What Not to Invest in - Innovation Management
In his role at BSH Global, Luc was instrumental in leading the scouting and review process for startups and new business opportunities in Region North America. His focus was on identifying viable investments and steering clear of less promising ventures, thereby ensuring efficient allocation of resources and maximizing return on investment.
Key Contributions
Successful Acquisition:
Played a pivotal role in the successful acquisition of Chefling, a startup aligned with BSH’s strategic objectives.
Critical Evaluations:
Led the research that effectively invalidated the business hypotheses of several startups, including Foldimate, Snap Printer, and others, resulting in significant cost savings for BSH.
Methodology
Jobs-to-Be-Done (JTBD):
Applied the JTBD framework to understand customer needs and determine if the startups’ products met these needs effectively.
Top Need Analysis:
Identified the primary needs of the target market to assess the potential success of the startups.
Adoption Barrier Assessment:
Evaluated potential barriers to the adoption of the startups' products in the market.
Serviceable Available Market (SAM)/Total Addressable Market (TAM):
Analyzed the SAM and TAM to gauge the market potential for these ventures.
Business Model Canvas:
Utilized to assess the viability of the startups' business models.
Next Best Alternative:
Considered alternatives to the proposed solutions, leading to more strategic investment decisions.
Results
Cost Savings:
Avoided investments in startups like Foldimate and Snap Printer, saving BSH over $100 million in potential future investments.
Strategic Focus:
Redirected resources towards more promising ventures, enhancing the overall quality and potential of BSH’s investment portfolio.
Market Insight:
Gained valuable insights into consumer preferences and market trends, informing future investment decisions.
Innovation Alignment:
Ensured that investments were aligned with BSH’s innovation strategy and market position, avoiding ventures with limited market appeal or feasibility.
Lessons Learned
must identify bias in supporters of business plan to create an effective counter strategy
separate interests from positions for stronger negotiations
separate problem vs solution in evaluation to understand the maturity of the business plan