KEEPING THE (AD)VENTURE IN CORPORATE VENTURING A CORPORATE VENTURING AGILITY MANIFESTO V1.0 Patty Burke, Partner Pre-Conference Workshop, February 11, 2013
Presented at the IBF CVIP conference Feb 11-13. I'm proposing a "Corporate Venturing Agility Manifesto' --- identifying 6 Points: challenges that corporate venture executives face in building venturing programs, Includes numerous examples based on research with more than 50 corporate venture executives. Looking for input and examples of my 6 Points, Note - this preso has been anonymized, specific company names no longer cited
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KEEPING THE (AD)VENTURE IN CORPORATE VENTURING A CORPORATE
VENTURING AGILITY MANIFESTO V1.0 Patty Burke, Partner
Pre-Conference Workshop, February 11, 2013
AGENDA Corporate Venturing Who are we? Why Does CV matter, Why
now? A Manifesto 6 Guideposts on the (Ad)Venture Input,
please!
AUDIENCE PROFILE? CVC? Incubation? Partnering? Other? Age of
unit?
MODELS OF CORPORATE VENTURING 2013 Bell Mason Group Page 4
LESSONS FROM AGILE DEVELOPMENT MANIFESTO. . . Uncovering better
waysof developing software bydoing it and helping othersdo it. . .
Individuals and interactions Over processes and tools Working
software Over comprehensive documentation Customer collaboration
Over contract negotiation Responding to change Over following a
plan
A CORPORATE (AD)VENTURERS MANIFESTO? MANIFESTO DEFINED Public
declaration of the intentions, motives, or views of the issuer, be
it an individual, group, political party or government; it promotes
a new idea with prescriptive notions for carrying out changes
THE CORPORATE VENTURERS AGILITY MANIFESTO 1. Drive for Velocity
and Iteration 2. Just Enough. . . Data, Funding, Governance 3.
Nurture Customers and Champions 4 . Access Your Assets 5. Triage
and Tune the Team 6. Measure and Report
1. VELOCITY AND ITERATION Venture velocity, venture clock rate
Streamlining corporate process Loops not linear Permission to take
shortcuts
THE CVS WORLD: ANTI-VELOCITY DEFINED!
AGILITY AND VELOCITY: 2 STORIES Cleantech Company Investment
strategy iteration Financial Services Company Deal qualification,
approval criteria
2. PRACTICE THE JUST ENOUGH PRINCIPLE JED: Data Redefining the
gut decision JEF: Funding Milestone-based JEG: Governance Strategy
/ process discipline
3. CUSTOMERS AND CHAMPIONS Customer-driven approach, continuous
input Global ecosystems, internal/ext ernal Expanding the virtual
investment team Managing NIH 2011 The Bell Mason Group 20
GET EYES AND EARS ON IT: USING CHAMPIONS Company Examples:
Network Equipment Biotech and Materials Financial Services Texas
Instruments using champions to get strategy buy-in
TI 2-WAY COMMUNICATION
4. ACCESS YOUR ASSETS:WHAT CVCs BRING TO THE PARTY Partner and
customer insight, relationships Prototyping, piloting, integr ation
expertise Scientific and engineering collaboration Commercial
relationship = revenue stream Credibility for customers and
investors Exit!
5. TRIAGE AND TUNE THE TEAMInternal Entrepreneur Broad
background, customer/co mmercial focus Change driver, decisive
Input, but not consensus Passion, commitment leadership No
Dabblers!
5. TRIAGE AND TUNE THE TEAMCVC Team The right recipe 1 cup
corporate strategy 1 cup ex-VC 1 cup engineering, science 1 cup
product management 1 cup entrepreneur (acquired?) Dash of finance,
legal, BU for flavor
6. MEASURE AND REPORT EVEN THE FAILURES Strategic and financial
metrics Reporting consistency, layered data Failure education -
harvest data and learnings
BELL MASON FRAMEWORK FOR CV&I UNIT DEVELOPMENT Corporate
innovation Team, plan and Portfolio balancing and Refined strategy
and priorities, leverage milestones management plan points Funding
and Investment Performance Strategic focus areas governance
management, venture management Venturing and Deal management KPIs
venture, portfolio, unit investment approaches Launch and pilot
Exit and embedding metrics process Unit funding Venturing career
path commitment Operating process automation 2013 Bell Mason Group
Page 27
NAVIGATING THE OBSTACLES, WITH AGILITY
CORPORATE VENTURING AGILITY MANIFESTO V1.0INPUT PLEASE! 1.
Drive for Velocity and Iteration 2. Just Enough. . . Data, Funding,
Governance 3. Nurture Customers and Champions 4 . Access Your
Assets 5. Triage and Tune the Team 6. Measure and ReportFeedback:
Linked In: www.linkedin.com/in/pattyburke Twitter: @venturepatty
email: [email protected]
