Intrapreneruship -

1

History of IntrapreneurshipWord was coined in 1976 by Gifford and Elizabeth

Pinchot

Based on their concept of an intra-corporate entrepreneur

Began a school for intraprenuers in Sweden in 1985

The American Heritage Dictionary made the word mainstream by adding it in 1992

I have found an example of Intrapreneurship dating back centuries earlier

IntrapreneurA person within a large corporation

who takes direct responsibility for turning an idea into a profitable finished product through assertive risk taking and innovation.

Intrapreneurs have entrepreneurial skills blended with managerial skills but operate within the confines of an organization.

Entrepreneur vs Intrapreneur

Funding◦ company/organization often has capital to

fund the project Manpower

◦ intrapreneurs do not have to worry about finding the talent to get tasks performed

Branding◦ intrapreneurs can use the branding of the

company/organization to get their ideas to take root

Defined as…

Intrapreneurs are “dreamers who do”, those who take hands-on responsibility for creating innovation of any kind within an organization. - Gifford Pinchot

The intrapreneur is an essential ingredient in every innovation. - Dr. William Souder

Individuals who believe strongly in their own talents frequently desire to create something of their own

They want responsibility & have a strong need for individual expression & more freedom in their present ORG structure

No freedom– frustration at work & become less productive– leave ORG to achieve self-actualization elsewhere

Causes for interest in Intrapreneruship

The resistance against flexibility, growth and diversification can, in part, be overcome by developing a spirit of entrepreneurship within the existing ORG, called intrapreneurship

Intrapreneurship increased due to Hyper competition, both at home and abroad--- to increase interest in such areas as new product development, diversification and increased productivity

Why should organizations embrace intrapreneurs?

Corporate Entrepreneurship Creating the appropriate culture Corporate venturing Venture capital support Sponsoring independent entrepreneurs Management as champions of innovation

Intrapreneurial ActivitySpotting ways to improve service

Save time, money, or make life easier

Visualizing variations of current products / services

Realizing new communication avenues with customers

Enhancing the quality

New ways to get the job done quicker or smarter

How does Business benefit?Firms create competitive advantages by discovering new and better ways to compete in an industry and bringing them to market

An enterprise that does not daily innovate inevitably ages and declines

Even in a successful business the disease of bureaucracy and complacency is dangerous

How do Intrapreneurs benefit?

Flexibility

Less restrictions but supportive environment

Recognition

Their ideas are vehicles towards advancement

Increased value to organization - increased PAYCHECK

Implementing the Intrapreneurship CultureEncourage employees to be creative and to look for new ways to improve your current way of doing business

Grant intrapreneurs something akin to ownership rights in the internal intraprises they create

Encourage company wide involvement by insisting on truth and honesty in marketing and marketplace feedback

Implementing the Intrapreneurship CultureTreat intrapreneurial teams as profit centers rather than as cost centers

Allow team members a variety of options in jobs, in innovation efforts, alliances, and exchanges

Encourage employees to develop through training programs

Companies that get it3M

◦Post-It NotesApple

◦IpodGoogle

◦Orkut◦Google News

3M Formerly known as the Minnesota Mining and Manufacturing Company, is an American multinational conglomerate corporation based in Maplewood, Minnesota, a suburb of St. Paul.

With over 76,000 employees, they produce over 55,000 products, including: adhesives, abrasives, laminates, passive fire protection, dental products, electronic materials, medical products electronic circuits and optical films.

Example:- (Post it Notes)

3M scientist Spencer Silver invented a not so sticky adhesive in 1968.

Spencer shared his idea through seminars in which he shared the features (and benefits) of this semi-adhesive to fellow 3M employees.

But no one really caught the vision of his product for five long years. Finally, a co-worker, Art Frey, recognized the need for Spencer's idea!

CONTD.. In 1974, a 3M Corporation employee Art Fry

couldn't keep his hymns marked properly in his church choir book.

After attempting various methods, he decided he'd try using some non-permanent adhesive that was available at his workplace.

By placing this adhesive on the back of his markers, he found he could keep them secured in place and then easily peel them off when he was done.

Contd..The man took his new discovery to the

management at 3M, a company that encourages employees to spend no less than 15 percent of their time at work developing their own ideas and projects.

With the company's support, the resourceful man researched and developed a new product.

Twenty-five years later, Post-It Notes¨ continue to be one of 3M's top-grossing products.

Conclusion

You don't have to own a large corporation to foster intrapreneurship.

All you need is the ability to encourage employees to develop new ideas, and then give them the time, space and resources needed to turn those ideas into reality.