Intrapreneurship: a role for graduates

1. Intrapreneurship: a role for graduates Pauline Kneale p.e.kneale@leeds.ac.uk

2. Intrapreneurs • So what are they? What are your ideas? • How do they differ from entrepreneurs? • Mini exercise: brainstorm your ideas of an entrepreneur with the person next to you. • You have 90 seconds

3. Entrepreneur • A dynamic person who gets the right people together to make something happen. • Someone who knows the right people, can motivate and wants action / results today. • Characteristics: creative, innovative, enthusiastic, driven, energetic, high need to achieve, prepared to look outside the box, take and manage risk, good networkers, exploit their opportunities,

4. Intrapreneurs • So what are they? • How do they differ from entrepreneurs? • in-tra-pre-neur (InÕtre-pre-nur) n. A person within a large corporation who takes direct responsibility for turning an idea into a profitable finished product through assertive risk-taking and innovation intra(corporate) + (ENTRE)PRENEUR.] -inftrapre-nouri-al adj. -intra-pre-neuri-al-ism n. -in'trapre-neuri-al-ly adv. (The American Heritage Dictionary, 3rd Edn., 1992)

5. Intrapreneur is the name given to employees who come up with their own ideas and then bring those ideas to life with the assistance and resources offered by their employers. Intrapreneurs can be found in service industries, creating innovations that draw customers away from the competition. Intrapreneurs are found in charities, voluntary activities and social groups. They work within systems to develop activities, products and ideas.

6. The role of environment or culture • Post-It notes • The park ranger • The drawing office • Toshiba lap tops • Japanese culture

7. Pivotal Traits Lawfulness and integrity Entrepreneurship and risk taking Humility Respect for others Intellectual honesty Commitment to create and produce Flexibility Behavioural norms Seeking economic profits Using and expending one’s comparative advantage Focusing on customers, internal and external Participating in and facilitating the free flow of information Setting high self expectations Accepting disequilibrium and seeking growth and change Teamwork The good and bad of intrapreneurial culture (from Reitz, 1998, Figure 1)

8. Antithetical traits Untrustworthiness and unreliability Risk aversion Arrogance Intolerance or abuse of others Lying to oneself or others Being lazy, just putting in time Rigidity Behavioural taboos Seeking political profits Staying put, not seeking better opportunities Focusing on self Hoarding information; being unresponsive to requests Resignation or complacency Protecting the status quo; resisting change Refusing to cooperate The good and bad of intrapreneurial culture (from Reitz, 1998, Figure 1)

9. Businesses need intrapreneurs • Intrapreneurs are the powerhouses within companies that create new businesses, that keep a company or organisation moving forwards, they motivate colleagues and keep profits up. • Intrapreneurial employees are energetic, enthusiastic, imaginative and inventive. They have ideas for creating new products or services often working on them in their own time. They can see how savings can be made. How processes can be improved.

10. So how do you encourage people to come forwards with their ideas? If you don't, they may move on to another company, or they may start their own business and become one of your competitors. • Mini – exercise What would encourage an employee to be intrapreneurial? Take 3 minutes in groups of 4 to brainstorm ideas. It might help to think about where you were last employed, what would have encouraged you to make suggestions?Remember no idea can be too wacky. Get a list together – 10 points is good, 20 points is very good

11. Motivation and Reward • Financial? Not always the key. For intrapreneurs and entrepreneurs it is normally a bonus not a driver. Much motivation come from ‘doing the job more efficiently/safely’ or ‘my way’ or • But bosses need persuading to take on new ideas

12. Win – Win situation. Changing running taps in chemical factories, print works or laundries to shower heads can cover installation costs in months and save thousands in water charges. So the employer wins (and so does the environment). DuPont – tracking blood in 90 days

13. Why might new graduates choose to be intrapreneurial at work? • Ideas please? What would motivate you to be intrapreneurial in the place you work in vacations / term time? Ideas please? Barriers Motivations

14. What would motivate you to be intrapreneurial in the place you work in vacations / term time? • Barriers Motivations

15. The management hierarchy are not necessarily against you. A manager that champions an idea that comes from a junior employee is showing that s/he is a good manager.

16. Tactics to help a junior intrapreneur to succeed. (Pinochet and Pelman 1999) • Test ideas casually with friends who can point out basic flaws and ask challenging questions. • Keep ideas from natural enemies as long as possible to avoid opposition. • Promote ideas modestly and constructively. • Test casually on potential customers to check the project is realisable and profitable. • Accept suggestions gratefully. • Always look to network the idea so it can be thought about from many aspects. • Don’t give up at the first sign of disappointment.

17. Your action plan following this lecture is … • Reflect on your own and colleagues behaviours and approaches. How might you be more proactive in work and non-work situations? What does this mean for you? • Follow up at least two of the articles / web sites mentioned today. Increase your knowledge and examples.