Entrepreneurship

1. ENTREPRENEURIAL
LEADERSHIP

2. Learning objectives
 To give brief introduction of entrepreneurship and leadership.
 To give know how about the successful entrepreneurs.
 To explain the role of entrepreneurs as a leader.

3. Entrepreneur & Entrepreneurship?
An entrepreneur is an individual who owns a
firm, business, or venture, and is responsible for its
development. Entrepreneurship is the practice of
starting a new business or reviving an existing
business, in order to capitalize on new found
opportunities.

4. Successful Entrepreneurs
There are six dominant themes for successful
entrepreneurs:
 Leaderships
 Commitment and determination
 Opportunity seeker .
 High ( Calculated ) risk, ambiguity and uncertainty
 Creativity self reliance and ability to adapt.
 Motivation to excel and Team Management .

5. Who is leader……….?
A leader is a person who can influence or
motivate others to do what he wants them
to do.

6. What is leadership…….?
The process of
influencing a group
towards the
achievement of goals.
Leadership is the art of
motivating a group of
people to act towards
to achieving a common
goal.

7. Food for Thought
 An entrepreneur who starts his own business generally
does so because he is a difficult employee.
 He is probably finds it difficult to be in the alternating
dominant and then submissive role so often asked of
management.
 He also believes he can do the job better than others, which
may be true BUT……..
 He must find a way of working with and through others if
the business is to grow.

8. Entrepreneurial Leadership
Entrepreneurial leadership is about systematic and purposeful
development of leadership skills and techniques which can take
a long time. It is about the developing relationships. It is about
creating long term sustainable competitive advantage based
upon architecture of entrepreneurial leadership.

9. Role of Entrepreneurs as a leader
A successful entrepreneurs are ‘patient leaders, capable of
instilling tangible visions and managing for the long haul.
These elements include in the job for leader:
 Having vision and ideas.
 Being able to undertake long term strategic planning.
 Being able to communicate effectively.
 Creating an appropriate culture within the firm
 Monitoring and controlling performance.
 Having the courage to delegate
 Controlling the business by monitoring information rather
than by direct physical intervention.

10.  An entrepreneur must change his role towards these
FUNCTIONAL disciplines i.e



Marketing
Accounting
People Management all change
 In other words the business needs to become more formal
without becoming more bureaucratic.

11.  So the challenge is not only in developing the
business but also to cope with the managerial change
facing the founder.
 Having your own vision is relatively easy. Building a
shared vision is no easy task.
 The challenge for an entrepreneur is to convert the
contractual employee of an economic entity into
committed member of a purposeful organization.

12. Challenges for entrepreneur during growth of
firm
Growth through creativity
Crises of Leadership
Growth through direction
Crises of autonomy
Growth through delegation
Crises of control
Growth through coordination
Crises of red tape
Collaboration

13. Entrepreneurial Organization structure
Spider’s Web
Spider’s Web Grows

14. Entrepreneurial Organization structure
Hierarchical
Structure
Matrix Structure

15. Churchil and Lewis Growth Model
Disengagement
Existence
Growth
Success
Survival
Maturity
Take off

16. How can a Entrepreneur Lead?
 A Entrepreneur can lead through three different
ways/Styles



Leader and Task
Leader and Group
Leader and Situation

17. Leader and Task
University of Michigan
Employee-oriented:
Emphasize interpersonal relations
Production-oriented:
Emphasize the technical or task aspects of the
job

18. University of Michigan
Research findings:
Leaders
who are employee oriented are
strongly associated with high group
productivity and high job satisfaction.

19. Leader and Group
Low
High
High
Participative
Consultative
Paternalistic
Autocratic
Group autonomy
in decision-making
Low
Leader Authority

20. Leader and Situation
Must move away from using autocratic/ dictatorial
leadership style
Must be adept at using informal influence
Must be adept at conflict resolution

21. Role of Entrepreneurial Leadership
The primary role of good entrepreneurial leader is to build
an entrepreneurial architecture.
The entrepreneurial architecture creates with in the
organization the knowledge and routines that allow it to
respond flexibly to change and opportunity in the way the
entrepreneur does.
It is a very real and valuable asset that creates competitive
advantage and can be sustained

22. Constructing an Entrepreneurial culture








Hofstede (1990) explain different dimensions of
organizational culture in an attempt to discriminate between
entrepreneurial and administrative organizations.
Timmons, Peters (1997) and Cornwall and Perlman (1990)
explain tits following elements:
People and empowerment focus
Commitment and personal responsibility
Doing the right thing
Value creation through innovation and change
Hands on management
Freedom to grow and fail
Attention to basics
Emphasis on future and sense of urgency.

23. Remember
“Management is doing things right;
Leadership is doing the right things”
Peter F. Drucker