Innovation through intrapreneuring in government PSUs: a comparative case study

Abstract

Does Intrapreneurship happen in the PSUs? Can Intrapreneur change the destiny in PSUs? The Current Study looked at Core Manufacturing Central Sector PSUs to explore the process of innovation by the Intrapreneurs, the drivers and inhibitors for the same by case study analysis. The innovation process captured from the cases was juxtaposed to find fits and departures from Gary Hamel's morel for Intraprereurship.Innovations do happen albeit with less degree and frequency in PSUs across range of functions and levels. If PSUs knew what it knew, they could have done wonders. As such, the study makes an attempt to find out the underlying Drivers and Inhibitors for Innovation. The main inhibitors have been; Resistance to Change, Bureaucratic Rules and Risk-averse philosophy and Narrow Business Definition of business. The main Drivers have been; Crisis, Competition, De-regulation and Globalization. Some of the forward looking PSUs have put new systems, new policies, new culture, and new institutions to create an entrepreneurial culture. The study found that Intrapreneurship has benefited the PSUs, wherever necessary support has been given and barriers have been lowered. It is Intrapreneurs, who have risen to the occasion to deliver results. It would have been penalizing for PSUs without these Intrapreneurs. Intrapreneurs in general have followed principles led down by Hamel for the Intrapreneurs. Thus, PSUs can benefit by supporting, mentoring and teaching Intrapreneurship as per tenets of the model. The Study went on to diagnose the problems for such low intensity of entrepreneurship. and found that the Problem of the PSUs is in the mind set. They have not tried to win the competition, but just try to survive the competition. PSUs have not considered innovation central to their functioning and have denied themselves the benefits of innovation. While on hand they recognize that Intrapreneurs are critically important to the organization, they unwittingly throw obstacles in their path. The Capability of the Intrapreneurs will multiply manifold, provided the hurdles are addressed by PSUs systematically. Based on learning from the PSUs, the study presents a model of Intrapreneurship based on the 'Best Cases' of Innovation. It argues "If it has worked for the leaders, then it can work well for you too."