IAA Mobility Visionary Club - Summer startup special - Part 2

Newcomer meets industry leader: opposites attract Start-ups and the big names in the industry: As different as the cultures in the companies are, cooperation can be particularly fruitful in the automotive industry - if both get involved with each other. What and above all how newcomers and industry leaders can learn from each other is the topic of the IAA MOBILITY Visionary Club. Some are agile, others process-driven. Some go for full risk, others are more cautious. Some act quickly, others thoughtfully: the cultural differences between start-ups and established companies are obvious - but yet, in this case, seem to apply more and more often: Opposites attract. Cooperation programs between young and established companies are gaining in popularity in the DACH region, for example, as the consulting firm mm1 notes in its "Start-up and Innovation Monitor 2022." According to the report, the number of cross-company cooperation programs in particular stands out. Compared to the previous year, this number has risen by 14 to 57 among the companies surveyed. In the automotive industry, too, newcomers and top dogs are moving closer together. For Dr. Michael Schlotter, Director of Applied Research - Innovation Networks at Schaeffler, this comes as no surprise. After all, he says, these partnerships are often very fruitful. The magic lies precisely in the different attitudes toward mistakes and risks. "Fail often, fail fast" - large companies could benefit from this often quoted start-up motto. "Start-ups can tackle crazy ideas and make mistakes - that is so impossible for large companies in their structures." Fear-free startups here, risk-avoiding corporations there - "these two attitudes need to be brought together to enable breakthrough innovations." More trust for greater innovation potential The only question is: How can this be done? First of all, with the right attitude, says Schlotter: "In research and development, internal solutions are often trusted more than external ones. That has to change. We need to trust start-up technologies more, because they offer great innovation potential." Startups, on the other hand, need a clear plan - and realistic expectations, says Dr. Nicolas March, CEO of Vathos. The start-up specializes in software for industrial robots, and March knows that "you should be clear about how you want to tackle a specific task together with a large company - and not expect the company to do everything for you here." Ideally, "you're working together as a team and on a real problem rather than an academic finger exercise - a problem that you can make money solving and scale," March says. Barrier to entry for investment No reward, no effort, and accordingly, successful collaboration demands a lot from both sides - more speed from established companies, for example. Startups need to move quickly, and accordingly it would be important for the major partners to make decisions quickly and speed up their processes, according to March. In terms of decisiveness - for example, about a possible investment in a promising startup - Germany still lags behind the United States. The climate for startups has improved in this country, but money doesn't flow here just for a good idea, March said. "Here, a technology and a business model first have to prove themselves." That's often a problem, he said, especially for deep-tech innovations that dare to take on big technological challenges, because getting an idea ready for proof of concept takes time - and money.