While most MBA programs offer entrepreneurship as an elective, IMD applies its “Real World. Real Learning” approach by building Entrepreneurship into the heart of the MBA. Professor Benoît Leleux, Professor of Entrepreneurship, explains the rationale: “No manager in the 21st century will be able to lead successfully without a mastery of the innovation and venturing process. We don’t intend to make entrepreneurs out of every participant, but all should be familiar with the entrepreneurial issues and, importantly, an in-depth understanding of what new ventures require.”

To do this, IMD selected 15 startups through a business plan competition, in industries as diverse as laser applications, cryptology, medical devices and aeronautics. Then the class was split into teams of 6 participants, and assigned to work closely with these technology-based new ventures for a period of five-months, with a faculty coach. Each team was charged with helping the startup develop its business plan, marketing plan, business systems, entry strategies, etc.

Mecanair Rotary Engine, a 2-year old Swiss company, developed a new rotary engine for the general aviation market. With a prize-winning business plan, but with well-entrenched competition and a principal market in North America, the founder had difficulty attracting capital. The IMD MBA team then worked with the founder on this and other critical short-term issues, looking at the longer-term strategic alternatives. In return, they learned about the personal commitment required and the pressures involved. One of the team, Radhesh Welling, said, "For a start-up to emerge as a successful enterprise, it needs more than just a strong business plan. We experienced the emotional highs and lows with the founder and learnt the importance of managing the delicate balance between short term survival and long term profitability".

Another team worked with Applied BioMedical Intelligence (ABMI) who was awarded the 2003 European Innovation Award’s Gold Medal in Technology by the Wall Street Journal. ABMI is developing devices to provide real-time monitoring of the cerebral blood flows and the identification of the circulating, tiny particles that clog brain arteries and trigger strokes. Based in part on recommendations from the MBA project, the company is presently starting pilot programs in Swiss hospitals. “The help from the IMD team in terms of marketing and business planning was truly great!” said Dr. Claudio Lucchesi, ABMI’s CEO.

Not all projects end in success, but the experience is always highly valuable. One team worked with a young company that had developed a new, patented solution to computer security. Its two products were in their infancy and development resources were drying up. The MBA team researched the market potential for the company’s products, and found that while the market was growing, numerous well-established competitors offered similar solutions. Interviews revealed doubts about the product’s ease of use and total cost. The team concluded that the best hope for the company was to design a special niche product. What did the project teach them? Stephane Delorenzi said, “It's easy to convince yourself that you have a killer product listening to feedback from the press, friends and potential customers. But the moment of truth comes when you ask them to pay for it."

Professor Leleux reinforces the benefits of these projects for participants. “This hands-on training is invaluable for building skills in leading the innovation process, whether they are ultimately applied in small or large companies. It’s also great to tell participants not to rely only on existing models and frameworks, but to trust their ability to come up with innovative solutions to innovative problems.”

Alessandro Sofia
IMD Media Relations
Tel: +41(0) 21 618 0636
Contact Alessandro Sofia