Harnessing the Creative Power of Innovation in Small Business

1. Harnessing the Creative Power of Innovation in Small Business Karthik Srinivasan Director Office: 703.448.6081 ext. 401 Mobile: 571.209.8285 ksrinivasan@wbbinc.com

2. Innovation Is the New Oil • Market Capitalization & Operational Ability • The information age has leveled the competitive playing field • Intangible Capital account for 80% of the market value of the S&P 500 companies • Innovation and Knowledge are key business differentiators

3. Mission Critical Innovation – Strategic Map

4. Innovation Process & Focus Areas

5. Homeland Security’s needs on Innovation • Changing needs of Homeland Security • Expectation & Experience • Stakeholders & Usage • Product/Service offering, design & support • Technology, Performance, Context & Competition • Business Processes & Value Model • Financials, Culture, Leadership, Values • Innovation Priorities • Catalyze breakthroughs for national priorities • Develop advanced IT ecosystem • Build a leading infrastructure • Leadership in fundamental research

6. Changing needs of DHS Looking Back Moving Forward • Capabilities based • Generalist Offering • Stove-piped • Ad hoc Technology infusion • Client Business Need • Future Focused • Transparent and Collaborative • Deliberate Solution, Process, and Market Innovation

7. Innovation – Current Focus Areas Drivers for Innovation in Homeland Security • Priorities • Cost Savings • Technology Infusion • Operational Excellence • Stakeholder needs • Sharing, Accessibility needs DHS Focus Areas in Innovation

8. DHS Expectations on Small Business Support

9. Questions to ask yourself • Small businesses must develop a business strategy that includes solution strategy for your clients • Solutions to Clients – Key questions to ask: 1. Exactly what problem will this solve? (value proposition) 2. For whom do we solve that problem? (target market) 3. How big is the opportunity? (market size) 4. What alternatives are out there? (competitive landscape) 5. Why are we best suited to pursue this? (our differentiator) 6. Why now? (market window) 7. How will we get this solution to market? (go-to-market strategy) 8. How will we measure success/make money from this solution? (metrics/revenue strategy) 9. What factors are critical to success? (solution requirements) 10. Should we build, partner or buy this capability? 11. Given the above, what’s the recommendation? (go or no-go)

10. Strategic Thoughts for Small Business • Connect with your customers in order to truly understand them; pay particular attention to framing the conversation around the problems the customer has rather than the problems you think your current product or services could solve for that customer. • Be iterative in regards to strategy and planning, in order to maintain flexibility and be most responsive to outside change. • Be open to experimentation with new business models. • Above all, businesses of all sizes need to remember that innovation is not limited to products, services, technology or creative thinking. Creating a new iPod isn’t always the goal–rather, focus on understanding why the customer can’t adequately solve important problems and develop an innovative business model that does the job in a new, novel fashion

11. Small Business Innovation – Closing Remarks • Success is defined by everyone’s involvement & engagement in innovation • Focus on broad innovation to Homeland Security’s mission needs • Product/offering, Process, Delivery, Finance • Innovation is not in development of new products alone • Disruptive Innovation is key • Apply different set of values to overtake an existing situation or problem • Success criteria • First to Solve • Faster to Solve • Focus on Value to Homeland Security • Better Solutions • Lasting Solutions

12. Questions ? Karthik Srinivasan Director Office: 703.448.6081 ext. 401 Mobile: 571.209.8285 ksrinivasan@wbbinc.com