Innovation in the Information Age, Part Three: An Intra-venture Case
Study-Enron
(This dialogue string began with tip 6/21/99)
Though there are critics who argue that an intraventure- a venture unit or
enterprise division within an organization-can never succeed, in the next
weeks we’ll look at how Enron has managed to spur innovation inside its
corporate walls.
Enron is a energy company with a range of services from drilling, to energy
transportation, to energy and facilities management. In an industry that
might best be described as stuffy, Enron is a stand-out in terms of the
culture of innovation it has created.
As stated in their vision and values pages (www.enron.com), “Enron is a
laboratory for INNOVATION. That's why we employ the best and the brightest
people. And we believe that every employee can make a difference here.”
Nice sounding words-that also appear to be true. Says Jeffrey Skilling,
Enron’s President, “While other energy companies collect engineers, Enron
hires MBAs and even the occasional humanities major. We stick them in the
organization and tell them to figure something out.” (New York Times,Firing
Up An Idea Machine: Enron is Encouraging the Entrepreneurs Within,
by Agis Salpukas, 6/27/99.)
This concept doesn’t exist in a void. Enron backs up its ideals with specific
programs to support success. Its Internship and Mentoring Program matches-up
senior executives with lower ranking employees to help them find an
interesting frame for their work, challenging them to “start a new business”
within the context of Enron’s services. This pairing of employees also
promotes informal cross-polinating conversations, another catalyst for active
creativity in a corporation.
Next week, we’ll explore other aspects of Enron’s success with internal
innovation.
