Crisis-triggered Innovation Systems

While the Corona crisis is currently affecting millions worldwide, I wanted to already share with you a fragment of a book I’m currently writing about innovation in the new economy. The fragment is about how a crisis or disruption can create a (spontaneous) need for innovation and could open up opportunities for innovative companies to address new and changed market needs.

Schumpeterian economics

Although it wasn’t highly recognized at the time, the Schumpeterian approach to disequilibrative economics have been widely adopted nowadays. Schumpeter (1942) describes the entrepreneur as disequilibrative – destroying the pre-existing stage of the equilibrium (Kirzner, 1999). This concept is also called ‘creative destruction‘. Through this behaviour, markets will be in continuous cycles of reaching new equilibria and disruptions of that new equilibria. This approach relates to the diffusion of innovation, as was introduced by Rogers (2010). Towards the stage of a market equilibrium, new technology, services and products spread across its intended consumer markets: innovation gets adopted firstly by innovators and early adaptors – who trigger the market disruptions – then (if successful) followed by the early and late majority, reassuring a new equilibrium in the market. From an entrepreneurial perspective, we can see that entrepreneurs who are trying to be ‘creative destructors’, developing radical innovation that disrupts stable markets and mainly target the ‘innovators’ and ‘early adaptors’ have a sense of entrepreneurial alertness that we call seeking new opportunities, whereas entrepreneurs who are waiting longer to adapt their offering and only jump on board when markets are re-establishing again have an entrepreneurial sense that we call seizing (existing) opportunities. In order to function properly, markets need both types of entrepreneurs.

Crisis-triggered Innovation

However, it’s not only entrepreneurs seeking for creative destruction that will initiate market disruptions, it can also be a range of external factors. In innovation theory we distinguish between two types of innovation:

  • Endogenuous innovation: this perspective on innovation economics basically describes that innovation is inevitable. The longer a market is in a stage of an equilibrium, the higher chance will be that an entrepreneur will break that equilibrium. As a result, disruptive innovation is only a matter of time (Antonelli, 2017).
  • Exogenous innovation: this perspective on innovation economics describes the fact that disruptions in markets will occur because of specific external events that trigger the disruption. These events can be called crises or discontinuities. These crises can be initiated by for instance natural phenomena, but also by human behaviour (societal changes).

Both endogenuous and exogenous innovation will trigger a change in the difussion of innovation, starting off with the ‘valley of disruption’: the point in time where markets hibernate because of an on-going crisis.

Establishing the new normal

After the initial valley of disruption, markets will follow a typical recovering process that will bring them to a new baseline. When in crisis, academia are usually the initiator of new and innovative technologies needed to tame the crisis. New technologies gain attention (a little too much at first, the hype, followed by the valley of death) before venture capital or crowdfunding comes available and entrepreneurs start to take over and bring new solutions to market. In his work, Bessant et al (2015) describe 5 stages of crisis-driven innovation:

  • Crisis
  • Observatory
  • Laboratory
  • Prototyping
  • Scaling & Difussion

Organizational Latitude

So, the big question here is: what type of organizations are able to get the most out of a crisis? In the visual you can see the difference between market volatility – the variance in markets and sectors that are in disruptive stage – and organizational latitude – the maximum reach of innovation readiness of your organization. If your organizational latitude exceeds the volatility of your market, your organization will be able to deal with any disruption. Although I’m not saying that the following suggestions are inclusive, they are 2 excellent starting points:

  • Innovation Ecosystem: organizations who participate in knowledge ecosystems and business ecosystems, are much better able to pursue the valley of death and jump on board of the ‘upper new equilibrium’. Organizations who don’t, are more likely to be worse off after the crisis.
  • Teal Organizations: Laloux (2014) describes that so-called teal organizations and 42 ways in which teal organizations differ from other organizations. The more teal you are, the higher your organizational latitude, the better you’ll able to survive the crisis.

In this visual you’ll find all of the above visualized, including Laloux’s 42 characteristics of Teal Organizations.

Download

    Bibliography

    Antonelli, C. (2017). Endogenous innovation: The economics of an emergent system property. Edward Elgar Publishing.

    Bessant, J., Rush, H., & Trifilova, A. (2015). Crisis-driven innovation: The case of humanitarian innovation. International Journal of Innovation Management, 19(06), 1540014.

    Kirzner, I. M. (1999). Creativity and/or Alertness: A Reconsideration of the Schumpeterian Entrepreneur. Review of Austrian Economics, 11, 5–17.

    Laloux, F. (2014). Reinventing organizations: A guide to creating organizations inspired by the next stage in human consciousness. Nelson Parker.

    Rogers, E. M. (2010). Diffusion of innovations. Simon and Schuster.

    Schumpeter, J. (1942). Creative destruction. Capitalism, socialism and democracy, 825, 82-85.

    Innovation Management Canvas

    As part of a simulation game on innovation management we have been running at universities and in corporate training programs for over 4 years now, we have developed an integrative model for dealing with innovation management on a daily basis. Innovation Management is a strategic activity that isn’t necessarily needed to implement throughly for every company. Mostly large companies have included structured processes that include administrative stages to following the (large number of) project that are in progress and to be able to follow-up on them and calculate the effect of innovation management in general. For smaller companies however, that is not general practice: having such a formal process in place simply doesn’t weigh up to cost efficiencies will generate. But for them, innovation management is just as important – but they rather use a toolkit than a formal process. Based on our 8 Types of Innovation Processes model this is a useful canvas design that makes it easy to start working on formalizing your innovation activities and processes in your organization.

    Based on three categories – value creation, strategy and operations – you would be able to start improving the activities of your organization.

      Business Model Generator

      The use of Open Innovation is to a large extent related to the rise of technology. Not only does technology smoothen Open Innovation, also the adaption of new technologies to the core business (model) can be accelerated by participating in Open Innovation networks. In fact, when talking to businesses the questions that they have do almost never directly include the use of Open Innovation as a goal. It’s assumed a logical and necessary step to take when dealing with actual problems. Simply said, many innovation questions that companies have follow the simple pattern: ‘How can we [change something] in order to improve our [business model construct] in line with [trending topic]?’. These are as such practical, design-oriented questions, not about why [something] happens, or what is the effect of [something] but about how to change to adapt to that [something].

      Given that, without having done a lot of research, I created a small game that you could use in workshop, team meetings, or whatsoever, to lead the discussion in the right way. The [change something] is about Open Innovation, the [trending topic] is about smart technologies. Why? Because I think that covers most of the current questions available. Below, you’ll find the result.

      How can we…

      …with partners or customers to improve our…

      …with the use of…?

      Do you like it? I’m looking for great alternative ‘wheels’ to create. Drop a suggestion and I’ll add them to this post. Looking for a more sophisticated game on Innovation & Enterpreneurship, take a look at the simulations of Innovative Dutch.

       

       This article was written by Jan Spruijt. Jan Spruijt is a senior lecturer and entrepreneur in Innovation Sciences. Connect with Jan to stay in touch:

       

      11 Artificial Intelligence Eureka!s for Organizations: my recap of World Summit AI 2017

      In 1990 Kurzweil instantly incubated the way we think about Artificial Intelligence (AI) with his work The Age of Intelligent Machines. While there is now, almost 30 years later, still a long road ahead of us, the technology readiness level of AI is getting significantly closer and many applications are trying to implement AIs state-of-the-art features and starting to accelerate the creation of the Smart Business: AI-enabled organizations that thrive digitally, are hyperconnected (both digitally and physically), use machine learning and cognitive techniques to work smarter and that are increasingly becoming autonomous organizations. In his 2016 book the Fourth Industrial Revolution Klaus Schwab mentions 6 basic technologies that are based on AI and currently impacting business: 1) the Internet of Things (IoT), 2) Autonomous Vehicles, 3) Advanced Robotics, 4) 3D-printing, 5) new materials and 6) the biological revolution.

      But while AI may speak to our imagination, it is in fact one of the slowest developing fundamental technologies and its current state is still highly debatable. Last week, on October 11 and 12, over 2000 professionals in AI gathered in Amsterdam at the World Summit AI 2017 and discussed the state of Artificial Intelligence and Machine Learning. Among the keynotes were Google, Intel, NASA, ING, Airbus, Facebook, Booking.com, Facebook, IBM Watson, Amazon, Alibaba and Uber. Or as Ebay CPO RJ Pittman said: “The brains in this room are worth trillions of dollars.”

      These are some of the most important insights I deducted from the different keynotes, workshops and many people I met.

      This article was written by Jan Spruijt. Jan Spruijt is an expert in Artificial Intelligence & Business Innovation. He designs business simulations, (game) workshops and academic programs in the field of Open Innovation and Smart Business. Connect with Jan at jan@openinnovatie.nl for opportunities.


      1. Anno 2017, Artificial Intelligence equals Machine Learning.

      While AI has been around quite long – its main incentive is to simulate human thinking and human behaviour – the current applications of AI mostly just focus on Machine Learning. And Machine Learning is, as one of the keynotes pointed out just a form of very advanced programming, not AI per se. Or to say it more clearly: “what we are currently experiencing is not ‘general AI’, it’s just a lot of machine learning on big data”. The screenshot below is from a presentation of Google and show where Google is currently working on when it comes to AI:

      2. From Machine Learning to Cognitive Learning

      The problem with Machine Learning is that it focuses on learning machines how to think or behave like humans in stable environments, with repetitive information. So it works well for for instance face recognition or speech analytics (faces and language don’t change). But this is not how humans think. We also know what to do and what to think in unique situations. This asks for a complete different approach to AI, one that is called Cognitive Learning: a dynamic approach to data analysis and ‘intelligence’. With Machine Learning companies would be able to automate (routine) processes, but with Cognitive Learning techniques companies would be able to autonomously create new ideas, new inventions and new innovations. Images from the presentation of Gayle Sheppard, Intel.

      3. We are wrong about the objective of AI

      Currently, almost all AI is preprogrammed to attain a certain goal. But that’s a huge problem. Because when AI works well, it will thus try ‘to keep alive’ in order to attain its goal. So if humans put on off-button on the machine, in order to be able to still control it, the machine’s first action will actually be to break the off-button, because it thinks that it will likely get in its way when it tries to achieve its preprogammed goal.

      What we actually should try to do is to learn AI that it has only one goal: to maximize the realization of human values. In order do that, it needs to be much smarter. It needs to ask us what‘s right and what’s wrong. It needs to ask us what we want. It needs to learn from our behaviour (see point 2) in order to behave adequately.

      But then again, the question raises to what extent it should maximize our own believes. Too less or too much will result in absurd situations, such as these examples:

      4. Next steps in AI

      According to Ronny Fehling, Airbus, there are a few epochs that describe the road ahead for AI. We’re currently at Epoch 1 (using historical and operational data) and trying to get ahold of Analytical data. But we’re far from the next steps: predictive algorithms for business, descriptive algorithms for business (Epoch 2) and explorative algorithms for business (Epoch 3, more on that later).

      5. We need Open Data. But we won’t get Open Data.

      In order to get historical data (see point 4) and actually be able to learn from that (see point 2), we are in hard need of open data. There are many written and digitalized datasets available, that we can use the analyze human behaviour to understand our values better (see point 3). But the problem is that personal data will be much harder to get, due to tough (and rightfully so!) legislation on data. Or as Miles of Google said: ‘other companies will never get access to our data. Our data is our business. We will decide what you can retrieve from our data (through machine learning) and how you can achieve the data (through APIs).

      6. AI is as good as the data it’s built upon

      Because the current state of AI is that it is mostly based upon Machine Learning, and ML only functions when it can analyze repetitive and structured information, we could argue that AI is only as good as the datasets that it uses. And every company that tries to get into AI should therefore first extensively organize and structure its datasets. Keynotes that got into this fact were Airbus and SwedBank who argued that without thorough data they would never have made steps into AI.

      7. The gateway to AI are APIs

      As argued in point 5, the current gateway to AI for most companies are APIs: Application Programming Interface; small pieces of software that understand the underlying machine learning algorithms. This way, complex machine learning algorithm will become available for software programmers around the world: they can build dedicated apps. These apps can be digital (chatbots, software, business intelligence, intellegent systems), but can also be phyical (advanced robotics, biotech, internet of things, autonomous vehicles, and so on).

      8. The misuse of AI is cybercrime on steroid

      As one of the keynote speakers, Parry Malm, mentioned during the conference: “The misuse of AI is a cybercrime problem on steroids. And at the moment things are not going too well with cybersecurity.” It is a known fact that, although with products like Intel Saffron’s Anti-Money Laundring algorithms, criminals are in many ways always a step ahead of regular businesses and misusing the possibilities of Artificial Intelligence to their own benefit. While AI is hot, cybersecurity is much less so, but should be on the top of each companies agenda. Check this [Cyber Trends Index] of Owlin, another company that presented itself at the conference.

      9. AI isn’t gender-neutral, and that’s a serious problem

      Thursday early morning, there was an interesting panel discussion about AI and gender neutrality. The discussion started off with a few good examples of the fact that most AI-driven applications developed for both professional and personal use are created and developed for males rather than females. But the discussion then took another approach and discussed a much more serious problem: as a result of the fact that in the 80’s and 90’s earliest (game) consoles and PC’s were mostly branded as ‘toys for boys’, an unproportionate amount of males started studying computer sciences. A shift towards a ‘male industry’ started to happen and is still going on. Take the example of this conference, an approximate estimate would say that 95% of visitors are male. And that causes a serious, and ethical, problem – because Artificial Intelligence is not gender-neutral. And with artificial general intelligence in foresight, that would mean that a one-sided approach to intelligence could have an enormous impact on society – while a diverse approach would be much more needed. Interesting discussion: will the future artitificial intelligence be male or neutral?

      10. AutoML and Autonomous AI

      Many companies, amongst which Google, are taking steps on what they call AutoML, the machine learning on machine learning. In essence, that means that it won’t be necessary to create more machine learning algorithms, but that more intelligent algorithm learns about the effect of its own predecessors and automaticallys starts to create better algorithms. This technique, though still far off, could be a path the artificial general intelligence.

      11. When artificial general intelligence starts supervising AI: singularity

      As always, there was a lot of reference to technological singularity: the moment when artificial general intelligence becomes more sophisticated than human intelligence. General consensus is that we’re still far away from singularity, but that we’re getting closer. Some advanced robots already have the function of controling or supervising other robots. Though only in its own specialization, this is a form of singularity within that specialization.
      But we’re much closer to singularity than you might think: in a keynote of NASA, one of their most recent projects is creating an interstellar space station, that will take dozens of years to reach its destination. Because communication will be extremely delayed, and humans won’t survive for such a long time, the ship will contain AI-driven robots that gather research data. But the fun fact is that these robots will have to sustain on itself for a long time, they will have to find new ways of doing research based on what they find, they will have to deal with unforeseen circumstances, and so – all without human intervention. Although interstellar, this is definitely a form of singularity. If they run into extraterrestrial life, what will they do? What decisions will they make? What will we think of those decisions when we finally hear about them years after?

      All in all a very inspiring and interesting conference!

      33 Routes to Open Innovation

      It has been a while since Henry Chesbrough coined the term Open Innovation and formulated it’s definition: “combining internal and external ideas as well as internal and external paths to market to advance the development of new technologies.” (Chesbrough, 2003). In the course of time, the terminology surrounding Open Innovation has evolved alongside developments in management literature and practises. Open Innovation as a paradigm on itself is on its quest to touch base. Rather than taking a (technical) process-oriented approach, Open Innovation is now also about Open Business Models (Chesbrough, 2006), Open Services (Chesbrough, 2010) – both from a more strategic perspective – and practical tools (Vanhaverbeeke, 2017) – more from a tactical or operational point-of-view.

      While it could be argued if Open Innovation is the best approach to be used as a general framework to put different strategic, tactical and operational activities into perspective, it is useful to try. So that’s what I did below: I used to initial Open Innovation framework, based on the innovation funnel, to describe and position a long, but non-exclusive, list of activities that are related to Open Innovation. Of course, also other frameworks could be used to do so, but this seemed like a solid approach.

      The infographic includes 33 routes to Open Innovation, ordened by:

      • the level of involvement of partners (upper half) and clients (lower half): the closer the activity is to the funnel, the more involvement is required to succeed.
      • The size of the circles are partly intuitive, partly evidence-based, and describe to current usage of the phenomenen or in some cases the current impact of the phenomomen.
      • Also note that some of the ‘activities’ are rather ‘systems’ that could be tapped into to use it as a source of innovation in stead of an activity that you’ll have to organize and accelerate yourself.

        The goal of this framework: to give you an idea of all the possibilities that come with Open Innovation, where you could start and in what stage of your internal process it comes in (most) handy.

        Partner Activities:

        Route 1: In-licensing

        The process of sourcing for external knowledge, patents or technology and to formalize the use of that information in your own innovation process. The ‘license’ often include information about the collaborators, how the risks are shared, how the pofits are shared and to what extend the technology or information may or may not be altered or adapted.

        Route 2: Co-patenting

        The process of collaboration between inventors and joined registration for a patent that may be used for further exploration and exploitation onwards. The effect has been studied by for instance Belderbos and it also an indication of the strength of (inter)regional collaboration, according to OECD.

        Route 3: Spin-off

        A spin-off is a form of Open Innovation in the sense that a company can ‘spin-off’ a newly developed technology to the public market for further exploitation by the involved engineers or startup team. It thus a technique to split off an early innovation in the hope that, when it leaves it mother’s wings, it will become more successfull on his own.

        Route 4: Collaborative Innovation

        Collaborative Innovation is a branche within Open Innovation that studies the effect of temporary Open Innovation-projects with a single goal in mind, such as the creation of a new product or the development of a new service. It is as such not a paradigm but a program management method. Vareska van de Vrande was recently appointed as professor of Collaborative Innovation at the Rotterdam School of Business.

        Route 5: Co-engineering

        Collaborative engineering: a term mainly used in conventional manufacturing and production industry, with a focus on collaboration between two or more partners in the full process of design, engineering and manufacturing with multidisciplinary teams and supply chain integration.

        Route 6: Co-learning

        A different approach to open innovation because it is more about HRM and than about the processes itself that become open. Co-learning is about the collaborative learning platforms or trajectories for personnel in order to gain new skills, both on operational level as on more tactical or strategic levels. The knowledge than flows back into the company making the influx of knowledge applicable to business processes. For instance: Faems (2006) and Rowley, Kupiec-Teahan and Leeman (1983)

        Route 7: Spin-out

        A spin-out differs from a spin-off in the sense that the technology or startup-team is moving to another ‘mothership’ in the form of an acquisition, merger or (most likely, because the former two usually don’t happen at this early stage) a joint venture.

        Route 8: Open Innovation-based Business Models

        Basically, this is about having a business model in place that exploits the opportunities that arise because of Open Innovation. Businesses with Open Innovation-based Business Models usually are trying to take the place of innovation intermediaries in Open Innovation networks. They can for instance be inventors with the sole purpose of registering and selling intellectual property. Or they can be network brokers. More information in Weiblen (2014) and Chesbrough (2010) when he describes these companies as merchants.

        Route 9: Out-licensing

        Out-licensing is one of the most important strategies within Outbound Open Innovation. Outbound Open Innovation is a core principle of the Open Innovation Paradigm and includes for instance also spin-offs and spin-outs. Out-licensing explores gainin external rewards for internally developped technologies. More information: Lichtenthaler (2009).

        Route 10: Co-design

        This approach could also have been placed underneath the funnel: co-design usually happens with both partners and customers and is meant to have a more human-centered design approach in your R&D-funnel. It has become a main topic of research within design thinking. More info: Steen, Manschot & De Koning (2011).

        Route 11: Open Business Models

        Open Business Models are all-inclusive approaches to Open Innovation: “Open Business Models take a broad perspective of ‘resources’ that are exchanged and shared with the ecosystem. […] It is seen as an ecoystem-aware way of value-creation and capturing. (Weiblen, 2014). As such, firms with an Open Business Model collaborate with its ecoystem by building up partner-networks, platforms. The process of ‘opening up the business model’ is often referred to as Business Model Innovation.

        Route 12: Open Business

        Although the term is almost the same as the before-mentioned approach, ‘Open Business‘ is something completely different. An Open Business embeds a business model that aims to publicly share all data and information. It is related to open source, freeware and open science.

        Route 13: Co-branding

        Collaborative branding refers to the fact that a network of organizations join to create a synergetic branding effect. In many case they will create a joint brand that replaces the current product or company brand in order to gain a larger scale effect of the brand. This process is very common in public networks (such as Brainport, the Netherlands, were many companies use the brand Brainport rather than there own branding), but also works out for business-only partnerships, such as the Douwe Egberts and Philips co-brand Senseo. A related term is co-promotion.

        Route 14: Co-production

        Co-production – or co-manufacturing – is largely the same as co-engineering except from the fact that it focuses only the production part of the process, thus enhancing economies of scale and cost reductions in (mass) production environments.

        Route 15: Co-marketing

        Co-marketing, like co-branding, is about creating a synergetic effect in the commercialization stage of the innovation process. Collaborative marketing focuses on sharing distribution channels and pricing information. It involves joint teams of marketeers bringing to market different products from differnt companies.

        Partner systems:

        Route 16: Sectoral Innovation Systems

        A sectoral innovation systems describes the complete institutional environment, whose aim is to accelerate innovation and employability in a certain sector. In the EU, sectoral innovation systems have been a main focus point of both international and national programs over the last two decades. It’s effects still have to be proven.

        Route 17: Shared Facilities

        The availability of facilities that can be used by networks of companies. From an inbound approach, a company could make use of machine labs, printing labs or hubs with design and production lines; from an outbound approach, companies could share their facilities with others. It contributes to Open Innovation because of the fact that when using these shared facilities, often new combinations or ideas arise. An example of a shared facility is the Holst Centre in Eindhoven.

        Route 18: Regional Innovation Systems

        A regional innovation describes the institional environment, whose aim is to accelerate innovation and employability in a certain (geographically bounded) region. An example is Brainport. I’ve previously written about regional innovation systems.

        Route 19: Business Ecosystems

        These are ecosystems that are created and driven by businesses. Another term would be clusters. While business ecosystems are more likely to be created because of commercial opportunities (and as thus may be actually quite ‘closed’ and could prevend Open Innovation from happening), they could also be created with the purpose of Open Innovation in mind.

        Route 20: National Innovation Systems

        Same as regional, but than national 😉

        Route 21: Fieldlabs

        Field Labs are collaborative working places where businesses and knowledge institutes meet to create and develop new ideas. It’s primarily a place where students can work with professionals to create new products.

        Customer activities:

        Route 22: Crowdsourcing

        The activity of ‘sourcing’ the crowd: gather opinions, ideas, drafts, suggestions and information from the general public, sometimes – but not always – targeted to specific crowds, such as your current customers or users, a group of elite users or targets platforms (such as designers). Crowdsourcing is effective in the early stages of an innovation process because of the fact that it per definition a diverging activity and it results in a wide variety of options to choose from. The technique is not focused enough to be of use later on in the process. Be aware of having enough resourses avaiable when starting a crowdsourcing campaign, as it may go viral and require lots of hours to manage and react. As it is a form of ‘brainstorming’, the general rules of ‘brainstorming’ also apply to crowdsourcing, which includes taking every idea or opinion seriously.

        Route 23: Crowdfunding

        Based on the popularity of crowdsourcing, crowdfunding was firstly introduced in the beginning of the 21st century in the US. Its principles are the same, but the main ‘source’ you’re looking for is not ideas or opinions, but finance for your project. Crowdfunding platforms, just like crowdsourcing platforms, deal with intellectual property rights, commons and other legal issues that come into play when dealing with using external work for your project. Crowdfunding is a hugely popular technique but has very low success rates, because of the lower entry barrier.

        Route 24: Open Data

        This is more a philosophy than a concrete activity, but at least it is fair to say that the process of opening up your data and tapping into open data is an activity. Increasingly popular in software industry, public institutes and educational institutes, opening up (big) data creates opportunities for organizations that otherwise wouldn’t be able to see and use that data. Searching for and using open data is an effective and efficient Open Innovation tool. Wikipedia states, although it misses a source, that “Some make the case that opening up official information can support technological innovation and economic growth by enabling third parties to develop new kinds of digital applications and services.”

        Route 25: Co-creation Labs

        Co-creation labs are almost identical to Fieldlabs, except from the fact that co-creation labs are mainly intended for the public to participate (customers, local civilians, et cetera). Co-creation labs are an effective way to gather feedback on newly developed prototypes and get ideas regarding branding and marketing.

        Route 26: Co-creation

        The term of co-creation is used for a whole lot of different purposes, but in the context of Open Innovation is points to the fact that organizations deliberately seek contact with end customers to test and validate new ideas and prototypes and to gather new ideas for bringing the product to market. Although not intended as such, co-creation, if done right, is also an accepted marketing technique: it engages customers with your product.

        Route 27: Community

        Communities are groups of highly engaged customers, usually voluntarily involved with your product because of personal interest. Searching for and collaborating with these communities may increase new ideas. Lee et al (2011) argue that communities in the example of Lego, have an automatic filtering, for instance through fora, of ideas and these ideas are as such much more worth looking at than for instance ideas generated by crowdsourcing.

        Route 28: E-Participation

        Primarily a public or governmental activity, e-participation tries to involve the public in (usually) gathering feedback on delivered services. It also works for companies because gathering feedback helps in validating and incrementally increasing the quality of products.

        Route 29: Open Source

        Much related to Open Data, Open Source is a philosophy adopted by software engineers to generate sources codes that are freely available. This doesn’t mean that there isn’t any commercial activity involved: while the source code may be open to the public for use, only developers will understand it – and thus commercial activities can be exploited when making the software available for the public. Examples of Open Source projects are Wikipedia and WordPress.

        Customer systems:

        Route 30: Co-working spaces

        Increasingly popular, mainly because of the growing number of freelancers and self-employed personal, co-working spaces are actually an excellent place to start networking and source for new ideas. Because of the diversity of specialists working in those places, you are more likely to gather diverse ideas, which work best in the early stages of the inonvation process. In cities such as Amsterdam co-working spaces pop-up all the time, so it’s worth to search for a space that is as diverse as possible and offers also opportunities to chat and discuss.

        Route 31: Collective Intelligence

        This is the fundamental construct behind crowdsourcing: the idea is that the ‘collective intelligence’ always outperforms individual intelligence, even of the most awarded geniuses in your expertise. Tapping into the collective intelligence is therefore a useful activity.

        Route 32: Smart Cities

        The concept of Smart Cities is based around the ICT-perspective on ‘intelligence’: a highly digital, hyperconnected accessible information society in which broadband is present and the main industry focuses on services and online activities. Smart Cities are a cosmopolitan view on the world, but being located in one of them opens up a wide range of opportunities for innovation.

        Route 33: User Engagement

        The last route to Open Innovation focuses on the end users of your product or service. User engagement is widely researched as a highly effective approach to Open Innovation. This involves (creative) user research (Kumar) and Lead User Involvement (Bogers).

        I’m quite sure there are many more techniques. Please feel free to add them and to indicate how to could be included in the graphic and I’ll update it.

        Clarifying Design in Business Sciences: a Design Thinking Taxonomy

        This article is an extended book review of The Quest for Professionalism of George Romme, a 2016-published book by Oxford University Press. The book is a one-of-a-kind taking a much needed reflective approach to leadership and a critical note towards the level of professionalism that many of us are approaching the science of management and entrepreneurship with. His work is exceptional, because it integrates major scientific perspectives on management from a holistic point-of-view without getting too descriptive. The book chooses a slightly philosophical approach without getting too abstract. The book takes a slightly life-work approach without giving too much self-credit.

        So what’s it about? It’s about the way we think of design – in its broadest sense: organization design, strategic design, theory design, business model design, and product design – in business sciences. So why is it good? It shapes clarity in the field of design thinking, because many of us seem to think nowadays that design thinking equals a hipster approach by emphatizing with customers in order to innovate more rapidly. But that is, as this book describes perfectly, not the case at all: design thinking simply equals business science. I’ll explain why.

        Design Thinking in Business Sciences

        Over the last couple of years, there has been a significant increase in the use of the term ‘Design Thinking’ in the context of management and entrepreneurship. However, the impact of design thinking in business sciences originates from Herbert Simon’s work ‘the Sciences of the Artificial’ for which he has won the Nobel Prize in 1978 – the only Nobel Prize ever awarded to a social scientist. His work focused on the dual approach of management problems: a more fundamental approach, drafting from scientific insights and solving problems ‘top-down’ and more practical approach, reflecting on real creations and validating learnings from them in science, a more design-oriented approach. Romme argues in his work that amongst others also Schon, Krippendorff and Rousseau were bridging the gap between design thinking and management. More recently, many authors have linked ‘organizational learning’ – and thus innovation – with the concept of ‘bounded rationality’- a result of Simon’s dual approach. In other words: design thinking is a necessary approach in order to come to innovation. Or better even: there is no other science in which design thinking is more appropriate than in innovation, for as in innovation sciences the explication of knowledge will always be bounded by human intentionality, environmental continency and therefore asks for a dual approach of discovering and validating. This mechanism happens at all levels, for every type of (research) question one could think of.

        Design Thinking Taxonomy

        This so-called science-based design approach can be visualized – showing that it can be argued that solving any particular (innovation) problem in business sciences could follow a deliberate approach (roughly the red arrow) and/or an emergent approach (roughly the blue arrow):

        .

        Actually, Romme has provided the reader with a long list of research methods/activities that could be followed when dealing with a particular innovation problem. Specific problems ask for (a combination of) specific methods, all within the science-based design method (Romme & Endenburg, 2006):

        Romme, in his work, explains that by plotting the research methods on the design thinking ontology, would create a 3D-version of his model. Romme, however, doesn’t plot this 3D-model because it would become visually complex. I saw that as a challenge and have a created a 3D-model, which I coin the Design Thinking Taxonomy.

          For whom?

          This book is, IMHO, a must-read for everyone involved in business sciences: lecturers, curriculum designers, professors, trainers. I’m quite sure that business science will evolve from its current, usually very conservative, scientific approach, into design-centered programs that are in turn increasing the level of professionalism in management and entrepreneurship.

          11 Paradoxes of Entrepreneurial Thinking: why entrepreneurship can hardly be taught

          Introduction

          Entrepreneurial thinking is described as one of the most relevant skills for the 21st-century workforce (Bacigalupo, Kampylis, Punie, & Brande, 2016). And for that reason it has become an integral criteria in many prescriptive regulations for (higher) education and in increasing numbers also explicitly and implicitly part of curricula (Saavedra & Opfer, 2012). As opposed to entrepreneurship, entrepreneurial thinking is not necessarily bound to entrepreneurs (to be); it is an essential skill for ‘strengthening human capital, employability and competitiveness’ (Bacigalupo et al., 2016).

          This white paper has been originally published to the SSRN: Spruijt, Jan, Paradoxes of Entrepreneurial Thinking: Why Entrepreneurship Can Hardly Be Taught (May 17, 2017).

          Entrepreneurship

          However, the definition of ‘entrepreneurial thinking’ – and the different skills and competences that are related with it – is not obvious. Entrepreneurship has seen a theoretical divide that has existed since the Schumpeter vs. Kirzner debate started. Whereas Schumpeter describes an entrepreneur as disequilibrative – destroying the pre-existing stage of the equilibrium ((Kirzner, 1999) – Kirzner chooses to describe the role of the entrepreneur as more equilibrative – entrepreneurs systematically displace disruptive conditions in order to create stabilized market conditions (Kirzner, 1999). These two extremes – and everything in between – have been topic of discussion ever since. In essence it is nowadays recognized as the difference between creativity (Schumpetarian) and alertness (Kirzner) – creation versus discovering.

           

           This article was written by Jan Spruijt. Jan Spruijt is an expert in Innovation Sciences. He designs business simulations, academic programs, masterclasses, courses, keynotes and learning material in the field of strategic design, organization design and (open) innovation. Connect with Jan at jan@openinnovatie.nl for opportunities.

           

          From that perspective alertness is the discovery of hitherto overlooked current facts and the entrepreneur’s perception of the way in which those discoveries could shape the future market conditions (Kirzner, 1999) and creativity could best be described as the way entrepreneurs deal with radical uncertainty by building upon their qualities of boldness, innovativeness and creativity (Kirzner, 1999). In the Schumpetarian view, opportunities arise from the internal willingness to change the industry. The entrepreneur is an innovator and disturbs the economy (De Jong & Marsili, 2010; Schumpeter, 1934). In the Kirznerian view, opportunities are already existing and be discovered by opportunity-alert entrepreneurs. Research has shown that innovation is mostly linked to the Schumpetarian view: innovative companies are more likely to be started by Schumpetarian-type founders (Samuelsson & Davidsson, 2009), are more likely to be started by engineering students (Ilozor et al., 2006) and are more likely to be created by making new and unique combinations (S. A. Shane, 2003). In contrary, the Kirznerian view is more linked to an economic perspective: are entrepreneurs able to see where a good can be sold at a better price higher than that for which it can be bought (Busenitz, 1996).

          When taking into account a wider definition of entrepreneurship, a more organizational perspective on the matter has described the same divide as causation versus effectuation. Whereas causation is more oriented at a managerial, Kirznerian, perspective on entrepreneurship, effectuation is oriented at a more experimenting, Schumpeterian, perspective on entrepreneurship (De Jong & Marsili, 2010). Many scholars have researched the impact of causation and effectuation on entrepreneurial outcomes. Generally, it can be concluded that entrepreneurship – in the meaning of creating new ventures – a right balance has to be found between the both extremes. Enterpreneurship is about finding the right mix between both causation and effectuation (Reymen et al., 2015). And a successful entrepreneur knows when to act causational and when to act effectuative. When to be creative, when to be managerial. They have researched the number of explicit decisions in new venture creation regarding both perspectives and created the following figure:

          Figure 1: Percentage of effectuation and causation dimensions (Reymen et al., 2015).

          Another study has indeed proven that specifically within SMEs, entrepreneurs use both causation and effectuation at the same time (Berends, Jelinek, Reymen, & Stultiëns, 2014). Quantitative studies show that entrepreneurs use effectuation logic in their early stages, which increasingly turned towards causation over time. Qualitative analysis shows that entrepreneurs actually use both logic at the same time, in contrast to the way larger organizations deal with innovation (in a more structured way). Therefore, entrepreneurs should not learn from large corporations’ best cases on (innovation) management, but learn entrepreneurial thinking in a more Schumpeterian way.

          Entrepreneurial thinking

          That brings us to entrepreneurial thinking. Entrepreneurial thinking is described as having an entrepreneurial expert mindset (Krueger, 2007). The difference between entrepreneurship and entrepreneurial thinking lies in the fact that entrepreneurship is about actions and intentions and entrepreneurial thinking is about attitude and beliefs. This is best described by Krueger: “Behind entrepreneurial action are entrepreneurial intentions. Behind entrepreneurial intentions are known entrepreneurial attitudes. Behind entrepreneurial attitudes are deep cognitive structures. Behind deep cognitive structures are deep beliefs.” (Krueger, 2007).

          Simple logic leads to the fact that entrepreneurial thinking is more common than entrepreneurship. Entrepreneurial thinking focuses on the deep beliefs that lead to behavior that is positively related to entrepreneurial outcome. Based on the same logic as mentioned above, entrepreneurial thinking is prone to both causational thinking and effectuation-based thinking (Krueger, 2007). From a more psychological perspective, the same difference is described as a growth mindset (effectuation) versus a fixed mindset (causation) (Dweck, 2012). Dweck argues that – and that is specifically relevant for early stage entrepreneurs – a gowth mindset makes them more likely to embrace challenges, learn from criticism and dealing with setbacks.

          Corporate entrepreneurship

          Corporate entrepreneurship, and intrapreneurship, are direct effects of entrepreneurial thinking applied to organizations, and then more specifically organizational culture. Questions that come to mind when talking about corporate entrepreneurship are: are there resources available to explore new ideas? Are managers prepared to allow experimentation? Does the organization encourage risk-taking? Do they tolerate mistakes? Is it easy to create autonomous team and projects? Critical elements for an entrepreneurial climate are both causational (goals, rewards) and effectuation-based (feedback, reinforcement, trust) and are built upon stimulating entrepreneurial thinking in the organization (Kuratko, Hornsby, Naffziger, & Montagno, 1993).

          Corporate entrepreneurship has been widely studied because it is believed that it directly leads to innovation and an organization is not able to sustain competiveness over time without renewal or regeneration (Covin, Green, & Slevin, 2006; Damanpour & Gopalakrishnan, 2001; S. Shane, Venkataraman, & MacMillan, 1995; Venkataraman, 2014). Current research focuses mainly on the creation of internal processes, innovation adoption, governance, and the knowledge, skills and attitudes of individuals (A. Corbett, Covin, O’Connor, & Tucci, 2013).

          Entrepreneurship Competence

          Because of the above-sketched complexity that arouses out of the ambidextrous nature of entrepreneurship, teaching entrepreneurship has always been prone to different views and methods. Most literature however, indeed suggests that teaching entrepreneurship is about dealing with paradoxical situations, such as uncertainty. From an educational point of view it is therefore more obsolete to teach entrepreneurship through the determinants of entrepreneurship – in education often called the entrpreneurship competence. That term is in itself a very complex one and continuously under debate. Lans et al. (2008) have written an excellent paper on the discussion of what entrepreneurship competence actually. Generally, an entrepreneurship competence includes the knowledge, skills and attitude (Fiet, 2001). In education, two approaches are currently used: a more ‘bolt on’ approach, where the entrepreneurship competence is seen as a fixed way of thinking about entrepreneurial competencies, and more ‘interpretive/integrative’ approach, where the entrepreneurship competence rather is seen as a context-dependent set of skills and attitude (Lans et al., 2008). Especially the latter follows the direction of this paper. From that perspective personality traits are seen as conditions for entrepreneurship, but not as learnable. The ‘learned entrepreneurship competence’ is a competence not acquired at birth, but through education, training or experience (Bird, 1995; Lans et al., 2008). According to Bird (1995) there is no use in developing a model for entrepreneurship competencies without considering that these competencies should be learnable.

          Can entrepreneurship be taught at all? There is a difference between teaching entrepreneurship and teaching about entrepreneurship. The entrepreneurship competence is about teaching entrepreneurship and if that’s possible at all has been part of many studies. Hindle (2007) argues that, depending on what we see as a result, it can be taught if we define the result as ‘the entrepreneurship exists’ after she ‘underwent a process of education that contributed to the nature of her current existential state.’

          A recent publication of the European Commission has used this view on entrepreneurship competence to define a framework for education. Although one of many different views, it takes an interesting in approach in the fact that it tries to ‘bridge the world of education and work’. The framework defines three main competence areas: ‘ideas and opportunities’, ‘resources’ and ‘into action’ – and another fifteen competences (Bacigalupo et al., 2016). The framework however, has not been validated yet. A framework that has been validated is the FINCODA-framework. Although a bit more focused on innovation skills, it validated five key competences for innovation and entrepreneurship: creativity, critical thinking, initiative, teamwork and networking (Marin-Garcia et al., 2016).

          Figure 2: EntreComp Framework (Bacigalupo et al., 2016 figure 2, p. 11)

          Teaching Entrepreneurship

          Even when knowing which competences should be taught in order to increase entrepreneurial success in a complex and paradoxical-setting, one could wonder how to teach these competences, from a more didactical point of view. Neck et al. (2014) argue that the ‘effective doing of entrepreneurship requires a set of practices and these practices are firmly grounded in theory’. They call this actionable theory learning, as depicted in the following matrix (A. C. Corbett & Katz, 2012; Neck & Greene, 2011):

          The authors argue that are five different practices of educating entrepreneurship:

          • Practice of play: ‘the skill of play frees the imagination, opens up our minds to a wealth of opportunities and possibilities, and helps us to be more innovative as entrepreneurs’ (Neck, Neck, & Murray, 2017). Play includes the used of simulation games that challenge to think like an entrepreneur.
          • Practice of Experimentation: ‘the skill of play is best described as acting in order to learn – trying to something, learning from the attempt and building that learning into the next iteration’ (Neck et al., 2017).
          • Practice of Empathy: can be taught using creative research methods.
          • Practice of Creativity: can be taught using creative techniques and methods such as design thinking (Neck et al., 2017)
          • Practice of Reflection: can taught by using different ways of reflection in class, such as narrative reflection, emotional reflection, analytics reflection and critical reflection. Although its benefits have been supported widely, reflection is not brought into practice at all (Neck et al., 2017).

          Figure 3: The theory-practise matrix (Neck et al., 2014).
          Figure 4. The practices of entrepreneurship education (Neck et al., 2014).

          Missing Literature

          Many educational programs follow the golden rule of first defining competences and its body of knowledge, skills and attitudes which then lead to curriculum, teaching and learning objectives that can be assessed, examined and form the foundation for learning material (Biggs, 1996; Brown, 1995). These objectives are an essential part of education. They are more specific than competencies, but less specific than (grading) criteria. Although the latter are widely covered in literature (Bacigalupo et al., 2016), specific objectives that take into account the ambidextrous nature of entrepreneurship are not. While it could be relatively easy to formulate learning objectives for the five competences of the FINCODA model – something like ‘Upon successful completion of this course the student is able to understand and paradoxical nature of dealing with taking initiative in the context of entrepreneurship in order to prepare him/her for effective decision-making as an entrepreneur.’ – these learning objectives are to broad and don’t take into account the actual body of knowledge and skills needed as an entrepreneur. A true set of learning objectives for dealing with ambidextrous entrepreneurship is not yet out there and it is the purpose of this paper to create one.
          The fact that the most relevant competence for entrepreneurship – which is, as was argued before, ambiguity, or to say more specifically learning how to deal with or to tolerate ambiguity – has not been integrated in the present-day competency frameworks is not so strange. Teaching ambiguity is widely recognized as one of the most difficult competences for a teacher himself (Chang, Yang, Martin, Chi, & Tsai-Lin, 2016). It is however, as the subtitle of this article suggested, never as satisfying as you want it to be. Dealing with ambiguity, causation and effectuation, is like trying to solve an unsolvable equation. Or as Ludwig van Mises wrote:

          “entrepreneurs defy any rules and systematization. [Entrepreneurship] can be neither taught nor learned.” (Klein & Bullock, 2006; Lewin, 2011; Von Mises, 1949)

          More recent literature however suggest that it can be learnt, but it still cannot be taught:

          “Some business professors dream of finding a grand algorithm that will allow them to guide entrepreneurial decisions and to judge in advance which decisions are good and which bad. [This has been revealed to be] a form of magical thinking. We need entrepreneurs to make their decisions for themselves precisely because it is impossible for us to make those decisions for them.” (Koppl, 2008; Lewin, 2011)

          The paradoxes depicted below are merely a single-minded and largely invalidated solution to the unsolvable equation.

          Paradoxes of Entrepreneurial Thinking

          Based on conclusions from the literature study above, I will now propose a set of teaching objectives that are constructed in such a way that they deal with the dilemma that arose in the Kirznerian and Schumpetarian literature on entrepreneurship and following the line of practices as proposed by Neck at al (Neck et al., 2014).

          #1: The Uncertainty Paradox

          This paradox was framed by Peter Lewin (Lewin, 2011) in a refreshing article named Entrepreneurial Paradoxes as followed: “entrepreneurial opportunities are complicated by uncertainty but would not exist without uncertainty.”

          #2: The Strategic Paradox

          This specific paradox is closely related to the before-mentioned literature on organizational ambidexterity, which deals with the difficulty of exploration and exploitation: for a long-term sustainable business model an entrepreneur would need to focus on exploration but that his company would not be able to sustain itself without a short-term exploitative strategy. This is also referred to as the choice between pivoting or persevering (Ries, 2011).

          #3: The Opportunity Paradox

          This is a complicated paradox, but basically it described the fundamental way entrepreneurs see and recognize opportunities. On the one hand, opportunities may exist and be discovered – as was depicted earlier in the article – but on the other hand it could be claimed that opportunities are created and exploited. This paradox is questionable however, because one could wonder if an opportunity created by a specific entrepreneur was not actually an existing opportunity missed by anyone else (Lewin, 2011).

          #4: The Experience Paradox

          This one is rather simple to understand: an entrepreneur never could have enough experience to always make wise decisions in hindsight. The paradox causes, for instance, also the not-invented-here syndrome. An entrepreneur would rather base its decisions on prior experience which does not completely reflect the current situation.

          #5: The Momentum Paradox

          When confronted with a more complex decision, often arises the dilemma if I do it now, will it be too soon for the market, or if I wait will it be too late for my business? Choosing the right time for the right decision is often paradoxical, because an entrepreneur will be too early, if no one else was too early, will be right on time when somebody was too early and will be too late if everyone else was earlier.

          #6: The Generalization Paradox

          Crazy enough, there is more literature suggesting that an entrepreneur is characterized by the fact that his personality traits are unique to anyone else, thus making a general set of competences, skills or behaviourial actions impossible to depict. Or as Lewin says it: “The elements of the category “entrepreneur” are all unique individuals whose characteristics (almost) defy generalization.” (Lewin, 2011). An entrepreneur should therefore always wonder if he should learn from the best practices of other entrepreneurs, or that he should learn from other entrepreneurs in a way that purposely does not want to copy their best practices.

          #7: The Decision-making Paradox

          The simple restriction of limited time, limited budget forms the backbone of almost each decision made in business. With limited budget in mind, would it be wise to spread your money over a longer time (a lower burn rate) or over more different strategic directions (exploration) – but then does limited time not ask for quicker spendings?

          #8: The Impact Paradox

          Sharp (2010) has found that there is strong paradox in (entrepreneurial) leadership when it comes to innovation at the personal level of the entrepreneur. He depicts that only 99% of all leaders are unable to demonstrate both humility and will at the same time, thus creating a paradox (Collins, 2001; Sharp, 2010). In a way this could be related to the much more discussed paradox: social impact versus economic impact. Most entrepreneurs have to struggle continuously between trying to create social impact with their business or trying to have economic impact with their business.

          #9: The Risk-taking Paradox

          Risk is one of the most-researched elements of entrepreneurship. Many scholars come to the conclusion that entrepreneurs actually don’t take a lot of risk; risk a merely the smart use of statistics and therefore the term calculated risk is often used. But statistics often counteract with each other and in practice each entrepreneur will ask himself over and over: is this worth taking the risk or not?

          #10: The Knowledge Paradox

          An entrepreneur does not have time, nor does he have the intention, of knowing all information that he may use for taking effective decisions for his enterprise. This so-called ‘knowledge gap’ is prevalent in day-to-day actions and entrepreneur finds himself choosing between learning and doing.

          #11: The Trust Paradox

          As an entrepreneur won’t be able to know everything himself, the knowledge paradox, he finds himself relying on others information. This raises the question: can he trust the information he gets? The trust paradox is mostly visible when dealing with outsiders, collaborators, clients, suppliers, et cetera and is of great difficulty for entrepreneurs.

          Conclusions and Discussion

          While effort has been put in discussing the phenomenon of teaching entrepreneurship from different perspectives, I do not even try to claim that this research is close to complete. There is a wide range of research available which both – and arguably with evidence – claim that entrepreneurship could be taught or could not be taught. This discussion adds to the on-going debate around nature versus nurture. This white paper is nothing more than my two cents on teaching entrepreneurship and bringing up the topic of paradoxes in entrepreneurial. To my opinion entrepreneurship as much as entrepreneurial thinking cannot be taught, but we can teach tolerance to ambiguity and therewith a self-reflectivity needed to autodidact entrepreneurial thinking. In order teach tolerance for ambiguity, lecturers need to cope with the above-mentioned paradoxes themselves rather than trying to translate them into teaching material. This makes learning entrepreneurial more tacit than explicit. But we already knew that, didn’t we?

          References

          • Bacigalupo, M., Kampylis, P., Punie, Y., & Brande, G. (2016). EntreComp: The Entrepreneurship Competence Framework. https://doi.org/10.2791/593884
          • Berends, H., Jelinek, M., Reymen, I., & Stultiëns, R. (2014). Product innovation processes in small firms: Combining entrepreneurial effectuation and managerial causation. Journal of Product Innovation Management, 31(3), 616–635.
          • Biggs, J. (1996). Enhancing teaching through constructive alignment. Higher Education, 32(3), 347–364.
          • Bird, B. (1995). Towards a theory of entrepreneurial competency. Advances in Entrepreneurship, Firm Emergence and Growth, 2(1), 51–72.
          • Brown, J. D. (1995). The elements of language curriculum: A systematic approach to program development. ERIC.
          • Busenitz, L. W. (1996). Research on entrepreneurial alertness. Journal of Small Business Management, 34(4), 35.
          • Chang, Y.-C., Yang, P. Y., Martin, B. R., Chi, H.-R., & Tsai-Lin, T.-F. (2016). Entrepreneurial universities and research ambidexterity: A multilevel analysis. Technovation, 54, 7–21.
          • Collins, J. C. (2001). Good to great.
          • Corbett, A. C., & Katz, J. A. (2012). Introduction: The action of entrepreneurs. In Entrepreneurial action (pp. ix–xix). Emerald Group Publishing Limited.
          • Corbett, A., Covin, J. G., O’Connor, G. C., & Tucci, C. L. (2013). Corporate Entrepreneurship: State‐of‐the‐Art Research and a Future Research Agenda. Journal of Product Innovation Management, 30(5), 812–820.
          • Covin, J. G., Green, K. M., & Slevin, D. P. (2006). Strategic process effects on the entrepreneurial orientation–sales growth rate relationship. Entrepreneurship Theory and Practice, 30(1), 57–81.
          • Damanpour, F., & Gopalakrishnan, S. (2001). The dynamics of the adoption of product and process innovations in organizations. Journal of Management Studies, 38(1), 45–65.
          • De Jong, J. P. J., & Marsili, O. (2010). Schumpeter versus Kirzner: An empirical investigation of opportunity types.
          • Dweck, C. (2012). Mindset: How you can fulfil your potential. Hachette UK.
          • Fiet, J. O. (2001). The theoretical side of teaching entrepreneurship. Journal of Business Venturing, 16(1), 1–24.
          • Hindle, K. (2007). Teaching entrepreneurship at university: from the wrong building to the right philosophy. Handbook of Research in Entrepreneurship Education, 1, 104–126.
          • Ilozor, B., Sarki, A., Hodd, M., Johnson, D., Craig, J. B. L., & Hildebrand, R. (2006). Entrepreneurship education: towards a discipline-based framework. Journal of Management Development, 25(1), 40–54.
          • Kirzner, I. M. (1999). Creativity and/or Alertness: A Reconsideration of the Schumpeterian Entrepreneur. Review of Austrian Economics, 11, 5–17.
          • Klein, P. G., & Bullock, J. B. (2006). Can entrepreneurship be taught?
          • Koppl, R. (2008). Computable entrepreneurship. Entrepreneurship Theory and Practice, 32(5), 919–926.
          • Krueger, N. F. (2007). What lies beneath? The experiential essence of entrepreneurial thinking. Entrepreneurship Theory and Practice, 31(1), 123–138.
          • Kuratko, D. F., Hornsby, J. S., Naffziger, D. W., & Montagno, R. V. (1993). Implementing entrepreneurial thinking in established organizations. SAM Advanced Management Journal, 58(1), 28.
          • Lans, T., Hulsink, W. I. M., Baert, H., & Mulder, M. (2008). Entrepreneurship education and training in a small business context: Insights from the competence-based approach. Journal of Enterprising Culture, 16(4), 363–383.
          • Lewin, P. (2011). Entrepreneurial Paradoxes: implications of radical subjectivism. In School of Management, University of Texas at Dallas, Prepared for the Austrian Economics Colloquium (pp. 1–17). Citeseer.
          • Marin-Garcia, J. A., Andres, M. A. A., Atares-Huerta, L., Aznar-Mas, L. E., Garcia-Carbonell, A., González-Ladrón-de-Gevara, F., … Watts, F. (2016). Proposal of a Framework for Innovation Competencies Development and Assessment (FINCODA). WPOM-Working Papers on Operations Management, 7(2), 119–126.
          • Neck, H. M., & Greene, P. G. (2011). Entrepreneurship education: known worlds and new frontiers. Journal of Small Business Management, 49(1), 55–70.
          • Neck, H. M., Greene, P. G., & Brush, C. G. (2014). Teaching entrepreneurship: A practice-based approach. Edward Elgar Publishing.
          • Neck, H. M., Neck, C. P., & Murray, E. L. (2017). Entrepreneurship : the practice and mindset.
          • Reymen, I. M. M. J., Andries, P., Berends, H., Mauer, R., Stephan, U., & Burg, E. (2015). Understanding dynamics of strategic decision making in venture creation: a process study of effectuation and causation. Strategic Entrepreneurship Journal, 9(4), 351–379.
          • Ries, E. (2011). The lean startup: How today’s entrepreneurs use continuous innovation to create radically successful businesses. Crown Business.
          • Saavedra, A. R., & Opfer, V. D. (2012). Learning 21st-century skills requires 21st-century teaching. Phi Delta Kappan, 94(2), 8–13.
          • Samuelsson, M., & Davidsson, P. (2009). Does venture opportunity variation matter? Investigating systematic process differences between innovative and imitative new ventures. Small Business Economics, 33(2), 229–255.
          • Schumpeter, J. A. (1934). The theory of economic development: An inquiry into profits, capital, credit, interest, and the business cycle (Vol. 55). Transaction publishers.
          • Shane, S. A. (2003). A general theory of entrepreneurship: The individual-opportunity nexus. Edward Elgar Publishing.
          • Shane, S., Venkataraman, S., & MacMillan, I. (1995). Cultural differences in innovation championing strategies. Journal of Management, 21(5), 931–952.
          • Sharp, R. J. (2010). Leadership, Innovation and Entrepreneurship: What leadership capabilities are necessary to support innovation and entrepreneurship Retrieved from https://richardjamessharp.wordpress.com/2010/10/28/leadership-innovation-and-entrepreneurship-what-leadership-capabilities-are-necessary-to-support-innovation-and-entrepreneurship-2/
          • Venkataraman, R. (2014). IT Enabled Innovation Institutionalization in a Large and High Growth Service Firm. In Proceedings of the 2014 Annual SRII Global Conference (pp. 116–124). IEEE Computer Society.
          • Von Mises, L. (1949). La acción humana. Unión editorial.

          ISPIM Conference Porto & ISPIM Grand Prize for Innovation Management Excellence

          As a member of ISPIM, we’re proud to be part of the ISPIM 2016 Conference in Porto again.

          Organised by ISPIM, and supported by ANI – Agência Nacional de Inovação (the National Innovation Office of Portugal), this event is for innovation researchersindustry executivesthought leaders and policy makers.

          • Understand the latest innovation management thinking in 50+ workshops, keynotes, tours and discussions
          • Broadcast your insights to 500 innovation experts from 50 countries
          • Get feedback, get published and share understanding
          • Deep dive into the Portuguese innovation scene

           

           This article was written by Jan Spruijt. Jan Spruijt is an expert in Innovation Sciences. He designs business simulations, academic programs, masterclasses, courses, keynotes and learning material in the field of strategic design, organization design and (open) innovation. Connect with Jan at jan@openinnovatie.nl for opportunities.

           

          Please sign up for the conference at their website if you want to be present.

          ISPIM Grand Prize for Innovation Management Excellence

          Just like last year, the ISPIM Grand Prize will be awarded to a company or organization with the best idea or performance on innovation management. Do you have an idea? Don’t hesitate and submit it before April 8th.

           

           

           

           

          50+ Business Cases on Innovation & Entrepreneurship

          During a course we developed at Avans University this winter, we asked students to gather relevant business cases on innovation and entrepreneurship in order to analyse them and prepare discussions around organization design. The course was based on the following model:

          The following list is a selection of the business cases they found, mostly based on the Lean Startup, Lean Enterprise, Corporate Entrepreneurship and agile/Scrum – all available freely and online for use at your disposal, so I decided to share them with you. If you have any other business cases that are relevant, please drop them in a comment. Part of the cases are in Dutch. Thank you!

          Business Cases:

          The Mission Model Canvas: An Adapted Business Model Canvas for Mission-Driven Organizations

           

           

          When Toyota met e-commerce: Lean at Amazon | McKinsey & Company Amazon’s former head of global operations explains why the company was a natural place to apply lean principles, how they’ve worked in practice, and where the future could lead.” property=”og:description” name=”description

           

          The Top 10 Ways Entrepreneurs Pivot A Lean Startup – Business Insider It’s time for a change. ;

           

          Product Hunt Is Tech’s New Tastemaker, and It Has Big Plans | WIRED It’s a list of cool stuff. It’s becoming so much more.

           

          How an Off-Season Hobby Grew into a Slick Business Brent Christensen’s Ice Castles creates frozen fantasies, and business is heating up.

           

          Uber as a startup: the ins and outs of slim launches – Ventureburn

           

          Nike Lean Manufacturing: An Example of Good Policy Deployment Nike Lean Manufacturing: An Example of Good Policy Deployment is an article documenting Nike’s Lean Journey thus far.

           

          Lean production – Jaguar | Jaguar case studies and information | Business Case Studies

           

          Lean Innovation Management — Making Corporate Innovation Work {{meta.description}}

           

          Lessons Learned: Case Study: The Nordstrom Innovation Lab

           

          A Brief History of Lean

           

          Agile Case Studies Archives – Agile Advice

           

          Scrum at Amazon – Guest Post by Alan Atlas | The Agile Executive Rally’s Alan Atlas shares with us his experience as the first full-time Agile trainer/coach with Amazon. His account is both enlightened and enlightening. He connects the “hows”, “whats” and “whys” of Scrum in the Amazon context, making sense for the reader of what took place and what did not at Amazon. You will find additional insights…

           

          Microsoft Lauds Scrum Method for Software Projects On the heels of launching the long-awaited SQL Server 2005, Microsoft is promoting the use of “scrum” to speed up the management of software projects.

           

           

          Vodafone UK and HP Partnership more than halves the software developm… VODAFONE UK AND HP PARTNERSHIP MORE THAN HALVES THE SOFTWARE DEVELOPMENT LIFECYCLE Case Study…

           

          Do Pivots Matter? | Inc.com What really defines a pivot and how they can impact your business model.

           

          Case study: Distributed Scrum Project for Dutch Railways How we customise Scrum to our local context plays a large role in the success or failure of a project. This article describes a successful, large, distributed Scrum project, which had already been scrapped once under a traditional approach. The authors share lessons learned on: project startup, product ownership, testing and the importance of estimates and effective communication.

           

          Case study: Philips takes agile approach to building bridges between business and IT Dutch technology giant talks up the success of its attempts to embrace agile IT delivery methods, and how its shaping future customer engagements

           

          Steve Blank: The Curse of a New Building – The Accelerators – WSJ STEVE BLANK: One of the things you do right in a startup is moving from one cheap and cramped building to another as you grow, with desks, cubicles and engineers piled cheek by jowl. Then, one of the signs of success is when you outgrow your last cramped quarters and can afford a “real” building. This happened to us at SuperMac when our sales skyrocketed. That’s when things went south…

           

          Steve Blank on Defining New Markets | Inc.com Failing to understand new markets is the biggest mistake your startup can make.

           

          Lean Innovation Management — Making Corporate Innovation Work {{meta.description}}

           

          How One Startup Figured Out What Could Really Help Deaf People

           

          Innovation Outposts in Silicon Valley — Going to Where the Action Is

           

          Tips From Steve Blank on How to Grow Your Company | Inc.com You’ve launched your startup, but now what? The Silicon Valley veteran weighs in.

           

          Beyond the Lemonade Stand: How to Teach High School Students About Lean Startups

           

          BillGuard Launches Its Personal Finance App On Android And Adds Data Breach Alerts | TechCrunch BillGuard is expanding its reach with the launch of an Android app, and also adding a new feature that will alert users when their cards have been affected by..

           

          How One FinTech Company Used Lean Startup in a Regulated Industry – Lean Startup Co.

           

          Handshake Will Help You Find Your Next Intern – Fortune Amazon, Goldman Sachs, and Microsoft are among the many companies using Handshake to find interns.

           

          Bundle’s New App Automatically Organizes Photos For You | TechCrunch Organizing our massive photo libraries is a task that a number of startups and big companies alike are still trying to solve. While Google is poised to..

           

          Cancer Cell-Therapy Companies Scale Up to Cut Costs – Bloomberg ” data-ephemeral=”true

           

          MeUndies Thinks Fun Is What’s Missing from Underwear Shopping – Racked They want to be YouUndies.

           

          Fear of Failure And Lack Of Speed In A Large Corporation {{meta.description}}

           

           

          Langzame lean startups? Een voorbeeld uit Albanië. The Lean Doctor Hoe werken de lean startup principes eigenlijk in een compleet andere context? In dit artikel bekijken we de langzame lean startups.

           

          Idealistische leensite Peerby vindt het tijd iets te gaan verdienen | Economie | de Volkskrant Spullenleensite Peerby experimenteert met verhuur. Amsterdamse gebruikers kunnen sinds twee weken bijverdiene

           

          Waarom 3D Hubs naar New York gaat | Sprout Het gaat steeds harder met 3D Hubs, de startup die als een Airbnb van het 3D-printen eigenaren van de machines in contact brengt met iedereen die een ontwerp wil laten maken.

           

           

          Peerby gaat (eindelijk) geld verdienen – RTL Nieuws Leenwebsite Peerby krijgt voor het eerst een verdienmodel. Via de start-up kun je straks niet alleen spullen gratis lenen, maar ook huren.

           

          Start-up Jungo brengt hypotheek van mens tot mens – RTL Nieuws Vincent van den Noort is mede-oprichter van de fintech start-up Jungo. Dit people-to-people hypothekenplatform moet voorjaar 2016 online gaan en brengt huizenkopers samen met particuliere investeerders.

           

          De nieuwe generatie maaltijdbezorgers levert oesters en champagne – NRC

           

           

          Een slechte nachtrust als geheim van een start-up [case] – Frankwatching Een briljant idee omzetten in een leuk, succesvol bedrijf? Het hoeft niet ingewikkeld te zijn. Dit kun je leren van een Berlijnse start-up.

           

          Miljoeneninvestering moet WeTransfer helpen bij verovering VS – NRC

           

          Lean startup: vallen en opstaan bij een innovatieve zorgsite [case] – Frankwatching Misha startte met een klein groepje een innovatieve zorgwebsite met de lean startup-methode. Dat ging niet van een leien dakje: een openhartig verhaal.

           

          Lean startup: begin met het minimaal werkbare product – Emerce De lean startup begint met het minimum viable product. Het minimaal werkbare product dat antwoord geeft op de vraag: waar heeft je klant behoefte aan?

           

          Grootste taxibedrijf Nederland lanceert Amsterdamse concurrent van Uber | Het Financieele Dagblad Transportbedrijf Transdev begint een taxibedrijf in Amsterdam en Schiphol dat moet gaan concurreren met taxistart-up Uber.

           

          App tip: Bksy de sociale bibliotheek – Geekly Soms gebeurt het wel eens dat je een app of project tegen het lijf loopt dat niet meteen indruk maakt omdat het nou de beste app ter wereld is, maar dat he

           

           

          Rotterzwam: Urban Farming in een tropisch zwembad AGF.nl is hét branchemedium voor de AGF-sector

           

          Green-Bricks wint Startup Weekend Utrecht | Baaz.nl Green-Bricks is zondag 16 november de winnaar geworden van het Startup Weekend in Utrecht.

           

          Lean: van autofabriek tot ‘eigenwijze’ organisatie – Frankwatching Lean manufacturing heeft het doel om verspilling in processen te minimaliseren. Kan ‘lean’ ook worden toegepast in ‘eigenwijze’ organisaties?

           

           

          Lean in de Zorg bij Yorneo – sixsigma.nl Twee Green Belts laten opleiden en dan het Lean-gedachtengoed als een olievlek over de organisatie verspreiden. Dat was (en is) de doelstelling van Yorneo, de jeugdzorgorganisatie die zich in Drenthe bezighoudt met hulp bij opvoeden en opgroeien

           

          Agile werken: zo krijgt ING de medewerkers mee – Pw De Gids | Leidinggeven, Reorganisatie
          Innovation Studio helpt startups op weg – RTL Nieuws In de Innovation Studio van ING worden drie startups en drie interne teams begeleid bij het realiseren van een innovatief idee op het gebied van financiële technologie.

           

          Nooit meer ‘googlen naar ict’: lean startup binnen de overheid? – Frankwatching Commissie Elias denkt dé oplossing gevonden te hebben voor falende IT-projecten van de overheid. Maar het is niet de goede. Hoe moet ‘t wel?

           

          Woningcorporatie Havensteder en cegeka-dsa implementeren ERP-oplossing volgens agile-methodiek scrum – Emerce

           

           This article was written by Jan Spruijt. Jan Spruijt is a senior lecturer and entrepreneur in Innovation Sciences. Connect with Jan to stay in touch:

           

          Do you have an open innovation strategy?

          In today’s business environment, where startups play an increasingly important role and disruptions come from unexpected corners of the business arena, embracing external sources of knowledge as part of an open innovation strategy becomes crucial!

          Rotterdam School of Management launches a new programme focused on implementing such an open innovation strategy with a particular focus on the role of startups. What is the role of startups in today’s business environment and how can corporates and startups effectively cooperate? During this intensive two-day RSM Executive Education programme, you will discover the latest academic perspectives of corporate venturing and its role in the corporate innovation process. Building on company cases and your own experience, you will learn best practices from experts, and exchange knowledge and experience with your peers.

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