1 / 76

NCIIA Conference

Join the NCIIA Conference to learn from R.F. Culbertson, the entrepreneur and professor of entrepreneurship at CMU, about teaching entrepreneurship through in-class competitions. Discover how to think like an entrepreneur and develop the skills needed to be compensated for your value rather than your time.

williambclark
Télécharger la présentation

NCIIA Conference

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Startup Incinerator NCIIA Conference email: rfc@culbertsons.com twitter: @taylorpamm

  2. Startup Incinerator NCIIA Conference email: rfc@culbertsons.com twitter: @taylorpamm

  3. Who am I? • R.F. Culbertson • Entrepreneur / Prof. of Entrepreneurship @ CMU • Email = rfc@culbertsons.com • Twitter = @taylorpamm • Cell = 412.855.8767 (d) • Started “The Apprentice”in 1998 – 1999 • NBC – the rest was history…

  4. Who am I? • R.F. Culbertson = rfc@culbertsons.com • @taylorpamm / 412.855.8767 (d) / ‘The Apprentice’ • What do you do again? • In-Class Competitions for specific learning outcomes! • Goal is NOT to start a business … but rather • Teach you how to THINK like an Entrepreneur…

  5. Who am I? • R.F. Culbertson = rfc@culbertsons.com • @taylorpamm / 412.855.8767 (d) / ‘The Apprentice’ • It’s my view that entrepreneurship requires...

  6. Who am I? • R.F. Culbertson = rfc@culbertsons.com • @taylorpamm / 412.855.8767 (d) / ‘The Apprentice’ • It’s my view that entrepreneurship requires... “A very particular set of skills.”

  7. Who am I? • R.F. Culbertson = rfc@culbertsons.com • @taylorpamm / 412.855.8767 (d) / ‘The Apprentice’ • It’s my view that entrepreneurship requires... “A very particular set of skills.”

  8. Who am I? • R.F. Culbertson = rfc@culbertsons.com • @taylorpamm / 412.855.8767 (d) / ‘The Apprentice’ • A ‘set of skills’ that – overtime: “Will allow you to be compensated for your VALUE rather than your TIME.”

  9. Who am I? • R.F. Culbertson = rfc@culbertsons.com • @taylorpamm / 412.855.8767 (d) / ‘The Apprentice’ • Why take ‘Startup Incinerator’? “Eventually you will want to be compensated for your VALUE rather than your TIME.”

  10. Everyone wants more entrepreneurs

  11. I mean Everyone… do the math

  12. I mean More (20X)…

  13. E-ship’s 4 Pillars But as I would Teach: Market and Margin Related Issues: CriterionHigh PotentialLow Potential Problem Identified Unfocused Customers Reachable Unreachable Payback < 1 year > 3 years Value Added IRR > 40% IRR < 20% Market Size $50 -100MM <$10MM or > $100B Market Growth > 20% / annum < 20% & contracting Gross Margin > 40% & maintain < 20% & fragile

  14. E-ship’s 4 Pillars But as I would Teach: Market and Margin Related Issues: CriterionHigh PotentialLow Potential Problem Identified Unfocused Customers Reachable Unreachable Payback < 1 year > 3 years Value Added IRR > 40% IRR < 20% Market Size $50 -100MM <$10MM or > $100B Market Growth > 20% / annum < 20% & contracting Gross Margin > 40% & maintain < 20% & fragile

  15. E-ship’s 4 Pillars And as I would Teach: Competitive Advantage: CriterionHigh PotentialLow Potential Fix / Vari Costs Lowest Highest Degree of Control Stronger Weaker Barriers to Entry None Strong Proprietary Advantage Lead-Time Advantage Service Chain Contractual Advantages Network Advantages

  16. E-ship’s 4 Pillars And as I would Teach: Competitive Advantage: CriterionHigh PotentialLow Potential Fix / Vari Costs Lowest Highest Degree of Control Stronger Weaker Barriers to Entry None Strong Proprietary Advantage Lead-Time Advantage Service Chain Contractual Advantages Network Advantages

  17. E-ship’s 4 Pillars As I would Teach: Value Creation: CriterionHigh PotentialLow Potential Profit after Tax 10-15% < 5% and fragile Breakeven < 2 years > 3 years Positive Cash Flow < 2 years > 3 years ROI Potential 40-70% < 20% and fragile Value High strategic Low strategic Capitalization Req. Low-Moderate High/difficult to fund Exit Mechanism IPO, acquisition Undefined / illiquid invest.

  18. E-ship’s 4 Pillars As I would Teach: Value Creation: CriterionHigh PotentialLow Potential Profit after Tax 10-15% < 5% and fragile Breakeven < 2 years > 3 years Positive Cash Flow < 2 years > 3 years ROI Potential 40-70% < 20% and fragile Value High strategic Low strategic Capitalization Req. Low-Moderate High/difficult to fund Exit Mechanism IPO, acquisition Undefined / Non-Liquid invest.

  19. E-ship’s 4 Pillars As I would Teach: Management Team Issues: CriterionHigh PotentialLow Potential E-Team All-stars, Solo entrepreneur free agents Industry / Tech Superior records New guys on the block Experience Intellectual Know what they Do NOT know, what Honesty do not know they do not know

  20. E-ship’s 4 Pillars As I would Teach: Management Team Issues: CriterionHigh PotentialLow Potential E-Team All-stars, Solo entrepreneur free agents Industry / Tech Superior records New guys on the block Experience Intellectual Know what they Do NOT know, what Honesty do not know they do not know

  21. But: What about Teaching Entrepreneurship Experientially? It’s like ‘falling in love’ LOVE takes A LOT of work = Perfection! (Nobody WANTS the Runner-Up) Tell Me – I will forget, Show Me – I will remember, Involve Me – I will understand. —Ancient Chinese proverb

  22. We need to become X-perienced ‘Want-Tra-Preneurs’: • Teach the 4 Pillars of Entrepreneurship • Using an X-periential methodology • With Specific Learning Outcomes • Crowning a (1) Winner and (Many) Losers each time!

  23. In Classroom, Outcomes Based Competitions The Goals: • Augment an Entrepreneurship Offering • Learn the 4 Pillars: • Dynamic Decision-Making, • How to Sell, • Multi-Disciplinary Team Formation, • and Granular Cash Flow Analysis • Use In-Classroom Competitions to Improve Business Survival Rates

  24. In Classroom, Outcomes Based Competitions ‘The Apprentice’morphed into ‘Startup Incinerator’ • Students = No Ideas & very Diverse Bkgds. • No Business Plans • No Investor Pitches • Emphasis on Profitability & Sustainability

  25. Startup Incinerator: Is an “Intro” Level Course • 2.5 week projects with SME’s • For REVENUE projects – the Team that turns in the Most $’s  WINS ALL the $$’s

  26. Startup Incinerator: 4 Specific Goals: • Improve Dynamic Decision-Making 1

  27. Startup Incinerator: 4 Specific Goals: • Learn How to Sell 2

  28. Startup Incinerator: 4 Specific Goals: • Encourage Multi-Disciplinary Teams 3

  29. Startup Incinerator: 4 Specific Goals: • Business Modeling via Granular Cash Flow 4

  30. Startup Incinerator: 4 Specific Goals: • Business Modeling via Granular Cash Flow 4

  31. But I also wanted to teach: Entrepreneurial Thinking Add these numbers out loud with me: 0 + 1000

  32. + 40

  33. + 1000

  34. + 30

  35. + 1000

  36. + 20

  37. + 1000

  38. + 10 = ?

  39. + 10 = ?

  40. So - Who’s My Customer? Any ‘Student’@ CMU? • Any major – Normally WITHOUT an ‘Idea’

  41. What’s the Syllabus? (Pt. 1) Create, Compete & Destroy Teams Every 2 Weeks • Solve, real-world SME problems – 2 Weeks • SME’s contribute prizes • SME’s Problems Focus on : • Teams working together • Sales • Decision-Making • & Cash Flow

  42. What’s the Syllabus? (Pt. 2) Create, Compete & Destroy Teams Every 2 Weeks • Solve, real-world SME’s problems – 2 Weeks • Failures are analyzed and ENCOURAGED

  43. What’s the Syllabus? (Pt. 2) Create, Compete & Destroy Teams Every 2 Weeks • Solve, real-world SME’s problems – 2 Weeks • Failures are analyzed and ENCOURAGED • We Compete (to WIN) Every 2 Weeks

  44. What’s the Syllabus? (Pt. 2) Create, Compete & Destroy Teams Every 2 Weeks • Solve, real-world SME’s problems – 2 Weeks • Failures are analyzed and ENCOURAGED • We Compete (to WIN) Every 2 Weeks • 3 Presentations of 2.5, 1.5, and 1 minute

  45. What is the Structure? (Pt. 1) • Teach A Different Aspect of Entrepreneurship / Every 2 weeks. • The Lectures Match the Project’s focus • For example: • Granular Cash Flow: • #1 producing Team – Wins ALL the $$’s • Teaching: Accounting, Finance, YOM (Your Own Money) vs OPM, The Incubator Model (pros and cons)

  46. What is the Structure? (Pt. 2) • How we Build Teams: • Fantasy Football – Auction method for teams • Captains have $100 (fake) and bid for players (no more money = no more players) • Produces uneven numbered teams • Teaching: Hiring and Firing, Leadership, Motivation, Teams captains label the Best and Worst team members

  47. What is the the Competition? (Pt. 1) • Pre-Incinerator: • Teams hand in docs, ppt’s, xls’s for Seating • TA’s ‘seat’ the teams = Bracketology • In some projects – M&A is encouraged • Presentations are: • 1st Round = 2.5 min • Semi-Finals = 1.5 min (smack-talk) • Finals = 1 min (smack-talk & rebuttal)

  48. What is the the Competition? (Pt. 2) • Let the Games Begin: • There is NO Quit!

  49. What is the the Competition? (Pt. 2) • Let the Games Begin: • There is NO Quit!

  50. What is the the Competition? (Pt. 2) • Let the Games Begin: • There is NO Quit! • Dynamic Decision-Making (3 Presentations / Comp.) • After 1st Presentation = ‘smack talk’ & ‘rebuttal’ • Judges = Experts / Social Media / Peers / TA’s / $$’s • Voting Points can vary with level of expertise! • Voting via Mobile Device (in classroom)

More Related