MODULE 1.2

Roles of Technopreneurship in job creation and in the

National economy

ROLE PLAYING

Employment creation

Local resources

Decentralization and diversification of business

Promotion of technology

Capital formation

Promotion of an entrepreneurial culture

Importance of Technopreneurship

What is Technopreneurship?

High tech ventures in ICT, electronics, internet, life sciences and biotech.

Service firms where technology is critical to their mission, such as: e-Bay, FEDEX, SMART money transfer, e-learning

Technopreneurship is entrepreneurship in the field of technology.

Technopreneurship Defined

Entrepreneurs - people who enter into new and pioneering ventures.

- is whole-brained, meaning he/she uses both the left brain (logical) and right brain (creative).

Entrepreneurship Starting up a new business

Source: Federico Gonzalez, President PESO Inc.

Entrepreneur & Entrepreneurship Defined

Course Model - SEED

Self Mastery

Environment

Mastery

Enterprise

Mastery

Development of Business

Plan

Self- Mastery

Self-mastery passion comes from knowing yourself.

Self-mastery brings passion. When you know yourself, you know what you want and do not want.

Source: Jay Bernardo III

A self-mastered person does not need high IQ does need high EQ and AQ is naturally a/an:

performer competitive and efficient epicure sensual and cheery boss takes charge and loves a good

fight is whole-brained has a personal vision and knows strengths and weaknesses

What is a self-mastered person?

Environment Mastery

Environment mastery is about

generating business ideas and seeking

opportunities out from his or her

environment through

serendipity walks

crises

trends

etc.

Source: Jay Bernardo III

An environment-mastered person

understands the industry he/she is in

sees the opportunities, not the problems

is on top of the situation instead of being

under the situation

is the organization/industry innovator and

strategist

What is an environment-mastered person?

Enterprise Mastery Enterprise Mastery is how to run a

business

This pertains to the knowledge of the different enterprise disciplines such as:

Creating the Business

Marketing Management

Operations Management

Financial Management

Risk Management Source: Jay Bernardo III

What is an enterprise-

mastered person?

An enterprise-mastered person

understands and integrates the functions of

management (marketing, human resource,

operations, and finance)

understands and integrates the process of

management (planning, organizing, directing,

and controlling)

leads and inspires rather than manage

Development of Business Plan

Development of a business plan covers:

writing the business plan

presenting and defending the

business plan

adding refinements to the presented

business plan

1. Incremental

Routine business, modest novelty

Ex. (new coffee shop, new BPO)

2. Imitative

Imitation of venture, same business model and template

Ex. new regional branch, franchised operations

4 Types of Entrepreneurship

3. Rent-seeking

Business that utilizes standards, regulations and laws to share in value of enterprise

Ex. Coca Cola Export

4. Innovative

Business based on innovation

Ex. new memory chip

1. Hard Working

2. Self-Confident

3. Builds for the Future

4. Profit-Oriented

5. Goal-Oriented

6. Persistent

7. Copes with Failure

8. Responds to feedback

Characteristics of an Entrepreneur

9. Demonstrates Initiative 10. Willing to Listen 11. Sets Own Standards 12. Copes with Uncertainty 13. Committed 14. Builds on Strengths 15. Reliable and Has Integrity 16. Risk-Taker

Characteristics of Technopreneurship cont.

A technology idea owner who ventures to make his idea a commercial reality

An entrepreneur who gets a technology idea, finds an opportunity to make it a commercial reality.

What makes an Entrepreneur a Technopreneur

Lets have a MATCHING GAME!!!

TECHNOPRENEUR ENTREPRENEUR

Differences between Technopreneurship and Entrepreneurship

LOCAL

SMART LINK (Computer shop) Dealing with computer hardware and software, Repairs, Networking and Computer ad LCD Rentals. (OCW)

LANE SYSTEM Software Integration Developer

Some Technology Ventures

NATIONAL

NETOPIA Internet Caf

YEHEY.COM Internet Portal

INTERNATIONAL

YOUTUBE - a video sharing website

Businesses start from ideas, but ideas alone do not make a business

Customers do not buy ideas, they buy products/services;

Customers pay the price; value is what they get

Source: Federico C. Gonzalez, President PESO Inc.

Some Basic Facts

A marketable product may not result in a viable business

A studied approach to planning the business is needed.

Entrepreneurship is calculated risk-taking, not foolhardiness.

Some Basic Facts cont.

Source: Federico C. Gonzalez, President PESO Inc.

Technopreneurship Ecosystem

MODULE 2

Get 1 sheet of paper!

Think of an task that each of you (or group) would like to conduct or do (i.e. Cooking viand, repairing your PC, constructing a bahay kubo, etc) and write it in a paper

Then, list down what you need to accomplish the task.

Present your identified task and requirements (1-2 minutes per student/group)

Warm Up Activity

Many of the tasks, if not all, have pre-requisites (i.e. money, materials, personnel, etc)

Similarly, for technopreneurial venture to start, grow and succeed, it must also have the required resources, environment and support.

Introduction

But, what are these things?

At the end of this session/lecture, the students should be able to

Enumerate the different actors/ players for the technology ventures to prosper, and

define the roles of the different actors/players in techno ventures

Learning Objectives

H E L F

Successful technopreneurship

=

Technopreneurship Ecosystem

Human Resourc

es

Environment

Financial Resources

Laws & Policies

Techno Ventures

Human Resources Component

Research - Thinker, Idea generator, Innovator

Developer - Implementor, technical people

Scanner and marketing people

Financers

Technopreneurship Ecosystem

Environment Component

Science parks, Incubation centers

Academic Institutions, R & D Centers

Internet access, Communication

Communication and Other Support Services

Geographic accessibility

Venture Mentoring Services/Support

Technopreneurship Ecosystem

Laws and Policies

Intellectual Property Rights Office

Technology Licensing Office facilitates commercialization of inventions

Legal Services

Technopreneurship Ecosystem

Financial Component

VC and Investors

Business Sector

Funding Agencies

Financial Services (i. e. Accounting)

Technopreneurship Ecosystem

Financial Resources

VC, Investors, Business Sector, Funding Agencies

Human Resources

Academe, R & D Centers, technical

personnel

Technology Venture

Environment

Science Parks, Incubation Centers,

Infrastructure, Comm and other Support

Services

Laws and Policies

Technology Licensing Office, IPR Office

Academe and Research Institutions

1. Ateneo de Davao University

2. Brokenshire College

3. Cor Jesu College

4. Davao Doctors College

5. Holy Child School of Davao

6. Jose Maria College

7. St. Marys College

8. Interface Computer College

9. University of Immaculate Concepcion

10.University of Mindanao

11.University of the Philippines Mindanao

12.University of Southeastern Philippines

Department of Science and Technology

Commission on Higher Education

PESO

Davao City Chambers of Commerce and Industry

Science and Technology Park, Bago Oshiro, Tugbok, Davao City

Brokenshire Learning Center

Environment

Academe (Colleges & Universities)

DOST, DCCI, PAHRDF

Funding Agencies Industries, Businesses, LGUs, Private Sectors

Incubation Centers & Science Parks

Framework of Engagement or Collaboration

Why Technopreneurship?

Philippine Economy

Population 84 M

Population of working age?

Approx 50% of popn = 16 years old and below

Employment

GNP from large companies > 100 employees

GNP from small companies, < 100

Number of large companies 5%?

95% are small companies? Source: M.Barcelon, UPATBI

Economy, Exports ??

$ 22M Taiwan

65M

7M

4M

24M

60M

84M

$15B Vietnam

$120B HK

$120B Singapore

$90B Malaysia

Tourism, food/cars, electronics

$65B Thailand

Electronics, traditional goods

$40B Philippines

Source: M.Barcelon, UPATBI

How?

Start the Ball Rolling

Innovation

Person gets an idea, active search, by chance, present employment or experience

Triggering Event

Career prospects

Deliberate choice

Implementation

Growth Source: M.Barcelon, UPATBI

Common Components

Three crucial components for business:

Excellent market opportunity

Superb entrepreneur (and management team)

Resources needed to start the company and make it grow

Source: M.Barcelon, UPATBI

Customer Need

Can you give me the names of prospective customers?

If you cannot give any names, you only have an idea, not a market.

Would-be entrepreneurs who are unable to name customers are not ready to start a business. They have only found an idea and have not yet identified a market need.

Source: M.Barcelon, UPATBI

1. Excellent market opportunity

Timing

Will the idea or window of opportunity look brief, it could just be a fad?

If the window is brief, the entrepreneur will rush to open the business, usually with inadequate planning.

Can lead to costly mistakes.

Source: M.Barcelon, UPATBI

1. Excellent market opportunity

Even with the right opportunity, the business will be successful if led by a person with strong entrepreneurial and management skills.

Entrepreneurs should have experience in the same industry or a similar one. Cannot go on OJT at the same time.

Ideal entrepreneur is one who has been a successful entrepreneur in the same industry

Have management experience, preferably with responsibility for budgets, profit and loss, sales.

Source: M.Barcelon, UPATBI

2. The Technopreneur and the Management Team

Entrepreneural frugality means:

Low overhead

High productivity

Minimal ownership of capital assets

Source: M.Barcelon, UPATBI

3. Resources

Sources of seed capital

3.3 Other

1.1 Govt guaranteed loan

4.0 Mortgaged property

6.3 Venture Capital

9 Friends

12.4 Employees/partners

12.9 Family

14.4 Bank loans

78.5% Personal savings

Source: M.Barcelon, UPATBI

The 9 Fs Founders first class entrepreneur

Focused focus on niche markets, specialize

Fast decision making, implementation

Flexible open mind, respond to change

Forever innovating

Flat - organizations

Frugal low overhead, productivity high

Friendly to their customers, suppliers, workers

Fun to be associated with an entrepreneur company Source: M.Barcelon, UPATBI

(c) 2006 UP Ayala TBI

Thank you!