What MIT can teach colleges about becoming an economic powerhouse — Thomas Allen and Rory O’Shea

MIT Sloan Professor Thomas Allen

MIT Sloan Professor Thomas Allen

MIT Sloan Visiting Asst. Professor Rory O'Shea

MIT Sloan Visiting Asst. Professor Rory O’Shea

From Bloomberg Businessweek

In 2011, two business school professors put numbers to an idea that many assumed true: that a vibrant research university can drive an economy. They studied companies started by alumni of the Massachusetts Institute of Technology and found that those businesses had provided 1.7 million jobs and generated $1 trillion in revenue annually.

As more countries try to compete in the global economy, the pressure is on policy makers and university leaders to imitate the way MIT spurs innovation and economic growth. Unfortunately, many universities struggle to match the speed and success of MIT’s model.

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Trond Undheim: Strategy failure in cleantech

MIT Sloan Sr. Lecturer Trond Undheim

MIT Sloan Sr. Lecturer Trond Undheim

Cleantech has seen its share of high profile failures over the past year.  The bankruptcy of solar cell company Solyndra has been the most public, but there are many others. This has led many to say that the sector is immature, others to say it is doomed or plagued by fickle or unstable state subsidies. It is also true that quite often, Cleantech firms bank on (somebody) introducing changes in infrastructure that need significant momentum (and time) to take hold. But surely Cleantech CEOs are smart people, so the reason they fail must be slightly more complex, perhaps? And is it even so certain that the problem lies with the industry itself and not with other factors? Is failure, in fact, quite evenly distributed across sectors? You may have noticed that strategies sometimes fail. Some would say strategies mostly fail. I know from my own life that intent does not always translate to result. The question is why.Jim Collins, in his book Why The Mighty Fail (2009), believes failures have a 5 stage lifecycle: hubris of success, pursuit of more, denial of risk, grasping at straws, and capitulation. Does his framework apply equally well across all industries? Is it fully relevant to cleantech?

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