CREATING AN ENTREPRENEURIAL ORGANISATION
The leadership role of an entrepreneur is easier to understand if the term ’entrepreneurial’ is defined less in terms of responsibilities linked to particular positions in the managerial hierarchy, and more in terms of patterns of behaviour (adventuresome and risk-embracing, creative and innovative yet sensitive, unconventional yet trustworthy and reliable).
Entrepreneurs can build sustainable business models and organisations only if they can successfully do several things: Enunciate very clearly the organisational vision, the goals that flow from the vision, the roles and responsibilities of various teams, units and individuals, the chain of command and authority, and the operating procedures. Life in young companies can be full of ambiguity and uncertainty.
Create a culture of respect and recognition, cohesion and team spirit, where employees feel a sense of kinship with colleagues, responsible for their own performance, their colleagues’ and business associates’ performance, and ultimately for the performance of the company.
Foster a culture of making other people feel good. Entrepreneurs seek new solutions to existing problems, or anticipate emerging trends and look for business opportunities in them. They envision a future that is very different from the present, and persuade others to follow their vision. In the process, they rewrite rules, reinvent organisations and businesses, find new markets, and establish new businesses. If they are to be able to do all this successfully, they need to cut through the clutter caused by existing beliefs, paradigms, and ways of thinking. Entrepreneurial leadership consists in looking for solutions and ideas in new and novel places.
Entrepreneurs need to keep experimenting and follow each new thought through to its logical conclusion, because there is no knowing where the next good idea will come from. Important though this is, new ideas must be practical. People blessed with a steady stream of new ideas needn’t necessarily be good leaders, simply because they are unable to judge if “this will work.” They need someone else to tell them. Entrepreneurial leadership also consists in taking risks, backing hunches, intuition, and instincts, and investing in new ideas that are not yet proven but show promise. Relying on the tried and tested makes a company safe and solid, but kills off entrepreneurial energy. An entrepreneur who does not take risks is a contradiction in terms-he becomes a mere administrator.
Leaders enunciate clear leadership propositions (or unique ideas), communicate them inspirationally to their followers, listen carefully to the followers and overcome objections convincingly, and ask for commitment. The leader must have the conviction that what he is doing is good for the organisation.
Without conviction there can be no purpose; without purpose there can be no enthusiasm (or passion); without enthusiasm there can be no commitment; and without commitment the chances of achieving the entrepreneur’s vision and goals are jeopardised. A leader also approaches change with a positive, receptive mind, harnesses the power of change, and convinces his team that change must be treated as an ally and partner, instead of being feared and opposed. Finally, entrepreneurs need to be good at building trust with other people, and at helping people to grow into larger responsibilities by enabling them to develop new skills and providing avenues for the use of those skills.
Is being a leader and being a boss the same thing? Should we regard a boss automatically as being a leader too? The two are not necessarily the same. A person can be a leader without holding office, so long as he or she is able to influence others in the same group.
To be able to exercise influence, it is not important that people like you. However, it is essential that they respect you.
Leadership is not a position, but a process. The most vibrant, energetic, and successful organisations are those in which “followers” themselves take responsibility for organisational outcomes, not just by performing their roles, but by exercising leadership: they question current practices where appropriate, and put forth alternative ideas and practices.
It is important to understand the leader’s role of enabler and facilitator, just as it is necessary to recognise that the leader may not necessarily be the best individual performer.
The best pianist will not necessarily make the best conductor. The most gifted writers rarely make good publishers. Nor will the best teacher necessarily make the best headmaster. We need to recognise that skill in performing and skill at leading an entire performance are two entirely different skills.
Entrepreneurs can build sustainable business models and organisations only if they can successfully do several things: Enunciate very clearly the organisational vision, the goals that flow from the vision, the roles and responsibilities of various teams, units and individuals, the chain of command and authority, and the operating procedures. Life in young companies can be full of ambiguity and uncertainty.
Create a culture of respect and recognition, cohesion and team spirit, where employees feel a sense of kinship with colleagues, responsible for their own performance, their colleagues’ and business associates’ performance, and ultimately for the performance of the company.
Foster a culture of making other people feel good. Entrepreneurs seek new solutions to existing problems, or anticipate emerging trends and look for business opportunities in them. They envision a future that is very different from the present, and persuade others to follow their vision. In the process, they rewrite rules, reinvent organisations and businesses, find new markets, and establish new businesses. If they are to be able to do all this successfully, they need to cut through the clutter caused by existing beliefs, paradigms, and ways of thinking. Entrepreneurial leadership consists in looking for solutions and ideas in new and novel places.
Entrepreneurs need to keep experimenting and follow each new thought through to its logical conclusion, because there is no knowing where the next good idea will come from. Important though this is, new ideas must be practical. People blessed with a steady stream of new ideas needn’t necessarily be good leaders, simply because they are unable to judge if “this will work.” They need someone else to tell them. Entrepreneurial leadership also consists in taking risks, backing hunches, intuition, and instincts, and investing in new ideas that are not yet proven but show promise. Relying on the tried and tested makes a company safe and solid, but kills off entrepreneurial energy. An entrepreneur who does not take risks is a contradiction in terms-he becomes a mere administrator.
Leaders enunciate clear leadership propositions (or unique ideas), communicate them inspirationally to their followers, listen carefully to the followers and overcome objections convincingly, and ask for commitment. The leader must have the conviction that what he is doing is good for the organisation.
Without conviction there can be no purpose; without purpose there can be no enthusiasm (or passion); without enthusiasm there can be no commitment; and without commitment the chances of achieving the entrepreneur’s vision and goals are jeopardised. A leader also approaches change with a positive, receptive mind, harnesses the power of change, and convinces his team that change must be treated as an ally and partner, instead of being feared and opposed. Finally, entrepreneurs need to be good at building trust with other people, and at helping people to grow into larger responsibilities by enabling them to develop new skills and providing avenues for the use of those skills.
Is being a leader and being a boss the same thing? Should we regard a boss automatically as being a leader too? The two are not necessarily the same. A person can be a leader without holding office, so long as he or she is able to influence others in the same group.
To be able to exercise influence, it is not important that people like you. However, it is essential that they respect you.
Leadership is not a position, but a process. The most vibrant, energetic, and successful organisations are those in which “followers” themselves take responsibility for organisational outcomes, not just by performing their roles, but by exercising leadership: they question current practices where appropriate, and put forth alternative ideas and practices.
It is important to understand the leader’s role of enabler and facilitator, just as it is necessary to recognise that the leader may not necessarily be the best individual performer.
The best pianist will not necessarily make the best conductor. The most gifted writers rarely make good publishers. Nor will the best teacher necessarily make the best headmaster. We need to recognise that skill in performing and skill at leading an entire performance are two entirely different skills.