Intrapreneur, sounds like a buzzword, isn’t it? Especially, if you are hearing it for the first time. Well, we all have Intrapreneurs at our workplaces but many of us don’t know the meaning of ‘Intrapreneur’.
Meaning of Intrapreneur
A full-time employee of a large company who acts like an entrepreneur by taking the initiative and using their creative and innovative thinking to develop new projects, products, or initiatives within the company is known as an Intrapreneur. People who are willing to take calculated risks, question the status quo, and go after opportunities for growth and improvement – often without direct supervision -are known as Intrapreneurs. They work, much like an entrepreneur would in a startup environment, to locate and seize new business opportunities or address issues within the company.
Example of an Intrapreneur
Intrapreneurs pool their personal resources and references to generate new business or opportunities for the employer. Intrapreneurs are often paid a success fee or extra incentives for every new opportunity they crack for the company they are employed in.
A perfect example of an Intrapreneur is a sales head in a company who utilizes their personal network to bring new leads into the company. And they have access to the company’s workforce to convert and manage those leads.
Concept of Intrapreneurship
Intrapreneurs frequently bring a sense of ownership and an entrepreneurial spirit to their work, and they are frequently driven by a desire to have a significant impact within their organization. Their efforts may result in the creation of brand-new goods or services, process enhancements, budget-friendly solutions, and improved competitiveness for the business. For businesses looking to promote innovation and change with the times, Intrapreneurship is viewed as a valuable asset.
All this makes Intrapreneurs indispensable employees within an organization or startup.
Intrapreneurship Vs. Entrepreneurship
Though there are many similarities between Intrapreneurship and Entrepreneurship, they are not the same. As an entrepreneur, you are responsible for driving innovation, creating new product ideas, sourcing investment etc. whilst utilizing all the resources and assets of the company.
Whereas, an Intrapreneur is an indispensable employee of an organization who takes on similar responsibilities to that of an entrepreneur but utilizes both the employer’s resources and assets along with their very own personal resources and network. Intrapreneurs most likely enjoy higher job security compared to their peers.
Keeping that in mind, here are the core differences between Intrapreneurship and Entrepreneurship:
Risk: Entrepreneurship is an occupation of high risk and high reward. Intrapreneurs, on the other hand, have the relative security of a consistent paycheck, and their actions can be considered low-risk.
Power: Entrepreneurs have more control over business decisions than intrapreneurs. Whereas, Intrapreneurs report to Entrepreneurs and work within a more structured system of corporate checks and balances because they go into business for themselves.
Accountability: An Entrepreneur is accountable for the losses happening in the company. Whereas, an Intrapreneur can’t be held accountable for any losses as they are working as an employee yet enjoying consistent paychecks.
Types of Intrapreneurs
Now that we are familiar with the meaning of Intrapreneurs and the concept of Intrapreneurship, let’s dive into the types of Intrapreneurs. Intrapreneurs could be of many types each with distinct characteristics and approaches to driving innovation and change within their organizations.
Here are some of the common types of Intrapreneurs:
1. Product Intrapreneurs
Product Intrapreneurs are people who concentrate on creating new products or improving ones that already exist. They seek to develop novel solutions by identifying market gaps, new trends, and client needs.
Example: A product manager at a tech firm who oversees the creation of an innovative new software product.
2. Process Intrapreneurs
Process Intrapreneurs focus on streamlining and improving internal procedures and processes. They look for methods to improve efficiency, cut costs, and streamline operations.
Example: an operations manager who applies lean manufacturing principles to increase production effectiveness in a manufacturing company.
3. Corporate Intrapreneurs
These Intrapreneurs, who frequently work for larger corporations, concentrate on creating new departments or business units within the organization. They work to increase the organization’s reach and develop new revenue streams.
Example: A corporate executive who creates a new digital media division at a media conglomerate to enter the online streaming market.
4. Social Intrapreneurs
The goal of social Intrapreneurs working within an organization is to positively impact society. They look for novel solutions to social or environmental problems.
Example: A worker at a utility who leads programs to lessen the company’s carbon footprint and promote sustainable energy methods.
5. Tech Intrapreneurs
These Intrapreneurs are especially technologically savvy and concentrate on using technology to spur innovation. To develop new solutions or enhance already existing ones, they investigate cutting-edge technologies like AI, blockchain, and IoT.
Example: A financial institution’s software engineer who leads the creation of a new algorithmic trading system.
6. Change Agents
Intrapreneurs who work to promote cultural or organizational change are known as change agents. They seek to influence management and employee behavior and mindset in order for them to adopt new working methods or strategies.
Example: a manager of human resources who oversees programs to promote a diverse and inclusive workplace culture.
Each kind of Intrapreneur contributes in a different way to innovation and expansion within the organizations in which they work. Their contributions can help the businesses they work for become more competitive, more relevant in the market, and more successful in the long run.
Why Intrapreneurs are needful for businesses?
Though Intrapreneurs work for extra bucks and rights, they bring exponential value. Let’s discuss the benefits that Intrapreneurs bring to the organization they work with:
1. Innovation and Creativity
Intrapreneurs frequently exhibit greater risk-taking and originality than traditional employees do. Their creative thinking may result in the creation of new goods, services, and procedures that could give the company a competitive advantage.
2. Adaptability
Businesses need to be agile and adaptable in environments that are changing quickly. By spotting and seizing fresh opportunities despite uncertainty, Intrapreneurs can contribute to this adaptability.
3. Solving Issues
Intrapreneurs are adept at solving issues. They are proactive in addressing issues and locating solutions, which can assist the organization in overcoming barriers and more successfully achieving its objectives.
4. Engagement of Employees
Promoting Intrapreneurship can increase job satisfaction and employee engagement. Employees are more likely to feel invested in their work and the success of the company when they are given the freedom and support to pursue their own ideas and initiatives.
5. Competitive Advantage
By constantly looking for ways to innovate and improve, Intrapreneurs can help the company stay one step ahead of the competition. This may result in the creation of distinctive goods or services that set the company apart from competitors.
6. Cost Savings
Intrapreneurs frequently discover more effective ways of doing things, which can save the company money. They might also spot chances to open up fresh sources of income.
7. Talent Retention
Companies that support an entrepreneurial culture tend to attract top talent better. Employee retention is higher when they feel empowered to innovate and have a significant impact.
8. Long-Term Growth
Intrapreneurship can aid in the organization’s long-term expansion and sustainability. Organizations can avoid stagnation and remain relevant in their industries by consistently looking for and seizing new opportunities.
9. Risk management
Intrapreneurs are frequently willing to take calculated risks, which can assist the company in identifying and reducing potential risks before they materialize into significant problems.
10. Cultural Change
Promoting Intrapreneurship can result in an improved culture within the company. Long-term gains may result from encouraging a culture of learning, experimentation, and adaptability.
What are Intrapreneurial skills?
A set of abilities and qualities known as Intrapreneurial skills allow people to effectively and proactively promote innovation, creativity, and positive change within their organizations. These abilities are essential for Intrapreneurs as they maneuver through the corporate environment, spot opportunities, and take the initiative to create new strategies, methods, or tactics.
Here, I’ll give a thorough rundown of important entrepreneurial skills:
1. Creativity and Innovation
Intrapreneurs must think creatively and develop original concepts and approaches. The ability to connect seemingly unrelated ideas, imagine novel possibilities, and question the status quo are all characteristics of creativity, which is the foundation of innovation.
Example: Methods that encourage creativity include idea-generation exercises, design thinking workshops, and brainstorming sessions.
2. Problem-Solving
Intrapreneurs are exceptional at spotting and taking advantage of difficult problems and chances. They take an analytical approach to problems, deconstruct them into manageable components, and create workable solutions.
Example: Techniques for effective problem-solving include critical thinking exercises, SWOT analysis, and root cause analysis.
3. Risk-bearing
Intrapreneurial individuals are risk-takers. They weigh potential risks and rewards, come to informed conclusions, and accept uncertainty as a necessary component of innovation.
Example: Intrapreneurs can assess and manage risks with the aid of risk assessment matrices, cost-benefit analyses, and scenario planning.
4. Leadership
Effective Intrapreneurs set an example for others to follow and motivate them to join their cause. They can clearly express their vision, work with cross-functional teams to accomplish shared objectives, and have excellent communication skills.
Example: Intrapreneurs might take on leadership roles in project teams, mentoring peers, and clear direction.
5. Adaptability and Resilience
Intrapreneurs must adjust to change because they work in dynamic environments. They show resiliency in the face of obstacles, take lessons from mistakes, and keep going after their objectives.
Example: A growth mindset, accepting change, and ongoing learning are all ways to foster adaptability and resilience.
6. Resourcefulness
Resources are frequently at a premium for Intrapreneurs. They are resourceful, coming up with innovative ways to make the most of already-existing resources and get the things they require to make their ideas a reality.
Example: Repurposing current technologies, leveraging internal networks, and looking for partnerships are clever tactics.
7. Networking ability
For Intrapreneurs, developing relationships both inside and outside the organization is crucial. To get advice and support for their initiatives, they network with mentors, coworkers, and outside experts.
Example: Key networking activities include going to industry conferences, joining professional associations, and keeping a robust internal network.
8. Business Acumen
Intrapreneurs comprehend the market dynamics, competitive environment, and business model of their organization. They are able to evaluate financial ramifications, analyze market trends, and match their initiatives to strategic goals.
Example: Techniques that support business acumen include financial modeling, market research, and competitive analysis.
9. Pitching
Colleagues, management, and potential investors are just a few of the stakeholders that Intrapreneurs need to communicate their ideas, plans, and progress to effectively. To win people over, they tell convincing stories.
Example: Intrapreneurs hone their communication skills by creating persuasive presentations, persuasive pitches, and messages that are tailored to various audiences.
10. Project Management
Intrapreneurs frequently manage a number of projects and tasks. To effectively prioritize tasks, set achievable objectives, and adhere to deadlines, they require strong time and project management skills.
Example: Setting SMART (Specific, Measurable, Achievable, Relevant, Time-bound) goals, using project management tools, and time blocking are useful strategies.
Individuals who possess all of these Intrapreneurial abilities are better able to drive innovation, negotiate organizational structures, and make a significant contribution to the expansion and success of their organizations. By honing these abilities, a person can become more entrepreneurial and a valuable asset to the innovation efforts of their company.
Successful Intrapreneurs examples
Well, we all know about Jeff Bezos, Elon Musk, Steve Jobs, Sergey Brin, and many alike who have proven records of driving innovation and growth in their companies. But those are their very own companies which they’ve led to scale as entrepreneurs.
We are speaking of Intrapreneurs, Right? So here are some of the examples of Intrapreneurs who consistently worked and brought great ideas and innovation to big names under which they worked.
Ken Kutaragi – Sony Playstation
Ken Kutaragi, an engineer at Sony Computer Entertainment, worked on creating sound chips for the business’s electronic products in the early 1990s. A dedicated video game console that could compete with Sega and the Nintendo game console was his game-changing idea.
Back then, consoles with limited graphics and computers were the main platforms for playing video games. Ken faced opposition from Sony executives when he first proposed the idea, but he persisted and eventually won their support.
Finally, the Sony PlayStation was introduced in 1994 and was an immediate hit. It introduced 3D graphics and immersive gameplay, established a new standard for consoles, and displayed true corporate innovation, all of which revolutionized the gaming industry. It paved the way for later innovations like the PlayStation 2, 3, and 4 and helped Sony establish itself as a major player in the electronics market.
Paul Buchheit – Gmail
Paul Buchheit, a Google engineer, had previously held positions at Intel and Compaq. He was given the responsibility of working on a brand-new email service in 2001 that was initially intended to compete with Hotmail.
Buchheit pioneered the concept of providing users with massive storage, which was unheard of at the time. He also pioneered the concept of email threading, which made it easier for users to keep track of ongoing conversations. Furthermore, he included a powerful search function that allowed users to quickly locate specific emails. All these features were exceptional back then.
When Gmail was made available to the general public in 2004, it quickly became one of Google’s most popular new products. Gmail’s cutting-edge functions and user-friendly design made it a popular option among email users and solidified Google’s standing as a company that prioritizes the user experience. The success of Gmail serves as a reminder of how crucial it is to be prepared to invest in and take calculated risks with promising project ideas, even if there is no immediate return.
Bob Bernstein – McDonald’s Happy Meal
Now here’s an example from a non-tech company, one of the world’s most popular fast food chains.
In the 1970s, Bob Bernstein worked as a marketing executive for McDonald’s and was tasked with coming up with a strategy to make the fast-food restaurant chain more appealing to families with children. At the time, McDonald’s was primarily a place for adults to go, and there was nothing on the menu that was specifically for kids.
A small meal for kids that included a burger or chicken nuggets, fries, and a toy was the brilliant idea of the Happy Meal, which was created by Bob. The game-changer was the toy. It turned the Happy Meal into a fun, engaging experience that kids eagerly anticipated rather than just another meal option. The toys frequently have connections to well-known films or TV shows, which excite and anticipate kids.
The Happy Meal was first offered in 1979, and it quickly gained enormous popularity. It is the ideal illustration of how Intrapreneurship can spur commercial success by pinpointing customer needs, taking calculated risks, and consistently coming up with new ideas to stay on top of the competition.
Summing Up
Developing success as an Intrapreneur requires a commitment to fostering innovation and constructive change within an organization. You can have a significant impact and aid in the expansion and achievement of your organization by developing the proper mindset, acquiring skills, establishing connections, and thus building a sustainable system.
