Documente Academic
Documente Profesional
Documente Cultură
Entrepreneurship
The path less traveled
Sreeraj S
Co-Founder & Chief Technology Officer, Ordyn Technologies Pvt. Ltd.
Implementing Innovations
Agenda
Definitions and Scope The Need Challenges The Entrepreneur Startup Operation and Growth
Implementing Innovations
Entrepreneurship
Definitions & Scope
Implementing Innovations
Entrepreneurship
Wikipedia: the practice of starting new organizations or revitalizing mature organizations, particularly new businesses generally in response to identified opportunities
Implementing Innovations
Entrepreneur
Wikipedia: Entrepreneur in English is a term applied to the type of personality who is willing to take upon herself or himself a new venture or enterprise and accepts full responsibility for the outcome
Implementing Innovations
Scope/Focus
The need Entrepreneurs life
Challenges, Qualities, Rewards
Growth companies
Enterprises with potential to grow BIG How to start and build them Will discuss operational aspects
What to do and mistakes to avoid Will not discuss administrative, management and legal issues
Implementing Innovations
Scope/Focus
Help in a deep understanding of what entrepreneurship means
Take a decision whether entrepreneurship is for you Work towards building the required attitude and skill set
Implementing Innovations
Entrepreneurship
The Need
Implementing Innovations
Importance
Ventures lead to economic prosperity
Create jobs Improve quality of life
Ideas/Products/Services
Telecommunication, Internet Transport Computers Entertainment EVERYTHING similar that we take for granted!!!
Creates wealth
Implementing Innovations
Works best in protected markets/ monopolies May not provide the best for the customer
Less motivation for innovation and competitiveness May not self-sustain and will then drain wealth May be essential in some sectors
Implementing Innovations
Entrepreneurship
Challenges
Implementing Innovations
Challenges
Very risky
A majority of new ventures fail in spite of the entrepreneurs competence and perseverance
Need to have a detached view point Must plan for contingencies
Implementing Innovations
Not a favored or respectable career in society and most families in India/ other countries
Support from family and friends is probably important Considers entrepreneurship as an option pursued by the maverick (eccentric?)
And probably true how many would choose this path?
Challenges
Venture or adventure?
While there is venture in adventure, a venture aims at generating profit. Adventure is just an exciting undertaking.
Implementing Innovations
Challenges
Sweat equity
Somehow, the creation and building up of a successful enterprise inevitably requires an enormous amount of sacrifice and hard work from the entrepreneur
May have to perform a lot of roles in the initial phase till the business shows profit and grows.
Implementing Innovations
Entrepreneurship
The Entrepreneur
Implementing Innovations
Why
Personal expression
Pursuing a vision Contribute to improving the world
Money Fame
Implementing Innovations
Qualities
Able to confront and go through adverse situations Assume responsibility and accountability for the outcome Calculated risks not recklessness
Perseverance
A die hard attitude Rome was not built in a day
Implementing Innovations
Qualities
Must be a good learner
Voracious reader Learning=study + understanding + application
Problem solver
Must have the attitude to meet problems head on and solve them The attitude Where there is a will, there is a way
Implementing Innovations
Qualities
Work with others
One-person ventures do not have the potential to grow big Various skill sets required in an enterprise
Management, Finance, Sales and Marketing, R&D, Purchase, Manufacturing etc.
Implementing Innovations
Qualities
Implementing Innovations
Qualities
Self-Confidence
Whether you think you can or you cant do it, chances are high that you will be proved right Not over-confidence
Leadership abilities
Ability to communicate ideas and plans
Implementing Innovations
Entrepreneurship
Startup
Implementing Innovations
Implementing Innovations
Choose people
Who shares the vision on what the enterprise must achieve Who can contribute directly to the vision in complementary roles Avoid just choosing friends and relatives
Implementing Innovations
Implementing Innovations
Implementing Innovations
Importance of Focus
Limited resources Concentrate on accomplishing two or three defined goals within a specific timeframe
All actions performed must take the organization closer to the defined goals Do not focus just on day to day activities Revise goals only if market demands it
Implementing Innovations
Importance of Focus
If you dont know where you are going, any road will take you there Alice in Wonderland Avoid distractions (the fun stuff)
Pick out offices Design letterheads, logos Whatever is not priority at the moment
Implementing Innovations
Implementing Innovations
Implementing Innovations
Implementing Innovations
Implementing Innovations
Objectives
These are the end results that will be made to happen Sales, profits, market share, margins Big capital gains or moderate steady income Entrepreneurs personal objectives
Build personal net worth Gain personal control over others/ events Gain independence/ freedom of action Achieve professional/ technical satisfaction Reduce frustration with current activities Secure/ increase annual income Contribute to society
Implementing Innovations
Market Analysis
Need for the product does not mean that there is a market Which market segments will be the target
Teenagers, kids, mothers, travelers etc North India, Asia pacific etc.
Size of market estimated or known to be available Growth projections Types of funding possible (banks etc) Competition Sales channels (Dealers, distributors etc) Government regulations
Implementing Innovations
Production
Outsource/ in-house Make vs Buy Equipment required Processes involved Sources for raw materials, labor Schedules Personnel Budget
Implementing Innovations
Marketing
Ownership
What percent of the company will be owned by whom
Implementing Innovations
Entrepreneurship
Operation and Growth
Implementing Innovations
Hiring Employees
Hire people with proven records of success at doing what needs to be done
Must have the attitude to pitch in and do what is required for building the enterprise Do reference checks Multiple interviewers
Implementing Innovations
Reward Performance
Set performance standards Reward individual and team performance that exceeds the set standards
Implementing Innovations
Expansion
Plan for incremental growth Seek logical extensions of existing activities Bigger is not automatically better Walk before you run
Focus on making the venture profitable before expanding
Implementing Innovations
Cash Flow
Ability to continue operations depend on cash available Monitor the cash flow carefully and plan ahead Collect receivables as soon as possible
Implementing Innovations
Implementing Innovations
Implementing Innovations
References
The Internet Entrepreneuring: The Ten Commandments for Building a Growth Company Steven C. Brandt Further Reading
Books on entrepreneurship, business administration and management, accounting, company law, contract law Books in your chosen domain area
Implementing Innovations
Look Out
Do not blindly believe or apply what you find in books
Use your discretion and common sense What works in one scenario may not work for you Believe in yourself When everything seems to be going wrong (which they will), please see point above.
Implementing Innovations
Indian IT Industry
Predominantly service oriented
IT Coolies? Labor arbitrage turnover directly proportional to number of people employed Very little Intellectual Property
Implementing Innovations
Questions
Implementing Innovations
Thank You