michigan oracle user summit keynote

Entrepreneurialism 3.0:The Network Is The Corporation

David C. BloomFactotem Inc

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Agenda

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• Release Notes

• Entrepreneurship

• Report Card

• Flatteners

• Networks

• About Spark

Release Notes

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• Entrepreneur v2.0:“Network the Corporation”• Value Chains / Value Webs

• JV’s, Licensing, Outsourcing

• Entrepreneur v3.0:“Remove the Corporation”• Talent trumps Capital

• Singles, not Dingers

• Cluster Economics

• Entrepreneur v1.0:“Build the Corporation”• Legal entity, limited liability

• Issue Shares to Stakeholders

• Sustainable Value Proposition

Test your Entrepreneurialshipitudenessity

• Name three hot new businesses in your community.

• Tell your friends, “Hey, I’m starting my own business.”

• Tell your parents.

• Your company closes. Now what?

• You have to sit through some boring economic development presentation with words like Entrepreneurialshipitudenessity.

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• Employees are Contractors

• Products are Services

• Vendors are Partners

• (This is the only slide that really matters. If you have to go out in the hall to make an important call, you can leave now.)

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Reality

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Attributes

Entrepreneurial Report Card

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• Technology

• Talent

• Capital

• Infrastructure

• Culture

Technology

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• 1998: B

• 2008: A

• Progress with U-M Technology Transfer

• Named one of the 10 Best Communities for Innovation

Talent

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• 1998: D

• 2008: C

• Management Talent lags Scientific Talent

• Innovation is a Team Sport, not a game for Individual Contributers

Capital

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• 1998: D

• 2008: C

• Ranking improved!Was #37/50 statesNow #20/50 states

• Pre-Seed, A-Round okB/C round is still a problem

Infrastructure

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• 1998: D

• 2008: B

• Then: hard to find an attorney who could evendraw up a term sheet

• Now: Michigan Business Tax is a big improvement over the former Single Business Tax

Culture

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• 1998: E

• 2008: C

• Then: toxic cocktail of risk-aversion, judgmental attitude and sense of entitlement

• Now: Economic Reality is a Mutha of Invention, still too much discuss, not enough do

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• #6: Outsourcing - splits manufacturing and service functions so companies can focus

Friedman’s Flatteners

• #7: Open Sourcing - “the most disruptive force of all”

• #8 Workflow Software - creates a global platform for collaboration

• #9: The Web - lowers barriers, disseminates culture - broadly, instantly and intimately

• #10: End of Cold War - Former Soviet states join the economic mainstream

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• #1 "The Steroids" - mobile phones, iPods, PDAs, IM, VoIP - the media for the message

Friedman’s Flatteners

• #2: “In-forming” - (another Friedmanism) search engines make “research” mainstream

• #3: Insourcing - shifting workloads between trading partners

• #4: Supply Chaining streamlines sales, distribution, and shipping

• #5: Offshoring - creates the impetus for global economic integration

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Design Specification

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Over-built, Under-tested

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Topology is Physiognomy

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Nodes and Vectors

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Nodes and Vectors• Particle/Wave Duality

• Ford vs. Cisco approach

• Challenge #1: focus on the connections - “what flows, grows”

• Challenge #2: avoid barriers - “route around damage”

• Challenge #3: identify emergent opportunities - replace “wtf ” with “what if?”

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The Network is the Corporation

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The Network is the Corporation

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Network Design

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Network Design

About Ann Arbor SPARK• Merger of Washtenaw

Development Council, IT Zone and SPARK

• Public-Private partnership among academia, business, government, and not-for-profit organizations

• Governed by a dynamic board of directors

• Powered by 15.4 FTE economic developers and support staff (I’m the “.4”)

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Guiding Principles• High-value, knowledge-

intensive workforce

• Innovation in products, services and delivery

• Proactive, not reactive

• “Ann Arbor USA” brands the entire region

• Statewide programs in Open Source Economic Development

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Targeted Industry Sectors• Automotive Manufacturing

and Materials

• Aerospace Engineering and Manufacturing

• Cleantech

• Homeland Security and Defense

• IT / Software

• Life Sciences

• Optics / Measurement

• Printing and Publishing

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Thank You!

David C. Bloomdavid@annarborusa.org

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