Well first,
what is an ecosystem? An Ecosystem is defined as a biological community of
interacting organisms and their physical environment. Similarly, for startups
and midsize technology companies, the ecosystem brings together the companies
themselves and everything around them that impacts their operations. That also
suggests that a nurturing ecosystem is essential for their long-term survival
and prosperity. There are a number of things to keep in mind while outlining
the ecosystem needs of startups and midsize technology company.
Our view is
thatfor our industry, an inter-connectedmulti-layered ecosystem is needed to
work the magic. Here’s more about those components.
Firstly, it
is the people and their expertise who make up a large part of this enabling.
Entrepreneurs with their new ideas take a risk by starting their own company
but they can’t go it alone. their company would also need talent. The right
kind of employees is required to ideate and execute all those bright ideas to
have a successful run in the market. Another, just as essential, talent that
such companies find themselves relying on is mentors. It is these mentors who
would point them in the right direction.Their advice is based on their own
expertise and knowledge of the industry and this makes them an extremely
valuable people-resource.
A company
needs funds. In case of a bootstrapped startup, this capital is usually pumped
in by the founder. The best funding is always from real customers – startups
and technology companies that make an impact in the market have the opportunity
to generate revenue through sales.Then there are theinvestors. A thriving
ecosystem has a fair mix of Angel, Seed, and Venture Capital investors who are
willing to bet on the future success of a company. In specific sectors, working
with the Government could prove to be of great help too, either directly or
through funds allocated to various ministries or government departments. There is
also debt-funding in the form of loans available from banks for small and large
needs for the short, medium, and long-term funding needs.
Data,
research, and the ability to draw actionable insights also play an important
role in driving this delicate ecosystem. Ideas need validation and actions must
be based on a sound understanding of probable results. Academia plays a key
role in this regard of course. This where the market studies are done, new
business models are examined for impact, and up or re-skilling training
provided to those about the hit the market. Academia is also a hotbed of
innovation itself and a place for new and potentially disruptive new ideas to
emerge from incubators and shake up the world.
Networking is
key too. In the world of business, what you know if only as important as who
you know. Networking platforms create opportunitiesfor an exchange of ideas and
establishing common ground that can be harvested for business and partnership
opportunities. Such events lay a huge role in providing information and
education too – be it about the latest government tax or notification, or about
the newest wave to hit the world of business.
It’s clear
that ongoing education is now critically important. This suggests that a
thriving ecosystem must have professional and personal development workshops. Technology
is changing fast, business models are being disrupted, customers are becoming
more demanding, and competitors are becoming more aggressive every day. In this
situation, everyone from the top leadership to the frontline employee faces new
challenges all the time. The opportunity to learn how to address these
challenges effectively can drive personal and professional success.
Lastly, a
thriving ecosystem demands that the startups and technology companies have
access to a variety of vendor partners who can help them address specific
business requirements effectively, efficiently, and in a cost-effective manner.
No company is an island -while they focus on their core skills they can benefit
from working with partners for tasks as varied as recruitment, facilities
management, accounting and finance, and marketing.
A great
example of how different elements of the ecosystem can come together for the
benefit of the community is SEAP’s survey of the Innovation Readiness of Pune’s
technology sector. We got together with our knowledge partners to capture facts
and opinions, evaluate them, and derive insights. The intended outcome was to
establish what has been achieved so far, as well as to recommend the way
forward.Responses indicated that most companies in Pune were involved in
innovation activity. However,the intensity levels of innovation and its
management varied. An interesting finding was that apart from technical skills, the
need to innovate was likely to put pressure on demands for higher level
thinking skills, deeper understanding of the business, social and sustainability
needs. This suggested that tech companies may recruit non-engineering candidates
to bring in the needed diversity. Leaders need to become adept at making the
right strategic decisions to prepare their organizations. Existing employees
need to take care of their personal development. The survey is available here for those
who want to know more, but it’s fair to say that some key
directions emerged for those companies looking to adopt innovation.
It is
impossible for any human endeavor to survive without proper framework or
structure. Just like life needs a balanced ecosystem to survive, startups and
mid sized technology companies need a supportive ecosystem as well. The role of industry organizations like SEAP
is to foster a vibrant ecosystem that enables technology companies of all sizes
to thrive!
