#43:Navigating New Horizons: Lessons from Japan's Powder for Corporate Innovation
Hi, I'm Jeppe, and welcome to my weekly newsletter on Corporate Venturing. My goal is to provide a comprehensive view of the latest developments in the field, drawing insights from top management, venture capitalists, founders, LPs, and family offices. This newsletter aims to offer valuable information and thought-provoking content to understand the importance of Corporate Venturing in business strategy.
Embracing the Dual Challenge of Mastering Niseko’s Snowscapes and Steering Corporate Ventures into Uncharted Territories
As I prepare for an exhilarating journey to Japan—a bucket list destination that has long beckoned with its rich culture, serene onsens, and pristine snow—I find my mind intertwining the anticipation of skiing in the land of the rising sun with a recurring phrase that has recently dominated my professional discourse: "Flying the plane while building it."
This metaphor, which I've encountered countless times, has taken on a new layer of relevance in my current endeavors. Over the past week, it has become a refrain, echoing the inquiries and aspirations of numerous corporations seeking to navigate the turbulent skies of venture setups. The phrase captures the essence of the challenge: the daunting task of charting a course through untested skies while simultaneously assembling the very vessel meant to carry us forward.
The criticality of a strategic plan cannot be overstated. In my dialogues with these corporations, I emphasize the foundational questions that must guide their venture journey:
What drives the desire to engage in venture activities?
Who within the organization champions this cause, and what are their motivations?
These inquiries are not merely rhetorical. They are the beacons that illuminate the path, ensuring that the venture entity not only takes flight but also endures beyond the average lifespan of a corporate venture capital (CVC), which often falls short of four years—a stark reality I've witnessed firsthand.
The construction of a strategic plan is akin to assembling an aircraft, a meticulous process that demands precision, foresight, and collaboration. Without a coherent plan, the venture might resemble a tractor more than an aircraft—capable of navigating the immediate terrain but ill-equipped for the vast expanse of the ocean where untold treasures await.
Culture, too, plays a pivotal role in this journey. A strategic plan must be woven with the support of a broad coalition, garnering the backing necessary to elevate the venture off the ground. Integration with human resources is imperative, for as the venture evolves, so too will the organizational culture. Embrace this transformation, for within it lies the opportunity to harness the diverse skills and talents of the team, accelerating the construction of your aircraft.
As I venture into the snow-covered landscapes of Niseko, I am reminded of the parallels between my personal quest for adventure and the corporate pursuit of innovation. Surrounded by my great friend Julius Schmidt who will introduce me to new techniques and whose expertise I will seek—I am reminded that growth, whether on the slopes or in the boardroom, is a collective endeavor. It is through collaboration, guidance, and a willingness to embrace the unknown that we not only build our planes but also chart a course toward unexplored horizons.
In this spirit, I invite you to consider the ventures you are embarking upon. Are you prepared to build your plane as you navigate the skies? Do you have the strategic blueprint and the collective support to reach the land of gold that awaits beyond the ocean? As we pursue our respective journeys, let us embrace the challenges and opportunities that lie ahead, ever mindful of the delicate balance between construction and flight.
I hope you enjoyed this week's newsletter. If you have any suggestions or contributions that you would like to share with me, please do not hesitate to reach out. I would be delighted to hear from you.
/Jeppe
