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• Article | Harvard Business Review

  Navigating Talent Hot Spots

  William R. Kerr

  Innovation clusters like San Francisco and Boston have long had an outsize impact on the global economy, and their influence keeps growing. In 2017, for instance, America’s ten largest tech hubs accounted for 58% of U.S. patents. Globally, cities such as Tokyo, Paris, Beijing, Shenzhen, and Seoul produced a similar proportion. The increased geographic concentration of innovation activity poses a challenge for firms based in suburban industrial parks. To stay relevant, they need to tap into urban hotbeds, but setting up operations there can be extremely expensive. In his work on global talent flows, Harvard Business School’s Kerr has seen organizations try three solutions: At one extreme, they can relocate their headquarters to a hub, as GE recently did (but make them much smaller). A less expensive strategy is to create an innovation lab or corporate outpost in a talent cluster, as Walmart did with Walmart Labs. The most conservative strategy is to run executive retreats and immersions in talent clusters—a tactic Vodafone uses effectively. These three options aren’t mutually exclusive. Given the need to stay in touch with multiple clusters, companies may want to try them all. Each one involves substantial risks that executives must manage. But together they offer a good playbook to firms that are finding themselves outside the action as the clout of a handful of cities grows.

  Keywords: Talent and Talent Management; Innovation and Invention; Urban Scope; Industry Clusters; Innovation and Management;

  Citation:

  Kerr, William R. "Navigating Talent Hot Spots." Harvard Business Review 96, no. 5 (September–October 2018): 80–86.  View Details

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• Case | HBS Case Collection | August 2018

  MISHA: Modernizing the World of Shisha

  William R. Kerr, Gamze Yucaoglu, William R. Kerr and Gamze Yucaoglu

  The case opens in 2017 with two of the five co-founders of MISHA telling the company’s CEO Michal Portz that they believe it is time for the global venture to shut down its operations and cease investments. Portz and another co-founder believe MISHA can still work.
  The case describes the origins of the ready-to-use capsule solution for shisha smokers and the evolution of MISHA from idea to product design, manufacturing, marketing, and distribution. Consequent mishaps slow down the performance of MISHA, and after five years of the product being in the market and four financing rounds, numbers are far behind what they were in the business plan. The case explores the pivots the company goes through. The central dilemma is this: should the cofounders pull the plug on the company or invest more time and money to try to turn it around? When and according to which criteria should Portz make such a decision?

  Keywords: Innovation and Management; marketing strategy; Distribution Channels; emerging markets; entrepreneurship; private sector; for-profit firms; business model; Business Strategy; competitive advantage; growth and development strategy; value creation; decision; Business Startups; Decision Choices and Conditions; Business Startups; Emerging Markets; Business Model; Market Entry and Exit; Growth and Development Strategy; Decision Choices and Conditions; Technology Industry; Qatar; United States;

  Citation:

  Kerr, William R., and Gamze Yucaoglu. "MISHA: Modernizing the World of Shisha." Harvard Business School Case 819-019, August 2018.  View Details

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• Case | HBS Case Collection | August 2018

  MISHA: Modernizing the World of Shisha

  William R. Kerr, Gamze Yucaoglu, William R. Kerr and Gamze Yucaoglu

  The case opens in 2017 with two of the five co-founders of MISHA telling the company’s CEO Michal Portz that they believe it is time for the global venture to shut down its operations and cease investments. Portz and another co-founder believe MISHA can still work.
  The case describes the origins of the ready-to-use capsule solution for shisha smokers and the evolution of MISHA from idea to product design, manufacturing, marketing, and distribution. Consequent mishaps slow down the performance of MISHA, and after five years of the product being in the market and four financing rounds, numbers are far behind what they were in the business plan. The case explores the pivots the company goes through. The central dilemma is this: should the cofounders pull the plug on the company or invest more time and money to try to turn it around? When and according to which criteria should Portz make such a decision?

  Keywords: Innovation and Management; marketing strategy; Distribution Channels; emerging markets; entrepreneurship; private sector; for-profit firms; business model; Business Strategy; competitive advantage; growth and development strategy; value creation; decision; Business Startups; Decision Choices and Conditions; Business Startups; Emerging Markets; Business Model; Market Entry and Exit; Growth and Development Strategy; Decision Choices and Conditions; Technology Industry; Qatar; United States;

  Citation:

  Kerr, William R., and Gamze Yucaoglu. "MISHA: Modernizing the World of Shisha." Harvard Business School Case 819-019, August 2018.  View Details

  CiteView DetailsEducators

  Related