They head a Business, but with a Difference: they are also minority owners but with majority powers.
They are called as "INTRAPRENEURS " who move from the phase of Manager to Owner.
It's a soft landing into entrepreneurship. They earn the returns of entrepreneurship-riches and experience-without taking on commensurate risk.
They can prmote innovation and do backseat driving. For a small stake, they are spared the headache of manging the business.
2. WIN-WIN SITUATION
It was - and still is - a natural option for private equity and venture capital, which are strapped for bandwidth to own and run their portfolio of companies. But, increasingly, intrapreneurship is becoming a part of the thinking of promoter-driven businesses too.
example 1: "Intrapreneurship is the best way for a large corporation to be entrepreneurial" says Anand Mahindra, vice-chairman and managing director, M&M. It enables us to hire or collaborate with innovators and mavericks with big ideas who otherwise be tinkering in garages.
example 2: It also enables your full time employess to 'play in the sand pit', so to speak, said by Harsh Mariwala, chairman, Marico: This company have not begun an intrapreneurial strategy yet as it is sometimes difficult to implement in existing businesses.
example 3: One group that has lived the permutations and potential of intrapreneurship is the Adi Godrej Group. Two years ago, when sales of Banish, a home insecticide brand of Godrej Consumer Products declined, it offered a profit sharing plan to a regional manager naming: Mahendran.
Company asked him to work like an entrepreneur, giving him complete control over the supply chain, brand management, marketing and distribution.
Due to this, Banish sales went from zero to 7.5 crores in two years. Mahendran held 20% in its pest control services business.
Its a win-win: for both managers hungry for bigger challenges and payoffs, and for companies trying to compete in a marketplace and job market that is getting tougher by the day.
Major Milestones:
1. After 20 years in global enterprises, like HUL and PepsiCo, Prakash Iyer joined a B2B publisher, Infomedia which have published niche Yellow Pages and niche magazines such as Chip and Better Interiors.
He received a call from ICICI venture which was looking for someone to run Infomedia.
What made decision easy for Iyer is that PE can make you feel you own the businesses and there is a substantial ownership to cement that relationship.
Iyer joined it in 2004 and in 2007, ICICI venture sold 40% of its stake to Tv18, at a per share gain of 155%.
In 2010, Iyer was back from where he came from: at a large MNC, as managing director of Kimberly Clark Lever.
2. Rajiv Kaul spent 11 years at Micrsoft as a India Head. His life changed when he partnered with PE firm Blackstone to buy CMS Info Systems, a Rs 600 crore IT-ITES company in 2009.
Blackstone and Kaul is building CMS as adomestic focused IT-ITES company.
"I have full accountability and autonomy," says Kaul. "Both satisfaction and stresses are entirely mine."
"I was wearing only one hat at Micrsoft-profeesional. CMS makes me think like a professional, owner and stakeholder."
They are called as "INTRAPRENEURS " who move from the phase of Manager to Owner.
- Who is an intrapreneur?
It's a soft landing into entrepreneurship. They earn the returns of entrepreneurship-riches and experience-without taking on commensurate risk.
They can prmote innovation and do backseat driving. For a small stake, they are spared the headache of manging the business.
2. WIN-WIN SITUATION
It was - and still is - a natural option for private equity and venture capital, which are strapped for bandwidth to own and run their portfolio of companies. But, increasingly, intrapreneurship is becoming a part of the thinking of promoter-driven businesses too.
example 1: "Intrapreneurship is the best way for a large corporation to be entrepreneurial" says Anand Mahindra, vice-chairman and managing director, M&M. It enables us to hire or collaborate with innovators and mavericks with big ideas who otherwise be tinkering in garages.
example 2: It also enables your full time employess to 'play in the sand pit', so to speak, said by Harsh Mariwala, chairman, Marico: This company have not begun an intrapreneurial strategy yet as it is sometimes difficult to implement in existing businesses.
example 3: One group that has lived the permutations and potential of intrapreneurship is the Adi Godrej Group. Two years ago, when sales of Banish, a home insecticide brand of Godrej Consumer Products declined, it offered a profit sharing plan to a regional manager naming: Mahendran.
Company asked him to work like an entrepreneur, giving him complete control over the supply chain, brand management, marketing and distribution.
Due to this, Banish sales went from zero to 7.5 crores in two years. Mahendran held 20% in its pest control services business.
Its a win-win: for both managers hungry for bigger challenges and payoffs, and for companies trying to compete in a marketplace and job market that is getting tougher by the day.
Major Milestones:
1. After 20 years in global enterprises, like HUL and PepsiCo, Prakash Iyer joined a B2B publisher, Infomedia which have published niche Yellow Pages and niche magazines such as Chip and Better Interiors.
He received a call from ICICI venture which was looking for someone to run Infomedia.
What made decision easy for Iyer is that PE can make you feel you own the businesses and there is a substantial ownership to cement that relationship.
Iyer joined it in 2004 and in 2007, ICICI venture sold 40% of its stake to Tv18, at a per share gain of 155%.
In 2010, Iyer was back from where he came from: at a large MNC, as managing director of Kimberly Clark Lever.
2. Rajiv Kaul spent 11 years at Micrsoft as a India Head. His life changed when he partnered with PE firm Blackstone to buy CMS Info Systems, a Rs 600 crore IT-ITES company in 2009.
Blackstone and Kaul is building CMS as adomestic focused IT-ITES company.
"I have full accountability and autonomy," says Kaul. "Both satisfaction and stresses are entirely mine."
"I was wearing only one hat at Micrsoft-profeesional. CMS makes me think like a professional, owner and stakeholder."
