"Large companies need the hunger of a startup as part of their innovation DNA."
Managing Director, SUMA Ventures
MEET THE LEADERS #INNOVATION
How is innovation different in startups?
Andrea Kates: Startups usually begin with an innovative idea for a product or ser-vice that will challenge the status quo. The downside is that startups can be like a horse with blinders on, seeing the world only through their own lens and being single-focused on getting their solution to market. So, the check that startups need is to land on metrics that matter and not to be too convinced that their disruptive view of the world will rule supreme.
Startups innovate differently than established companies in three critical ways: [a] They start on day one with their eyes on the problem of achieving “escape velocity” or scale, [b] They focus on finding ways to go from incremental growth toward a true sea-change of adoption, for instance, this could happen through partner relationships, a breakthrough business model, or a new ecosystem play, and [c] They consider scale in different ways than larger companies - be-cause scale for a large company can be built into their existing business capacity.
"Large companies need a different process. They need the hunger of a startup as part of their innovation DNA combined with an internal way to grease the wheels ."
By contrast, large companies need a different process. They need the hunger of a startup as part of their innovation DNA combined with an internal way to grease the wheels - to enable innovation and gain internal sponsorship at critical junctures.
In terms of innovative startups - there are so many out there. In fintech (one area where I work) I like Lunar based in Denmark because their work with Astralis and the gaming community went to the heart of building a tribe of authentic and loyal customers. In Latin America, I would call out Rappi – a company that started as a simple meal delivery service and has now emerged into a geographically diverse super-app serving multiple industry verticals. Inspiring!
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Andrea Kates helps corporate teams and business leaders drive revenue growth through innovative routes to market, future-based insights, and cross-industry inspiration. Former tech CEO in San Francisco and now a global advisor and leader of high-impact initiatives for companies like Ford, Mayo Clinic, KK Wind, Intergraficas, and Cisco. Leadership Training, Innovation Initiatives, Thought Leadership/Keynotes, Board Member.
'60 Leaders' is an initiative that brings together diverse views from global thought leaders on a series of topics – from Innovation and Artificial Intelligence to Social Media and Democracy. It is created and distributed on principles of open collaboration and knowledge sharing. Created by many, offered to all.
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'60 Leaders on Artificial Intelligence' brings together unique insights on the topic of Artificial Intelligence - from the latest technical advances to ethical concerns and risks for humanity. The book is organized into 20 chapters - each addressing one question through multiple answers reflecting a variety of backgrounds and standpoints. Learn how AI is changing how businesses operate, how products are built, and how companies should adapt to the new reality. Understand the risks from AI and what should be done to protect individuals and humanity.
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'60 Leaders on Innovation' is the book that brings together unique insights and ‘practical wisdom’ on innovation. The book is organized into 22 chapters, each presenting one question and multiple answers from 60 global leaders. Learn how innovative companies operate and how to adopt effective innovation strategies. Understand how innovation and experimentation methods blend with agile product development. Get insights from the experts on the role of the C-Suite for innovation. Discover ways that Innovation can help humanity solve big problems like climate change.
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