This interview focuses on the Corporate Innovation strategy of a major advertising agency as it navigates the challenges of a rapidly changing consumer engagement landscape.
Sramana Mitra: As an introduction, tell us a bit about your focus, philosophy, or overall thinking at TBWA/Chiat/Day these days vis-a-vis innovation.
John Deschner: I have an interesting role that was purposely designed to be both an innovation role and a more central traditional role in the agency. I’m both the Chief Innovation Officer and Managing Director. For most large creative agencies, >>>
This interview explores the nuances of SAP’s Corporate Incubation strategy in great depth.
Sramana Mitra: Tell us about what SAP’s thinking is in the domain of corporate innovation. What are your goals, activities, strategies and structure? Let’s dig into the programs.
Max Wessel: Let me start off with the high level description of what SAP is for those who are not familiar with the organization. SAP is Europe’s largest software company. We also happen to be the largest enterprise applications business in >>>
John Deschner, Chief Innovation Officer\Managing Director at TBWA\Chiat\Day discusses the Corporate Innovation strategy of his advertising agency.
The current market is full of really interesting SaaS companies that have built up at least $100M in annual revenue run rate (ARR). Some have gone public. Some are waiting in the wings. There are also many more that are in the $50M to $100M ARR range.
They serve different segments. Some serve verticals. Some horizontal enterprise functions. Some large niches. Some enterprises. Some mid-market. Some SME.
Together, the SaaS market is a healthy, robust, exciting cauldron of innovation.
Unlike Social Media, Search or e-Commerce, SaaS is not an oligopoly. [ref: An Oligopoly, After All This?]
And these SaaS companies that have achieved critical mass in their own segments now have an unprecedented opportunity of scaling to become much larger businesses by broadening their footprints.
They can look within, and look outside to identify the growth levers.
Let me explain.
Maxwell Wessel, General Manager of SAP.IO, talks about SAP’s Corporate Incubation strategy.
Anyone involved in a corporate innovation program soon learns that it is quite complex to manage the nuances of such programs and get them to work right.
Last year I spent half a day with approximately 40 Fortune 500 Chief Innovation Officers at Xerox PARC, and discussed our experience with corporate innovation methodology through the1M/1M Incubator In A Box program. A few months later, Jim Euchner, the CIO of Goodyear, interviewed me for the Research-Technology Management journal.