Enterprise Resource Planning

Amit Goyal - Experiential Traineramitgoyal@tkws.co.in+91 9810533760TKWs - The Knowledge WorkersEntrepreneurship & Small Business Management

1Course ObjectivesTKWs - The Knowledge WorkersBy end of this program, you should be able to,Identify new venture opportunities (versus ideas)Understand necessary skills for successful venturesEvaluate viability of new venturesFinancing, starting and operating the business

Experiential OutcomeYou should be able to create a REAL business plan by the endof the course.

2Learning ResourcesTKWs - The Knowledge WorkersLinkedIn Amitgoyal_ISamitgoyal@tkws.co.in

Reference BooksKURATKO & HODGETTE: EntrepreneurshipRAJEEV ROY: EntrepreneurshipBUSINESS WORLD: The SME White Book 2009

Do not expect HANDOUTS Make your own

3EvaluationTKWs - The Knowledge Workers4 CreditsWritten Assessment 70%Internal Assessment 30%Weighted AverageBusiness Plan 50%Group Can have 4-6 membersMake REAL TEAMSCase Study 30%IndividualClass Quizzes 20%Surprise

4Why Take The Plunge?TKWs - The Knowledge WorkersDesire to Create Value The AlchemistDesire to be your own BossFor Additional Income For EmploymentInheritance

5Why Take The Plunge?TKWs - The Knowledge WorkersDesire to Create Value The AlchemistDesire to be your own BossFor Additional Income For EmploymentInheritance

6Do NOT chase PROFITS # ENTREPRENEUR FACT 1When you run after profits they run away, but you run away and the profits chases you.TKWs - The Knowledge Workers7TKWs - The Knowledge WorkersCan you change lifestylesCan you correct the wrongsCan you reduce a social vice

Do You Have8Scrap the projections and plan the CASH FLOW # ENTREPRENEUR FACT 2Most startups do not survive beyond 3 YearsTKWs - The Knowledge Workers9Plan to FAIL with grace & style # ENTREPRENEUR FACT 3Entrepreneurs fail more often than they succeed,But soon recognize that failure is only a resting place.TKWs - The Knowledge Workers10Who is an Entrepreneur?TKWs - The Knowledge Workers

11What is Entrepreneurship?TKWs - The Knowledge WorkersEntrepreneurship is the process of creating something new with value by devoting the necessary time and effort, assuming the accompanying financial, psychic and social risks, and receiving the resulting rewards of monetary and personal satisfaction and independence.

12Types of StartupsTKWs - The Knowledge WorkersLifestyle BusinessHigh Potential VentureGazelles

Innovative BusinessFoundation BusinessFranchise Business

Small StartupsCapital Intensive StartupsHi Tech Startup

13Importance of EntrepreneursTKWs - The Knowledge WorkersDegeneration of CapitalFosters InnovationJob CreationEconomic GrowthImproves Lifestyle

14Abandon the business VISION # ENTREPRENEUR FACT 4Most entrepreneurs have a vision of what they want to make,but successful ventures today are fundamentally different than what they started out as.TKWs - The Knowledge Workers15Corporate EntrepreneurshipTKWs - The Knowledge WorkersRetain the InnovatorsBeat the PLC16What is IntrapreneurshipTKWs - The Knowledge WorkersCreating new businesses in established companiesProduct and Process Innovations in established companiesDeveloping new markets for existing products

Create a culture & climate to encourage and rewards Intrapreneurship

17WhirlpoolTKWs - The Knowledge WorkersA KitchenAid division employee came with the idea of cooking classes from branded chefs. Inspired Chefs was launched and funded by whirlpool and expanded to 33 states20% of Capital Budget is reserved for new ideas which can be increased upto 35%The pay of executive level employees is linked to revenue derived from new products & services35 innovation consultants and 177 innovation mentors are available to assist the employees with the next great idea.Every idea which is approved is given 100 days and $100,000 to develop prototypes and conduct consumer research.183MTKWs - The Knowledge WorkersDont kill a project 15% time to prove it is workable, $50k awarded as Genesis grants to 90 people every year.Tolerate failure Divisions must generate 20% of sales from products introduced in past 5 years.Keep divisions small Division managers must know each staffers name.Motivate the champions Recruit an action team and salary, promotion depends on products progress.Stay close to customers Every one visits the customers and invites them to attend brainstorming sessions.19Bell Atlantic Champion ProgramTKWs - The Knowledge WorkersEarly business opportunity explorationFull business planning and trialsCommercial Roleout5 Hours of company time per week allowedAn expense budget of $1000 per projectA reward of $1000 whether approved or notBring your own idea or choose one from company backlog

If approved intrapreneurs allowed to invest upto 10% of their salary plus their incentive. In return they get 5% of profit upto a cap of 10 times their investment

20IBM EBO ProgramTKWs - The Knowledge WorkersEmerging business opportunity program has recorded successes like $2Bn Linux consulting, $1.7Bn Digital Media, $4.8Bn Life Science, etcThink big Immerse into customer sector and examine what their needs and wishes are. The opportunity must have a potential of becoming a billion dollar business in 5 to 7 yearsBring in the A-team Search for star performers in the core areasStart small Use pilot programs, gain clarity before ramping upEstablish unique measurement techniques21How to be an IntrapreneurTKWs - The Knowledge WorkersCome to work each day willing to be firedCircumvent any orders aimed at stopping your dreamsDo any job needed to make your project work, regardless or your job descriptionNetwork with good people to assist youBuild a spirited team: choose and work with only the bestWork underground as long as you canBe loyal and truthful to your sponsorsRemember it is easy to ask for forgiveness than for permissionBe truth to your goals, but be realistic about the ways to achieve themKeep the vision strong22Core: PASSIONTKWs - The Knowledge WorkersThe Entrepreneurial Mindset23Pay Yourself the first # ENTREPRENEUR FACT 5Entrepreneurs pay their expenses with the pre-tax earnings however salaried pay their bills from what is left after paying taxes.TKWs - The Knowledge Workers24Characteristics of Entrepreneurs TKWs - The Knowledge WorkersTotal Commitment, determination and perseveranceDrive to achieve and growOpportunity and goal orientationTaking initiative and personal responsibilityPersistent problem solvingRealis and sense of humorSeeking and using feedbackInternal locus of controlCalculated risk taking and risk seeking

25Characteristics of EntrepreneursTKWs - The Knowledge WorkersIntegrity and reliabilityTolerance for ambiguityTolerance for failureHigh Energy levelCreativity and InnovativenessSelf confidence & OptimismIndependenceTeam Building26Pay upto 50% less for your car # ENTREPRENEUR FACT 6Entrepreneurs enjoy the benefits of Depreciation & Tax Savings on interest paymentsTKWs - The Knowledge Workers27Entrepreneurialist Culture QuotientTKWs - The Knowledge Workers< 50 You should realize that not everyone will find happiness being an entrepreneur. You may prefer stability and peace of mind, and you might view work as a means to an end. Is it possible that you are better suited to a large company environment?50 59You are caught between getting a J.O.B. and the world of entrepreneurship. Perhaps you need a partner.60 69You could give it a whirl. You will need to 'perfect' your business plan and business model so that the harder you work, the more money you'll make. If you get it wrong by just a few degrees, you may end up like Tom Hanks in Castaway, i.e., using stone age tools just trying to stay alive.70 79You are likely suited to the world of entrepreneurship but you will need a lot of work, effort, discipline, focus and some luck to make a go of it.>80You have a high ECQ(ns). Congratulations or commiseration; you may be on your way to the exciting, demanding and ever challenging world of entrepreneurship where your years will be 'hockey years'- you will age two years for every one that your friends age in their J.O.B.s.28Entrepreneurs use Governments money to Build Assets # ENTREPRENEUR FACT 6Entrepreneurs use the deferring power of Long Term Capital Gain to keep building Bigger AssetsTKWs - The Knowledge Workers29Chaos BreedsTKWs - The Knowledge WorkersCreativity & Business Idea30Write 1, 2 or 3 Functions ForA Computer Whiz Kid

31Problem: Employee PilferageTKWs - The Knowledge WorkersYour solution should be Rational& LogicalYour solution should be Creative& Imaginative32Problem: Employee PilferageTKWs - The Knowledge WorkersYour solution should be Rational& LogicalYour solution should be Creative& Imaginative33TKWs - The Knowledge Workers34