The Entrepreneurial College

K. RajaramanDirector, Entrepreneurship Development Institute

www.editn.in

● Joseph Schumpeter :● Theory of “creative destruction”● Highlighted the importance of

innovators. ● New firms unleash creative destruction

Importance of Entrepreneurship & Innovation

Importance of MSMEs & Startups

● Young firms with innovative technology have the highest potential capacity to generate a large number of jobs.

● EU : 60% of jobs are accounted for by SMEs. ● Germany : 80% of jobs come from SMEs.● S. Korea : 90% of jobs are generated by SMEs.

Importance of MSMEs & Startups

● In India, the MSME sector employs only 40% of the workforce. Has huge potential

● By 2020, 63% of India’ s population will be of working age.

● Only 0.09 companies were registered for every 1,000 working age person

Entrepreneurship Growth curve

Source: Global Entrepreneurship Index 2016

Where are We ???

Fact check : GlobalGlobal Entrepreneurship Index

Entrepreneurship as a Competency set

● Entrepreneurship as “the dynamic, interaction between entrepreneurial attitudes, Entrepreneurial abilities, and entrepreneurial aspirations by individuals, which drives the allocation of resources through the creation and operation of new ventures.”

● In short, entrepreneurship is a competency & can be taught!

GEI : The Indian Ecosystem

Source: Global Entrepreneurship Index 2016

Institutions matter !

● Among the top, quality matters. Among high-income countries, a major divider can be found in the quality of innovation.

● This is the area in which the USA and the United Kingdom (UK), largely as a result of their world-class universities, stay ahead of the pack

Fact check : LocalIndian and TN Scenario

● According to Exchange statistics 84.79 lakh job seekers, which includes 18.05 lakh undergraduates and another 6.13 lakh postgraduates.

● Over 3.3 lakh engineering graduates, including 1.59 lakh postgraduates (ME, Mtech) await jobs

● 1.71 lakhs are engineering graduates. ● 1.59 lakh are engineering postgraduates.

Tamil Nadu Scenario 2014

Tamil Nadu Scenario 2014

● What will these 80 lakhs + unemployed persons do ?

● What can we do for them ?

Tamil Nadu Scenario 2014

● Strategic initiative 1 – Increasing the share of manufacturing in TN economy

● Strategic initiative 2 - Making SMEs vibrant● Strategic initiative 3 - Making TN Knowledge

Capital and Innovation hub of India

Tamil Nadu Vision 2023

EDI Vision & Mission

● Creation of an aspirational entrepreneurship culture ie., opportunity driven entrepreneurship, NOT necessity driven!

● Enhance support ecosystem for entrepreneurs

● Rapid and inclusive growth of MSME / Startup enterprises and innovation

Process oriented approach to E&Iin Colleges

Current status

● Placement culture (Good, but not enough)

● Reflect cultural mindset of poor risk taking

● Most colleges indifferent to ED & I

● Colleges conduct EACs, while few colleges have EDCs & Bis, fewer have incubators

● ED&I activities are fund & donor driven and

● Not Vision driven

Today ...

ENTERPRISES LAUNCHEDLife Sciences – 5,

Manufacturing – 10 Services – 25IT & IteS – 10

(Students – 10, Alumni - 40)

Tomorrow ….

Institutional Vision

● Aspirational entrepreneurship culture built up within college by 2017 : Management, alumni/students & faculty

● College as a Collaboration hub: between faculties, alumni,local industry, banks, etc.

● Supportive ecosystem established in stages within college by 2017

● An interim goal : 10 Alumni or students passing out launch own enterprises from 2018 …..

From Targets to Processes...

Colleges must plan and implement these three interlinked processes :

● College E&I Ecosystem Enhancement Processes

● Student E & I Competency Development Processes

● Faculty & Student Innovation Promotion Processes

Student & Faculty E&I Competency Development Process

UNCTAD EMPRETEC PEC Project

• Research by McClelland and McBer, funded by USAID, has identified 14 personal entrepreneurial competencies (PECs) which appear to characterize the behaviour of successful entrepreneurs. The study, conducted in India, Ecuador and Malawi, also found that these PECs transcended culture, country and continent.

ACHIEVEMENT CLUSTER

Opportunity Seeking and Initiative

• Does things before being asked by customers or forced by events or competitors

• Acts to extend the business into new areas, products or services

• Seizes unusual opportunities to start a new business, obtain financing, equipment, land work space or assistance

• Airbnb

Opportunity Seeking : Airbnb Story

• At the time, roommates Chesky and Gebbia could not afford the rent for their loft in San Francisco.

• Today, has over 1,500,000 listings in 34,000 cities and 191 countries.

Risk Taking

• Deliberately calculates risks and evaluates alternatives

• Takes action to reduce risks or control outcomes

• Places self in situations involving a challenge or moderate risk

Demand for Efficiency and Quality

• Finds ways to do things better, faster, or cheaper

• Acts to do things that meet or exceed standards of excellence

• Develops or uses procedures to ensure work is completed on time or that work meets agreed upon standards of quality

Persistence

• Takes action in the face of a significant obstacle

• Takes repeated actions or switches to an alternative strategy to meet a challenge or overcome an obstacle

• Takes personal responsibility for the performance necessary to achieve goals and objectives

Persistence : Thomas Alva Edison

“I have not failed. I've just found 10,000 ways that won't work.”“Genius is one percent inspiration and ninety-nine percent perspiration.

Commitment to the Work Contract

• Makes a personal sacrifice or expends extraordinary effort to complete a job

• Pitches in with workers or in their place to get a job done

• Strives to keep customers satisfied and places long term good will over short term gain

Commitment to the Work Contract

“When you speak, speak the truth; perform when you promise; discharge your trust.”Dr APJ Abdul Kalam

PLANNING CLUSTER

Information Seeking

• Personally seeks information from clients, suppliers or competitors

• Does personal research on how to provide a product or service

• Consults experts for business or technical advice

Goal setting

• Sets goals and objectives that are personally meaningful and challenging

• Articulates clear and specific long range goals• Sets measurable short term objectives

Systematic Planning and Monitoring

• Plans by breaking large tasks down into time-constrained sub-tasks

• Revises plans in light of feedback on performance or changing circumstances

• Keeps financial records and uses them to make business decisions

POWER CLUSTER

Persuasion and Networking

• Uses deliberate strategies to influence or persuade others

• Uses key people as agents to accomplish own objectives

• Acts to develop and maintain business contracts

Persuasion and Networking

• We cannot change our rulers, but we can change the way they rule us.

• Dhirubhai Ambani

Independence and self-confidence

• Seeks autonomy from the rules or control of others

• Sticks with own judgement in the face of opposition or early lack of success

• Expresses confidence in own ability to complete a difficult task or meet a challenge

You will never get to where you want to be

by remaining what you are !

Source: UNCTAD EMPRETEC

TODAY!

Student Entrepreneur Competency Development Processes

ECDP : Year 1

● Process to commence in 1st year for students of all faculties & alumni (final year is too late)

● Entrepreneurship Awareness Workshops for covering willing students of all faculties & alumni.

● EC Evaluation & competency enhancement programs● E&I Courses : Design Thinking, Entrepreneurship,

Innovation, Creativity with E&I activity participation credits● Successful STARTUP entrepreneur Interaction Programs● E-Club membership (only on willingness basis)

ECDP : Year 2

● E&I Courses /MOOCs : Design Thinking, Entrepreneurship, Innovation, Creativity with E&I activity participation credits

● Run-your-company programs● Business idea competitions● Business Opportunities Workshops● Visit to Successful STARTUP engg enterprises● Business case challenge competitions

ECDP : 3rd and Final year

● Seed funding : Idea to POC ● Prototyping & Test marketing● Product marketing plan● Business Plan preparation (alumni/other

entrep. /Students)● Financing workshops & tieups● Business launch

College E&I Ecosystem Enhancement Processes

Ecosystem Enhancement Process

● ED & I Vision :: Buy-in from management & all faculties for long-term ED&I processes, resources

● Partnerships: College ED&I Council with successful entrepreneurs & alumni, local bankers

● Breaking down silos: Faculty training on E&I across ALL faculties

● Institution E&I Policy: Policy and Incentives for faculty and Students

Startup Steps

● College E&I Council● Intra College E&I FDPs● E&I Development Centre (EDC/E-cell)● Active Student E&I Club● E&I Electives / MOOCs (NEN-EDI program)● Strong Industrial R&D program● Tech or Business Incubator

College E&ICouncil

ALL FACULTY

BanksAngels

VCs

SuccessfulEntrepreneurs

LocalAlumni

R&D LabsCSIRICARICMR

LocalIndustry

MSMEs & Large

Industry

MentorsRetired

Entrepreneurs,Researchers

bankers

Tech Transfer Office (TTO)IP Advisors

BIRACGITA

NSTEDBDEITY

College E&ICouncil

ALL FACULTYR&D Labs/COE

Incubator

StudentsE&I Club

TH

E S

TAR

TU

P C

OL

LE

GE

Faculty & Student Innovation Promotion Processes

College Innovation Policies

● Student & Faculty E & I Policy

– E&I electives (Entrepreneurship, Design Thinking, etc) with credits for E&I activity

– Project work to avoid plagiarisation

– Incentivise R&D, publication & patent filing by faculty

– Faculty permitted to take board positions in technology startups

– Faculty & student enterprise sabbaticals permitted

● IP Policy

– IP creation & commercialisation given due importance

– IP value sharing policy (institution, industry, faculty, student)

– Financial Support for IP registration

Innovation Infrastructure

● Attract PhD faculty and students● Adjunct faculty from Industry● Strong research labs and programs

(focus on apllied & translational research)

● Industry partnership (Research, Adjunct faculty, Funding)

Innovation Infrastructure

● Technology Incubators● Collaboration with external

technology Innovators ● Seed & Angel funding tie ups● IP advisors

Innovation Funding

● Consultancy assignments from Industry● CSR grants from Large companies● Startup Action Plan 2016● Atal Innovation Mission (NITI Aaayog)● BIRAC / NSTEDB / DEITY Programs● GITA (joint projects with MSMEs)● MSMED (GOI) Programs● State Innovation Fund

Innovation Processes

Desired outcome : Hi Quality NOT numbers!!

● Vignesh Janakiraman● Director at Plasmatech

Solutions Pvt Ltd● C/o VIT Incubator● Efficient recovery of

valuable proteins from human plasma

● IP developed @ VIT● PhD @● Université de Bordeaux

Desired outcome : Hi Quality NOT numbers!!

● Lakshmi & Venkat ● R&D @ PSG STEP● Aries Biomedical is the

R&D service provider in the field of Biomedical and Biotechnolgy. We have indigenous product to monitor NCD diseases in the form of Remote diagnosis and wearable technology.

Desired outcome : Hi Quality NOT numbers!!

● Dr. Kavitha PhD● FIB-SOL ● @ IITM BioIncubator● Liquid bio fertilizers

(LBF) and Fertilizer carrying membrane (FCM) are the two products developed at FIB-SOL, which, comprises of microbial formulations

The Entrepreneurial College ::Prepare a 10 year Roadmap

Thank You!

dir@editn.in

http://www.editn.in/References:1. Global Entrepreneurship Monitoring Report 20152. Global Innovation Report 20153. Tamil nadu Vision 2023 Document 4. EDI Strategic Plan 2016-215. EMPRETEC, UNCTAD Entrepreneurship Handbook6. EU Action Plan for Entrepreneurship & Training 20147. MIT SkolTech Report 20148. OECD Report on University Entrepreneurial Ecosystems