Innovation Ecosystems

Steve Thomas Vice President Unified Development Inc.

(Unidev)President Missouri Venture Forum

Innovation Ecosystems

What does an Innovation Ecosystem look like?

What are the underlying structures in place?

Who should be the players?

What is needed for it’s development and sustainability?

Thoughts to Share Tonight

How do we go from cash worries….

…. to having money growing out of our ears?

Innovation Ecosystems

Two Primary Sources: A Framework for Discussing Industry Clusters and Innovation

Ecosystems Ken Harrington, Managing Director Skandalaris Center for Entrepreneurial Studies at Washington University St. Louis

Survey of Regional Entrepreneurial Activity May 2012 Dr. Mac McKinney and Dr. Gary Renz, Webster University George Herbert Walker School of Business

Innovation Ecosystems• Lack of awareness and relationships constrain innovation • Industry clusters need to be intentionally designed• Supports wide-ranging economic and social growth• Four essential group for each industry cluster– Two Social Groups – relate to people and how they interact

• Culture Group• Institution Group

– Two Economic Innovation Groups – relate to investments in funding and assets.

• Resource Group• Facilities Group

A Framework for Discussing Industry Clusters and Innovation EcosystemsKen Harrington, Managing Director Skandalaris Center for Entrepreneurial Studies at Washington University St. Louis

Innovation EcosystemsTwo Social Groups – relate to people and how they interact

Culture Groupencompasses informal and formal community-wide factors like associations, collaboration events, community knowledge, media messages, education (workforce), mentoring support, and other social network factors. The culture group also includes more personal items like friendships, motivations and values, perceived future rewards or losses, past experiences, recognition, and other factors.

A Framework for Discussing Industry Clusters and Innovation EcosystemsKen Harrington, Managing Director Skandalaris Center for Entrepreneurial Studies at Washington University St. Louis

Innovation EcosystemsTwo Social Groups – relate to people and how they interact

Institution Groupincludes items that determine the amount of time and effort that is needed to establish relationships between interested stakeholders once they begin working together. It includes things like undocumented agreements, idea disclosure formalities, employment agreements, company policies and procedures, contracts, investment terms, wealth sharing agreements, property rights (IP), conflicts of interest, who takes credit for accomplishments, and similar things.

A Framework for Discussing Industry Clusters and Innovation EcosystemsKen Harrington, Managing Director Skandalaris Center for Entrepreneurial Studies at Washington University St. Louis

Innovation EcosystemsTwo Economic Innovation Groups – relate to investments in

funding and assets.

Resource Group

supports both ventures and social factor programs. The first is support for discovery or starting a new venture. It includes research funding, Proof of Concept (POC) funding, prototyping, entrepreneur salaries, legal and IP support, post POC funding, funding for expert consultants and service providers, websites, administrative expenses, and the like. The second is funding for entrepreneur development (people) activities and the social innovation factors described above.

A Framework for Discussing Industry Clusters and Innovation EcosystemsKen Harrington, Managing Director Skandalaris Center for Entrepreneurial Studies at Washington University St. Louis

Innovation Ecosystems

Two Economic Innovation Groups – relate to investments in funding and assets.

Facilities Groupis most often capital expenditures. These frequently require large up front investments. They include buildings, lab facilities, research equipment, office space, infrastructure, and similar items. Shared facilities like incubators and accelerator labs can serve this need for early stage ventures.

A Framework for Discussing Industry Clusters and Innovation EcosystemsKen Harrington, Managing Director Skandalaris Center for Entrepreneurial Studies at Washington University St. Louis

Innovation Ecosystems

Innovation

Community CULTURE

Structure

Resources and Capital

Facilities

A Framework for Discussing Industry Clusters and Innovation EcosystemsKen Harrington, Managing Director Skandalaris Center for Entrepreneurial Studies at Washington University St. Louis

Structure INSTITUTION

Facilities

SOCIAL

Economic

Survey May 2012 Dr. Mac McKinney and Dr. Gary Renz, Webster University George Herbert Walker School of Business

Innovation Environment and Industry Clusters

Innovation EcosystemsChampions

watch over an ecosystem and serve as an energy source as well as a connector for stakeholders. Champions:o Listen to and understand entrepreneurs’ needso Engage stakeholders and help them define roles within the ecosystemo Inform community leader and ask for support in the form of resources,community messaging, and affirmationo Are motivated most by ecosystem success and not personal gaino Collaborate with one another to uncover innovation opportunities between

clusters and ecosystemso Connect and inform stakeholders using virtual and face-to-face social

networks• Champions often spin-off new ecosystems by recruiting and supporting new

championsA Framework for Discussing Industry Clusters and Innovation EcosystemsKen Harrington, Managing Director Skandalaris Center for Entrepreneurial Studies at Washington University St. Louis

Champions

Thank You!

Steve Thomas Steve.Thomas@Unidev.com