The key elements that keep established companies from being more entrepreneurial are division of labor, missing metrics and a dominant culture focused on execution. These slides try to transport some of my learning from working with many large incumbents, mainly from B2B industries.

1. The
kick
inside
The
entrepreneurial
mindset
Prof.
Mar7n
Kupp
@mar7nkupp

2. Established
market
leaders
have
frequently
been
challenged
and
toppled
by
new
players
…
Innova7on
examples
Established
market
leader
Industry
New
market
leader
PC
industry
in
the
1990s
Furniture
industry
in
the
1980s
Mobile
phone
industry
in
the
2010s
Music
industry
in
the
2000s
Airline
industry
in
the
1970s
©
Prof.
Dr.
Harald
Hungenberg
2

3. …
and
that
may
well
con7nue
in
the
future
Innova7on
examples
Established
market
leader
Industry
Poten7al
new
market
leader
Publishing
industry?
Energy
industry?
Newspaper
/
magazine
industry?
Educa7on
industry?
Banking
industry?
©
Prof.
Dr.
Harald
Hungenberg
3

4. All
big
companies
started
as
small
companies
…

5. …
but
changed
over
7me!

6. We
know
what
it
takes
to
create
the
entrepreneurial
mindset
…

7. …
so
why
do
established
companies
so
oXen
struggle?
Division
of
labor
Missing
metrics
Dominant
culture

8. Division
of
labor
makes
you
efficient
but
hinders
passion
and
commitment
8
Start-­‐up
Projects
Joining
Voluntarily,
people
choose
what
to
work
on
Directed
by
managers
Choosing
collabora7
on
partners
Self-­‐
determined
Centrally
organized
in
a
hierarchy
Decision-­‐
making
Distributed
Central
How
many
projects?
1
5-­‐9

9. Metrics
for
ge_ng
your
project
going
For
start-­‐ups
For
projects
Acquisi7on
users
come
to
site
from
various
channels
You
start
talking
to
colleagues,
spreading
the
word
(#
of
colleagues
that
listen)
Ac7va7on
users
enjoy
1st
visit:
"happy”
experience
First
colleagues
come
to
you
and
ask
you
about
your
project
(#
of
colleagues
that
come
to
you)
Referral
users
come
back,
visit
site
mul7ple
7mes
Your
colleagues
start
asking
you
whether
they
might
join
your
team
(ability
to
recruit
a
team)
Reten7on
users
like
product
enough
to
refer
others
The
word
spreads
and
senior
management
hears
about
it
(#
of
colleagues
that
refer
your
project
up
the
ladder)
Revenue
users
conduct
some
mone7za7on
behavior
You
are
ready
to
get
a
budget
and
resources
(Based
on
AARRR
metrics
by
Dave
McClure)

10. Does
your
culture
…
• Encourage
new
ideas,
especially
from
below
and
from
unexpected
sources.
• Leave
some
slack
for
experimenta7on,
whether
spare
7me
or
seed
money.
• Puts
individuals
and
interac7ons
over
processes
and
tools
• Values
responding
to
change
over
following
a
plan
• Encourage
customer
collabora7on
• Support
building
and
tes7ng
minimum
viable
products
• Ac7vely
encourage
pivots
(when
learning
measure
indicate
a
pivot)
• Ajract
and
retain
people
with
an
etreprneurial
mindset
Based
on:
Kanter,
R.
HBR
Blog,
2013,
The
agile
manifesto,
Ries,
E.
2014

11. It
all
seems
obvious
Just
let
people
do
what
they
love
with
people
they
love
….