2InS Clusters WP 3. Action 3.4

Transcription

1 2InS Clusters S.M.E.s Innovation and Internationalization Support Clusters WP 3 SMEs Innovation and Internationalization: Diagnosis of the Current Status in the Target Regions Design of Territorial Innovation and Internationalization Support Clusters ( 2InS Clusters ) and the Transnational 2InS Expert Network Action 3.4 Design development of Methodological Tools for supporting Innovative and Internationalized Entrepreneurship ( 2InS Facilitator s Toolkit ) 1

2 DELIVERABLE Model Business Plan for Innovation and Internationalization ("Model 2In Business Plan") Coordinating partner Sviluppo Basilicata SpA 2

3 INTRODUCTION BUSINESS PLAN: INNOVATION AND INTERNATIONALIZATION In the course of its life, every company needs changes. Why? To anticipate the changes envisaged by the market, to adapt to the changes that have already occurred, to help the company to reduce the environmental impact, to become more competitive. Why should a company which intends to innovate or internationalize prepare a business plan? Both to analyse its own project and to involve stakeholders in the change process, so to search for partners or donors, etc. It will try to understand the necessary information to express this change. In order to choose such necessary information, it is fundamental to understand the meaning of innovation and internationalization processes, to identify which direction to go, and to foresee the future. We hereby identify these necessary information. Company s data Each business plan must first of all provide the general data of the enterprise: name, location, tax code, VAT, welfare data and postal address. Although such data seem to be almost useless, a sort of unnecessary loss of time for the company, they are essential to help the subject in charge of the analysis of the business plan to carry out all the necessary checks on different databases. It should then provide the indication of the legal representative and, if different, of the contact person with telephone numbers, so to be able to contact the company and to obtain quick clarifications on the project. In order to have a complete vision of the company s organization, an organization chart and the employment data are required. A brief history of the company and information on its activities It is necessary to understand the starting point. Therefore, it is appropriate to provide a short history of the company, its current products, the reference customers, the markets served and the main suppliers. It is advisable to request the last three approved budgets and a recent (less than three months) provisional budget. Since the innovative process is often subject to certifications, a detailed list of the certifications obtained by the company could be useful. Characteristics of the innovation/internationalization This is the fundamental part of the business plan, that is to say the description of the innovation to be implemented or the internationalization process to be designed. 3

4 What is innovation? Innovation is a change; a change which affects the life of the company and often impacts on the way of living and doing things. The word evokes something striking and able to create confusion and dismay; as other terms frayed from use, it has lost its original meaning and today it is always used without a proper understanding of real limits and borders. The meaning seems to depend on the person you ask for. It is the change that allows entrepreneurs to save in the production process or to earn more, and to overcome the crisis or just a set of words invented to obtain funding. Detailed description of the change process The project must provide not only a detailed description of process, product, organization, and marketing innovation planned. The change process will be developed in stages and all the steps required, from greater to smaller, should be told and described. It will be possible to imagine different stages: a START-UP, analysis and check-up phase useful to identify needs and expectations; a PLANNING phase to identify the project s timing, budget, and responsibilities; an IMPLEMENTATION phase, to implement-reorganize and manage expectations; a MONITORING AND CONTROL phase to manage changes and monitor quality and risks; a CLOSURE phase to close the project formally. Whatever the type of innovation may be, it requires a more or less relevant commitment to the company, in order to handle with the change and to revitalize harmonically. Innovation can relate to one specific sector, such as production or sales, or to the company as a whole. The variation in the production process may affect, for example, the production times only, so to cause the need to take these new times into account, to change supply or delivery times, or to determine a change in the company s philosophy or values. The choice of new markets often determines the need for new necessary performances such as a change in label or packaging, but also the presence of a different production approach. "If once we were driven by the need to reduce costs, the imperative today is to create new markets, be present with a new sales network and with specific products" 1. Description of the ex-ante and ex-post situation of the company What will the company look like after the process? A parallel between the ex-ante and ex-post situation is required together with the indication of the innovation s objectives such as, for example, the reduction of costs, the growth of production capacity, and the enlargement of market perspectives. Environmental sustainability According to Vito Di Bari 2 we are entering the reputation era. How many times have we heard someone say that image is everything? This won t be the case of future. If we want to achieve success, we have to short-circuit image and 1 Letizia Olivari, Pmi in recupero sull estero, in L impresa N. 2/2011, Il Sole 24 Ore S.p.A., Milan, p Vito di Bari: Professor of Innovation Design and Management at Politecnico di Milano and Forecaster. 4

5 focus on reputation 3. The credibility an enterprise has on issues that are considered as fundamental 4. And here it is the overview: people love giving their money to those who will use them partly for an ethically, environmentally or socially useful cause. 5 The companies requiring an environmental certification will be rewarded as well as the companies providing for the acquisition of plants for the reduction of the environmental impact. We cannot keep on ignoring this issue. Investments in productive clusters or districts to come out of the crisis the society we live in has to recover its ability to think and act in network This is the logic of being, living and working within a network. The same one that gave collective force within the personal capitalism in its Italian version - to the many individual initiatives born in industrial districts, in supply chains, in the territories. They did not remain isolated, but have - voluntarily or involuntarily created a system, becoming the expression of the social modernity of a place and a tradition 6. Rullani 7 thinks that a tacit knowledge, not organised in a written text, is widespread within the territory and shared because of the co-presence in the same area, it is in the air and can be transferred. This knowledge goes hand in hand with a codified knowledge, reproducible by nature that can be found in machines and books. When using the ideas obtained in the open circuit of social knowledge (open innovation) a broad circuit, in which knowledge and innovation are summed up and integrate with those of the others Innovation cannot be individual 8. Origin of the innovation According to Manuele Presutti 9 large enterprises are the primary source for the development of innovation 10 but innovative are also the companies that develop profitable networks of relationships with external subjects - for example, venture capitalists, incubators, customers, universities - in order to ensure access to new resources otherwise not available Vito di Bari, Cortocircuito, Il Sole 24 Ore S.p.A., Milan 2009, p Vito di Bari, 2009, op. cit. p Vito di Bari, 2009, op. cit. p Enzo Rullani, Economia della conoscenza e impresa diffusa, in Rinforzare la Rete. Imprese e istituzioni nel tempo dell innovazione e della discontinuità, Società Editrice IL Mulino, Bologna 2010, p Rullani: Professor of the Knowledge Economy and Business Strategies at Venice International University, Venice. 8 Enzo Rullani, 2010, op.cit. p Manuele Presutti: Associate Professor of Economics and Business Management at Bologna University. 10 Manuela Presutti, Sviluppo imprenditoriale e diffusione dell innovazione nei contesti locali: un approccio network-based, in Rinforzare la Rete. Imprese e istituzioni nel tempo dell innovazione e della discontinuità, Società Editrice IL Mulino, Bologna 2010, p.70 5

6 It is useful to know the way in which the technological transfer took place: "companies draw on a plurality of external sources for their own need for innovation" 12, so it is useful to go through the subjects of the technology transfer, such as science parks, public and private research structures, Universities. Spin-offs from parent companies, transferring innovative technologies, can occur. Support services In order to face the changes, companies can foresee the introduction of support services facilitating the innovation or internationalization processes: - Training; -Temporary management. "Every project requires changes, and the excellence of the Project manager can be realized by looking at the strategies he carries out to overcome inevitable resistances. One of the principles of the change management says that everyone wants (others ) change, but few want to change (themselves). 13 Companies can arrange training courses for their employees in order to provide them with notions or induce behaviours in line with the changes they want to introduce. It is possible that companies think about the coaching. "The new models of coaching, the Anglo- Saxon method of transformation and growth helping individuals and groups to achieve goals and address changes that are hardly achievable on one s own, consider the subject in all his behaviour, in a holistic way." 14 "The reaction to the changes is a fundamental factor for SMEs, and this can be taught through coaching. 15 This entails the possibility to resort to a temporary manager, able to facilitate the introduction of a new project, a complex process of change involving culture, strategy and corporate structure. Not always, in fact, the company has its own internal manager endowed with the necessary skills to promote the introduction and the development of a new project. "Almost always a TM intervention has, among its additional objectives, to transfer to the customercompany the necessary know-how and skills to improve the management of certain processes and functions. In order to obtain a successful result, it is however necessary to identify, as soon as possible, the addressees of these know-how and skills so to better manage what has been already implemented by the TMan" Manuela Presutti, 2010, op. cit., p Gianfranco Dioguardi, Open Innovation per tornare a crescere, in L impresa N. 2/2011, Il Sole 24 Ore S.p.A., Milan, p Guido Gronchi e Marcello Patrese, Così si lavora meglio, in L impresa N. 2/2011, Il Sole 24 Ore S.p.A., Milan, p Paola Stringa, Uno strumento propedeutico al cambiamento, in L impresa N /2008, Il Sole 24 Ore S.p.A., Milan, p Paola Stringa, Pmi a lezione di cambiamento, in L impresa N /2008, Il Sole 24 Ore S.p.A., Milan, p Maurizio Quarta, Opzione TMan, in L impresa N. 7 10/2007, Il Sole 24 Ore S.p.A., Milan, p. 45 6

7 Economic-financial forecasting It is necessary to forecast the future, because this reduces the risks connected to the change. What happens after the crisis is over?... Some companies will no longer exist Other companies by making cuts and interventions will be depleted Many things will change how will the markets be after the crisis?...there are psychological cycles The historical period we are going through has been dominated by the desire/fear of dimensions (the multinationals, the global challenge), this cycle is drawing to an end. And now we are at the dawn of a new cycle, which has already started to manifest and will be implemented in the medium term. This new cycle will be marked by the desire/fear of speed I suggest using the pauses to stop and think, and to formulate thoughts in the medium term. But at least, ready to go! Vito Bari, however, says something new by stating two important things: 1) The future comes much more slowly than expected, 2) The future is predictable 18. The experience of the crisis queries our idea of modernity: we are asking whether it is sensible - and sustainable - to move toward an increasingly artificial world, designed by the "modern reason" according to its own abstract and universal standards. This is a rational world, or can be considered as such, distant and indifferent to our uniqueness of individuals and to the manifold ecologies we inherited from the past, shaped from nature and history and almost never corresponding to a rational design Vito di Bari, 2009, op. cit., from p. 27 to Vito di Bari, 2009, op. cit. p Enzo Rullani, 2010, op. cit. p

8 THE BUSINESS PLAN FOR INNOVATION AND INTERNATIONALIZATION 1. DATA OF APPLICANT COMPANY Corporate name/denomination Legal form Vat number Tax code Activity starting date Activity Sector Welfare data (such as social security contributions, etc.) SEAT Statutory seat Address Municipality Postal code Province Operational headquarter Date of localization Address Municipality Postal code Province 8

9 UNITY SUBJECT OF INTERVENTION Address Municipality Postal code Province 1.1 PERSONAL DATA OF THE HOLDER/LEGAL REPRESENTATIVE Last name Name Tax code Place of birth Sex Date of birth 1.2 COMPANY S DIMENSIONAL DATA DIMENSION: micro enterprise small enterprise medium enterprise 1.3 COMPANY STRUCTURE N. LAST NAME/NAME OR CORPORATE NAME SEX M/F CAPITAL SHARE STAKE (PERCENTAGE) VAT NUMBER/ TAX CODE TOTAL 1.4 ORGANIZATION CHART Report the organization chart 9

10 1.5 COMPOSITION OF THE ADMINISTRATIVE BODY N. NAME LAST NAME SEX M/F POSITION HELD 1.6 MANAGEMENT Last name and name Role CEO/President/ General Director etc. 1.7 SHORT HISTORY OF THE COMPANY AND DESCRIPRTION OF THE ACTIVITY History of the company, products/services, reference markets: main customers, main suppliers, etc. 1.8 EMPLOYMENT DATA Indicate the number of employees AWU in the 12 months preceding the submission date 1 Qualification N. Senior Managers Middle-ranking Managers Employees Of which women Of which disadvantaged/ disabled Of which qualified personnel 10

11 Workers Other TOTAL 1 average number of employees, in terms of AWU, during the 12 months preceding the date of submission or in the shortest period of previous activity in the case of companies active from less than 12 months. 1.9 CERTIFICATIONS STATUS Does the company own one or more certifications? yes no If YES, please fill in the following table Certification Date of acquisition Reference legislation 11

12 2. DESCRIPTION OF THE INNOVATION AND/OR INTERNATIONALIZATION PLAN INNOVATION A. Process or product innovation B. Organizational innovation C. Marketing innovation D. Eco-innovation E. Innovation support services INTERNATIONALIZATION F. Internationalization 2.1 DETAILED DESCRIPTION OF THE INNOVATION PLAN Description of the innovation project Provide a description of the innovation project. For example: realize a product/service or product line currently not existing in the company; introduce a process currently not present in the company; innovate a product/service or product line already existing in the company; innovate a process already existing in the company; adopt new marketing /organizational strategies; other. Objectives of the innovation project Indicate the objectives of the innovation plan. For example: costs decrease; production capacity increase; enlargement of market perspectives; other. 12

13 Origin of the innovation Describe the origin of the technology together with a supporting documentation. Involvement of research centers for innovation and technological transfer Short description Contracts with accredited research organizations, public or private research laboratories Patent acquisition Including any analysis of anterior patents Within the company Describe whether the company has its own research and development area, the elements that characterize the internal research that have led to innovation 2.2 DETAILED DESCRIPTION OF THE INTERNATIONALIZATION PLAN Description of the internationalization project Provide a description of the internationalization project. For example: indicate if there is the intention to relocate the production; indicate if there is the intention to sell in foreign markets; indicate if this entails changes in the production cycle or in the characteristics of the products; indicate if this involves changes in the packaging; indicate if this involves a change in the range of services; adopt new marketing/organizational strategies; other Objectives of the internationalization project Indicate the objectives of Internationalization plan, for example: costs decrease; 13

14 production capacity increase; enlargement of market perspectives; other Origin of the internationalization Describe the origin of the technology together with a supporting documentation. Involvement of internationalization centres Short description Within the company Short description 2.3 Description of the company's situation ex-ante and ex-post intervention Provide a comparative evaluation of the business situation "ex-ante" and "ex-post" intervention, highlighting the possible variations in quantitative and qualitative terms 2.4 Timing of the implementation Provide a description of the phases of the internationalization/innovation process WORPLAN AND TIMING INVESTMENT START DATE INVESTMENT END DATE TIME DISTRIBUTION OF INVESTMENT EXPENDITURE YEAR N (START YEAR) YEAR N+1 YEAR N+2 TOTAL 14

15 3. MARKET PERSPECTIVES 3.1 ANALYSIS OF THE SIZE AND TREND OF THE REFERENCE MARKET Indicate the size and the characteristics of the reference market as a result of the innovation and/or internationalization plan 3.2 DEMAND AND COMPETITOR ANALYSIS Demand and competition analysis as a result of the innovation and/or internationalization plan 3.3 COMPETITIVENESS INCREASE AS A RESULT OF THE PROJECT Indicate the market positioning of the company as a result of the innovation and/or internationalization project (in terms of extension of market area, and increase in market shares, etc.) 15

16 4. USE OF INNOVATION SUPPORT SERVICES This section must be completed in case that the company decides to use innovation and/or internationalization support services. 4.1 ACQUISITION OF SERVICES PROVIDED BY QUALIFIED SUBJECTS/ PROFESSIONAL PERFORMANCES (the supporting documentation proving the professional experience of the qualified subject and/or the curriculum vitae of the expert consultant must be attached in any case) Description of the innovation/internationalization support service, TEMPORARY MANAGEMENT Contract typology Duration 4.2 ACQUISITION OF TRAINING SERVICES Training courses; coaching Duration 16

17 5. ENVIRONMENTAL SUSTAINABILITY Has the company planned to acquire an environmental or social certification system in the framework of the investment program? yes no If YES, please fill in the table below by indicating the reference legislation and the name of the certification Name of the Certification Reference legislation Estimated date for the acquisition Please describe any elements of the investment plan aimed at improving the environmental performance 17

18 6. INVESTMENTS IN PRODUCTIVE CLUSTERS OR BY SMEs WHITIN DISTRICTS A Does the company belong to a District and has the investment to be carried out within this district? B Has the investment to be carried out within a Productive Hub? YES NO If YES, which one? YES NO If YES, which one? 18

19 7. SEAT 7.1 INDICATION OF THE SEAT Indicate the seat in which the investment plan will be carried out 7.2 ECONOMIC-FINANCIAL FORECASTS Provide economic and financial forecasts (balance sheet and profit and loss account) as a result of the implementation of the project. The forecasts must refer to the 1st trading year following the completion of the change program and until the entry- into- force of the investment: BALANCE SHEET Projection ASSETS Current Assets Cash Accounts receivable Inventory Prepaid expenses Short - term investments Total current assets Fixed (Long- Term) Assets Long term investments Property, plant, and equipment (Less accumulated depreciation) Intangible assets Total fixed assets Other assets Deferred income tax Other Total Other Assets Total Assets 19

20 BALANCE SHEET LIABILITIES AND OWNER S EQUITY Current liabilities Accounts payable Short-term loan Income taxes payable Accrued salaries and wages Unearned revenues Current portion of long-term debt Total current liabilities Long Term Liabilities Long-term debt Defrred income tax Other Total Long Term Liabilities Owner s Equity Owner s investment Retained earnings Other Total Owner s Equity Total Liabilities and Owner s Equity Projection PROFIT AND LOSS STATEMENT Projection Sales Revenues Product/Service 1 Product/Service 2 Total Sales Revenues (J) Cost of Sales Product/Service 1 Product/Service 2 Total Cost of Sales (K) Gross Profit (L=J-K) Operating Expenses Sales and Marketing Advertising Direct marketing Other expenses (specify) Total Sales and Marketing Expenses (M) General and Amministrative Wages and salaries Outside services Supplies Rent 20

21 Utilities Depreciation Insurance Repairs and manintenance Other expenses (specify) Total General and Administrative expenses (N) Research and Development Technology License Patents Other expenses (specify) Total Research and Development Expenses (O) Total Operating Expenses (P=M+N+O) Income from Operations (Q=L-P) Other Income (R) Taxes Income Taxes Payroll Taxes Other Taxes (specify) Total Taxes (S) Net Profit (T=Q+R+S) 7.3 WORPLAN AND TIMING INVESTMENT START DATE INVESTMENT END DATE TIME DISTRIBUTION OF INVESTMENT EXPENDITURE YEAR N (START YEAR) YEAR N+1 YEAR N+2 TOTAL 21

22 8 INVESTIMENT PLAN 8.1 DETAILED INVESTMENTS Type of investment A) DESIGN AND STUDY Good/service description Details of the estimate (date and n.) Supplier Total investment ( ) A.1) Design A.2) Test provided for by law A.3) Authorization and permit charges A.4) Costs for technical advice (legal, notary fees, technical and financial advices) A.5) Costs for guarantees. B) COSTS RELATED TO MATERIAL INVESTMENTS B.1) Renovations B.1.1). B.1.2). B.2) Machinery, plants and equipment B.2.1). A TOTAL B.1 Total B.2.2). C) COSTS RELATED TO IMMATERIAL INVESTMENTS C.1) Patents and licenses C.1.1) Patents B.2 Total B TOTAL C.1.2) Licenses C.1.3). C.1 Total C.2) Contracts with innovation and/or internationalization centers C.2.1). 22

23 C.2.2). C.3) Computer programs C.3.1). C.3.2). C.4) Costs for the acquisition of certifications C.4.1). C.4.2). C.5) Advices C.5.1). C.5.2). ACTIONS SUPPORTING INNOVATION/INTERNATIONALIZATION D.1) Consultancy services provided by qualified subjects D.1.1). C.2 Total C.3 Total C.4 Total C.5 Total C TOTAL D.1 Total D.2) Professional services D.2.1). D.2 Total D TOTAL TOTAL A+B+C+D 23