On June 19th 2013, OIH invited Dr. Paul Chin, Advisor for MIT/Stanford Venture Lab to our seminar for his talk on necessary perspectives to create innovation.
Dr. Chin, who has seen many enterprises in the world, takes much notice of manufacturing ability and technologies of Japanese companies, therefore the theme of his talk for our seminar was “Japanese economic recovery” through “Innovation and entrepreneur spirit”.
Dr. Chin started his talk by saying “Assets such as technologies and know-hows developed by Japanese companies are still competitive in the world. With a good management of these assets, Japan will be able to recover its vitality. The point to the Japanese economic recovery is the value improvement of seemingly old businesses in Japan.”
Business eco-structure and intrapreneur
Then how will it be possible to make good use of the assets retained in Japanese enterprises? Dr. Chin said that “business eco-structure” and “intrapreneur” will be the way. ”The business eco-structure is not only selling products”, said he, “but also the complex system including patent, support, operation and people handling the job altogether. To promote Shinkansen bullet train, it has to be regarded as integrated system with rail track, traffic control system and conductors, not just a set of vehicles (commodity) itself ”.
‘To realize the business eco-structure, a role of “intrapreneur”, who are free from vested interests developed in the companies and can take challenges, is important. Intrapreneur is referred to as being an in-house entrepreneur. They are able to detect the source of profit and create more of it by collaborating well with external partners.’
[Panelist] Dr. Paul Chin
[Moderator] Ikuo Hiraishi, Super Producer, innovate!osaka
(President & CEO, SunBridge Global Ventures)
Hiraishi： You said that the lack of perspective to see as one integrated system not just a commodity is the problem for Japanese companies. But I think Japanese enterprises recognize the worth of this perspective. Why is it not possible to export the system itself: one of Japanese wonderful platforms “Suica”, for example?
Dr.Chin： To provide an infrastructure system as business, national framework for support will be necessary together with efforts by a single enterprise. Korea is a good example: its enterprises such as Samsung and LG have been receiving state support for overseas expansion. Complex infrastructure companies will need to have even more external partnerships. It appears that Japan is not great in that respect.
Making strategic use of assets to invest properly with a clear vision, as well as not giving up, will help revive Japanese economy. We will hold on to the belief and keep challenging to change Osaka.