Few business nurseries focus on learning; but some do

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WORKING IN STARTUPS Founding a business attracts a lot of young people who have little or no business experience; but only a few business development programmes put much emphasis on learning – Village Capital, EntrepreneurFirst and the Clore Foundation among them.

 Becoming a company founder, some suggest, is to-day a more popular career than any other, but it is fraught with failure. Brent Hoberman has depicted it as like throwing yourself off a cliff and learning to build an aeroplane on the way down. While some succeed (YCombinator seems to attract heavy-weight innovators), many fail; (in the UK just under half new businesses apparently fail within three years), and many of those who start businesses simply become self-employed (or are out of work.) We desperately need to identify, select and train – for the various skills that are needed.

In 2016, Village Capital in New York launched a development programme for young people aimed at filling the gap between their education and the need for them to become employable in today’s venture-oriented world. It involved companies that would receive ‘training on business model development, customer hypothesis testing, financial modelling, partnership and customer development, and investor engagement. Entrepreneurs also have one-on-one time with mentors, industry experts, investors, top business leaders and potential customers’.

EntrepreneurFirst, an Accelerator for graduates to found new businesses, has become expert in putting people together who form effective teams, as has Village Capital in New York. EntrepreneurFirst achieves this by forcing its recruits to examine compatability in relation to purpose, in the very early stages of a startup.

The Clore Foundation, originally about leadership in the arts, runs a variety of leadership development programmes – for people in social enterprise. They are all part time; in groups; online as well as residential; a mixture of reflection – with coaching, and instruction; and all of them about working together to tackle their various current leadership challenges.

John Whatmore, June 2018

 

 

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No institutional support for startups and scaleups

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No institutional support for startups and scaleups

The CEO of the Art Fund complains that there is no support system for one of the oldest of functions – museum curators; neither is there in the newest of fields – the world of entrepreneurialism. The Clore Foundation runs a stack of programmes for leaders in social enterprise, and the Arts and Humanities Research Council has commissioned a programme for leaders in the Arts, but programmes for leaders in other fields of enterprise are rare.

Learning is essentially on-the-job; but there is no extensive form of support for on-the-job learning. There are several recent action-learning type programmes, such those run by UCL/RBS, the Judge Institute, Vistage (originally US); and Belgium’s Plato programmes provide another example. Steve Blank’s I-Corps programme helps scientists to identify and pursue opportunities for commerialisation. And there are a number of online programmes including Digital Business Academy and Dreamstake, and MIT’s new U.Lab.

There is virtually no networking/pooling of experience: Nesta initiated a twice yearly pan-European conference called Accelerator Assembly, which has since been taken over by Salamanca University. The Association for Managers of Innovation has existed in the US for a number of years, but there is no such networking function or organization in the UK.

There is no strong overall supporting institution: Praxis/Unico is focused on universities; UKSPA is focused mainly on the development of Science Parks; and UK Business Incubator died several years ago. The Scaleup Institute is in its nature focused on scaleups – on identifying routes to success together with leading examples.

Research remains uncoordinated. The Enterprise Research Centre at Aston University has developed a scoreboard and carried out research into the factors that support local enterprise, as have other organisations. The Scaleup Institute commissioned a major research project on Scaleups jointly at Judge Cambridge and Said Oxford; and Nesta has a very general and long-term research project about the effectiveness of support for startups, but does not focus on best practice. There is no large-scale university programme dedicated to research and especially to the development of enterprise and early stage business.

What is needed is an organisation that could lead or seed programmes for potential leaders of innovation across different fields (- the CBI, Nesta or ESRC?) – in industry, in science, in public services, in education, in health services, or whose first initiative was unsuccessful?

John Whatmore, January 2018