Fall 2011 BAEP 556: Technology Feasibility Analysis
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BAEP 556 – Allen– Fall 2011 – Tues. 6:30 Fall 2011 BAEP 556: Technology Feasibility Analysis Lloyd Greif Center for Entrepreneurial Studies Marshall School of Business, Bridge Hall One (lower level) University of Southern California Los Angeles, CA 90089‐0801 Phone: 213‐740‐0641 Fax: 213‐740‐2976 www.marshall.usc.edu/entrepreneur www.marshall.usc.edu/ctc www.n2tec.org www.theventureedge.com Teaching Team: Kathleen Allen Ph.D. Bio: http://www.marshall.usc.edu/greif/faculty.htm Ph 213‐740‐0659 Email: [email protected] Scott Lenet, Founder and Managing Director, DFJ Frontier. Bio: http://www.dfjfrontier.com/scott.shtml [email protected] TA: Jon Bassett, Associate, DFJ Frontier [email protected] Course Section: 14418R Tuesdays 6:30‐9:30 p.m. ACC 236 Office hours: Mondays: 2:00–5:00 p.m. and Tuesdays 2:00‐5:00 p.m. and by appointment at other times and days. So that we are not interrupted during our visit and schedule enough time, I recommend that you make an appointment. Please e‐mail me with your appointment request. E‐mail also works for short questions, as I respond to e‐mail daily. Phone/SKYPE conferences are also encouraged. Prerequisite To be successful in this course and enjoy the best experience, you should have a sincere interest or passion for learning and experiencing how an idea can become a real business. This is a hands‐on course that will require your active participation. It is not for those who simply want to listen and take notes. The rewards for your effort go well beyond the grade you will receive. The Teaching Team will treat your opportunity as a real business, so you should be prepared to take the assignments and field work seriously. Course Objectives The big goal of this course is that you walk away with the skills and techniques to identify and design an opportunity and a business that meets real customer needs. The following objectives are also part of this course: Gain experience in identifying an opportunity and developing a business concept Understand what a business model is Gain experience iterating a business model to meet a real need Develop hypotheses and tests for all the elements of the business model Gain experience iterating a product offering to meet real customer needs Communicate your business story effectively to others BAEP 556 – Allen– Fall 2011 – Tues. 6:30 p.m. Learn the tools needed to make a wise decision about whether to start a business or accept a job offer. Course Description and Approach This course provides a real experience in starting a technology company. It is NOT about writing a feasibility study or planning a new venture. Instead, you will experience the uncertainty, ambiguity, and chaos of giving birth to a new business as you talk to customers, potential partners, competitors, and other stakeholders in your business. Teaching Team: Although Dr. Allen is the professor of record for the course, we wanted the teams to have the benefit of diverse experience and expertise and to receive sufficient coaching and support, so we have a Teaching Team comprised of Kathy Allen, Scott Lenet, and TA Jon Bassett. Their bios are linked on the first page. Teams: You will be working and studying in teams of 3‐4. The best startups have been team efforts, so choosing your team members is the most important task you have in the first week or two of the semester. We will talk about the criteria to use when choosing team members. Each team should seek a mentor in your industry— generally an entrepreneur or investor type—to provide ongoing advice throughout the semester. We will talk about the appropriate use of mentors in class. Weekly: Each week we will tackle a new element of the business model to prepare you for your next task. This will be accomplished through mini‐lectures, discussions, and experiential exercises. Each week your team will report to the Teaching Team and your classmates via your “dashboard” (this will be demonstrated in class) on your progress and the lessons learned that week. Field research is a key element of this course, so be prepared to get out of the building and talk to people. Each team will keep an online journal, blog, or wiki to capture their progress and lessons learned throughout the semester. Other students will have access to the journal as will the Teaching Team—it is part of your grade. Business ideas: The business ideas you choose must be technology related but can be software, a physical product, or service, or some combination. In the past, our teams have done everything from life sciences to healthcare and the Internet. In Week 2 we will have several entrepreneurs pitch opportunities that you may choose as one of your concepts. The Internet is always a favorite choice by students, but the reality is that you should choose an idea in which you have some domain interest and expertise (for example, your graduate research). If you do choose a Web concept, understand that you will need to build it in a simple form to demonstrate the concept during the semester. All concepts will involve some physical demonstration. Other: We plan to bring in a few speakers this semester to give you different perspectives on some aspect of the business model. At the end of the semester your team will have the opportunity to tell your story to a panel of investors for feedback and to gauge the potential to secure capital should you need it. Required Materials (Required) Launching New Ventures, 6th Edition, K Allen, Cengage, 2011. This book is available on Amazon, Barnes & Noble, or on the publisher’s web site. It will serve you for the business plan course as well. Students have said that it is an excellent reference and readable. It covers the fundamentals of the course, namely feasibility analysis in detail, so that we can focus on additional important material and use class time for discussion, feedback to your teams, and experientials. In the course plan you will notice that chapters from this book have been assigned. To save money, your team may decide to purchase one copy to share. We’re fine with that. Be sure you purchase the 6th edition, which just came out. It is quite a bit different from the 5th edition. BAEP 556‐2 BAEP 556 – Allen– Fall 2011 – Tues. 6:30 p.m. (Recommended but optional) Business Model Generation, Osterwalder & Pigneur, 2011. This book is available online at the usual places. We will post a preview copy in Blackboard. If you like it, we encourage you to purchase it as we will be using a modified version of the framework and some of the exercises in class. All other materials will be distributed free of charge. Attendance and Preparation Requirements: Attendance at all class sessions is critical to the participation component of the course and to learning in general as we will discuss material not found in the textbook; in addition, we will undertake a number of in‐class exercises and strategy‐building sessions that require your regular attendance. Entrepreneurship is inherently collaborative—a social process. Entrepreneurs find opportunities, adapt, change, and improve themselves by listening and learning from others. Please come to class prepared to participate in the day’s activities, which means having read the chapter(s) or assigned readings for that day and having prepared to discuss the progress on your opportunities. Please plan to arrive on time so as not to disturb the class, a guest speaker, or interrupt the teaching team. Evaluation To achieve an A in this class, you will need to go well beyond the minimum requirements as stated in the syllabus in terms of the quality of your work and your involvement in and contribution to the class. An A is a sign of superior work and, much like the efforts of entrepreneurs, reflects the fact that you stood out from the crowd. Your final grade is based on an evaluation of the following activities: Individual Assignments Percentage Points Participation, attendance, in‐class exercises peer 10 200 assessment, self assessment Team Assignments Team weekly Dashboard Summaries and Journal 50 1000 Posts (10 @ 100 pts each beginning Week 5) Final “Lessons Learned” presentation 20 400 Pitch to investment panel & 3‐page Executive 20 400 Summary Total 100 2000 Note: If you do not inform us of missing or incorrect grades within two weeks of the grades being posted, the grades will be assumed correct. Do NOT wait until the end of the semester to check your grades or appeal a grade on any assignment. Grading Standards To avoid substantial disparities across courses, instructors in MBA courses are required to adhere to specific target grade point averages for each course they teach. This policy statement includes the standards, allowable deviations, and implementation details of MSB grading standards. Elective Courses: regular sections 3.5 (targeted grade average) Instructors are not permitted to have their average GPA in a single course deviate by more than 0.1 above the target. BAEP 556‐3 BAEP 556 – Allen– Fall 2011 – Tues. 6:30 p.m. Pass/No Pass Students who are non‐business majors/minors taking the class for elective credit may elect the pass/no pass option. A pass/no pass class will NOT count towards a student’s major or minor requirements. Guidelines for all Course Assignments (Please read carefully!) The following guidelines apply to ALL assignments without exception. Specific instructions follow in the Description of Course Assignments section. All assignments must be posted to the Blackboard assignment page (NOT the Digital Drop Box) by the date and time due as posted in the Course Plan.