Page 209 - Finanancial Management_2022

3 ways finance can

aid intrapreneurial

teams

Finance has crucial roles in developing intrapreneurial
ventures — from setting guidelines to helping manage
expectations and defining success.

By Anita Dennis

ntrapreneurship — or the intrapreneurship team with the financial Donny Shimamoto, CPA/CITP, CGMA,
organised effort to develop guidance and support it needs to thrive, a founder and managing director of
creative initiatives within a valuable finance team imposes discipline IntrapriseTechKnowlogies LLC in
company — offers many into the effort without crippling it,” said Honolulu, Hawaii, in the US (see the
Iadvantages. While companies Sihle Ndlovu, ACMA, CGMA, Ph.D., sidebar, “Experimentation Risk”). Finance
generally focus on following executive chairman, Inzalo Utility may need to challenge intrapreneurs and
established procedures, Systems, in New Germany, Durban, South help them brainstorm what might go
intrapreneurship is about generating Africa. wrong or to evaluate the likelihood that the
and experimenting with new and initiative will produce the expected return,
potentially valuable ideas. Taking the lead he said.
The finance team can play a critical role Finance can make a difference by taking As the intrapreneurial team’s plans come
in ensuring that these efforts begin with a three key actions: into better focus, finance can also provide it
sound foundation and that they have clear with business plan templates to show what
goals and milestones. To be successful, Set guidelines the organisation will expect from it.
these creative projects need to play out At the beginning of the process, finance Finance teams can also coach and mentor
within traditional financial guardrails. “An can help calculate potential overall costs intrapreneurs who have never created a
ad hoc approach is what really kills these for the project, including offering insights business case or KPIs before.
projects,” said Andrew Goldstein, partner, on how many people can or should be Finance can also clearly explain how
Deloitte Digital GmbH in Munich. involved, said Paul Gardner, ACMA, CGMA, the organisation will fund the effort, not
Many intrapreneurial teams might have the CEO of Fresh Accounting in Hong only in terms of cash but also any internal
expertise in specific technical areas but Kong. To gauge potential profitability, and external support and other resources it
not in finance. Unfortunately, though, finance can also help estimate proper will provide, Goldstein said. “Finance has a
once a prospective intrapreneurial team pricing for the products or services the real opportunity to a make huge
presents an idea to executives and it is intrapreneurial team produces, he said. contribution to intrapreneurship,” he said.
accepted, they are often left to figure out As part of that process, finance teams Instead of taking the role of gatekeepers,
financial considerations on their own. can help intrapreneurs develop a budget, who set limits, they can become guideline
That’s why the involvement of finance perform a risk assessment, and do a setters, who help intrapreneurs create a
is essential. “In addition to equipping an return-on-investment (ROI) analysis, said viable road map for their efforts, he said.

FM-MAGAZINE.COM December 2022 I FM MAGAZINE I 13