1 Teaching Entrepreneurship to Engr. Students1/15/03 Supplementing Engineering Education with Business Training By Andres C. Salazar, PhD Prof. & PNM Chair in Microsystems, Commercialization and Technology

2 Teaching Entrepreneurship to Engr. Students1/15/03 Bio of Andres C. Salazar Education –BSEE,BA,MSEE Univ. of New Mexico –PhD (EE) Michigan State University –MBA Edinburgh Bus. School (Heriot-Watt University, U.K) Industrial Experience –15 years at AT&T Bell Labs, last as VP –8 years at Boston companies, VP of Engr, Operations –3 years at AT&T Paradyne, VP and GM –8 years at DTS, Atlanta public company, CEO & President Academic Experience –Professor and PNM Chair at Univ. of New Mexico, Anderson Schools of Management; School of Engineering

3 Teaching Entrepreneurship to Engr. Students1/15/03 Why Business Training For Engineers? More R&D Spending in Industrial & Commercial Sectors – (For Profit) Efficiency & Quality Emphasis in Business Business Objective is to Profitably Fulfill Societal Need in a Timely Manner Assist in Forming Competitive Sustainable Advantage

4 Teaching Entrepreneurship to Engr. Students1/15/03 R&D Spending by Sector Reference: NSF Science and Engineering Indicators

5 Teaching Entrepreneurship to Engr. Students1/15/03 Typical Engineering UG Curricula ( Semester Hours) English Writing and Literature General Fine Arts, Soc. Sci Electives Basic Science Training – Chemistry, Physics Mathematics – Diff. & Integ. Calculus, DE, Linear Algebra, Hard Analysis Other Engr. ME, CE, EE Courses Major Engineering Field

6 Teaching Entrepreneurship to Engr. Students1/15/03 Aspects of UG Engineering Curricula Requires Mastery of Analytical Skills Fundamentals of Various Scientific Fields Requires Adaptability, Context Switching Abilities Difficult to complete in four academic years Undergo Frequent Revisions as Technology Advances Scarce Training in Teamwork Few, if any, synthesis or creative projects in courses No Formal Leadership training Emphasis on “Research” and not on “Development” Little, if any, “Business” Training

7 Teaching Entrepreneurship to Engr. Students1/15/03 Desirable Traits of a Technology Manager Educated in Technology Willing to Take Reasonable Risk in Project Management Excellent Communications Skills Understands the Value of Teamwork Understands the Value of Business Principles –Alignment with Business goals and objectives –Satisfy customer requirements –Quality and Efficiency conscious

8 Teaching Entrepreneurship to Engr. Students1/15/03 Desirable Traits of an Technology Entrepreneur Committed to Commercialization of Technology Discovery Willing to Take Reasonable Risk Excellent Communications Skills Able to Inspire Others to take up Cause Understands the Value of Teamwork Understands the Value of Business Principles –Formation and execution of a sound business plan –Raising of money –Building an organizational team

9 Teaching Entrepreneurship to Engr. Students1/15/03 Commercialization of Technology Process Understand technology discovery Understand underlying technology material and/or processes Understand market potential –Industrial, commercial business process improvement –Alternatively, consumer demand for comfort or convenience gained from discovery –Methodology for fulfilling market potential

10 Teaching Entrepreneurship to Engr. Students1/15/03 An Engineer as a Potential Manager or Entrepreneur Engineering Training Gives Head start towards Understanding Technology Has Fundamental Understanding of Productization Requirements Lacks Managerial Training Lacks Commercial Financial Management Training Lacks Marketing and Sales Training

11 Teaching Entrepreneurship to Engr. Students1/15/03 Where Can UG Engineers Acquire Business Training? Faculty Background – –Frequently research oriented; –Little if any, industrial or commercial experience or training. Coursework – –Curriculum “jammed” with technology courses –Curriculum leaves no room for other electives –Technology courses usually have no business orientation University Degrees –Few colleges offer interdisciplinary degrees –New degrees require several years of approval from faculty and funding authorities – e.g., legislatures.

12 Teaching Entrepreneurship to Engr. Students1/15/03 Business Topics for Engineers Included in Engineering Curricula: –English Writing and Literature –Economics –Ethics –Statistical Methods Useful Business Courses –Accounting –Finance –Marketing –Organization Behavior –Strategy –Commercialization of Technology

13 Teaching Entrepreneurship to Engr. Students1/15/03 Suggestions for Engineering Curriculum Changes Allow non-technology electives (Fine Arts, Soc. Science, etc) to include at least 15 hours of business courses as an alternative track. Have Economics, Ethics, Commercialization of Technology as required courses taught by Business Schools, not Engineering School.

14 Teaching Entrepreneurship to Engr. Students1/15/03 Suggestions for Engineering Curriculum Changes – Con’t Establish 3-2 Engr/MBA Degree Program. –Matriculant receives BS in Engr and MBA in five years. –Jr Level Engr accepted to MBA program –Engineering Track allows Business electives for UG Engineering degree –Business School accepts Engineering Curriculum relevant coursework as UG requirements for MBA