… You’re going to give it up … I think that’s half the battle right there”

Steve Jobs

What is Important For Startup to Plan

• Team – Moral, committed

– Intellectual, capable

– Professional, experienced

– Strong & Passionate leadership

• Plan (goal) to generate large cash flow (a lot of if long term)– Proper business model – choose large enough and profitable enough space

• Plan for calendar time and finance – Proper resource model – enough time (calendar days)

and money to get this done

• Plan for competition & differentiation – Direct and/or indirect

– There is always some competition

• Focus and why do you have enough of it– Outsourcing is deadly as financing model!

– Single project

– Narrow enough, well defined market

and be Stubborn!