L1 Team Building
EC10: Innovation & Commercialisation
What it takes to build a successful
Venture Team
Team Building Outline
 Entrepreneurs,
Intrapreneurs &
Managers
 Project Stages
 Building the Team
 Entrepreneurial Teams
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Entrepreneurs,
Intrapreneurs & Managers
The different role, approaches
and executive responsibilities
Creativity
(Enterprising) people tend to have more
originality than others and are able to
produce solutions that fly in the face of
established knowledge. They are also
inclined to be more adaptable, and are
prepared to consider a range of alternative
approaches. They challenge the status
quo, which can sometimes conflict with
their colleagues. Bridge et al.(1998: 46)
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Entrepreneurs, Intrapreneurship &
Managers
Manager’s Role
– Interpersonal
– Informational
He or she can act:
– as an entrepreneur- to launch a new idea;
– as a disturbance handler- e.g. of internal strive and
disagreements
– as a resource allocator - he/she decides to allow
important decisions and allocates resources of
organisation;
– as a negotiator, e.g. drawing up contracts with
supplier. Managers have all information and authority,
therefore they may be heavily engaged in negotiation.
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Innovation Leadership
Leadership and management are two
notions that are often used
interchangeably
Leadership is just one of the many assets
a successful innovator must possess
– The aim of a manager is to maximise the
output of the organisation through
administrative implementation
– Managers think incrementally, whilst leaders
think radically
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Innovation & Entrepreneurship
Selecting the Innovation Strategy
– Revolutionary rather than evolutionary Strategies
– Strategy is focused on core technologies, ability to commercialise,
compressing time for prototype, emerging technology.
– High risk, high return
Creating the Climate & Commitment
– Entrepreneurial development, visible commitment, sustained over time,
assigning people & resources, empowerment.
Define Venture selection criteria
– Fit, size, position, investment, ROI, time horizons.
Manage output in a turbulent environment
– Focus on learning, redirecting resources, supporting the wounded,
distinguishing between good and bad decision.
Reflected in physical structure of the organisation and its allocation
of resources.
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Questions: Entrepreneurs Intrapreneurs & Managers
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Managers do things right, while leaders do
the right thing." Pascale, ‘ Managing on the Edge’, 1990
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Venture management is not (just) about
new technologies or processes - it is about
how people and their organisations
manage innovation and how those
processes add value to customers. Piercy
2005
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2. Project Stages
Understanding the
innovation process
Project Stages

Proof of Concept
– Development of prototypes
– Early stage testing

Technology Demonstration
– Move towards full scale testing
– Ironing out production & operational difficulties

Commercial Transition
– Forward planning & supply chain development
– Development partners

Delivery
– Consolidation of suppliers & Customer Base
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New-Product Development
Process
Idea
Generation
Ideas from:
Customers
and users
Marketing
research
Competitors
Other
markets
Company
people
Intermediaries
Screening
Idea
Evaluation
Strengths
and
weaknesses
Fit with
objectives
Market
trends
Rough ROI
estimate
Concept
testing
Customer
reactions
Rough
estimates
of cost,
sales,
profits
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Development
R&D
Develop
model or
service
prototype
Test
marketing
mix
Revise plans
as needed
ROI estimate
Commercial
-isation
Finalize
product and
marketing
plan
Start
production
and
marketing
“Roll out” in
select
markets
Final ROI
estimate
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Types of New Product Opportunities
Immediate Satisfaction
High
High
Long-Run
Consumer
Welfare
Low
Low
Desirable
Products
Salutary
Products
Pleasing
Products
Deficient
Products
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Critique of Stage Models
Phased sequence of events in not
inevitable.
 Technology products often jump stages.
 Process planning cannot be controlled
because of external environmental factors.
 Personal attitudes towards risk affect
stages progress.
 Access to resources can slow down phases
 Access to information disrupts the
linkages between stages.

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3. Building the Team
Putting together the right balance
of skills and competences to
control innovations.
Team Building Blocks
 Tasks Functions
– Leader is responsible for planning the work, allocating
resources within the team, organising duties and
responsibilities and monitoring SLA and meeting
targets.
 Maintenance Functions
– Building team cohesiveness, setting standards through
personal examples, maintaining discipline, allocating
project leaders and protecting your team's interest
within the division or organisation.
 Individual Development Needs.
– Mentoring and personal development.
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Situation Approach
 Directing
– new policy or new software system has been implemented and the
lead entrepreneur needs to give a team clear consistent instruction
and direction.
 Delegating
– A team member who is high achiever and understands
performance statistics, can become a "change master",
disseminating key information to colleagues showing them how
successfully achieved targets.
 Supporting
– When delegating, a supportive role normally follows to ensure
guidance and support are given to facilitate the success of the task
/ function.
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Engendering Trust
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Integrity
Trust
Consistency
Positive Energy
Dissention
Sharing Information
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Key Questions
In an Entrepreneurial team, what gets
people engaged?
 How should a motivational leader get an
individual to engage in desired behaviour
(direction or choice of behaviour)?
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3. Entrepreneurial Teams
How to manage and motivate a
team in a fast growth organisation
Motivational Leaders
 The dictionary definition of motivational leadership is
‘to give incentive to move or create action’.
 In developing a culture, understanding the Company
Values is essential.
 If team members are aware of the values and understand
the vision then they may buy into sharing the vision
 If their values are in alignment with the company’s then an
immediate incentive is created.
 This is the starting point to building the foundations that
will lead to an organisation with staff who are self
motivated to innovate
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Decision Making Approaches
‘The Prescriptive Approach, can be described as a
linear and rational process, starting with where we
are now and then developing new strategies for the
future.
Objective has been defined in advanced and main elements
have been developed before the strategy commences.
The Emergent Approach can be defined as a corporate
strategy, which emerges, adapting to needs and
continuing to develop over time.
It is evolving, incremental and continuous, and therefore
cannot be easily or usefully summarised in a plan which
then requires to be implemented.
Emergent corporate strategy whose final objective is unclear
and whose elements are developed during the course of its
life as the strategy proceeds’. Lynch, Richard – Corporate Strategy,
Second Edition (2000)
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Fair Process Management
 Have ample opportunity to express their views and to
discuss how and why they disagree with other group
members.
 Feel that that decision-making process has been
transparent, i.e., that deliberations have been relatively
free of secretive, behind-the-scenes manoeuvring.
 Believe that the leader listened carefully to them and
considered their views thoughtfully and seriously
before making a decision.
 Perceive that they had a genuine opportunity to
influence the leader's final decision.
 Have a clear understanding of the rationale for the final
decision.
Lagace, HBS, 2005
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Building Rapport
Don’t criticise condemn or complain
Give honest & sincere appreciation
Arouse in the other person an eager want
Become genuinely interested in others
Smile
A persons name is the sweetest most Important sound
in any language
 Be a good listener encourage others to talk
 Talk in terms of others interests
 Make the others feel important & do it sincerely.
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Gaining Co-operation
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The only way to win an argument is to avoid it
Respect other opinion’s. Never say “you’re wrong”
If you are wrong admit it quickly and emphatically
Begin in a friendly way
Get the other person saying “yes, yes” immediately
Let the other person do a great deal of the talking
Let the other person think its their idea
Try honestly to see things from others point of view
Be sympathetic to others ideas or desires
Appeal to the nobler motives
Dramatise your ideas
Throw down a challenge
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Team Leadership Styles
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Traits Approach
Functional or Group Approach
Behavioural
Situational
Transformational (Mullins, 2002)
 "the process of creating higher levels of motivation and commitment."
Emphasis on generating a vision for the organisation. The leader
affects the followers by communicating the organisational purpose
with a view to them having shared purpose, values and beliefs for the
benefit of themselves and the organization."
 Opposite, is transactional leadership "based on legitimate authority
within the bureaucratic structure of the organisation.” With an
emphasis on clearly defining goals and objectives, work task and
outcomes, organisational rewards and punishments. This is based on
a relationship of mutual dependence and exchange".
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Inventors & promoters
 Inventors are noted for their creativity. They
may be highly innovative people yet many of
their ideas may never become commercial
reality because they lack the management and
business skills to bring a new product to
market.
 Promoters are quite creative but these are
typically short-term business propositions with
a bias towards "getting rich quickly".
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Leader’s Role
The Leader’s Role
Task
Structured or unstructured
The problem
Constraints/requirements
Traits, Power, Values
Interpersonal skills
The Team
Leadership
Organisation Culture
Individual’s Needs
Expectations, Knowledge
Confidence, Experience
Motivation, Commitment
Structure, Maturity
Stage of
development
Stage of development
External Environment
Structure, Systems
Constraints, Culture
Political, Social, Economic,
Technological
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Leadership Styles
 the conductor
 Formal hierarchy of authority
 Role of leader is to coordinate
 the developer (Bradford and Cohen,
1984).
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Coaching Model
Agree topic for discussion
Agree objectives for the
session
Set long term aim, if
appropriate
GOAL
REALITY
Invite self assessment
Offer examples of feedback
Avoid/check assumptions
Discard irrelevant history
WRAP
Cover range of options
OPTIONS
Commit to action
UP
Invite suggestions
Identify possible
Offer suggestions
obstacles
Ensure choices made
Define specific steps
and timing
Agree support Adapted from Eaton & Johnson, 2001, GROW Model,, Coaching Successfully
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Organisational Development
Strategy
 Is the method compatible with the objectives?
 Individual, team & Co. What development are we aiming
to achieve?
 What training, learning or personal development needs
to be undertaken in workplace?
 What internal resources are available?
 Money, time, equipment and people.
 What factors about the learner need to be considered?
 Motivation to learn, preference for learning method,
readiness to learn, relationship with the developer,
personal commitments etc.
 Coaching options
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Training Strategies (1)
 Training on the job –watching someone else do the job
and trying to reach that standard. Can be high in learning
transfer and inexpensive in terms of resources.
 Planned Organisational Experience – could include
secondments; work shadowing; assignment of special
responsibilities; problem solving groups; developing
some aspect of work; action learning; Mentoring. With
organisational support these will provide a positive
transfer of learning.
 In-house courses – can include cover induction; skills
development; updating skills and knowledge, legislation,
company practice; courses leading to qualifications
tailored for the organisation or industry. Learning
transfer more likely than with generic external courses.
More resources needed than with options 1 and 2.
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Training Strategies (2)
 Planned external experiences –visits to other
organizations, customers or suppliers; professional body
roles, participating in committees, CPD activities;
external projects. Learning transfer depends on the
experience and its relevance to learning objectives.
Costs may be high in time lost from the employee rather
than resources.
 External Courses – usually of two forms: short skills
development courses and course leading to a
qualification.
 Transfer of learning can be low unless the organisational
climate is supportive. Costs can be high in terms of time
and money. Individual benefits need to be translated into
organisational benefits.
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Course Reading
• Goffin, K, Mitchell, R, Innovation
Management, Chapter 8,
Organisation & Management,
pp282 – 305, Palgrave, 2005