There were more than 80 speakers in the popular unpanel sessions. They were gathered around seven large round tables, engaged in animated discussions ranging from startups to corporate venturers, innovation to inclusion, and technology to diversity.
The unpanels were guided by 16 moderators who shared enthusiasm, experience and encouragement with participants who networked, exchanged cards, made new contacts and planned many one-on-one follow-ups. Three moderators had the honour of providing a one-minute good, bad and ugly feedback snapshot of their table discussions on the main stage the following day. Thank you Neil Foster of Baker Botts, Laura Chicurel of Nextinit and Jessica Straus of GE Ventures.
Can corporate VCs be true value-added investors?
Moderated by Jon Koplin, managing director Emea, Cisco Investments, and Angélique Peigné, ventures manager, BP
Delegates crowded round the table and, for the majority, confirmed that corporate VCs can and do bring value beyond fungible capital. This can be immediate, both in terms of raised credibility of the startup, and where a corporate investment is perceived as a validation of a startup’s technology. Commercial agreements can help accelerate the scale-up phase – but the group cautioned against corporates seeking exclusivity. Managing expectations on both sides through open and frank communication is critical. And woe betide corporates who begin to regard an investee startup as an internal business unit. Shareholders should support startups but not interfere in day-to-day operations. Consistency can be a challenge when the CVC head moves on, and corporates need to look beyond quarterly reporting to support long-term value growth in their portfolio.
Initial coin offerings and blockchain
Moderated by Toby Lewis, founder and CEO, Novum Insights, and Neil Foster, partner, corporate – M&A, private equity, Baker Botts
It was standing room only at this session as an animated group grappled with the complexities, opportunities and idiosyncracies of initial coin offerings and blockchain. Some opined that blockchain would revolutionise whole markets and industries and saw almost limitless possibilities. Others were more cautious. The group agreed that investors should not confuse the way that blockchain companies were funded with the underlying technologies. There was consensus that corporate VCs are generally far from understanding the opportunities and threats that blockchain companies and technologies present. The discussion concluded rather obliquely, that new intermediaries are appearing but that “the issue of disintermediaries is a myth”.
Driving innovation culture in large organisations: ideation management and other key tools
Moderated by Laura Chicurel, chief operating officer, Nextinit, and Paul Taylor, innovation and architecture, cloud and security technology practice, Vodafone
A large open-minded group exchanged ideas, tips and best and worst practices on how large corporates can become more innovative. Most corporates desire this – most struggle to achieve their desired culture of innovation. Senior management buy-in and active support is essential – a ship will not turn unless the captain desires this. Transparency and recognition are necessary to give exposure and oxygen to those leading the innovation efforts. Their achievements are often steps on a longer journey – but each significant step must be celebrated. A framework that offers a process for ideation and a methodology to develop ideas is required. The group suggested that a visit to the corporate gym, to build internal innovation culture muscle, would render external innovation efforts more likely to succeed.
Setting up a Corporate VC in a conservative industry: do’s, don’ts and the role of incubators and accelerators.
Moderated by Crispin Leick, managing director, EnBW New Ventures, and David Byard, project manager, technology venturing, BP Group Technology
If at first you don’t succeed, try again. This has been the mantra of some corporates regarding past CVC efforts. This lively and, in some cases, battle-scarred group identified some best practices and pitfalls. Understand the vision and key targets of your business development team and then determine allocation of effort and resources among VC, R&D and M&A. The group trumpeted: “Lots of new CVCs are coming.” They did not elaborate as to whether this was a positive or negative development, but did advise newcomers not to underestimate the task ahead. Accelerators should be considered an additional tool, be they university-focused seed-stage vehicles, CVC equity investment platforms, or business scale-up facilitators. Survival of the fittest was the mantra.
How can CVCs more effectively support startups?
Moderated by Julio Romo, founder, Twofourseven, Sharon O’Dea, founder, Lithos Partners, and Lee Sessions, managing director, global corporate venture relationships, Intel Capital
This unpanel was highly productive in producing a wide range of recommendations for CVCs in supporting startups. Aligning cultures is a real challenge – better to align market places. Manage the expectation gap. Provide hands-on support by entering deals at earlier stages. Manage potential conflict by getting two or more CVCs into a syndicated deal. CVCs undersell themselves – get out your trumpets. Focus on providing access to expertise – R&D, manufacturing, marketing, distribution. Manage internal not-invented-here syndrome. Startups also got some advice – nominate a single point of contact for the CVC, focus on where the corporate can add most value, leverage the corporate brand, seek out mentors, entrepreneurs-in-residence and professional services, and beware – CVCs sometimes oversell themselves to get a good deal.
Managing the internal challenges of strategic corporate venturing
Moderated by Mark Felix, investment manager, Dow Venture Capital, and Yair Snir, managing director, Dell Technologies Capital
This roundtable hosted an intense discussion on the complexities of the internal challenges facing every CVC. The existentialist question was raised and the group saw clarity of purpose and consistency backed by key performance indicators as essential. Picking winners was a recommended strategy. Not every business unit will love what the CVC group brings and you cannot keep everyone happy – work with the most receptive ones. There is no single template for internal success – corporates differ in culture, DNA and aspirations. You must find the best way within your organisation. It will be different if you move to another firm. Short and long-term results should be tracked and quantified where possible against stated and agreed objectives. Communicate these broadly internally.
Crowdsourcing best practices for diversity and inclusion
Moderated by Jessica Straus, entrepreneur-in-residence, GE Ventures, Holly Colbo, marketing director, GE Business Innovations, and Kora Abelard, commercial associate, GE Ventures
A dedicated and enthused group debated the meaning of diversity and inclusion, and the associated opportunities and challenges. Many of the other unpanel groups highlighted the importance of people ahead of technology. This group agreed that optimised recruitment depended on diverse leadership. Senior management must provide direction and leadership and act as role models. There is evidence in the form of hard data confirming that diversity and inclusion is an effective strategy for innovation and management. The challenge of changing cultures and preconceptions was discussed. An effective tool is mentoring, where those with experience can help guide others who have had less opportunity to consider what diversity can bring.
