Norris Krueger, PhD
External Fellow, Max Planck Institute of Economics
Academy of Management
6 August 2010
Teaching Social & Sustainable
What IS entrepreneurship anyway? What is it that entrepreneurs do?
Its about making money?
OK, then its about starting a business?
Its about figuring out ways to create & deliver value?
What We Teach
How We Teach
Why We Teach?
What do YOU think when I say:
even and especially opportunity?
Impact of role models like instructors
What we teach will reflect our own mental prototypes (& how we teach it)
My mental prototype?
Its Not About You (www.soulshelter.com/fortune/entrepreneurship-why-its-not-about-you/)
Entrepreneurs create & deliver value
Harness passion (& skills) in service of
creating & delivering value
Residual claimant model (ec dev)
Entrepreneurship: Its Not About You
Looking across the living room of his expansive flat in Hong Kongs tony Victoria Peak neighborhood, Peter Hamilton spoke in the
calm, slightly world-weary voice of a man who will never again worry
about earning a living. The ones who made it, he said softly, are the ones who werent in it for the money. The fortune-seekers couldnt sustain their passion through the hard timesand there were hard times.
What, then, is entrepreneurship about?
Exploiting a market opportunity? Fame? Fortune? Proving yourself?
First, a tip as to what entrepreneurships not about: Entrepreneurship is not about you. Its not about you getting rich, you proving something to the world, you struggling to overcome the odds.
Rather, its about you helping other people achieve their goals.
Now the question is, what do you CARE about?
WHAT We Teach
Return of the Heffalump? Social & Sustainable Entrepreneurship:
Is It Growing or
Just Getting Bigger?
Does It Matter?
Big Tent? The Welsh, et al. Data
298 syllabi from around the world compiled in 2007 by Brock, Welsh, Steiner, and Krueger
86 (29%) were from universities outside the U.S.
2007 Worldwide survey - 269 faculty
Compare mental models with pedagogy preferences
What consistent patterns did we find?
Definitions all over the map
Ask me how many syllabi mentioned ethics
SE pedagogy also all over BUT
Minimal experiential learning
Surprisingly little entrepreneurship?
No pattern in social entrepreneurship courses at best
Entrepreneurship-trained instructors more project based but.
Focusing on sustainable entrepreneurship yields a VERY different picture
Decreasingly in b-schools?
HOW We Teach
Two Kinds of Schooling (http://sethgodin.typepad.com/seths_blog/2010/07/two-kinds-of-schooling.html)
"Type 1. You can take a class where you learn technique, facts &
Type 2. You can take a class where you learn to see, learn to lead &
learn to solve interesting problems.
The first type of teaching isn't particularly difficult to do & it's something
were trained to absorb. The first type of schooling can even be done with self-discipline & a Dummies book. Important but not scarce.
The second kind, on the other hand, is where all real success comes from.
It's really tricky to find and train people to do this sort of teaching, and
anytime you can find some of it, you should grab it.
Over and over I see the same thing--organizations refusing to do the
difficult work of teaching people to see. One college dean was so stuck
in his type-1ness that he couldn't even bring himself to participate in a
session run by a gifted type 2 teacher.
Change in what we know (content)
Change in how we know
it (knowledge structures)
Change in Deep Beliefs
But what deep beliefs are we changing? That we intend to change?
Herb Simons (1963) Levels
Getting at Deep Cognitive Structures
Understand cognitive change =
And Why Not Neuro-entrepreneurship?
Ultimatum game? (Prisoners Dilemma??)
Develop maps, scripts/schemas
Results already, just not in SocEnt?
Sahakian team 'hot' cognitions Social versus economic dimensions of opportunity
(Grichnik, Welpe & Krueger)
and semi-lexicographic preferencing!
(Krueger & Kickul) 17
Ultimatum games: This is your brain on unfairness
Horses & Jockeys?
All this means the who is critical
Novice ----- Expert
* Deliberate practice
* Mentoring by
New models: TechStars, Y-Combinator..
(but what also happens of interest?) 19
Lean and (Not so) Mean? Lean doesnt mean cheap.. It means FAST
Lean could just as easily be called Learn!
WHEN to be Lean? Extreme uncertainty
Significant ambiguity (Type III errors)
Startups scalable startups
New Product Development / Tech Transfer
Also sounds like
Social / Sustainable / BOTP
Minimize TOTAL time through the loop
Source: Eric Ries,
The Lean Startup
Failing fast is also a misnomer fail FORWARD which means
Better your assumptions fail than your biz
Forces attention on Value
Build Test/Measure Learn (L,R,R)
OK, To YOU what IS.
..for that matter
"We should aim to not only become Ph.D's, but Ph.Do's too! The world needs leaders
who act, more than ever." -John Hope Bryant
For more info:
www.Youtube.com/IgniteBoise - look for my video!
Extra backup slides hereafter
To cover possible questions...
Need to add back the other data slides
from Krueger & Welsh on syllabi/survey)
Are entrepreneurs passionate?
Are social/sustainable entrepreneurs even more passionate (possibly about more
Passion as lexicographic preferencing?
Cingulate (yellow), orbitofrontal (pink), amygdala (orange), somatosensory (green), insula (purple)
One last neuro angle (last NYU conf) Passion:
Multiple attributes MCDM Heuristic thinking Bounded rationality (reduced evoked set)
Categorization theory (simplifying)
Effectuation theory? (starting with what you have)
Human reality: Lexicographic preferencessort of
Non-compensatory vs. compensatory preferences
(tradeoffs vs. deal-breakers)
Deal-breakers = sources/channel of passion?
Are social/sustainable entrepreneurs even more passionate (possibly about more things?)
Mapping supraeconomic opportunity space
Alternative supraeconomic opportunity spaces (2 domains)
Alternative supraeconomic opportunity spaces (3 domains)
(intersection) (union) (complex)
Figure 4: Utilities by Attribute
0 0.2 0.4 0.6 0.8 1
Growing Very Fast
Competing on Quality
Competing on Price
Seeking new product markets
Defending existing product markets
Funded through external capital
Seeking strong financial performance
Not placing a high priority on financial performane
Not emphasizing social responsibility
Consciously focusing on being socially sustainable
Intentionally seeking to be environmentally sustainable
Not emphasizing environmental sustainability
Competitive Conditions are chaiging rapidly
Competitive conditions are stable