Intrapreneurship is the act of behaving like an entrepreneur while working within a large
organization.
Definition In 1992, The American Heritage Dictionary
acknowledged the popular use of a new word, intrapreneur, to mean "A person within a large
corporation who takes direct responsibility for turning an idea into a profitable finished
product through assertive risk-taking and innovation".
Intrapreneurship is now known as the practice of a corporate management style that integrates
risk-taking and innovation approaches, as well as the reward and motivational techniques,
that are more traditionally thought of as being the province of entrepreneurship.
History The first written use of the terms ‘intrapreneur’,
‘intrapreneuring,’ and ‘intrapreneurship’ date from a paper written in 1978 by Gifford
and Elizabeth Pinchot.
Later the term was credited to Gifford Pinchot III by Norman Macrae in the April 17, 1982
issue of The Economist.
The first formal academic case study of corporate entrepreneurship or intrapreneurship was published
in June 1982, as a Master's in Management thesis, by Howard Edward Haller, on the intrapreneurial
creation of PR1ME Leasing within PR1ME Computer Inc..
This academic research was later published as a case study by VDM Verlag as Intrapreneurship
Success:A PR1ME Example by Howard Edward Haller, Ph.D.
The American Heritage Dictionary of the English Language included the term 'intrapreneur'
in its 3rd 1992 Edition, and also credited Gifford Pinchot III as the originator of the
concept.
The term "intrapreneurship" was used in the popular media first in February 1985 by TIME
magazine article "Here come the Intrapreneurs" and then the same year in another major popular
publication was in a quote by Steve Jobs, Apple Computer’s Chairman, in an interview
in the September 1985 Newsweek article, where he shared, “The Macintosh team was what
is commonly known as intrapreneurship;only a few years before the term was coined—a
group of people going, in essence, back to the garage, but in a large company."
Employee intrapreneur "Intrapreneurship refers to employee initiatives
in organizations to undertake something new, without being asked to do so."
Hence, the intrapreneur focuses on innovation and creativity, and transforms an idea into
a profitable venture, while operating within the organizational environment.
Thus, intrapreneurs are Inside entrepreneurs who follow the goal of the organization.
Intrapreneurship is an example of motivation through job design, either formally or informally.
Employees, such as marketing executives or perhaps those engaged in a special project
within a larger firm, are encouraged to behave as entrepreneurs, even though they have the
resources, capabilities and security of the larger firm to draw upon.
Capturing a little of the dynamic nature of entrepreneurial management adds to the potential
of an otherwise static organization, without exposing those employees to the risks or accountability
normally associated with entrepreneurial failure.
Examples One of the most well-known examples of intrapreneurship
is the "Skunk Works" group at Lockheed Martin.
The group was originally named after a reference in a cartoon, and was first brought together
in 1943 to build the P-80 fighter jet.
Because the project was to eventually become a part of the war effort, the project was
internally protected and secretive.
Kelly Johnson, later famous for Kelly's 14 rules of intrapreneurship, was the director
of this group.
Another example could be 3M, who encourage many projects within the company.
They give certain freedom to employees to create their own projects, and they even give
them funds to use for these projects.
Besides 3M, Intel also has a tradition of implementing intrapreneurship.
Google is also known to be intrapreneur friendly, allowing their employees to spend up to 20%
of their time to pursue projects of their choice.
See also Entrepreneur
Corporate Social Entrepreneurship Skunkworks project
Lean Startup Notes
^ https:www.ahdictionary.comsearch.html?q=intrapreneur&submit.x=38&submit.y=27 ^ Pinchot, Gifford & Pinchot, Elizabeth Intra-Corporate
Entreprenuership Tarrytown School for Entrepreneurs ^ Mccrae, Norman Intrapreneurial Now The Economist
^ 1992 Intrapreneur The American Heritage Dictionary of the English Language.
3rd ed.
Boston: Houghton ^ ? [Jobs talks about his Rise and Fall] Newsweek
Magazine ^ Intrapreneurship Conceptualizing entrepreneurial
employee behaviour.
http:www.entrepreneurship-sme.euH200802.pdf ^ Kotler, P.,
Marketing Management: Analysis, Planning and Control, 13th edition, Prentice-Hall, Englewood
Cliffs, N.J.
2009.
^ http:www.jamesshuggins.comu-2a/u-2_kellys_rules.htm External links
Intrapreneurship - Small Business Notes