In last month's Global Corporate Venturing, I covered one of the two macro objectives: the financial effectiveness of corporate venture capital (CVC) programs. Now we'll turn to some principles and implementation guidelines for measuring the strategic effectiveness of the CVC unit.
Most corporate venturing units are targeting innovation- and growth-oriented strategic objectives, such as business, technology and process, through their association with venture start-ups. Specific objectives will vary and, periodically, the company may not know at the beginning of a venture start-up engagement what particular benefits will be derived from the alliance. None the less, CVCs must develop and implement effective methods for planning and measuring the outcomes of their strategic efforts.
Business achievements, such as increased product sales and profits…
