“Many of our corporations have been around for over a hundred years. It is our job and our privilege to help to survive one hundred more.”
On July 17, startup investor and accelerator gener8tor brought together a select group of corporate innovators, venture capital investors, entrepreneurs, and Chicago ecosystem builders for a night of conversation and dinner in a classic Chicago summer setting. Companies represented included Allianz, OshKosh, RelishWorks, Schreiber Foods, 1871, P33, Matter, mHub, TechNexus, Mars Wrigley, and OSF Healthcare.
After initial networking, dinner and drinks, we were treated to a panel from some leaders in the corporate innovation and venture space: Blair Tritt from Schreiber Foods, Collin Bhojwani from Allianz, Jennifer Miller from Oshkosh Corporation, and Tyler Booth from Relish Works. The panel quickly introduced themselves and then self-moderated, discussing everything from the setup of their programs to the highs and lows of the jobs. Here are a few of my favorite highlights:
- Each of the panelists spoke of the “Why” behind corporate venture at their companies. It was clear that driving innovation was a key goal. Jennifer Miller from Oshkosh put it succinctly: “We were trading like a trucking company, but we wanted to trade like an trucking technology company, and we needed to take action to get there.”
- One criticism of corporate venture capital in the market is inconsistency. This group agreed that short-term commitment and venture capital just don’t mix. A corporation can’t do this for one year, stop, and expect to get the value they sought.
- Simultaneously, these CVC leaders recognized that the average employee at their company has a day job – they are working on delivering short term results, and as one panelist put it, “they are operating in the day-to-day; we have to think in the 3-5 year horizon or more!”
- It was a treat to hear about the success stories of the relevant CVC units – partnerships that developed, successful proof of concepts that turned into contracts, and white-labeling portfolio company technology for a corporate’s key customer to everyone’s benefit. Collaboration goals varied, with one firm aiming to partner with 20% of its portfolio companies and another requiring a partnership before investment.
- The conversation wasn’t all rosy, however, as panelists got real with the struggles of getting business unit stakeholders invested in corporate venture work. It was a lightbulb moment for the entire room when Tyler Booth of Relish Works shared the question he asks his team prior to any engagement with a business unit and portfolio company: “What is your relationship bank account with this business unit? Can it support success here? More importantly, can it support failure?”
All in, it was a great evening catching up the gener8tor team, reconnecting with corporate coinvestors, and meeting some new faces in the room. The innovation in the room was contagious, and as one panelist concluded, “Many of our corporations have been around for over a hundred years. It is our job and our privilege to help to survive one hundred more.” Now that’s a sentiment I think we can all get behind!