Program

on
Educational Entrepreneurship

Dr. Rajiv Tandon

New Delhi
August 7, 2010
 Agenda
I. Introduction
• Personal Background
• Global Initiatives in
Education Reform
• Scene in India
– Core Elements of Opportunity
– Employability Model
– Myriads of Opportunities
• Themes
• Areas
• My Personal Vision
– Some Pilots
• Why Entrepreneurship?
II. Entrepreneurial Journey
• Theory of Entrepreneurship
– Myths and Facts
– Managing the Environment
– Process of Success Creation
– Key Competencies
• Entrepreneurial Alternatives
• Entrepreneurial Themes
• Who am I?
• My “Preliminary” Plan
 Personal Background:
Technology Based Opportunities in Education-Training

Year Corporation Enduring Impact

1971-1986 National Car Start & build

1987-2001 University Entrepreneur

Control Data Corp

1971-1992 Androgogy

Institute for Advanced Technology Interactivity for Learning

1995-

Lower Cost,
1997-2001 LearningByte
SCO

Scale
2001- Adayana
Verticals Market focus

Scale
Cost
2010- Parijaath
Employability
Global Initiative in Ed Reform
 Technology in Classroom: Innovations
Initial Emerging
Level Focus Features Examples
Trends Trends
Crack Paradox
Western Gov U
Distance Assessment based
Ashford U
Lower cost and Time credits
U 2.0 Student Centric UN Open U
Higher Quality Travel Free
Academic Earth
Emerging examples Innovation

Peer Interaction
Peer2peer Social Interaction Social Networking

Open content
Scarcity
MIT from top schools
Content IP IP protection
Academic Earth Abundant- Free
Proprietary
Competency-
based
WGU Mass
Customized
L.A. College Parochial customization
learning/degree
Chancellor U Novel degrees
Inter-disciplinary

Career Education
Professional
DeVry, UTI
Skills within Degrees Skills are essential
Education Skills are for Votech for employability
K12
K-12
School Specialty

Industry Academia
GMU Trade Schools Mandatory
connection
 Technology in Classroom: Trends
 Technology is transforming education
• Stable and emerging technologies can:
• Provide Scalability
• Mitigate cost
• Support learning, not the other way around
• Design and facilitate versatility
• Not drastically alter proven instructional methods
• Provide Collaboration between Students and instructors
• Accommodate the needs and preferences of each
• Move from any to all parts of the globe

6 6
 Technologies: for Learning
Learning Content Mobile Social
Management Systems Learning Networking
OutStart
Apple mZinga
Blackboard VCom3D Ning
Blackberry

Learning Management Synchronous Gaming &

Systems Technologies Simulation
Plateau
Adobe Realmware
Learn.com
Nacon Vcom3D
SumTotal
eSkillz
Meridian
WebEx
Saba
7
 Global Opportunities
 Phenomenal Growth Continues: Global Students (UNESCO),
 1970:29 M
 2007:153 M while population grew: 200%

 “Students online performed better than those receiving face-to-

face instruction.” Barbara Means, SRI International for the Department of
Education Research from 1996 to 2008

 Disruptive Climate: Internet disrupts anything where the core

product can be reduced to 1 and 0’s. Education is a perfect spot
for creative destruction.

 Breakthrough: The game changing breakthroughs will come from

China or India. In the case of education it is likely to be India
because of its youth density.

8 8
 Scene in India:
 Population 1.2 B (<25 yrs: 540 M, increasing)
 Economic growth of 8-10% p.a. is scraping the bottom for employable youth
 Government Expenditure on Education: 11th Plan (2007-12) $54 B +400%
 % of GDP: 11th Plan 6% vs. 3.5%
 Higher Education: 30%, X8 over 10th plan
 Colleges: 20,677
 Universities: 431
 Enrollment: 14 M
 Graduation: 3.5M/year
 Gross Enrollment Ratio: 11% (vs. World 23.2%, Developed Countries 54.6%)
 India 75: Goal by 2022 (75th anniversary of independence)
 GER Plan: 21%
 1.4 B Workforce, 400 M Graduates
 Need for Funding in Higher Education: $50 B, Un-allocated $44 B
 Present Employment Rate of Graduates: Technical: 25%, Non-tech: 10%
 Overseas expenditure of Indian Students: $7 B /year
 2022: Youth Surplus 56 M, World Deficit 46 M

9 9
 Opportunity:
Scalable, Employability, Almost Free

 Employability:
 Learning is for earning
 Skills within Education
 Global Benchmarking
 Localization for India
 Price:
 Indian affordability
 Demanding Conditions
 Technology :
 Scale:
 Solves the Paradox : Higher quality and lower cost
 Appropriate: Leapfrog
 Breakthrough: Nano
 Focus:

10 10
 Employability Model
INSTITUTION GENERAL SPECIFIC CORPORATION
LEARNING LEARNING
SELECTION INTERVENTION SORTING INTERVENTION PLACEMENT

PUSH 1 2 3 4 5 PULL

Interview Post-Assessment Induction training Placement

Pre-assessment aptitude Foundation Skills

Psychometric, domain knowledge
with authentication Domain Skills
Threshold assessment
Work Specific Skills

Local Regional Central Local

Webworld II tier Univ. Regional Central Authentication
Kiosks Directway
Central
 Myriad of Opportunities-1
Every Stage of Employability Process
 Assessment
 Interests/Aptitudes lead to Job Fit
 Very low cost per person
 Validity
 Counseling
 Without counselors
 Foundation skills
 Scalable
 Modular Content
 Domain specific Certification
 Industry 101
 Industry linked certification
 Modularity
 Extendable
 Advanced Methods
 Induction Program
 Placement
 Repair programs
 Solutions to specific situations

12 12
 Myriad of Opportunities-2
Areas of Entrepreneurial Potential
• Educational-Training Institutions
• e-Learning
– MNC’s
– Corporate, Associations, Government
– Localization of Global Modules
– Outsourcing of e-Learning development
• Consulting and Research
• Curricula
– Design
– Development
• B to C
– Tutoring
– Library Development
• Vocational Training
• Technology & Tools
– LMS, LCMS
– Gap Technologies
• UN Agencies
– Diversity of language, culture & demanding infrastructure
– Meet needs of other emerging and developed countries
 Vision:
India: Centre of Education-Training Transformation

-Disruptive Technologies Passion

- Emerging global best practices
- Indian affordability & demanding conditions
India –
Center for Tested:
Transformational Methodology
Practice

Experience:
Entrepreneurship:
Leading &
Teaching & Vision
Emerging
Practice
Technologies

India presents a unique situation of

diversity of language, culture, scale
and demanding infrastructure. Experience:
Experience:
Global
Solution developed here will be Scale
robust and ready to meet the needs
Implementation
of many other emerging and Experience:
developed countries. Development
• The Parijaath Flowers: Nyctanthes arbor-
tristis, from the wish-granting tree which
perfumes the entire universe.
 Pilot 1: Employability

WorkSkills
Students Program: Employers
desperately search for a searching for
job with their Bridging employable
learning the gap person

Learning is for earning. Employability is the goal.

WSP Program is a short-term 150 Hours course that
transforms graduates into ‘right candidates’.
 Pilot 2: Certificate Programs

Advanced Courses
Inducement

Enrolment Domain Courses Exam 2

WorkSkills Program Certification

(WSP) Program (CeP)

Baselining Exam 1 Certification

Courses
 Pilot 3: Action Learning College
• Premiere Institute for personnel in Education-Training Industry
• Certificate Curricula:
– Foundation Skills for Life:
– Foundation Courses (BET)
• Business curricula: Business models, Global benchmarking
• Education curricula: Emerging Concepts in Education/Training, Content modularity,
Delivery methods, Curricula design/new curricula
• Technology curricula: Trends in technology
• Outcomes:
– Teachers:
– Service Providers (Trainers, Facilitators, Counselors)
– Specialists
– Curricula Specialist:
– Entrepreneur:
– Others:

18 18
MS in Learning Facilitation & Management
 Discussion
• There are generations of children whose very
lives will be transformed by the moves and
actions we take today..
…. and tomorrow
…. and the next day
• Importance of spirit of enterprise and
Entrepreneurship for nation, society and you
 Our Vantage Point

"There is nothing more powerful than an idea

whose time has come.”
Victor Hugo
Everything you Wanted to know about…
1. Entrepreneurs are born, not made (T)(F)
2. Entrepreneurship is an are and cannot be taught (T)(F)
3. Entrepreneurs are gamblers. You have to be lucky to succeed (T)(F)
4. Entrepreneurs are independent, loners (T)(F)
5. Starting your own company is risky, hazardous that often ends in
failure (T)(F)
6. The key to success is (a) Money, (b) Person, (c) Idea (d) Fit (T)(F)
7. Entrepreneurship is for the young and energetic (T)(F)
8. Entrepreneurs are driven by the desire to make $$$$ (T)(F)
9. Entrepreneurial small companies outperform Fortune 500 (T)(F)
10. Immigrants make a higher percentage of entrepreneurs (T)(F) (T)(F)
11. Entrepreneurship is an unique US phenomenon (T)(F)
12. India is one of the best places for entrepreneurship
 The Premise
• Hyper-change
• Status Quo and its implications
• Non-stop Innovation
• Lessons from Recent Innovators
• Is an entirely different model required to lead
businesses in the future?
Managing Entrepreneurial Environment

Needs Transformational Leadership

– Vision
– Bold Plans
– Decisive
– Prudent Risk Taking
– Plans into Action
– Hardball Decisions
– Substance vs. Style
– Focus on Results
 Entrepreneurial Dream

“Dream is not what you see in sleep, Dream is

the thing which does not let you sleep”
A.P.J. Abdul Kalam.
 Process of Success Creation
STEP PROBABILITY
1. Person with an idea 1%
2. Opportunity 5%
Hurdle 1: Attract Talent
3. Founding Team 10 %
4. Venture Plans 15 %
Hurdle 2: Fatal Flaws?
5. Funding 25 %
Hurdle 3: Initial Sales
6. Beginning Sales 40 %
7. Sales Growth 60 %
Hurdle 4: Transition
8. Initial Success
Entrepreneurial: Key Competencies

I.
OPPORTUNITY

III.
PLANS IV.
& STRATEGY RESOURCES

II.
INDIVIDUAL
& TEAM
Growth: Evolution/ Revolution
 Entrepreneur, Manager, Inventor

Inventor Entrepreneur
Creativity

Bureaucrat Manager

Management Skills
Similarities to Traditional Management
• Core Skills
• Desired Behavior
• Situational Leadership:
• Achieve specific results:
– Quantitative
– Qualitative
 The Difference

• Traditional Management:
– I’ll believe it when I see it.
• Entrepreneurial Management:
– I’ll see it when I believe it.
 Entrepreneur: The Leader
• Leadership:
– Doing the right thing
– Effectiveness

• Manager:
– Doing things right
– Efficiency
 Insights
• Success :
– Doing a little bit better in a number of things
• Failure :
– Doing any one of a number of things poorly
• Process of Success Creation :
– One by one reduction of areas of risk
 Definition(s): Entrepreneur
• Wide range of meanings: From High aptitude who pioneers change to anyone who works for
himself, any small business owner
• Origin: French: entreprendre “to undertake”
• Common usage: Anyone who starts a business
• Common Definition: Someone who assumes the financial risk of the initiation, operation and
management of a business venture.
• Procedural: An innovator of business enterprise who recognizes opportunities to introduce a
new product, a new process or an improved organization, and who raises the necessary
money, assembles the factors for production and organizes an operation to exploit the
opportunity.
• Joseph Schumpeter: placed an emphasis on Innovation with New Products, New production
methods, New Markets, New Forms of Organization

• Our Working Definition (Jeffery Timmons): “Entrepreneurship is the ability to

create and build something from practically nothing. It is initiating doing,
achieving, and building an enterprise …, sensing an opportunity …and the ability to
build a founding team to complement your own skills and talents. It the know-how
to find, marshal and control resources. …it is a willingness to take calculated risks,
both personal and financial, and then do everything possible to get the odds in
your favor.”
 Knowledge Elements for an Entrepreneur*
*Scope
I. Academic Foundation
• Business Knowledge
– Management
– Sales/ Marketing
– Operations
– Finance/ Accounting
• Entrepreneurial Process
– Team Issues
– Opportunity Recognition & Evaluation
– Resources: Sources & Acquisition
– Plans

II. Domain
• Knowledge/Experience
– Customers
– Personnel
– Key Players
• Critical Gaps
• Opportunity Specific Knowledge/Information

III. Personal/ Team Experience

• Domain Specific Knowledge/Experience
• Coverage of Gaps
– Research Based
– Innovative Solutions
 Entrepreneurial Alternatives
• HPV
• IRB
• Consulting
• Buy existing company
• Franchisee
• Team Member in new Venture
• Intrapreneur
• Social Entrepreneur
• Services Provider
 Domain

• Education/Training
• Finance/Financial Services
• Food & Beverage/Restaurant/Retail
• Health/Medical Services/Med Tech
• IT/Technology
• Internet Related/.com/SAS
• Music /Art/Non-Profit
 Franchisor
• Plus
– Less Capital
– Rapid Expansion
– Local Strength
• Minus
– Long Term Strategy*
– Lack of Control
– Expensive Buy back

* Strategy Alternatives
• Children of Franchisees
• Limited term Franchise
• Own Location
 Franchisee
• Plus
– Lower Risk
– Fast Build Up
– Known Costs
– Known Formula/Process*
– Spread Cost of Advertising
• Minus
– Control over all aspects
– High risk (if new Franchisor)*
– National vs. Local Advertising

* Know the company

 Entrepreneurial Alternatives -2
• Participate in an new Venture
• Intrapreneur
• Social Entrepreneur
• Services to an Entrepreneur
– Legal
– Accounting
– Consulting
– Investor
– Other
 Entrepreneurial Themes
• Dedication
– Give up wholly towards a goal or purpose
• Focus
– Knows what the central point of attention should be
• Profit Orientation
– Thinks constantly about the benefits of the transaction
• Ego Drive
– Craves a significant definition of oneself
• Urgency
– Impatient. Do it now
• Courage
– Increases determination in the face of resistance
 Entrepreneurial Themes-2
• Activator
– Can make it happen
• Opportunity
– Sees Opportunities where others see blocks
• Creativity
– Develops Ideas
• Expertise Orientation
– Recognizes needs for people with expertise
• Individual Perception
– Can recognize strengths of other individuals
• Team
– Get the right people and get them to help you
 Thematic Differences
• Successful vs Failed Entrepreneurs
– Little Difference in Themes
• Jumped in vs On the side lines

• Entrepreneurs vs Rest
– Differences in Themes
 Common Pitfalls
• Unplanned Approach to Team formation
– Balance
– Complement Each Other
– Fill Gaps
– Risk Orientation
– Appropriate Themes
– Chemistry
• Leaderless Democracy
• Unaware of Weakness(es)
• Unresolved Contributed Performance
• Tax Consequences
 Common Pitfalls- 2
• Unresolved Resolution of Dispute Process
• Incomplete Legal Work
– Buy/Sell
– Partnership Agreement
– Non-Compete
– Earn Out Contracts
– Stock Vesting Agreement
– “No fault Divorce”
• No Transition Plans
• Full Time vs Part Time/ Trial
 Adaptor-Innovator
• All People are Creative
• Creative Style is independent of Cognitive Level
• Styles are quite Different
• No one Style is better than another
• Each Style has its Advantages and Disadvantages
 Characteristics
Adaptors Innovators
• Problems • Problems
– Accept as defined – Reject general perception
– With generally agreed – Redefine them
constraints – View hard to get accross
– Focus on early resolution – Not concerned about efficiency
• Limit disruption • Rattle
• Immediate efficiency • Looking for LT gain

• Solution Generation • Solution Generation

– Few – Numerous
– Incremental – Seminal
• Relevant and acceptable • Unconcerned re: acceptance
– Aim: Do things better – Aim: Do things differently
 Characteristics -2
Adaptors
• Policies
– Prefer
• Well established
• Structured situations
– Incorporate new data or events
• Into existing structure/policies
• Organizational Fit
– Essential for Ongoing functions
– Under unexpected change
• Difficulty with moving out of
established role
Innovators
• Policies
– Prefer
• Unstructured
– Incorporate new data or events
• To set new structures/policies
• Accept greater attendant risk
• Organizational Fit
– Essential during change/crisis
– Under Ongoing org demands
• Difficulty in applying
themselves
 Adaptor-Innovator (contd.)
• Both have capacity to solve problems
• Capable of generating original, creative solutions
• But reflect very different approaches
• Collaboration
• Do not readily get along
• Especially extreme scores (Over 1 std.dev. (15))

• Adaptors (see Innovators):

• Unsound, impractical, risky, abrasive, threatening, creating
dissonance
• Innovators (see Adaptors):
• Conforming, safe, predictable, inflexible, wedded to the system,
intolerant of ambiguity
• Creative Styles
• Adaptive (> B8)
• Bridger (B8 to A8) can form consensus
• Innovative (> A8)
 When Persuading Adaptors
• Give details
• Show how the idea builds upon existing structure
• Be well-organized give precise, concise presentation
• Provide checkpoints, evaluation plans
• Gradual/ incremental approach to implementation
• Provide advance information ~ don’t “spring” ideas
• Do your homework, make clear your preparation
• Emphasize orderliness, efficiency, and “fitting in”
 When Persuading Innovators
• Give the “big picture”
• Show new directions and benefits
• Identify opportunities, , novelty, cutting edge
• Identify future trends/directions
• Provide broad structure, emphasize action possibilities
• Recognize “breakthrough” aspects
• Provide opportunities for continued idea generation
• Relate idea to emerging unique and exciting issues
 Communications 101

• Speak the language of the other person

• Impact on
– Communications
– Negotiations
– Conflict Management
– Responding to difficult questions
 My “Preliminary” Idea
Getting Started
– Sit in a group
– Each person gets 1-2 minutes to address “Why I
want to be an Edu-Entrepreneur”? What is my
idea?
• Domain
• Type of Company
• Distribution
• Team
Etiquette
– Listen, ask questions vs. giving advice or “the
answer”
– Speak only if you wish; you may pass anytime