knowledge transfer 2.0 slides for auril 2011

Knowledge Transfer2.0

Sunday, 23 October 11

“I made a mistake in presuming that the self-interest of banks...was... capable of protecting their own shareholders”

Derivatives are a “time bomb” (2002)

The dangers of business as usual...Sunday, 23 October 11

New Context

New Game

New Rules

New Tools

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There may be trouble ahead...The bad news is that :

New Context...

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2006 2007 2008 2009 2010

UK Investment by Financing Stage

start-up

seed-fundingcr

unch

BVCA data

mill

ions

New Context...

crun

ch?

Sunday, 23 October 11

There maybe market volatility...

New Context...

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Funding Double Whammy...

Capital Markets Dual Funding

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There will certainly be cuts...

New Context...

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From:

HEROBAC . . . . to . . . . Impact

New Context...

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Let’s face the music & dance...But while there’s love and romance,

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New Game

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Towards Openness

Towards Co-creation

Towards Leanness

Three Trends in Innovation:

Sunday, 23 October 11

Hank

Open Innovation

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Towards Openness

“most of the smart people don’t work for you”

Open InnovationOpen SourceCrowd sourcing

Sunday, 23 October 11

“I’d like to take all of our geology, all the data we have that goes back to 1948, and put it into a file and share it with the world,” Over 80 percent of the new targets yielded substantial quantities of gold. 8 million ounces of gold found. Shaved two to three years off exploration time.

Sunday, 23 October 11

Procter & Gamble

Harvard Business Review article authored by two P&G executives, the company’s innovation success rate has more than doubled while the cost of innovation has fallen

Sunday, 23 October 11

KT was about individual research excellence - groups or individuals

KT 2.0 understands that innovation is a social process

Towards Collaboration..

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InnoCentive looking to crowd source improved open innovation strategy

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Yet still corporate led:

InnocentiveYet2.comNinesignma

etc.

Nothing akin to this in the KT space...

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Towards Co-creation

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From Collaboration to Co-creation

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From Protection to Connection...

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Text

Co-creation... Breaking the‘rules’

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Toward Lean

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Minimal Viable ProductValidation

Innovation accounting

Sunday, 23 October 11

“Old management methods are not up to the task. Planning & forecasting are only accruate

when based on long, stable operating history and a

relatively static environment . Start-ups have neither”

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Delay prevents startups from getting the feedback they need

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False positives & false negatives...

Political - Fear of backing failure

Resource - Concerns over wasted resource

People less bothered about the ‘misses’

Sunday, 23 October 11

We reduce cost - go lean

Outsource the cost - risk share

Get better & more diverse filters ... that approx validation

But the Game is Changed if:

Sunday, 23 October 11

KnowledgeTransfer 2.0Getting more from less

New Rules...

Sunday, 23 October 11

3 Pinch-points make KT inefficient

1 Pro

ject

Sel

ectio

n

2 Business Development

3 The Funding Valley of Death

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1 Pro

ject

Sel

ectio

n

Sunday, 23 October 11

It’s not too many good ideas It’s not too little resource

It’s Filter Failure

Pinch-point 1Selection

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Filtering:Is time-consumingRequires a lot of clever peopleIs still not the market, but a guess

Sunday, 23 October 11

Too early to know what will be a hit

The non-hits in aggregate might be more valuable

Too early to know what will be a hit

The full tail demonstrates the full range of impact

The KT -Impact Long Tail . . .

Sunday, 23 October 11

The digital age has ushered new ways to filter information...

Crowds, with cognitive diversity & multiple perspectives, in aggregate provide stronger raw intelligence of any single person

Sunday, 23 October 11

Wisdom of the CrowdProject selection through the:

Improves decision making, removes a constraint, increases transparency...And it’s Cheaper!

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A

B

C

The Long Tail of ‘Non-expert’ Expertise...

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2 Business Developm

ent

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Internal Capacity...

Clara Lopez !

Stephen Griffiths! Anna Tatton!

Tim Whitworth! Emma Nolan! Gordon Matthewman!

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External Capacity

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     Scalability: Meets more demand      Skill-sets: Provides Diversity of Skill-sets      Scarcity: Overcomes scarcity by out-sourcing cost

Sunday, 23 October 11

Research( Proof(of(Principle/Concept( Development( Seedcorn/(equity(

Pathfinder(Scheme(7=10K(~(6(months(

IP(Group((Grub(funding(

Follow=on=funding((All(RC’s)(80=150K(~12(months(

IKC((50K(~12(months(

MRC(–(Call(for(Targets:(Drug(Targets(&(AnUbodies(

IP(Group(

White(Rose(TSF(500K(

Commercialisa+on-Funding-Streams--

Clothworkers(((texUles(only)(6=16K(

Technology(Readiness(Levels((TRL)(TRL(1(–(Basic(principles(observed(

TRL(2(–(Tech(concept/(applicaUon(formulated(

TRL(3(–(AnalyUcal(&(experimental(POC(

TRL(4(–(Tech(validaUon(in(lab(environment(

TRL(5(–(Tech(validaUon(in(relevant(environment(

TRL(6(–(Prototype(demo(in(relevant(environment(

TRL(7(–(Prototype(demo(in(operaUonal(environment(

TRL(8(–(Tech(completed(through(test(and(demo(

TRL(9(–(Tech((qualified(through(successful(operaUons(

Fund

ing(sources(available(for(commercialisaU

on(

YABA(10=250K((avr(60K)(

Business(Enterprise(Fund(<100K(

YFM((250K(–(8M(

Working together to find the resource...

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Sunday, 23 October 11

Does it work?

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Increased Licence Income - 10-fold

£,000

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...at least - if not 15-fold

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3 Pinch-points make KT inefficient

3 The Funding Valley of DeathSunday, 23 October 11

Research Development

Tech transfer

Commercialisation

Market Entry

Valley of Death

Pro

fit /

Loss

time

Sunday, 23 October 11

Greater Credibility - better hit rate

More focus, incentive and motivation

Reduced risk and greater capacity

Sunday, 23 October 11

KT1.0 Approach is… KT2.0 Approach is…

Constrained & Complex Simple, Capacity Building

Closed Connected & Open

Committee-based Crowd-based

Sunday, 23 October 11

We can re-engineer the KT business model

Sunday, 23 October 11

Large organisations are not the only way to make big things happen…

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...and it gets better the more organisations & individuals practicipate

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We’ll be without the moon, humming a different tune...

Sunday, 23 October 11

Sunday, 23 October 11

Knowledge Transfer2.0

Many thanks for listening

Questions?

www.knowledgetransfer2.com

@brianamcSunday, 23 October 11