Thursday, December 24, 2009

Definition of Intrapreneurs

Some authors claim that low level employees (Burgelman, 1983b) and middle managers (Kanter, 1995) are especially well suited to notice possible opportunities, because of their closeness to operations and customers. If there is enough slack, or fungible resources, and impetus provided by venture “champions”10, the autonomous behavior may accumulate form and momentum enough for the starting of early stage experimentation and venture formation activities. Some initiatives then progress upward through the hierarchy, as the activities require more resources and consequently need approval from higher level managers. The development of a few initiatives continues until they are mature for acquiring top management authority. “Maturing” here signifies the gradual articulation and definition of the venture’s technical and economical aspects, as well as the development of a “master strategy” for the new area of business (Burgelman, 1983b: 235). The master strategy, therefore, plays the important role of relating venture definition to top management issues and explaining why it is needed. It therefore appears crucial for persuading top managers to select the venture initiative for full-scale pursuit.

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