Intrapreneurship at Alcatel-Lucent

COPYRIGHT © 2012 ALCATEL-LUCENT. ALL RIGHTS RESERVED. ALCATEL-LUCENT — INTERNAL PROPRIETARY — USE PURSUANT TO COMPANY INSTRUCTION

ALCATEL-LUCENT : HISTORY, SUCCESSES & LEARNING OF 6 YEARS OF BOOTCAMPS Olivier Leclerc, Innovation Director @setolivier | #bell_labs | #alcatel_lucentDecember 2012

ALCATEL-LUCENT AT A GLANCE

DJSI leader in Technology

2,655 patents in

201129,133

active patents

Collaborate with

250+ universities

2011 Adjusted operating margin 3.9%

76,000 employees 100+

nationalities

TR50 Most

Innovative Companies

2012

2011 revenues €15.7b

130+ countrie

s

7 Nobel prizes

400G photonicDSL vectoring Carrier cloud lightRadio400G IP XRS Core router

2011 R&D/Sales15.7%

Motive Customer

Experience

1000+ CUSTOMERS(NETWORK OPERATOR)

1M+NETWORKS

INDUSTRY TRENDSA FAST-GROWING INDUSTRY

FIXED BROADBAND CONNECTIONS

2011 2015

532Million

691 Million

MOBILE CONNECTIONS

2011 2015

5.5 Billion7.3 Billion

SMARTPHONE SALES

2011 2015

428Million

1Billion

APPLICATIONS DOWNLOADS

WI-FI PUBLIC SPOTS

2011

18.2Billion

41.7 Billion

2015

2011

1.3 Million5.8 Million

2015

177 Billion

2015

89.4 Billion

2011

+30% +32% +346%

+129% +134% +98%PUBLIC CLOUDREVENUE

M2MDEVICES

2011 2015

1.1Billion

12 Billion

MOBILE VIDEO CONSUMPTION

2011

429Million

4.2Billion

2015

+990%

+879%

SET YOUR “INNOVATION GOAL”

ExistingMarkets

NewMarkets

NewTechnology

ExistingTechnology

Low Risk,Many

Competitors

Customer Experience,Cost Savings

High Risk, High Reward

High Risk, Defensive Strategy


• Year 2004 : ‘‘There are a lot of great ideas in this company… but for many reasons these

great ideas drop off the table, so the challenge became how do we create a culture of innovation where people feel empowered to follow through on their ideas’’

Business Plan training for researchers but … • Year 2006 1st BootCamp with multidisciplinary teams around research

ideas in Belgium • Year 2008 : BootCamp concept in France open to all employees• … and so on

ORIGINS


7

Défi ENTREPRENDRE BRINGING ENTREPRENEURSHIP INSIDE

Entrepreneurial Boot Camp “Innovation is the responsibility

of every employee in the company”

Intrapreneurs*, like their entrepreneurial counterparts, have the need to imagine and create an idea. But instead of convincing foreign investors and risking their personal assets, the intrapreneur need to create a good team within your company to successfully launch new products.

(*) The term “intrapreneur” was coined Gifford and Elizabeth Pinchot, who cited Macrae’s 1976 article as their inspiration.

INTRAPRENEURS

HAVE THE FULL INNOVATION MANAGEMENT PROCESS IN PLACE

Idea

Cap

turin

g

Share-ID

Seedreadiness

F2F

Boot

Cam

pSharpen-

ID

Opportunityreadiness In

cuba

tion

Shape-ID

Investment readiness

Inte

rnal

Ven

ture

Grow-ID

Customer Contacts

Busin

ess D

ivisi

on

Monetize-ID

Customer Contracts

Inspiration

Call for Ideas: Idea Submission & Employee Collaboration

Team Building, Dating Event (F2F & online)

Creation of Business Plan: training/coaching at

#locationsPitch at local &

global final event (MC)

IncubationVentures ?

MAKE IT A CHALLENGING ONE

LINKED TO CORPORATE STRATEGY

• Call for Ideas by CEO • Give on-line feedback, during employee collaboration• Presence at Final Event• Overcome silo-mentality, not invented here-syndrome

INVOLVE THE WHOLE ORGANISATIONFROM CEO …


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COLLECTING IDEAS

Web site : http://all.alcatel-lucent.com/defi-entreprendrehttps://engage.alcatel-lucent.com/groups/defi-entreprendr

Follow us on Twitter : http:\\twitter.com\ALU_Defi

https://all1.us.alcatel-lucent.com/bell-labs/defi/Documentation/Pages/News-equipes-S5.aspx

https://engage.alcatel-lucent.com/groups/defi-entreprendr

http://www.twitter.com/ALU_Defi


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THE ENTREPRENEURIAL BOOTCAMP INNOVATION BOARD

INNOVATION BOARD (Selects Ideas & teams, Support participants & Act as part of Final Jury)

President : Pascal HOMSY (CEO Alcatel Lucent France) Hélène SALLIC (Corp. Strategy) Didier BERTHOUMIEUX (Bell Labs / Corp. CTO) Jean-Luc BEYLAT (Bell Labs) Philippe BAUD (Global Account Orange) Jérôme LE MOUEL (HR) Christophe BEJINA (Networks/Wireless) Thierry BONNIN (Enterprise) Laurent LE GOURRIEREC (Bell Labs / Corp. CTO) Caroline DIQUELOU (Corp Marketing, Strategy & Comms) Karine CALVET (CU France / Sales / Verticals) Mercedes MARTINEZ MARTIN (EMEA Application

Enablement) André MECHALY (Solution & Marketing CU France ) Vincent MOREAU (Networks / Video) Pascale THORRE (Bell Labs / Bus Modelling) Vincent LARA (Corp. Finance) Dominique VINCENT (Procurement & Design to Cost)

Board Secreatry : Olivier LECLERC (Bell Labs)

• Cut the red tape• Do not try to decide based on consensus• Projects that deserve support should be quickly expedited

INNOVATION BOARD

• Good cop – Bad cop• Trust• Another view, not company-biased• Business school, VC, Business Angel, …

INVOLVE AN EXTERNAL PARTY

Inspiration

Call for Ideas: Idea Submission & Employee Collaboration

Team Building, Dating Event (F2F & online)

Creation of Business Plan: training/coaching at

#locationsPitch at local &

global final event (MC)

IncubationVentures ?

THE TEAM

THE CAPTAINSCOUTING ENTREPRENEURIAL TALENT


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ENTREPRENEURIAL BOOTCAMP 'ACTIVE' PHASE

Intensive learning program in partnership with top-ranked French business school

MODULE 1 (2,5 days) MODULE 2 (2,5 days)• Entrepreneurship essentials • Legal aspects• Entrepreneurial strategy

• Innovation, Creativity• Workshop Business Plan review

Support for the project team by ULYSSCO• Team coaching by entrepreneurs; one coach by team.• Active participation during all the processInternal support• Individual training in eLearning, Training on intellectual property aspects• Internal mentoring by alumini, Club Défi…

FACE-TO-FACE IS KEY

PROCESS

CREATING THE BUSINESS PLAN

rolloutplan

team profile

businessmodel

businesscase

Business Opportunity Plan

financial roadmapbusiness modelroadmap

action/ work plan (short/ medium term)

team & competencies

roadmap

I

III

II

IV

business model format

customer value curves

technology evolution path

competitive arena

go to market strategy

value chain

earnings modelvalue proposition

cash curve

Time to Market/ Time to Profit

mile stone planning

are you an entrepreneur?team roles

competencies profiles& gap analysis

alliance/ cooperation profilepath for validating assumptions


22

ENTREPRENEURIAL BOOTCAMP FINAL EVENT


23

INNOVATION FUNDCREATED SEPT 2009

As to : - - Buy equipment + pay for

service (POC)- - Allow / enable some team

members to work 100% of their time on the project for a limited and defined period

=> Help concretize the proposition

Eligible projects are high-rated ones after BC

Back

Recommendation to incubate (or

not)

• Business as usual

• Career switch

• Leaving the company

WHAT HAPPENS TO PEOPLE AFTER?


25

ENTREPRENEURIAL BOOT CAMP SPREAD, STIMULATE & CONCRETIZE AN ENTREPRENEURIAL SPIRIT WITHIN ALCATEL-LUCENT

CREATE VALUE FOR ALCATEL-LUCENT THINKING ‘OUT-OF-THE-BOX’

PROVIDE PERSONAL DEVELOPMENT OPPORTUNITIES FOR ALCATEL-LUCENT EMPLOYEES

OBJECTIVES

What is it?


26

ENTREPRENEURIAL BOOTCAMP SOME KEY SUCCESSES

Augmented Reality services (for smartphones)funded by Innovation Fund from Jan til Dec 2010Transferred to , an Alcatel-Lucent company on Jan 2011Commercial contracts (hundreds k€)

MOSAR became Alcatel-Lucent ‘Alternative Energy Program’Energy-autonomous wireless base station Commercial contracts (M€) MOSAR

Service for Smart Sharing and Enrichment of Videos Transfered to Alcatel-Lucent Entreprise – Now part of OpenTouch Video Store product lineGold prize at Intranet Innovation Awards 2011


27

KEY LEARNINGS

• EMPLOYEES ENGAGEMENT & CULTURE CHANGE

• NEW IMAGE OF THE COMPANY

• FIRST REVENUES FROM THE BOOTCAMP PROJECTS

• DIVERSIFICATION OF THE PRODUCT PORTFOLIO

Education Business

Opportunity Plan

Incubation

New product

New service

Mini-MBA

Networking

Transformation

New career

ANSWER THE “WHAT’S IN FOR ME?”

• Conviction

• Passion

• Drive

• Persuasion

• Social skills

• Company politics

NEEDED SKILLS OF THE INTRAPRENEUR

INTRAPRENEUR'S 10 COMMANDMENTS BY GIFFORD PINCHOT (1985)

• Ask for advice before asking for resources.• Express gratitude.• Build your team; intrapreneuring is not a solo activity.• Share credit widely.• Keep the best interests of the company and its customers in mind, especially when

you have to bend the rules or circumvent the bureaucracy.• Don't ask to be fired; even as you bend the rules and act without permission, use all

the political skill you and your sponsors can muster to move the project forward without making waves.

1. Come to work each day willing to be fired.2. Circumvent any orders aimed at stopping your dream.3. Do any job needed to make your project work, regardless of your job

description.4. Find people to help you. 5. Follow your intuition about the people you choose, and

work only with the best.6. Work underground as long as you can publicity triggers the corporate

immune mechanism. 7. Never bet on a race unless you are running in it.8. Remember it is easier to ask forgiveness than to ask permission.9. Be true to your goals, but realistic about the ways to achieve them.10. Honor your sponsors.


32

GERD LEONHARD, MediaFuturist.com @gleonhard

BOOTCAMPERS AS CHANGE AGENTS


33

BOOTCAMPERS are ALU BUCCANEER’sCourtesy of

PHILIPPE MEDA - @Merkapt

KEEP INNOVATING THE INNOVATION PROCESS

EMEA BOOT CAMP

• Ideas are useless unless used. The proof of their value is in their implementation. Until then, they are in limbo.

• Ideas without action are worthless. Action is the foundational key to all success.

• The creative process does not end with an idea. It only starts with an idea.

• Genius is 1% inspiration and 99% perspiration.• There have been many fine scientists desperately trying to become

poor businessmen.• Three factors lead to better performance and personal satisfaction:

autonomy, mastery, and purpose.

SOME (ADDITIONAL) FINAL THOUGHTS

(Dare )

Intrapreneurship at Alcatel-Lucent

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