Introduction: "In a VUCA socio-economic environment, product and service innovations represent the critical success factor for effectively facing social challenges like sustainability transition, demographic aging, educational and health crisis etc. Traditional support infrastructures for (Impact) Entrepreneurs, however, are characterized by a fragmentation of instruments related to partial aspects in each case. Lack of clarity and high efforts required to gain access to poorly linked offerings threaten to overwhelm businesses.
In that respect, the Operative Venture Ecosystem Design (OVED) represents a new organizational form to integrate existing instruments, tailor them to the specific company’s needs and adapt them gradually. OVED represents a transformative approach that embraces ‘wise’ agility, decentralization, and the ecosystem concept, positioning itself as the 'family doctor' of entrepreneurs (Ernesto Sirolli 2013) and companies. This white paper aims to highlight the need for transformation, urging a shift in mindset, the breaking down of sectoral barriers, and the exploration of new possibilities. OVED emerges as a key player in this transformative journey.
Context Analysis: Today's socio-economic environment requires a fresh perspective and innovative solutions also in Venture Ecosystem design. VUCA dynamics, technological leaps such as ChatGPT, and the pivotal role of humans in the Business-to-Human context (Bastian Bärenfänger,2022) call for a departure from traditional fragmented approaches differentiating between different corporate functions (finance, communication, organization etc.), legal status (for-profit, NPO) etc. OVED's emphasis on cross-functional mixed teams addresses the limitations of the outdated and increasingly contra-productive division of labor and fosters comprehensive and effective outcomes. In the future, the community will decide on the relevance of a company and the mindset of each member of this ecosystem will influence the velocity and quality of decisions. There won't be just one genius anymore (Raphael Gielgen, 2020).
The Need for an Ecosystem Approach:
Today, traditional ways of supporting entrepreneurs as main drivers of (social) innovation are no longer sufficient. Exclusively area-specific consulting approaches prop-up standard solutions, which can often blur the specific profile and the individual purpose of the company. Founders or managers are then in danger of being lost in the maze of partially overlapping, partially contradictory recommendations. They risk losing the specific profile of their organization. Ernesto Sirolli, a renowned international advocate for entrepreneurship, emphasizes the need for change by calling for more accurate analysis and guidance: “The passion that the person has for her own growth is the most important thing … Hence, we must stop the patronizing bullshit! If you want to help somebody, shut-up and listen! And then help them to go and find the knowledge, because nobody in the world can succeed alone!” (Ernesto Sirolli, Ted Talk, 2013)
Overcoming Boundaries, wise listening:
Hence, to foster urgently needed innovation, we must overcome sector-specific barriers, which are ‘compartionalizing’ our thinking. OVED is rooted in the power of a more comprehensive and ‘wise’ analytical approach. By carefully tailoring the vast variety of potential entrepreneurial solutions to a particular client, it enables entrepreneurs to think beyond conventional boundaries and leverage the diverse expertise available within the ecosystem. This shift in mindset allows for a more holistic and comprehensive understanding of business challenges and paves the way for groundbreaking solutions.
Matching requirements and service portfolio: As OVED does not only provide businesses with core offerings the compatibility between their personal vision and the OVED ecosystem has a high impact on the success of working together. “We go beyond mere financial support, providing guidance, mentorship, and access to a vast network of resources to help businesses thrive and succeed. The participants of the organization bring the energy into the projects, act as catalysts, impulse givers pioneers and finally force change." (Florian Holste, 2023)
Internal and External Network: An interconnected network is key to OVED's success. By establishing strong connections between internal and external stakeholders, OVED facilitates knowledge-sharing, collaboration, and the exchange of ideas. This network enhances the overall value proposition, making OVED an indispensable model for all businesses.
Differentiating Factors:
OVED stands out from traditional ventures and conventional consulting approaches. It takes a holistic view, offering a comprehensive toolbox that includes consulting expertise, legal insights, and more. This open and inclusive approach equips companies to address multifaceted challenges and seize opportunities confidently.
This comparison showcases the extreme manifestations of organizational models. There is often a continuum with many intermediate stages. However, OVED brings together an approach of careful attention towards the individual business with a wise selection of adequate tools from a holistic and cohesive cross-disciplinary framework. Thus, it combines various elements to create a comprehensive and well-aligned approach that renews itself.
How does the OVED approach work in practice? (Case study seed:youraccellerator, a company of 8020.eco)
One practical example that showcases the operational support provided by (OVED-based) 8020.eco is the collaboration with an emerging e-commerce business. In this case, 8020.eco does not only offer strategic guidance but also actively assists in the transformation process from a sole proprietorship to a limited liability company (GmbH). This involves overseeing the legal steps, coordinating with tax advisors and notaries, and ensuring a smooth transition.
“In addition, we play a crucial role in the conceptual development of the brand. This includes assisting in creating a strong brand identity, designing effective marketing strategies, and executing content production initiatives. We leverage the extensive network to connect the startup with industry partners and helped identify suitable warehousing options to optimize their logistics and distribution processes. Furthermore, we provide ongoing support and mentorship by organizing regular sparring sessions with successful entrepreneurs. These sessions serve as valuable opportunities for knowledge-sharing, brainstorming ideas, and receiving guidance on various operational challenges. In essence, this collaboration with this e-commerce company exemplifies our commitment to delivering comprehensive operational support beyond mere financial investment. By actively engaging in all aspects of their journey, from legal structuring to branding, content production, networking, and continuous mentorship, 8020.eco ensures a holistic approach that empowers the entrepreneurs to navigate the complexities of scaling their business with confidence.” (Benjamin Menche, 2023)
Conclusion:
The need for more effective business support is undeniable. OVED recognizes this imperative and positions itself as a catalyst for change. By challenging old paradigms, breaking down barriers, OVED creates an organizational environment conducive to innovation, growth, and success. OVED is committed to guiding businesses through their transformative journey, equipping them with the tools and support they need to thrive in a rapidly evolving marketplace.
Moreover, OVED stands out as an integrative, normative, and culturally empowering model. It embodies wisdom, empowerment, and knowledge, like a trusted family doctor. By embracing a holistic approach, OVED combines various organizational elements into a coherent and comprehensive framework. It leverages the collective wisdom and expertise of diverse stakeholders to provide tailored guidance and support to entrepreneurs and companies. This integrative approach fosters a culture of collaboration, continuous learning, and adaptive problem-solving.
As a progressive and forward-thinking solution, the OVED concept redefines the future of consulting and venture support. It’s agile and decentralized model, rooted in the logic of an ecosystem, empowers ventures to thrive in an increasingly complex and rapidly changing business landscape.
