BUILDING A SYSTEM FOR INNOVATION AND

ENTREPRENEURSHIP SUPPORT “OFF CAPITAL”

MENAinc WorkshopBahrain, 20-25/10 /2007

Prof.dr.sc. Ivan ŠtefanićJosip Juraj Strossmayer University of OsijekTechnology Development Centre Osijek Ltd.

THREE STREAM FUNDING

TEACHING

RESEARCH TECHNOLOGYTRANSFER

SUCCESS

That will not work hereWe tried that alreadyIt is not right timeIt can’t be doneThat’s not the way we doWe are good even without itIt will cost too muchLet’s talk about it on our next

meeting

Source: Jerold Panas, Linzy & Partners Inc.

I have the good idea!

EASTERN CROATIA

• LDA• Heavily affected by the war• TEA index low• TEA necessisity / TEA opportunity low

TERA OSIJEK

Josip Juraj Strossmayer

University of Osijek

Osijek-baranja county City of Osijek

Strategic positionStrategic position

Establishing competitive advantage through assisted technology transfer

Low costsLow costs DiferentiationDiferentiation Market nischeMarket nische

Competitive advantige Product/activity which satisfy customers

More efficient than competition

Competitive advantige Product/activity which satisfy customers

More efficient than competition

Key Processes

&Technologies

Legal form is important

• LLC owned by the University & local government

• Good operation in business & science

Business plan is important

• Profitability and selfsustainability are important but

• Do not forget your mission

TERA REFERENCES

Ovo može biti i Vaš

Ured!

Poliedar d.o.o.

CIPHERWE ONLY DO

SOFTWARE

Ured ovlaštenog arhitekta

ANDRAŠIĆNEOS

Ovo može biti i Vaš

Ured!

Gorea Genotipizacija

INOVATIVO

Ured ovlaštenog arhitekta

VRBANEventusKIČenDIZAJNobrt

Ovo može biti i Vaš

Ured!

Alpha Score d.o.o

2EMgreenstudiowww.greenstudio.org

KANTINAROBI

Ovo može biti i Vaš

Ured!

PODUZETNA

HRVATSKA

DEMOINFORMATIKA

D.O.O.

I PRO d.o.o.

KONCERT

BIZ DIREKT

VOBIS D.O O.

ERDUT D.O.O.

Urediovlaštenih arhitekata

VRBANANDRAŠIĆ

MAJDANDŽIĆ

Our incubator is like school,CLIENTS HAVE TO GRADUATE!

This is not the place where companies could stay forever

TERA PORTFOLIO

ONE STOP SHOP FOR INNOVATIVE ENTREPRENEURS

Broad and shallow portfolio of references in begining

Five winninig strategies

• Cost cat (LIMEX)• Enhanced customer experiance

(MARJANČANKA)• Highest quality (FERO-LEKO)• Nische (IZOLIT)• Innovative busineness models (GPP OSIJEK &

PENTA)

APPROVEDUNDER CONSIDERATIONREFUSED

TERA OSIJEK Ltd. in RAZUM 2001-2006

It takes time to develop innovative product/service

Life cycle of high-tech company

Not all are happy with innovations!

2% 13% 34% 34% 16%Inovatori rani usvojitelji rana većina kasna većina neodlučni

• 4/1998 Education within the BICRO program• 4/1999 Joining the team ‘TERA’• 5/2001 Stakeholder agreement signed• 8/2002 Registration of the company• 9/2002 First contract • 10/2002 Strart in temporary offices / Trg Lava Mirskog 1 • 10/2002 Reconstruction of permanent premises (start)• 5/2003 First tenants / opening of the first phase• 12/2004 Second phase finished• 2/2007 Largest & most comprehensive regional centre in Croatia• 3/2007 Plan for the Technology park Osijek• 3/2008 Technology park Osijek opened• 3/2009 >5000m2, >50% self-sustainable,

~100 incubated companies, >500 jobs

• Some patents are suitable to commercialize• Some patents are not suitable , but they could

prevent others to patent or come to close• Success is rather rare • 5-10 % based on 9000 cases (US experience)• Great success is even more rare

– 1% of prevously mentioned 5-10 %

• Costs could be significant

Protect IP (and why is difficult)

Since 1876

• Patenting has long tradition in Croatia • Patent No.4353 filed in Vienna 12.

February 1876. DUPLEX MORSE CONNECTION by Ferdinand Kovačević

But continuosly innovating could be the reason for failure

Innovation are expensive, not having them is even more expensive!

Innovation is important element of success

One person show is not enough any more

Team work

10 factors that professor of entrepreneurship have to be aware

1. One greath thing2. One person show3. One mistake from death4. Short-term thinking5. Secure simplicity6. Loose procedures7. Passion rules8. Clients 1st, competitors 2nd

9. Sales make cash!10. Cash is the king!

Source: Dr. Jerome Katz, Saint Louis University, Dept. of Mgmt.

Write good contracts

Customers are fed with classifieds

• Give them purple cow • Read “Seth Godin”

Innovation is not only the product

• Innovativan could be business model, marketing, ...

• Read “Guerilla marketing”

Vaš partner u novim tehnologijamai inovativnom poduzetništvu

Članica Sveučilišta

Josipa Jurja Strossmayera

EKO JANJEProjekt TEST

Veleučilište Knin

Periva kožaProjekt TESTFKIT Zageb

Periva obućaProjekt TESTTTF Zagreb

Periva galanterija i modni dodaci

Periva odjećaVENERA Kolekcija

od perive kože

Uređenja interijera i Automobilska

industrija

POSLOVNO-INOVACIJSKO SREDIŠTE VUKOVAR

Veleučilište Lavoslava Ružičke u Vukovaru

obućarski smjer

Laboratorij za kontrolu

kvalitete

Perivo krznoProjekt TESTu tijeku

OBUĆARSKO-DIZAJNERSKI KLASTER VUKOVAR

BOROVOPotpora malim

i srednjim poduzetnicima

CLOTHING & FOOTWARE CLUSTER VUKOVAR

NT + =OO = EOO

• Is the new technology enough?• New technology + old organization =

• Expensive Old Organization

98% + = 100 %

• Developing innovative idea includes 98% (boring) labor and 2% key moments which will decide about success

• Learn to present (pitch) your idea/business proposal

ALL THAT IS NOT ENOUGH!

• 5 P– PERFECT PREPARATION PREVENT PATETIC PERFORMANCE

• FLEXIBILITY– THE MOST FLEXIBLE PLAYER CONTROL THE SYSTEM

• INNOVATIONS, INNOVATIONS, INNOVATIONS• USE WHAT YOU HAVE

– VERY SPECIAL TOOLS ARE RATHER RARE AND EXPENSIVE

HELP & PROTECTION

WE NEED AT MOST

IN THE BEGINING

WE WILL ENCOUNTER

MANY OBSTACLES BEFORE

OUR DREAM COMES THROUGH

SUCCESSFUL ENTERPRISE

TEAM WORK COULD BE THE KEY FOR SUCCESS

SUCCESSFUL

ENTERPRISE

COMPETITION COULD BE CLOSER THAN WE EXPECT

SUCCESS, THAT’S WHAT WE WANT

SUCCESSFUL ENTERPRISE

Nota BeneIt would take longer than we plan.It would be more complicated than we expect.It would be more difficult than we hope.

You can go as far as your dreams can take you Colin McCarty

BUILDING A SYSTEMFOR INNOVATION AND

ENTREPRENEURSHIP SUPPORT “OFF CAPITAL”

MENAinc WorkshopBahrain, 20-25/10 /2007

Prof.dr.sc. Ivan ŠtefanićJosip Juraj Strossmayer University of OsijekTechnology Development Centre Osijek Ltd.