Here's an interesting post from Xconomy written by Steve Dickman, former venture capitalist and CEO of boutique consultants CBT Advisers. In it, Dickman give Chris Viehbacher some unsolicited advice how to manage elements of the Genzyme R&D group that it will soon acquire and to spend Sanofi's money.
How Sanofi Could Start Off on the Right Foot in Cambridge.
The big idea proffered is for Sanofi to set up a "Sanofi Genzyme VC Fund" similar to those of big competitors like Lilly, GSK, J&J, Novartis, etc. In this fashion, Dickman argues that the value of Genzyme's R&D can be better preserved by transitioning some of its talent into new slots on the outside ushering in the next round of innovation in Boston.
The VC fund can also put Sanofi back on the corporate VC map and into a position of great influence amidst Boston life science innovation and link it to the active life science investment community in the area. The fund will help Sanofi managing innovation to augment its internal R&D efforts.
The article goes on to cite various characteristics the fund should think about in terms of the personnel who manage it, their compensation models, and the length of time (min 5-7 yrs) Sanofi gives the fund to bear fruits. It also suggests its total capitalization be in the $200 M range.
It may be a good idea, but it is easy to spend someone else's money.
Posted by Bruce Lehr Feb 7th 2011.
Comments