In an era where market conditions evolve rapidly, the ability of businesses to adapt and innovate becomes not just a competitive edge, but a matter of survival. This theme was the focal point of a discussion between leading thought leaders and practitioners on this special episode of The Brazilian BA Guest, emphasizing the importance of intrapreneurial capital in fostering innovation.
Defining Intrapreneurial Capital
Intrapreneurial capital represents a framework within organizations that encourages innovation and transformation. It’s not just about financial investments; it involves cultivating a culture that fosters intrapreneurial thinking, leadership that champions change, and an organizational structure that supports innovation.
Birgitte Stjärne, co-developer of the 4C model for intrapreneurial capital, highlighted the importance of leadership, culture, and organizational support in driving innovation. Leadership, Stjärne emphasized, must strike a balance between supporting ongoing operations and encouraging transformation. The culture needs to promote openness, trust, and collaboration, encouraging networking both within and outside the company. And, crucially, organizations must provide resources – time and funding – to support transformative projects.
The 4C Model for Intrapreneurial Capital
Albert Bengtson, another contributor to the 4C model, elaborated on its core idea: that innovation requires a balance between stability and change. He described the 4C model’s components as illustrated in the figure below:
The transitions between these stages are where most innovations stumble, requiring strong support from leadership.
Learning from Industry Leaders
Dr. Annika Steiber, a researcher with extensive knowledge of leading companies like Google, Alibaba, and Amazon, shared insights from her experience. These companies, she noted, succeed because they embrace a mindset of continuous transformation. They actively experiment, adopt new technologies early, and aim for global leadership. They are not just responsive to change; they anticipate and drive it.
Practical Insights from Industry Case Studies
Roland Williams illustrated the importance of embracing intrapreneurial capital through the examples of Amazon and Google. Amazon’s use of a digital suggestion box and Google’s 20% project showcase how fostering a culture of experimentation can yield transformative products like Amazon Prime and Gmail.
The Importance of Standards in Innovation
As businesses grapple with rapid technological change, having a standard for innovation management becomes crucial. Dr. Annika Steiber, involved in the development of the ISO innovation standard, explained how this framework will provide businesses with a blueprint for creating sustainable growth through innovation. By standardizing innovation practices, companies can ensure they have the systems in place to continuously evolve.
Key Takeaways
- Constant Transformation is Key: Businesses need to embrace continuous transformation, rather than viewing change as a one-time event.
- Leadership’s Role in Change: Organizational leaders must be the driving force for change, overcoming resistance and ensuring alignment with transformative goals.
- Innovation as a System: Developing a robust system that supports innovation is crucial. This involves having the right culture, leadership, and organizational structures.
- Intrapreneurial Capital as a Competitive Edge: Cultivating a mindset of innovation and nimbleness within the organization will not only foster growth but ensure long-term survival.
As the discussion concluded, one theme remained clear: businesses that wish to thrive in today’s world must cultivate the intrapreneurial capital necessary to navigate the complexities of continuous innovation.
Guests
- Dr. Annika Steiber is working as an executive, facilitator, and advisor for companies that aim for exponential growth. In parallel, Dr. Steiber conducts leading-edge research in management. She is the founder and CEO of Management Insights and is the author of 17 management books and several award-winning research papers. Her latest book is the 2nd edition of The Silicon Valley Model-Management for Entrepreneurship. Dr. Steiber, as an expert, is also part of the development of the ISO innovation standard, ISO 56001.
- Albert Bengtson has a vast background in innovation development and management, where he thrives in the chaotic early stages of projects. A passionate intrapreneur and entrepreneur, he founded several companies, notably winning Elon Musk’s Developer Challenge at Paypal. For two decades, Albert has dedicated himself to coaching talents in the intrapreneurial ecosystem, driving purpose and impact. His energy and commitment to sharing knowledge have been pivotal in making ambitious projects feasible. His expertise in complex ecosystems, allowed him to develop the 4C Model together with
- Birgitte Stjärne, which was later presented also with Roland Williams in the book, Principles of Intrapreneurial Capital. Birgitte Stjärne is an advisor and coach in innovation management and entrepreneurship. As an intrapreneur, she is dedicated to promoting intrapreneurship’s role in transformative change. With an economics background, she has led various innovation projects and authored “The Intrapreneur – The Key to Innovation” (2017). Together with Albert Bengtson, Birgitte developed the 4C Model for Intrapreneurial Capital, an ecosystem for transformative innovation described in the book “Principles of Intrapreneurial Capital” (2022). Former expert in the innovation standard project ISO 56001.
- Roland Williams is a creative advisor, merited for his work with product design and communications. He is a facilitator, a speaker, and the co-author of Principles of Intrapreneurial Capital. From consumer-facing products at IBM and digital storytelling at The Coca-Cola Company, he relocated to Europe to shape the look & feel of a pivotal pharma merger and several other award-winning IT products. He currently serves on the Program Steering Committee for Digital Creatives at Hyper Island Business School.
Related content
- Nimbleness in Management: Insights from Silicon Valley
- Book: Principles of Intrapreneurial Capital
- Articles and videos about being nimble.
