Rainforest Rev: Status Quo Leadership and How to Promote Entrepreneurship

THE BIG PICTURE


Status Quo Leadership Is The Biggest Impediment To Innovation

Henry Doss, Chief Strategy Officer of T2 Venture Creation, from Forbes
If you’re looking for an innovation revolution in your organization, don’t look for more money or more places to spend money.  Don’t look for activities or tactical interventions or things to do. Look for heroes. Read more here.

Guidelines for Local and State Governments to Promote Entrepreneurship 

Kauffman Foundation
Two commonly used strategies to promote entrepreneurship are public venture funds and business incubators. They have failed to foster entrepreneurship because the tactics are not suited to the experiential and collaborative process that characterizes entrepreneurship. They often neglect an essential principle: connectivity and learning by entrepreneurs. Read more here.

In The Future, Nothing is Certain Except Uncertainty

Inc.
An open collaborative culture will foster the kind of continuous innovation required to survive in the future. In a world where everyone and everything is ripe for disruption, experimental organizations that welcome unwelcome ideas will flourish. Read more here.

What Is the Next ‘Next Silicon Valley’?

The New York Times
Nerds love Silicon Valley. The gap between San Jose and the No. 2 metro area is large. Seattle, no tech slouch with Microsoft, Amazon, Zillow and others, has 16 percent of its work force in advanced industry compared with 30 percent for San Jose. Many successful start-ups start somewhere else but eventually get sucked into the Silicon Valley vortex. Read more here.

THE LATEST NEWS


‘Piggybackers’ Hitch Themselves to Airbnb, Uber

The Wall Street Journal
Many entrepreneurs are building derivative startups, or businesses pegged to others’ success.  At least half a dozen businesses are pegged to Airbnb in the last three years. Read more here.

Technology Startups Take Root in Tehran

The Wall Street Journal
Foreign companies, deterred by international sanctions or banned in Iran, have yet to launch Iranian versions of their content. Iranian versions of Amazon, Google Play, Groupon fill the void left by censorship. Read more here.

Report: Venture Capitalists Invested $470M in 53 Deals in First Half of 2014

San Diego Business Journal
Venture capitalists invested $470 million in 53 deals in San Diego during the first half of 2014. Entrepreneurs created 228 startups in innovative vertical markets in San Diego during the period. Read more here.

CALENDAR OF EVENTS


Licensing Executives Society Silicon Valley Chapter’s 15th Annual Conference
Wednesday, April 29, 2015, Palo Alto, CA

Licensing in Sports and Entertainment Conference. Meet the minds behind the licensing of such mega-hits and teams as Star Trek, Star Wars, San Francisco Giants, San Francisco 49ers, PAC-12, and the media & technology companies that fuel them, including Technicolor, Dolby Laboratories, TiVo, and Starz!

Wold Cup Tech Challenge

Apply now to represent your startup—and your country —at the World Cup Tech Challenge on June 4th, 2015 at Microsoft in Silicon Valley! Startups accepted into the World Cup Tech Challenge are in a pre-global stage, meaning they have launched their products in their respective local markets and now ready for a global launch. We welcome startups from all over the world to apply to present their product—and represent their country—at the 2nd Annual World Cup Tech Challenge 2015! Don’t miss your chance to win the Cup, a fabulous cash prize, and more. Check it out on www.worldcuptech.com!

Apply to qualify to one of the Tech Groups Below:
1. Digital Media
2. HealthTech
3. FinTech
4. Next Gen Technology
5. EdTech
6. Enterprise Software

How to apply:
In order to be considered for the competition, please visit worldcuptech.com and fill out the application form. The deadline for submission is May 4, 2015; however, the 35 investor judges are screening applications as they come in, and therefore strongly encourage you to send in your application before the deadline. The 24 qualified startups will be announced no later than May 15th, 2015.

For questions or concerns, please visit worldcuptech.com or contact at worldcuptech@svforum.org.


Can Sherlock Holmes help us make decisions?

Yes, I have a turn both for observation and for deduction. The theories which I have expressed there, and which appear to you to be so chimerical are really extremely practical—so practical that I depend upon them for my bread and cheese.” Sherlock Holmes. The Sign of Four, Chapter 2: The Science of Deduction. Sir Arthur Conan Doyle, 1890.

In the March 2015 blog Practical Reasoning: Decision making in Rainforest innovation ecosystems in this series, we quoted David Milligan from his book Reasoning and the Explanations of Actions, written in 1980 but still fresh. Milligan explains that a good deliberative reasoner is “not someone who simply obeys the rules of logic,” but someone who is also a sound judge, can make intelligent decisions, and can defend his or her decisions about how to act by pointing to reasons which support actions.decision-making-fork-2

Relating decision making to action, or a series of actions, based on these decisions goes far beyond explaining how a system state came to be, but produces interventions to change the present system state to a future desired state through reasoned actions.

We also noted that rather than downgrading the importance of logic, Milligan work launches us into the necessary search for non-deductive ways of reasoning and decision making in environments where there is an abundance of wicked problems – which is almost everywhere. (Don’t try to tame wicked problems: Part 1).

Let’s see how this works in practice by taking an example from commercializing university research through creating a new business around the technology (a spin-off company). See a previous blog in this series Solving the Right Problem: Part 1 for more on spin-offs.

What characteristics of the university’s innovation environment might support greater spin-off company activity? To make things simple, consider the case of trying to reason and choose one of just two options out of many possibilities:

  • Resources: make available more financial and supportive resources for spin-off creation.
  • Culture: develop a culture of innovation throughout the university and its broader stakeholder community.

After deliberation, two reasons emerge as reasons in favor of Culture which we will call P, and Q. Two reasons against Culture also emerge which we will call R and S. It turns out that P and Q outweigh R and S, therefore Culture development is the better option.

In linear systems the argument from the P and Q to the selection of Culture must be deductive, although neither P nor Q is necessarily a conclusive reason for Culture. In non-linear complex (Rainforest) systems where wicked problems are the norm, and deduction cannot be used, forming an acceptable good reason involves deliberation involving evaluations, sometimes called reason statements, which can be defended, or indeed changed if they fail to hold up against a challenge. This reasoning will typically involve drawing non-deductive conclusions from observations.

An example of this is when we deploy The Rainforest Scorecard: A Practical Framework for Growing Innovation Potential process and scoring model introduced in our January bonus-blog Measuring Culture, Performance, and Innovation.

When the Scorecard is applied reasoning is used in two ways.

  1. To qualitatively apply non-deductive reasoning to produce a quantitative score for each of the 6 Scorecard categories: Leadership; Frameworks, Infrastructure, Policies; Resources; Activities, Engagements, Role Models; and Culture.
  2. To find relationships between the 6 categories from Scorecard data collected during its application.

In both cases deliberation, producing reason statements, draws on experience, knowledge networks, references to related past results, cognitive insights, contexts, cost-effectiveness, and so forth. In some cases deliberation may also identify a small number of key variables which greatly influence results – more on this in a future blog.

For details of finding relationships between the 6 Scorecard categories see the Forbes blog by the Rainforest Scorecard co-author Henry Doss, Status Quo Leadership is the Biggest Impediment to Innovation.

As Milligan notes “reasons can be good and sufficient to justify a conclusion without being deductive… in the context of deliberations reasons which are not deductive are the most important.”

Or as Sherlock Holmes put it, don’t rely entirely on deduction to make a living.


Practical Reasoning: Decision making in Rainforest innovation ecosystems

“If scientific reasoning were limited to the logical processes of arithmetic, we should not get very far in our understanding of the physical world. One might as well attempt to grasp the game of poker entirely by the use of the mathematics of probability.” Vannevar Bush, Founder of the US National Science Foundation.

We ended our February blog with the question “So, what can we do if we must make decisions regarding wicked problems but cannot use deduction?” Wicked problems are intractable, interconnected, problems with unclear cause and effect connections – see January’s blog for details of how wicked problems are defined. In this blog I will suggest that not being able to use deduction does not mean we cannot use reason and deliberation.

We can measure factors or variables as the basis for decision making because complex adaptive systems have ‘basins of stability’ – as introduced in our August 2014 blog – which are steady state systems maintained by the feeding in of external energy. For corporations and innovation ecosystems this equilibrium is a kind of order. In the language of complexity these steady states, regions of quasi-stability or system-level order, are known as ‘attractors.’ Empirical research has shown that in large complex systems such as communities and corporations, these attractors maintain conditions required for emergent self-organization, adaptive capability – and measurement.

The Rainforest Scorecard: A Practical Framework for Growing Innovation Potential process and scoring model introduced in our January bonus-blog Measuring Culture, Performance, and Innovation seeks to describe an ideal organizational ‘system state’—the aggregate set of conditions or features of systems that are generally present in innovative organizations. This idealized model is in turn used as a gauge against which organizations can measure and evaluate their own state of innovation.

Biridan's assBuridan’s donkey, named after the 14th century French philosopher Jean Buridan, had a problem in trying to make a rational decision using deduction. This hungry donkey standing midway between two equally nourishing looking piles of hay is unable to make a rational decision to choose one pile over the other and consequently dies of hunger.

Another philosopher, David Milligan, in his book Reasoning and the Explanations of Actions, written in 1980 but still fresh, explained that a good deliberative reasoner is “not someone who simply obeys the rules of logic,” but someone who is also a sound judge and can defend his or her decisions about how to act by pointing to reasons which supports them.

“The deductivist [a person using deduction] tries to reduce the elements of sound judgment and correct evaluation either to the application of logic or to a kind of subjective response.” Milligan does not talk about complex systems or linearity as such, although everything he discusses applies (another example, as as we have seen before, and will see again, of the significance of philosophy in understanding complexity). Rather than downgrading the importance of logic, the author is trying to show that “reason is far wider and has a far more important role in action than might appear from the deductive list account.” Milligan’s work launches us into the necessary search for non-deductive ways of reasoning and decision making where there is an abundance of wicked problems – which is almost everywhere.

Another feature to take into account is that decision making will always be ‘bounded’ – that is we cannot know all the factors which possibly should be taken into account when making a decision, and thus we cannot reach an optimal solution. This concept was first proposed by the economist Herbert Simon as an alternative basis for the mathematical modeling of decision making; we will have to be satisfied with a less than optimal solution. The decision-maker is thus sometimes referred to as a ‘satisficer’ – someone who is satisfied with a good enough solution. For readers of this series the advantages of sub-optimum solutions will sound familiar (e.g. Imperfect Works Feb 2013 blog in this series.  More about satisficers and maximizers in future blogs.

We should point out that being satisfied with boundedness and sub-optimality does not imply accepting insufficient depth of knowledge of those factors we do know about.

All this may be sounding a bit abstract, so in April’s blog we will apply these ideas of non-deductive reasoning to trying to choose one of two options for the solution to a wicked problem.


Rainforest Rev: Summit Begins, More Wicked Problems

The Rainforest Revolution
News on growing ecosystems for innovation and entrepreneurship

 

Global Innovation Summit + Week is here.

Today we start the world’s greatest conference on creating innovation ecosystems.  We will begin with:

  • Opening Keynote Interview by Mary Kay Magistad of BBC Radio and Public Radio International with Kamran Elahian, Chairman of Global Catalyst Partners.
  • Design Lab #1: The Rainforest Scorecard & Radar, where all will contribute their Rainforest Scorecard data to build the first ever mapping of global innovation ecosystems onto Rainforest Radar charts.

If you’re at the Summit, we hope this newsletter helps stimulate your discussions with the global innovation community. If you couldn’t make it this year, you can still tweet your ideas to #gisw15. We are streaming tweets live throughout the day at the Summit, and we will hear you!

Check out the GISW agenda and calendar at the bottom of the newsletter!

SUMMIT: FEBRUARY 17-19  |  WEEK: FEBRUARY 15-21

 

THE BIG PICTURE


 

Don’t Try to Tame Wicked Problems: Part 2

Alistair Brett, International Technology Commercialization Advisor for T2 Venture Creation, from The Innovation Rainforest (blog)
In the last few years international development organizations seem to be discovering complex systems and wicked problems. The Rainforest Scorecard: A Practical Framework for Growing Innovation Potential is a measurement methodology based on complexity characteristics, and does not assume linear cause-and-effect relationships, but does recognize that ‘emergence’ is a critical feature of complex adaptive systems. Read more here.

 

A Recipe for Success

The Economist
The chance that any new startup will grow into a successful, sustainable company are extremely small. So while the number of startups is often used to measure the health of a particular region’s tech sector, it probably means less in the long-run than being able to account for the number of businesses that have a real chance of succeeding. The researchers from MIT’s Sloan School of Management have developed a new way to evaluate the quality of startups, rather than relying on their quantity to ascertain the strength of any particular tech region. Read more here.

 

Storytelling Your Way to a Better Job or a Stronger Start-Up

The New York Times
The age-old art of storytelling — something humans have done since they could first communicate —has become a new buzzword. In these days of tougher-than-ever job searches, and competition for crowdfunding among start-ups looking to be the next Google or Facebook, it’s not enough just to offer up the facts about you or your company to prospective employers or investors. You need to be compelling, unforgettable, funny and smart. Magnetic, even. You need to be able to answer the question: what makes you so special? You need to have a good story. Read more here.

 

11 Reasons 2015’s Outlook For Women Entrepreneurs Is Coming Up Roses

Forbes
Women entrepreneurs could boost the economy in a way that hasn’t been seen since women entered the workforce in mass numbers in the 20th century, according to Sources of Economic Hope: Women’s Entrepreneurship, a report by the Kauffman Foundation, which researches and advocates for entrepreneurship. Read more here.

 

Couples Counseling for Tech Co-Founders? It’s Actually a Thing

KQED Public Radio
Relationship problems between co-founders is one of the biggest reasons companies don’t make it. Increasingly in Silicon Valley, business partners are looking for help before things go downhill — they’re signing up for couples counseling. An imbalance in co-founder relationships can be insidious. In cases like that, good ideas get dismissed, opportunities are lost. A counselor’s job is to help build trust, communication and empathy. Read more here.

 

THE LATEST NEWS


 

More Incubators Foster Startups in Europe Amid Harsh Economy

The Wall Street Journal
Since the start of a grinding recession six years ago, Europe has seen a sharp increase in the number of business incubators and accelerators, spreading beyond well-known tech clusters in London, Berlin and Stockholm. A study last year tallied a nearly 400% increase in such startup programs since 2007, and found that the number of European programs—260—was roughly comparable to the U.S. on a per capita basis. Read more here.

 

The World’s 10 Fastest Growing Metropolitan Areas

The Brookings Institution
With only 20 percent of the population, the world’s 300 largest metropolitan economies account for nearly half of global economic output. The fastest growing metro areas this year — as measured by Brooking’s Global Metro Monitor, which uses an economic performance index that combines employment and GDP per capita growth — are concentrated in China, Turkey and the Middle East. Read more here.

 

Commerce Dept. Tries to Kickstart U.S.’s Sputtering Entrepreneurial Economy

The Washington Post
Not commonly known as a resource for Silicon Valley-esque start-ups, the Commerce Department plans to announce a pair of new projects intended to support high-growth young companies and help revive the country’s sputtering entrepreneurship engine. Read more here.

 

CALENDAR OF EVENTS



Global Innovation Summit

The Global Innovation Summit is the world’s largest gathering for building ecosystems of innovation and entrepreneurship.  Here’s the agenda.

February 17 to February 19.  Silicon Valley, CA

Tuesday, February 17, 2015 

  • Special Sponsored Breakout Session
    • Dr. Leon Segal, Founder, Innovationship
  • Opening Ceremony: Welcome and Introduction to the Summit
    • Victor W. Hwang, Executive Director
    • Mark Newberg, Deputy Director
  • Opening Keynote Interview
    • Interviewer: Mary Kay Magistad (BBC Radio and Public Radio International)
    • Kamran Elahian (Chairman, Global Catalyst Partners)
  • Design Lab #1: The Rainforest Scorecard & Radar
  • Evening Event: Celebration of Art & Innovation

Wednesday,  February 18, 2015

  • Special Breakfast Session
  • Opening Case Study – The Shinola Story
    • Interviewer: Loren Feldman (Entrepreneurship Editor, Forbes)
    • Bridget Russo (Marketing Director for Shinola and Bedrock Manufacturing)
  • Design Lab #2: Thinking Outside the Box
  • Conversation #1: Design.
  • Innovation Inside: Building Innovative Teams
    • Moderator: Joe Sterling (Head of Consulting, T2 Venture Creation
    • Pablo Salazar Rojo (Managing Director, Naranya Ventures)
    • Natalie Sweeney (Senior Business Innovation Strategy Consultant, Highmark)
    • Jeanine Becker (Lecturer in Law, Stanford Law School)
    • Patrick Davis (Senior Officer for Strategic Initiatives, Calvert Foundation)
    • Emily Lutyens (Co-CEO, Legworks)
  • Rubik’s Cubed: Creative Problem Solving at Scale
    • Moderator: Ade Mabogunje (Senior Research Associate, Stanford University)
    • Megan Kachur (Creative Development Manager of Innovation, Walt Disney World)
    • Conrad Von Igel (Executive Director, Centro De Innovacion)
    • Maggie Hsu (Director of Marketing & External Relations, Las Vegas Downtown Project)
    • Maryann Feldman (Heninger Distinguished Professor, Univ. of North Carolina at Chapel Hill)
  • Educated Insight: The Reinvention of Learning
    • Moderator: Diana Walker (Principal, Walker Impact Strategies)
    • Mark Hatch (CEO, TechShop)
    • Rick Beyer (President Emeritus, Wheeling Jesuit Univ.)
    • Wanny Hersey (Superintendent & Principal, Bullis Charter School)
    • Wayne Li (Oliver Professor of the Practice of Design & Engineering, School of Industrial Design, Georgia Institute of Technology
  • Case Studies: Design of Startup Ecosystems
    • Moderator: Tom Guevara (US Department of Commerce)
    • Prafull Anubhai (Ahmedabad University)
    • Isabel Alvarez-Rodriguez (External Relations, Inter-American Development Bank)
  • Networking Lunch with User-Generated Discussions
  • UAE Interactive Lunch Lab
  • Conversations #2: Capital
  • Atlas Hugged: When Big Money Builds Global Ecosystems
    • Moderator: Mark Newberg (Managing Director, 5 Stone Green Capital)
    • Per Fredrik Ilsass Pharo (Director, Government of Norway’s Climate & Forest Initiative)
    • Jason Baron (Managing Director & Head Portfolio Manager for Social Investments, US Trust)
    • Gordon Myers (Chief Counsel, Technology & Private Equity, International Finance Corporation)
  • Catching Waves: Investing in Emerging Ecosystems
    • Moderator: Allen Taylor (VP, Global Network, Endeavor Global)
    • Paul Breloff (Managing Director, Accion Venture Lab)
    • Jessica Loman (Director of Operations and Impact, Toniic)
    • Walid Bakr (Director, The Abraaj Group)
  • Making it Matter: Impact Investing at the Cutting Edge
    • Moderator: Cathy Clark (Adjunct Professor and Director, CASE i3, Fuqua School of Business, Duke University)
    • Raul Pomares (Founder, Sonen Capital)
    • Miguel Granier (Managing Director, Invested Development)
    • Abigail Noble (Associate Director & Head of Impact Investing Initiatives, World Economic Forum)
  • Case Study: Investing by Geography
    • Moderator: Ben Thornley (Founder & Managing Director, ICAP Partners)
    • Ahmed Alfi (Founder, Sawari Ventures)
    • Nasir Ali (CEO, Upstate Venture Connect)
  • Case Studies: Designing Ecosystems
  • Case Study: The Catchafire Story
    • Rachel Chong (CEO, Catchafire)
    • Moderator: Cynthia Muller (Senior Director of Impact Investing, Arabella Advisors)
  • Financial Health: New Solutions for Underserved Markets
    • Arjan Schutte (Managing Partner, Core Innovation Capital)
    • Jennifer Tescher (President & CEO, Center for Financial Services Innovation)
  • Case Study: Crowdfunding: Circling Up
    • Moderator: Mark Newberg (5 Stone Green Capital)
    • Jason Yuan (CircleUp)
  • Design Lab #3: Building Solution Prototypes
  • Ecosystem Design Gallery
  • European Startup Showcase

Thursday, February 19, 2015

  • Special Breakfast Session
  • Something in the Air: Measuring, Understanding and Driving Innovation Culture
    • Julie Lenzer Kirk (Director of the Office Innovation and Entrepreneurship, U.S. Department of Commerce)
    • Henry Doss (Chief Strategy Officer for T2 Venture Creation)
    • Alistair Brett (International Technology Commercialization Advisor for T2 Venture Creation)
  • Conversation #3: Leadership
  • Phoenix Rising: Triumph Over Crisis
    • Moderator: Michael Lesnick (Senior Partner, Meridian Institute)
    • Dr. Sakena Yacoobi (CEO, Afghan Institute of Learning)
    • Jeff Finkle (President & CEO, International Economic Development Council)
    • Earl Robinson (Principal, RLMcCall Partners)
    • Chid Liberty (CEO, Liberty & Justice)
  • Insight Included: Diversity by Design
    • Moderator: Adiba Barney (CEO, SVForum)
    • Kumardev Chatterjee (Founder & President, European Young Innovators Forum)
    • Ursula Oesterle (Vice President of Innovations, Swisscom)
    • Nola Masterson (Founder & Managing Director, Science Futures)
    • Bill Tobin (Partner, Strayer Consulting Group)
    • Eric Ball (Treasurer & Senior Vice President of Finance, Oracle)
  • Case Studies: Leading the Technology Commercialization Process
    • Moderator: Soody Tronson (Founder and Principal, STLGip, Technology Law Firm)
    • Victor Hwang (Co-Founder & Executive Chairman, Liquidity Corporation)
    • Mir Imran, Chairman & CEO (InCube Ventures)
    • Andrew Farquharson, Managing Director (InCube Ventures)
  • Case Studies: Leading Public Policy to Grow Ecosystems
    • Moderator: Greg Horowitt (T2 Venture Creation)
    • Juan Camilo Quintero (Executive Manager, Ruta N)
    • Chinenye Mba-Uzoukwu (InfoGraphics Nigeria Ltd.)
  • Design Lab #4: Synthesis & Action
  • Closing Keynote Conversation – Fostering the Entrepreneurial Spirit
    • Moderator: Loren Feldman (Entrepreneurship Editor, Forbes)
    • Nancy Pfund (Founder and Managing Partner, DBL Investors)
    • Fadi Ghandour (Founder and Vice Chairman, Aramex)
  • Awards and Closing Ceremony
  • T2 Rainforest Scorecard & Master Plan — Q&A with the Authors
    • Moderator: Joe Sterling (Head of Consulting, T2 Venture Creation
    • Henry Doss (Chief Strategy Officer for T2 Venture Creation)
    • Alistair Brett (International Technology Commercialization Advisor for T2 Venture Creation)


Global Innovation Week

February 15 to February 21.  Silicon Valley, CA

Sunday, February 15

  • 11:00-5:00PM. Family Science Days. Host: American Association for the Advancement of Science. Location: San Jose Convention Center

Monday, February 16

  • 5:00-6:00PM.  Rainforest Architects and Makers Reception (private). Host: T2 Venture Creation. Location: Marriott Hotel, San Jose

Tuesday, February 17 

  • Morning.  Inventing Tomorrow’s Manufacturing. Stanford’s Strategic Foresight & Innovation. Innovation Leadership Board, Lux Research Location: Stanford University.
  • 1:00PM. Hands-On Innovation: Prototype Locally, Innovate Globally
  • 6:15-8:15PM.  Celebration of Art & Innovation. Global Innovation Summit, City of San Jose, and Anno Domini (for registered Summit attendees only). Location: San Jose

Wednesday, February 18

  • 8:00AM. Regional Innovation Ecosystems: Foundations for Growth in the 21st Century
  • 1:00-6:00. The Future of Personalized Vehicles. Host: SVForum.  Location: Quadrus, Menlo Park
  • 5:30-7:30. Greater Phoenix Innovation Showcase. Host: Greater Phoenix Economic Council.
  • 6:00-7:30. European Startup Showcase. EYIF. Location: Marriott Hotel, San Jose
  • 7:30-9:30. TechShop Open House. Host: TechShop. Location: San Jose.

Thursday, February 19

  • 8:00-11:00AM. Tea With a Twist. Host: Global Privat. Location: Marriott Hotel, San Jose
  • 11:00-1:00PM.  Innovation in R&D: Lunch & Learn (by invitation only). Host: BayBio. Location: South San Francisco
  • 2:00-4:00PM. Convening the Conveners (private). Host: Opportunity Collaboration and Global Innovation Summit. Location: Marriott Hotel, San Jose
  • 2:00-6:00PM. Clean Tech Commercialization — Rapid Prototyping for Global Deployment. Host: Urban Innovation Exchange. Location: Prospect Silicon Valley, San Jose
  • 3:00-5:00PM. Startup Funding Disrupted: Understanding the New Venture Ecosystem.  Host: DLA Piper.  Location: Xerox PARC, Palo Alto
  • 5:00-6:30PM. Design Thinking: A New Foundational Science for Engineering and Innovation Ecologies. PARC Forum (with Stanford design researcher Ade Mabogunje).  Host: Xerox PARC.  Host: Palo Alto.
  • 6:00-9:00PM. Entrepreneurship in Brazil. Host: BayBrazil. Location: San Jose

Friday, February 20

  • All Day. International Startup Marketplace. Host: Hult Business School.  Location: San Francisco
  • 8:30-5:00PM (thru Saturday, February 21). Franchise for Humanity: Act for Impact. Host: Franchise for Humanity. Location: Stanford University
  • 2:00-5:00PM Embracing Multicultural Entrepreneurship. Host: Global Filipino Network and STAC Silicon Valley. Location: UCS – Haas School of Business

 

Blackbox Connect Startup Showcase + Dinner Party – powered by Google for Entrepreneurs

February 20th, 5:00-9:30 PM, G|café at Galvanize, 44 Tehama St., San Francisco

Blackbox and Google for Entrepreneurs invite you to a night of startup demos, pitching and networking at the brand new g|café at Galvanize in San Francisco. This will be a very special evening concluding the 10th edition of Blackbox Connect.

16 startups representing 15 countries were selected in partnership with Google for Entrepreneurs’ global network of tech hubs. For 2 weeks the founders live and work together, attending workshops, meeting distinguished executives, accomplished investors, and successful founders from Silicon Valley.

On Friday, February 20th, this handpicked group of international founders will showcase their products and pitch on stage to a panel of investors. We are looking forward to seeing you this special evening, celebrating the accomplishments of these amazing founders and the 10th edition of Blackbox Connect!


The Innovator’s Leadership Imperative

By Henry Doss, Chief Strategy Officer of T2 Venture Creation, from Forbes

To educate a man in mind and not in morals is to educate a menace to society.  — Theodore Roosevelt

A quick read around in contemporary business writing might show that we are on the verge of elevating innovation and innovators to some kind of mythical status.  It is becoming commonplace to equate those who consciously seek the new, the different, and the disruptive with an exceptional class of leadership and extraordinary business value.   This may very well be true.  But at the end of the day, after all, even innovators are simply people engaged in the world, doing their best.  We elevate innovators to high organizational status at the risk of trivializing what they attempt.

Still, it’s worth remembering that those who choose consciously to cause or lead the growth of innovation in their organizations are engaged in changing things, in breaking things, sometimes in outright destroying things. More than anything else, they array their thinking and their beliefs and their actions in direct confrontation with the status quo.   In this role, innovators make choices and decisions that have implications not only for their own lives and careers and communities, but also for the work and life experience of all those around them.  Innovators make foundational assumptions about change and risk and value, and then seek to instill those very same values into their communities, and other individuals.  This is not an inconsequential matter.

Immanuel Kant took a definitive and uncompromising position about our accountability for truth and for our influence on and interaction with others:  “Act only on the maxim through which you can at the same time will that it should become a universal law.”  At its simplest — and most profound — he is simply calling us to examine our own motivations as if they were universally applicable, and then consider the consequences of that universality.  If we apply this same thinking to our advocacy of innovation, we might begin to reshape our sense of our leadership accountability in ways that can be instructive and even a little sobering.

Anyone who is a champion of innovation is someone who by definition does things differently, and in ways that are almost always disruptive of the norm. Disruption, change and organizational turbulence are stressful and sometimes outright harmful, even when absolutely necessary.  The process of creative destruction — intentional or otherwise –  may very well be a creative process; but it is also after all a process of destruction, and destruction — creative or otherwise — has consequences for organizations and for individuals.  Innovators are the ones who seek out creation of the new and its attendant destruction of the old, and they often relish the process of destroying and rebuilding.  This is their calling and, more often than not, their natural inclination.  And it’s a powerful way of being. But not everyone in an organization will view the prospect of change and innovation as happily .  Therein lies the particular accountability — and leadership challenge — for innovators.

For the natural born innovator, risk and failure are akin to an old, comfortable pair of shoes.   Change for them is a preferred state of being, rather than something to be avoided.  The challenge comes when the risk-inclined begin to interact with and lead the risk-averse.  This presents a challenge on two levels.  It is on the one hand a management and leadership challenge to appropriately introduce risk-tolerance and a nuanced perspective on failure into organizations; on the other hand, it is also an issue of accepting accountability for actively changing other individual’s natural inclination or actions.  It is one thing for someone to be comfortable with risk, but quite another to insist on others adopting or accepting that perspective on risk. The innovator has the twin challenge of both working to help others accept a risk-oriented experience, and of accepting accountability for the consequences that go along with causing change in others.

Much of the success of any innovation culture rests on the foundation of individual and organizational trust systems.  The trust quotient of an organization is stressed and tested when it is being led in a direction where change and uncertainty are the norm.  Ultimately, this is actually a a good thing, because it is trust — given and received — that supports the relationships necessary to lead an organization to accept and embrace risk-based thinking and change.  So, what cultural attribute more than trust should be subject to periodic stress tests?    Change can be mandated, of course; but top-down, fiat-driven change is very unlikely to leave an organization in a powerful place. Change that is led by role models who are willing to accept personal risk to advocate change, and who will appropriately mediate the consequences of disruption, will in turn create long-term, lasting cultural norms amenable to adaptation and innovation.

This is the leadership imperative of anyone who wishes to be an innovator.   The charge is not only to innovate, but to mediate the consequences of innovation; not only to advocate change, but to guide others in embracing change; not only to resist the status quo, but to teach and support others in doing so.  It is this holistic, diverse and trusting leadership stance that will drive innovation over the long haul.

Henry Doss believes leadership will change the world.  His book, The Rainforest Scorecard, provides a guide to the measurement of innovation in organizations.


Rainforest Rev: One Week More, Wicked Problems, Innovation Leadership

The Rainforest Revolution

News on growing ecosystems for innovation and entrepreneurship

 

Count Down: One Week Until Global Innovation Summit + Week Starts.

It’s the greatest conference in the world focused on creating innovation ecosystems, the environments that accelerate the creation of innovative products, new ventures, and economic wealth.  Here’s what you’ll get…

–  Insights: discover how to catalyze and sustain systemic innovation in your company or organization, whether it’s 2 people or 2 million.
–  Practical Tools: learn how to define, solve, and prototype solutions for your challenges in our Design Labs; apply design thinking to overcome tough systemic challenges; hear the experts talk about the latest knowledge and the next big ideas.
–  Networking with Rock Stars: meet and work with pioneers on top of the world in startups, social impact, policy, academia, and creativity.
–  Finding Your Tribe: meet like-minded people who are engaged, passionate, intelligent, and determined. They face the same problems you do.  Together, we seek new ways of thinking and overcoming huge challenges.

Check out the GISW agenda and calendar at the bottom of the newsletter!

Register today at www.innosummit.com.

SUMMIT: FEBRUARY 17-19  |  WEEK: FEBRUARY 15-21

 

THE BIG PICTURE


 

Don’t Try To Tame Wicked Problems: Part 1

Alistair Brett, International Technology Commercialization Advisor for T2 Venture Creation, from The Innovation Rainforest (blog)
A wicked problem is a social or cultural problem that is the opposite of a ‘tame problem.’ Tame problems are susceptible to logical analysis. Wicked problems are not. Most challenges in innovation ecosystems are indeed ‘wicked.’ The wicked problem is difficult to define. It has no single set of criteria for whether solutions are right or wrong.  There is always room for more improvement and potential consequences may continue indefinitely. Every problem can be considered a symptom of another problem. Formulae are of limited value because the problem is non-linear.  Each problem is a one-shot operation. Read more here.

 

The Innovator’s Leadership Imperative

Henry Doss, Chief Strategy Officer of T2 Venture Creation, from Forbes
Much of the success of any innovation culture rests on the foundation of individual and organizational trust systems. The trust quotient of an organization is stressed and tested when it is being led in a direction where change and uncertainty are the norm. Top-down, fiat-driven change is very unlikely to leave an organization in a powerful place. Change that is led by role models who are willing to accept personal risk to advocate change, and who will appropriately mediate the consequences of disruption, will in turn create long-term, lasting cultural norms amenable to adaptation and innovation. Read more here.

 

Angels And Universities: Finding The Next Google

Forbes
Other than Stanford and MIT, few universities have figured out how to transfer their technology into successful startups. One reason for Stanford and MIT’s success is that their professors understand the importance of having relationships with entrepreneurs and investors. Their technology transfer offices understand that a successful partnership means more than a big corporate licensing agreement. Faculty, university tech transfer offices, startup entrepreneurs and investors each has a different agenda, unique culture, language and approach leading to misaligned needs. Read more here.

 

Innovation Alone Won’t Fix Social Problems

The Chronicle of Higher Education
Academia has embraced the concept of social innovation, which seeks to use entrepreneurial innovation to address the social issues of education, poverty, and public health. Noble though these intentions might be, emphasizing innovation alone won’t solve society’s ills. Students also need to be taught the basic civic skills necessary to bring about social change. Read more here.

 

THE LATEST NEWS


 

As Technology Entrepreneurs Multiply in Vietnam, So Do Regulations

The New York Times
Starting a tech business in the communist country of Vietnam has its own unique challenges, including navigating the considerable and rapidly shifting regulations that govern the economy. Sometimes the rules aren’t always clearly stated or understood, so even entrepreneurs striving to comply can run afoul of regulators. Yet despite these obstacles, the tech industry is booming in the Southeast Asian nation, and new generation of startups is looking for investors. Read more here.

 

Unblocking The Pipes

The Economist
Africa needs a lot of capital. In contrast to its reception in the rich world, private equity has been warmly welcomed in Africa. But private equity alone cannot meet all of Africa’s investment needs. Even if they could raise enough capital, funds generally want to sell the firms they acquire within five years, whereas Africa especially needs longer-term investors to pay for railways, power lines and the like. It also needs a multitude of loans for small businesses because banks across large parts of the continent have proved very poor at providing these. Read more here.

 

New Entrepreneurs Find Pain in Spain

The Wall Street Journal
Government initiatives to aid entrepreneurs are uneven and tend to be dispersed among different agencies, with much of the responsibility left to local governments or educational institutions. Scarce capital, dense bureaucracy, a culture deeply averse to risk and a cratered consumer market all suppress startups in Europe. Spanish government has passed legislation for tax breaks, steps to limit entrepreneurs’ liability in case of bankruptcy and programs to teach entrepreneurship in schools. While economists say the measures don’t go far enough, they are helping Spain to grow faster than other major eurozone economies. Read more here.

 

CALENDAR OF EVENTS


 


Global Innovation Summit

The Global Innovation Summit is the world’s largest gathering for building ecosystems of innovation and entrepreneurship.  Here’s the agenda.

February 17 to February 19.  Silicon Valley, CA

Tuesday, February 17, 2015 

  • Opening Ceremony: Welcome and Introduction to the Summit
    • Victor W. Hwang, Executive Director
    • Mark Newberg, Deputy Director
  • Opening Keynote Interview
    • Interviewer: Mary Kay Magistad (BBC Radio and Public Radio International)
    • Kamran Elahian (Chairman, Global Catalyst Partners)
  • Design Lab #1: The Rainforest Master Plan
  • Evening Event: Celebration of Art & Innovation

Wednesday,  February 18, 2015

  • Opening Case Study – the Shinola Story
    • Interviewer: Loren Feldman (Entrepreneurship Editor, Forbes)
    • Bridget Russo (Marketing Director for Shinola and Bedrock Manufacturing)
  • Design Lab #2: Ecosystem Mapping
  • Conversation #1: Design.
  • Innovation Inside: Building Innovative Teams
    • Moderator: Joe Sterling (Head of Consulting, T2 Venture Creation)
    • Pablo Salazar Rojo (Managing Director, Naranya Ventures)
    • Natalie Sweeney (Senior Business Innovation Strategy Consultant, Highmark)
    • Jeanine Becker (Lecturer in Law, Stanford Law School)
    • Patrick Davis (Senior Officer for Strategic Initiatives, Calvert Foundation)
    • Emily Lutyens (Co-CEO, Legworks)
  • Rubiks’ Cubed: Creative Problem Solving at Scale
    • Moderator: Ade Mabogunje (Senior Research Associate, Stanford University)
    • Megan Kachur (Creative Development Manager of Innovation, Walt Disney World)
    • Conrad Von Igel (Executive Director, Centro De Innovacion)
    • Maggie Hsu (Director of Marketing & External Relations, Las Vegas Downtown Project)
    • Maryann Feldman (Heninger Distinguished Professor, Univ. of North Carolina at Chapel Hill)
  • Educated Insight: The Reinvention of Learning
    • Moderator: Diana Walker (Principal, Walker Impact Strategies)
    • Mark Hatch (CEO, TechShop)
    • Rick Beyer (President Emeritus, Wheeling Jesuit Univ.)
    • Wanny Hersey (Superintendent & Principal, Bullis Charter School)
    • Wayne Li (Oliver Professor of the Practice of Design & Engineering, School of Industrial Design, Georgia Institute of Technology
  • Case Studies: Design of Startup Ecosystems
    • Moderator: Tom Guevara (US Department of Commerce)
    • Prafull Anubhai (Ahmedabad University)
  • Conversations #2: Capital
  • Atlas Hugged: When Big Money Builds Global Ecosystems
    • Moderator: Isabel Alvarez-Rodriguez (External Relations, Inter-American Development Bank)
    • Per Fredrik Ilsass Pharo (Director, Government of Norway’s Climate & Forest Initiative)
    • Jason Baron (Managing Director & Head Portfolio Manager for Social Investments, US Trust)
    • Gordon Myers (Chief Counsel, Technology & Private Equity, International Finance Corporation)
  • Catching Waves: Investing in Emerging Ecosystems
    • Moderator: Allen Taylor (VP, Global Network, Endeavor Global)
    • Paul Breloff (Managing Director, Accion Venture Lab)
    • Jessica Loman (Director of Operations and Impact, Toniic)
    • Walid Bakr (Director, The Abraaj Group)
  • Making it Matter: Impact Investing at the Cutting Edge
    • Moderator: Cathy Clark (Adjunct Professor and Director, CASE i3, Fuqua School of Business, Duke University)
    • Raul Pomares (Founder, Sonen Capital)
    • Miguel Granier (Managing Director, Invested Development)
    • Johanna Posada (Founder & Managing Director, Elevar Equity)
    • Abigail Noble (Associate Director & Head of Impact Investing Initiatives, World Economic Forum)
  • Case Study: Investing by Geography
    • Moderator: Ben Thornley (Founder & Managing Director, ICAP Partners)
    • Ahmed Alfi (Founder, Sawari Ventures)
    • Nasir Ali (CEO, Upstate Venture Connect)
  • Case Studies: Designing Ecosystems
  • Case Study: The Catchafire Story
    • Moderator: Cynthia Muller (Senior Director of Impact Investing, Arabella Advisors)
    • Scott Schwaitzberg (Head of Enterprise Business, Catchafire)
  • Financial Health: New Solutions for Underserved Markets
    • Arjan Schutte (Managing Partner, Core Innovation Capital)
    • Jennifer Tescher (President & CEO, Center for Financial Services Innovation)
  • Case Study: Crowdfunding: Circling Up
    • Moderator: Mark Newberg (5 Stone Green Capital)
    • Jason Yuan (CircleUp)
  • Design Lab #3
  • Ecosystem Design Gallery

Thursday, February 19, 2015

  • Something in the Air: Measuring, Understanding and Driving Innovation Culture
    • Julie Lenzer Kirk (Director of the Office Innovation and Entrepreneurship, U.S. Department of Commerce)
    • Henry Doss (Chief Strategy Officer for T2 Venture Creation)
    • Alistair Brett (International Technology Commercialization Advisor for T2 Venture Creation)
  • Conversation #3: Leadership
  • Phoenix Rising: Triumph Over Crisis
    • Moderator: Michael Lesnick (Senior Partner, Meridian Institute)
    • Dr. Sakena Yacoobi (CEO, Afghan Institute of Learning)
    • Jeff Finkle (President & CEO, International Economic Development Council)
    • Earl Robinson (Principal, RLMcCall Partners)
    • Chid Liberty (CEO, Liberty & Justice)
  • Insight Included: Diversity by Design
    • Kumardev Chatterjee (Founder & President, European Young Innovators Forum)
    • Ursula Oesterle (Vice President of Innovations, Swisscom)
    • Eric Ball (Treasurer & Senior Vice President of Finance, Oracle)
  • Case Studies: Leading the Technology Commercialization Process
    • Moderator: Soody Tronson (Founder and Principal, STLGip, Technology Law Firm)
    • Victor Hwang (Co-Founder & Executive Chairman, Liquidity Corporation)
    • Mir Imran, Chairman & CEO (InCube Ventures)
    • Andrew Farquharson, Managing Director (InCube Ventures)
  • Case Studies: Leading Public Policy to Grow Ecosystems
    • Moderator: Greg Horowitt (T2 Venture Creation)
    • Juan Camilo Quintero (Executive Manager, Ruta N)
    • Chinenye Mba-Uzoukwu (InfoGraphics Nigeria Ltd.)
  • Design Lab #4: Synthesis
  • Closing Keynote Conversation – Fostering the Entrepreneurial Spirit
    • Moderator: Loren Feldman (Entrepreneurship Editor, Forbes)
    • Nancy Pfund (Founder and Managing Partner, DBL Investors)
    • Fadi Ghandour (Founder and Vice Chairman, Aramex)
  • Awards and Closing Ceremony

 

Global Innovation Week

February 15 to February 21.  Silicon Valley, CA

Sunday, February 15

  • 11:00-5:00PM. Family Science Days. Host: American Association for the Advancement of Science. Location: San Jose Convention Center

Monday, February 16

  • Capital Ecosystems event. Host: Kauffman Fellows. nestGSV, Menlo Park
  • 5:00-6:00PM.  Rainforest Architects and Makers Reception (private). Host: T2 Venture Creation. Location: Marriott Hotel, San Jose
  • Brazilian Entrepreneur Leaders. Host: BayBrazil.

Tuesday, February 17 

Wednesday, February 18

Thursday, February 19

  • 11:00-1:00PM.  Innovation in R&D: Lunch & Learn (by invitation only). Host: BayBio. Location: South San Francisco
  • 2:00-4:00PM. Convening the Conveners (private). Host: Opportunity Collaboration and Global Innovation Summit. Location: Marriott Hotel, San Jose
  • 2:00-6:00PM. Rapid Urban Prototyping for Green Clean and Lean Cities. Host: Urban Innovation Exchange. Location: Prospect Silicon Valley, San Jose
  • 3:00-5:00PM. Startup Funding Disrupted: Understanding the New Venture Ecosystem.  Host: DLA Piper.  Location: Xerox PARC, Palo Alto
  • 5:00-6:30PM. PARC Forum (with Stanford design researcher Ade Mabogunje).  Host: Xerox PARC.  Host: Palo Alto
  • Tea With a Twist. Host: Global Privat. Location: Marriott Hotel, San Jose

Friday, February 20


Don’t try to tame wicked problems: Part 2

Many development partner tools and business processes deal with static, simple or linear problems. There is considerable demand for new methods and principles that can help development partners better navigate the complex, dynamic realities they face on a day-to-day basis.”
From best practice to best fit: Understanding and navigating wicked problems in international development. Ben Ramalingam, Miguel Laric and John Primrose, UK Department for International Development (DfID).
http://www.odi.org/sites/odi.org.uk/files/odi-assets/publications-opinion-files/9159.pdf

Don’t try to tame wicked problems: Part 1 introduced ‘wicked problems’ though six typical characteristics of these problems.

In the last few years international development organizations seem to be discovering complex systems and wicked problems. This series of blogs are not intended to be literature reviews, but two examples out of many are:

Complexity 101: behind the hype, what do we actually know?

Complexity 101: part 2: Getting to the So Whats.

One question being raised is whether the method of Logical Framework Analysis, also referred to as ‘logframes’ can be used, can be relied upon, when dealing with complex systems generally and with wicked problems in particular.

The Logical Framework Analysis was tested by USAID in the 1970s for evaluation of technical assistance projects, and used extensively by governments, consultants, and international aid and development organizations for project planning and evaluation ever since. Logical Framework design is not an evaluation in itself; it provides a plan of the project against which project progress can be assessed by evaluators. It was also intended to make evaluation less threatening. Furthermore, where there are clear and logical relationships between inputs and outputs this can lead to efficient task delegation.

As noted in our January blog, the behaviors of complex innovation ecosystems don’t fit well into logframes which deal with inputs and outputs and the tasks which produce the latter from the former. To illustrate what we are talking about a rather simplified logframe (it typically is a 4×4 matrix) might look something like this:

Goal Improve creation of spin-off companies from universities.
Purpose/Outcome An effective improved company creation system is operating.
Output New spin-off companies developed.
New incentives created.
Increased number of role models and mentors.
New methods in place.
Input Analyze problems with current methods to create spin-off companies.
Provide more early stage, start-up, funding.
Find more brokers available to help match R&D needs to sources.
Provide more incentives to researchers.
Identify role models and mentors.
Create an entrepreneurship culture.
Inventory physical and people assets.

This table suggests we can produce a certain set of outputs from a certain set of inputs to achieve the required outcome. These concepts can help us think through a project in an orderly, logical fashion assuming there is a definite cause and effect relationship between any level and the level immediately above it; in wicked problems this is not the case. Cause and effect logic is also the basis for strategy maps and best-practice balanced scorecards. Finally, an emphasis on cause and effect suggests a rational expectations hypothesis, which does not take into consideration extra-rational motives which influence behavior.

At T2 Venture Creation we just published a short book about measuring variables in innovation ecosystems, The Rainforest Scorecard: A Practical Framework for Growing Innovation Potential. The work is a measurement methodology based on complexity characteristics and does not assume linear cause and effect relationships, but does recognize that ‘emergence’ is a critical feature of complex adaptive systems. Measurement however is only the first step; decisions and actions must follow. In the decision making process this traditionally implies deduction – reasoning which links a set of premises with a logical, and necessarily true, conclusion. Probably the best known example of such reasoning is:

  1. All me are mortal (premise)
  2. Socrates is a man (premise)
  3. Therefore, Socrates is mortal (conclusion)

So, what can we do if we must make decisions regarding wicked problems but cannot use deduction? And, furthermore, we will have to make decisions in spaces where indicators of success may be fallible –as discussed in the April 2013 blog in this series Fallibility and the Making of Good Decisions: Solving the right problem Part 2. We shall turn our attention to this question next time.

Next time: Practical Reasoning: Decision making in Rainforest innovation ecosystems.


Follow

Get every new post delivered to your Inbox.

Join 2,768 other followers