Renate Vince consulting services

Entrepreneurial organization
Current business scenario

Current business environment Business development cycle

• Disruptive
• Shorter trend cycles
et
Mark inty • Economic downturn
rta
unce

Maturity
Growth
Customer
expectation
Inception
• High value at low cost
• Multi vendor - Best of
brands Gestation
• Personalized services Competitive industry

• Shorter position of
advantage
• Continuous innovations
• Too many players

Strategies must focus on getting more efficiencies, delivering better and new products and using
technology more effectively without exploding costs.
2
Demands in the SME business environment

Problem definition Environmental factors Business growth

Maturity
Growth
Growth consulting
et
Mark inty
c e rt a Inception
un

Technology & production consulting

Gestation
Customer
Marketing & competing strategies expectation

Financial engineering Competitive industry

Team & management consultation

3
 RVCS Vision

Enable business growth of SMEs through systematic management , product positioning & marketing strategies
and financial structuring

Angel, FFF Vcs, Sttrategic investors / M & A

Strategic alliances

e
Seed capital a ge m
Early stage Later stage Man ecision
nt d
Maturity
Growth Mezzanine
IPO
Inception Financial
3st stage
relationship

2st stage
Gestation
Positive cash flows
1st stage
Stakeholders value
creation
Growth consulting
Technology & production positioning
Marketing & competing strategies
Financial engineering
Team & management consultation
 RVCS ability to deliver

• Experienced people from the industry • Leaders with experience of

• R & D depth running own companies,
• Strategy & Benchmarking CEOs
• Team building

skills
Sector expertise Entrepreneurial

management
Investment Product &
Market capture

• Bankers & investors • Network of channel partners

• Financial structuring • SME in domain & technology
• Resource funding
• Alliances with institutions & investors
Service offering & value proposition

Holistic business consulting Well defined environment focus Constructive value proposition
Increase
stakeholder value

Maximize economic
value
Growth
Enhance customer
Technology & products satisfaction

Marketing & competition Optimize internal

Process
Customer cost
Financials Innovation
Finance
Establish growth
Team & management areas

Organization
Idea
Idea generation
generation Start
Start up
up Growth
Growth Maturity
Maturity
growth

Domains
Domains IT
IT &
& ITES
ITES Telecom
Telecom Education
Education Medical
Medical systems
systems Logistics
Logistics

Investment
Investment
Investor
Investor relations
relations Valuations
Valuations M
M&&A
A Disinvestments
Disinvestments
management
 Engagement model
Overview

• Introduction & understanding

• Evaluate client preparedness for
due diligence phase
Due diligence
• Company assessment
• Gaps definitions
• Growth recommendations
• Offering at T & M capped at 21
days max
• Recommendation requirements
setup
• Initial fund requirements
execution
• Joint governance establishment
• Commission on funding @ 2% -
7% based on complexity
Partnership
• Jointly manage organization
growth as stakeholder
participation
• Equity up to 20%

Study
Collaborations
• Jupitor Organic Ltd
• Growth stage
• Private placement of equity shares of INR 20 million to
Pharmaceutical
• SBI mutual funds
• Morgan Stanley
• Electrohms Pvt ltd
• Idea generation
• Working capital of INR 40 Million
• Sales strategy
• Gwasf
SME
• Growth expansion
• Sales strategy
• Organization restructure
• Working Capital of INR 40 Million
• Oriental software Pvt ltd
• Inception stage
• funding of INR 10 Million
• Sales strategy & augmenting sales force
IT
• Crane software
• Inception stage
• Funding of INR 20 Million
List of clients
M1 Medical systems
Flyer

 Sector  Product / service description

 Medical devices  Palm sized whole body CT & MR
 Organization stage compatible stereotactic needle
 Concept placement device that performs
 Assessment brief Biopsy, Aspiration, Injection drugs,
 Organization electrode implantation, Stimulation,
▪ – on paper endoscope placement
 Strategy 
▪ – sound
Compelling reason
 People  Existing frames are expensive, requires
▪ – competent significant training, cannot be used on
 Product & competitrs infants not disposable
▪ proven & appreciated  Existing methods are costly and longer
▪ Competition – more like to cvolaborate time for surtgical preparation
 Market -
 Mi;s prototype does it at a very low cost
▪ Diagnostic labs. Hospitals
 Financials
 Highly recommended by international
▪ Personally funded the idea , initial prototype and experts in that field
application of patent
Brio Telecom
Flyer

 Sector  Product / service description

 Telecom  Brio’s universal switching platform is a
 Organization stage generic telecom computing platform for
 Growth wire and wireless (GSM / CDMA) networks.
 Assessment brief It efficiently handles incoming calla and
provides VAS solution for PSTN / IP in
 Organization
terms of – VRS ( Voice response system);
▪ Pvt limited with strong delivery capabilities
CNAS (Call notification & alert system) ;
 Strategy
CRBT (Caller Ring back tones). Etc.
▪ Clarity of the market and solutions in place  Compelling reason
 People
 Though Dialogic capture 72% of market
▪ Very strong telecom skills
share, Brios solution has better features
 Product & competition
and is priced low.
▪ proven & appreciated
▪ Competition – Dialogic; Don jin
 Has been accepted by BSNL , on mobile,
 Market - STC and bhas a committed line of business
▪ Telcos, VAS providers  Analysis of market and capitalization of
 Financials existing pipeline shows a potential of high
▪ Has initial funding from investors revenues (156 CR INR)in next three years
Thank you
 Pain points

Idea generation Start up Growth Maturity

• Business model • Capture market • Reinvent • Balanced
• Product & share. Launch differentiation business team
market niche differentiated & competitive • Adaptability to
• Management products strategies change
team • Repeat • Organization • Revenues
• Competitive customers empowerment through
advantage • Channels & • Broaden innovations
• Raise revenue coverage –
investments streams region &
• Raise the brand. • Management offerings
Produce & team expansion • Matrix based
differentiate • Invent second Management
stage of growth transformation
 Industry expertise
SMEs – Auto components, pharmaceuticals, Garment

• A vibrant and dynamic SME sector of Indian

economy, with over 11 million units providing Exit strategies
employment to over 27 million people, contributes
Decline
to nearly 40 per cent of the total industrial Process
production and over 34 per cent of the national innovation
Maturity
exports.
• Today, SMEs in India are grappling with fast changes Channel
expansion Growth
at the market place that is transiting from a
controlled economy to a free market set-up. Product
• They being the important members within the innovation
supply chain are also exposed to the competitive Inception
pressures either directly from the market place or Price reduction
indirectly passed on from their higher ups in the
chain. Idea
• Considering the strategic role played by SMEs, it is Product
promotion
essential to examine how can they improve their
performance through Product promotions, pricing,
channel expansions & innovation strategies
 Industry expertise
IT and IT Es
 
• The past few years have produced a confluence of Angel, FFF Vcs, Sttrategic investors / M & A
Strategic alliances
event that have re shaped global economy & the
technology boom in India. Seed capital
• Core business relationships & models are Early stage Later stage

dramatically changing from Maturity

• Product centricity to customer centricity Growth
• Mass production to mass customization Mezzanine
IPO
• Protracted value chain to speed based Inception
competition 3st stage
• Material value to Knowledge value
Gestation
• This has lead to new opportunities in IT 2st stage
development
1st stage
• Customer relationship management
• Middleware and system integration tools
• Computer / telephone integration (CTI)
• Convergence in electronic messaging Criteria
• Device proliferation & supporting • Projects with the highest potential business returns
technologies • Convince shareholder of the practical approach to
achieving business benefits from IT investments
• Quantify numbers to intangible benefits
Service offerings
Idea generation (Gestation )

Team &
Technology Marketing &
Growth Financials managemen
& product competition
t

Checking
uniqueness for the Good understanding
technology idea in of the venture
financing process
Idea order to avoid
possible problems in Identification of the
conceptualization &
future market niche
Vision
Pre-seed capital:
business angels,
development funds Understanding of the
Developing of need to share
effective intellectual company ownership
property strategies and management
Investment with professionals
opportunity selection
criteria of different
Development of a types of investors
Professional business concept
advisory services Turning your targeting this market
inventions into profit- niche
Introducing project to
making assets prospective investors

Enable companies that have good technological / service idea and good market potential
with business expertise, investments and resources to commercialize
 Service offerings
Start ups (Inception)

Team &
Technology Marketing &
Growth Financials managemen
& product competition
t

Defining market
IPR Protection - needs, Venture financing
inventions into discontinuities, and process
Company Vision
profit-making opportunities Development of the
assets doer and decision
maker skills
Packaging –
Fund to activity
functional product mapping
Establishing specifications
Company entity and intellectual property
ownership management (IPM)
system
Marketing and
Fund sourcing
selling strategy
Selection of the best
management support
Functional & design system at lowest cost
Business incubation product Investment selection
specifications Competitor analysis criteria

Enable companies that have no product revenues and little expense history; incomplete team , good business plan,
and the beginnings of product development with organization restructuring, marketing strategies, product
positioning and funding
Service offerings
Growth (Broadening lines)

Team &
Technology Marketing &
Growth Financials managemen
& product competition
t

Redefining business Identification of

Customer value Formal professional
model to align to strategic market
propositioning management
growth intervention areas
Operational structures
efficiencies
Development of the
Company alignment business and
Fighting fires
to business goals technology strategy
to achieve this goal
Re skilling & training
Redefine company
Top management Market analysis &
structure to growth
participation trends
objectives
Working capital to
support strategic
Building strategic Development of growth plans Customer focused
Redefining market management
alliances and strategic technology
development orientation
business development
strategy
partnerships partnerships

Enable organizations to broadening production lines, focusing on the main product;

management style transition from informal to formal
Service offerings
Maturity (Continuous innovation)

Team &
Technology Marketing &
Growth Financials managemen
& product competition
t

Continuous Continuous Market watch

improvement & innovation systems Operational
anticipating needs efficiencies
innovation
Change & customer
Intellectual property relationship
management system Maintaining and
 Value based positioning defending market
management
position Shift from venture capital
towards asset based
Project portfolio and financing
prioritization systems Developing new market
Best of breed niches: seeking,
institutionalization expanding, global
Top management penetration
participation Strategic research cost
sharing with alliances
Proof of concepts for Reinventing market
change Agile systems to market development strategy Business linked
changes decentralized
management structures

Divesture of segments
Strategic partnerships Business linked research Marketing partnerships
systems

 Enabling to utilize the company’s established status on the market for further
economic gain through continuous competitive innovations .
 Industry expertise
Pharmaceutical

Provide consultation in fund / joint venture engagements

Business plan Company profile

• Investment proposal • Science & expertise
• Science & technology • Patent protection
• IP position • Business model
• • Market need
Financial model &
Business model & Formal due
market • Management team evaluation
• Equity structure • Business sense • Size of financial round diligence
• Competitive situation • Strategy • Investment schedule • Science & IP opinion
• Use of funds • Valuation & terms • Milestone definition • Audited reports
• Management • Co-investorsz • Valuation • Legal opinion

Investment focus fit Reality checking Term sheet Investment

• Investment focus • Science • Liquidation preferences documents
• Competitive advantage • Patents • Dividends • Translate term sheet into
• Investment rationale • Infrastructure setup • Board compensation legal documents
• Facilities • Shareholders agreement
• Employees
• Management team
• Work process