Dorothy Leonard and Walter Swap, 2001
GURUS IN THE GARAGE
By B. Swetha Mahesh Dhumale P. MadhusudhanReddy
It all starts withEntrepreneurs
Dorothy Leonard and Walter Swap, 2001
The Entrepreneur(s)
Dorothy Leonard and Walter Swap, 2001
Plus Money VCs and/or Mentor Capitalists (Smart Angels)
The Entrepreneur(s)
Dorothy Leonard and Walter Swap, 2001
How Important are Angel Investors?Venture Capitalists* $50 BB
annually $4.8 BB for 1,122 early-stage firms $10.1 BB follow-on
investments to existing portfolio companies Angel Investors*
$50-100 BB annually $15 BB for 60,000 early-stage firms
*Angel Investing Mark Osnabrugge, Robert Robinson San Francisco:
JosseyBass, 2000
Dorothy Leonard and Walter Swap, 2001
Who Are the Mentor Capitalists (Smart Angels) in Silicon Valley?
Experienced, cashed-out entrepreneurs Familiar with both success
and failure Motivated to give back--and earn a return on their
time
Dorothy Leonard and Walter Swap, 2001
Plus Knowledge/ExpertiseVCs and/or Mentor Capitalists
The Entrepreneur
Dorothy Leonard and Walter Swap, 2001
Modes of Mentoring* Directed action: Learning by doing Modeling:
Learning by observing Socratic method: Questioning Story-telling
Rules of thumb Specific directives
*Dorothy Leonard and Walter Swap, Gurus in the Garage Harvard
Business Review November/December, 2000.
Dorothy Leonard and Walter Swap, 2001
Mentor Roles: Expertise in Entrepreneuring* Sculptor: Shaping
the value proposition and the product concept Psychologist:
Normalizing and cheerleading Diplomat: Negotiating with
stakeholders King-Maker: Executive coaching and firing*Dorothy
Leonard and Walter Swap, Gurus in the Garage Harvard Business
Review November/December, 2000.
Dorothy Leonard and Walter Swap, 2001
Other Roles: Expertise in Entrepreneuring* Recruiter: Assembling
talent Process Engineer: Structuring systems Rainmaker: Raising
money
*Dorothy Leonard and Walter Swap, Gurus in the Garage Harvard
Business Review November/December, 2000.
Dorothy Leonard and Walter Swap, 2001
Mentors Also Bring Know-whoVCs and/or Mentor Capitalists Mentors
Network
The Entrepreneur
Dorothy Leonard and Walter Swap, 2001
The Criticality of Know-Who
The Expansion Coefficient for Knowledge is the number of other
experts you know--and stay in contact with.
Dorothy Leonard and Walter Swap, 2001
Values Enable Innovation
Dorothy Leonard and Walter Swap, 2001
NKV a Powerful Combination The Knowledge is deep expertise that
guides decision-making The Network links the team members to
knowledge outside the group
Dorothy Leonard and Walter Swap, 2001
A Few Observations Mentoring/Coaching more important to the
economy than usually recognized. Expertise in intrepreneuring not
nurtured in large companies the way that entrepreneuring is in
small companies.
THANK YOU
