November 2012

© 2011, LearnSomething Inc.

Ideas supporting FSU

becoming the Entrepreneurial

University

How will we motivate behavior change

Starts at top Dr. Baron has declared we want to become the Entrepreneurial University

Need model for student and faculty involvement

Defining Entrepreneur What is our entrepreneur in residence support structure How to motivate Faculty and student involvement in the process of disclosure to

commercialization How de-risk and cost of disclosures, layer in management and facilitate access to

third party Funding

You get what you reward Distinguished Teaching Award Distinguished Scholarly & Creative Research Award Launch Innovation and Impact Award (IIA)

Recognizes 2 or 3 faculty each year whose innovations had significant entrepreneurial impact

© 2012 Glenn D. Prestwich

How will FSU define Academic Entrepreneurs?

They are students and faculty who: Identify and solve real world problems Translate basic science to applied technology Create products as well as papers Strive to understand business of science, Music,

Film, education etc. Understand marketing and customers are key to

success of commercializing intellectual property

© 2012 Glenn D. Prestwich

Many Challenges and Risks

Patent costs

Inventor expectations

University policies

Faculty culture

Shifting technology landscape

Defining the product

Finding a partner

Early stage technologies

Limited resources for technology/product development

Changes in policies

Conflicting goals of academic vs. commercial interests

Fantastic! That’s also a

great name for a company

I call it the “Di-Nanogistic

bi-modulating energy

conversion medical oscopy

combinating fragilisticator”

Some sort of

“Widget”

Inventor

TCO Manager

Is the FSU challenge: How do we find and commercialize value from Disclosures by professors and students?

The Engine model to:

Vet, De-Risk and promote Development

Problems:

Large number of disclosures (can be Dozens annually)

Limited resources

Patent cost are high

Staff count low

Variable outcome/execution requires resources not at University

How to take GAP funding to next step is missing

How to leverage SBIR funding and other grants

Understanding newly developed technology

How to take it to market

Understanding how to systematically address opportunities

Long development cycle for certain technologies

Solutions:

Limit investments to only a small number of best prospects!

Vetting/De-Risking/Documentation process that attracts entrepreneurial talent and funding

Evolving model to select the few that are licensed or become startups with resources put behind them

Decisions based on a combination of IP, funding, access to expertise and/or Business Model milestones

The Engine Process

2-Stroke

What is it? What is

the Opportunity

Go/No Go/Iterate

4 cylinder

Validation and critical

path forward

Go/No Go/Iterate

V8

Execute. Secure resources

talent and funding

Go/No Go/Iterate

Technology Commercialization Path

Additional Resources added as moves along path

Funding – Grant Writing – Management – Sponsored Research– Facilities – Prototyping

Define the Product and Path

Define product and potential market(s) early What is the need? Who is the customer?

What is the product development path?

Seek feedback early Subject matter experts

Potential customers or end-users

Investors and business community

Approaches Investors are looking for innovation but also management talent

Build and draw on your network (investors, industry experts)

Use inventor(s) as a resource but not as CEO

Engage students/interns (marketing, MBA)

Entrepreneur in Residence (EIR) two distinct needs;

1) Teaching Entrepreneur in residence who is facilitating student experimentation

with entrepreneurship.

Adjunct or full time faculty paid with benefits, but not incented with ownership or

motivated to leave University

Recognizes that very few students are ready to be CEO of a start-up but allows them low

risk way to gain experience

Funded by Business School

Promotes student candidates to commercialization engine process

Values to FSU include

40 percent of students in program go on to work at startups

Real world experience for students (resume builder)

Attracts top students

Commercialization relates to core mission of universities: education

Bench to Bedside student competition

Cross campus interaction

Student commercialization support where University participates in ownership and

where there is a need to protect IP

EIR to facilitate leading companies thru commercialization

process

Recognizes that very few faculty or students are equipped to be CEO of a Start up

Recognizes that “expert committees” often lack commitment, experience and passion to complete the start up process

EIR often is contractor who can take equity stakes, often funded by entity other than Biz school (e.g. President Office, foundations, alumni).

EIR are involved with commercialization because of domain knowledge and are likely assigned to colleges that match their expertise.

Commercialization offices are often poorly equipped to select this kind of talent

How do you pick these entrepreneurs for EIR programs? Especially if you are skeptical of universities ability to recruit this type talent.

Can partially judge talent by ability to raise money

ASU believes in People selecting opportunities versus selecting the right people and paying them more than EIRs (Cowboy Technologies)

Helpful to vet and narrow activities.

Help recruit or become management.

Offers access to network to funding.

U of U, ASU, MSU pay $4K-10 per month.(6-12 month contract) Payment and equity accumulation based on reaching milestones

Compensation can include founder equity stake (up to 19%) often with earn out to avoid giving away equity to unsuccessful entrepreneur candidate

Most Universities want them to move to other investor funding with a company startup ASAP

Supporting ideas on Change Management

LearnSomething approach: not from the conference

We use this model to help clients launch major new initiatives

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Some thoughts on a campus wide change effort to

redefine ourselves as Entrepreneurs

“Successful change of any

magnitude goes through all

eight stages, usually

in…sequence…. Although

one normally operates in

multiple phases at once,

skipping even a single step

or getting too far ahead

without a solid base almost

always creates problems.”

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1. Establishing a sense of urgency

2. Creating the guiding coalition

3. Developing a vision and strategy

4. Communicating the change vision

5. Empowering broad-based action

6. Generating short-term wins

7. Consolidating gains and producing more change

8. Anchoring new approaches in the culture

Typical Eight-stage Change Process

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1. Establishing a sense of urgency Examining the market and competitive realities

Identifying and discussing crises, potential crises, or major opportunities

2. Creating the guiding coalition Putting together a group with enough power to lead the change

Getting the group to work together like a team

3. Developing a vision and strategy Creating a vision to help direct the change effort

Developing strategies for achieving that vision

4. Communicating the change vision Using every vehicle possible to constantly communicate the new vision and

strategies

Having the guiding coalition role model the behavior expected of employees

Eight-stage Change Process:

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5. Empowering broad-based action

Getting rid of obstacles

Changing systems or structures that undermine the change vision

Encouraging risk taking and nontraditional ideas, activities, and actions

6. Generating short-term wins

Planning for visible improvements in performance, or “wins”

Creating those wins

Visibly recognizing and rewarding people who made the wins possible

7. Consolidating gains and producing more change

Using increased credibility to change all systems, structures, and policies that

don’t fit together and don’t fit the transformation vision

Hiring, promoting, and developing people who can implement the change vision

Reinvigorating the process with new projects, themes, and change agents

Eight-stage Change Process

<Client> Kickoff Meeting, xx.xx.xxxx | 16 |

8. Anchoring new approaches in the culture

Creating better performance through customer- and productivity-oriented

behavior, more and better leadership, and more effective management

Articulating the connections between new behaviors and organizational success

Developing means to ensure leadership development and succession

Change Process

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What happens next…..Change team

Selected resources

Project timelines

Team schedules and holidays

Potential impact of additional projects and critical

milestones

Additional needs and definitions

Any other concerns, issues, and potential constraints to

project success

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Supporting change often requires each individual be

aligned with desired outcome Alignment implementation methodology uses a simple approach to communicate

change to faculty. Is each person impacted have a clear understanding of the initiative

importance and their role:

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Project Plan

A project plan will be delivered

which outlines the following:

Project activities

Resources/responsibilities

Critical milestones

That plan will be maintained through the life of the

project and adjusted as needed to hit critical milestones.

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Calendaring a series of change events