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.
To explain the role of entrepreneurial leadership.
How we can construct entrepreneurial culture.

3. Entrepreneur & Entrepreneurship
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 obsession
Tolerance of risk, ambiguity and uncertainty
Creativity self reliance and ability to adapt.
Motivation to excel.

5. Someone who can influence others and who has managerial authority
Who is leader……….?
Someone who can influence others and who has managerial authority or
A leader is a person who can influence or motivate others to do what he wants them to do.
(Burns, 2007)

6. The process of influencing a group towards the achievement of goals.
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.
(Burns, 2007)

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……..
There is a difference between starting a business and running a business once it has matured.
Other wise he can end up over controlling his business. Or becoming a control freak
(Burns, 2007)

8. Food for Thought
He must find a way of working with and through others if the business is to grow.
And here the person must start to make a transition from being a mere entrepreneur to a leader.
(Burns, 2007)

9. 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.
(Burns, 2007)

10. Management vs. Leadership
Creating an agenda
Planning and budgeting, establishing detailed steps and timetables for achieving needed results and allocating resources accordingly
Establishing direction, developing a vision of the future, often the distant future and strategies for producing the changes needed to achieve vision
Developing a human network for achieving the agenda
Organizing and staffing, establishing some structure for accomplishing plan requirements, staffing, delegating responsibilities, providing policies, and creating monitoring systems
Aligning people, communicating the directions and accept their validity
Execution
Controlling and problem solving, monitoring results and plans in some detail, identifying and solving problems
Motivating and inspiring, energizing people to overcome barriers by satisfying their needs
Outcomes
Producing a degree of predictability and order, consistent production of expected results
Producing change, often to dramatic degree, potential to produce extremely useful change
(Timmons, 2008)

11. Role of Entrepreneurs as a leader
A successful entrepreneurs are ‘patient leaders, capable of instilling tangible visions and managing for the long haul.
There five 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.
Vision : Is a shared mental image of a desired future state.-an ideal of what the enterprise can become. It gives existence within an organization to that most fundamental of human cravings- a sense of menaing and purpose.
Culture : The collective programming of the mind which distinguishes one group of people from another.
(Burns, 2007)

12. Role of Entrepreneurs as a leader
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.
(Burns, 2007)

13. Role of Entrepreneurs as a leader
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.
(Burns, 2007)

14. 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 that creates competitive advantage and can be sustained
(Burns, 2007)

15. Three Principles of Entrepreneurial Leadership
Treat others as you would want to be treated
Share the wealth that is created with all those who have contributed to it at all levels
Give back to the community
(Timmons, 2008)

16. Challenges for entrepreneur during growth of firm
Growth through creativity
Crises of Leadership
Crises of autonomy
Growth through direction
Growth through delegation
Crises of control
Growth through coordination
Crises of red tape
Collaboration
(Burns, 2007)

17. Entrepreneurial Organization structure
Spider’s Web
Spider’s Web Grows
(Burns, 2007)

18. Entrepreneurial Organization structure
Hierarchical Structure
Matrix Structure
(Burns, 2007)

19. Churchil and Lewis Growth Model
Existence
Survival
Success
Take off
Maturity
Disengagement
Growth
(Burns, 2007)

20. How can a Entrepreneur Lead?
A Entrepreneur can lead through three different ways/Styles
Leader and Task
Leader and Group
Leader and Situation
(Burns, 2007)

21. University of Michigan
Leader and Task
University of Michigan
Employee-oriented:
Emphasize interpersonal relations
Production-oriented:
Emphasize the technical or task aspects of the job
(Burns, 2007)

22. University of Michigan
Research findings:
Leaders who are employee oriented are strongly associated with high group productivity and high job satisfaction.
(Burns, 2007)

23. Managerial Grid Concern for People:
Appraises leadership styles using two dimensions
Concern for People:
Measured leader’s concern for subordinates on a scale of 1-9
(low to high)
Concern for Production:
Measured leaders’ concern for getting job done on a scale of 1-9
(Burns, 2007)

24. The Managerial Grid Impoverished Management
(1,9)
(9,9) 9 8 7 6 5 4 3 2 1
Impoverished Management
Exertion of minimum effort to get
required work done is appropriate
to sustain organizational
membership
Concern for People
(5,5)
(1,1)
(9,1)
Concern for Production
(Burns, 2007)

25. The Managerial Grid Task Management
(1,9)
(9,9) 9 8 7 6 5 4 3 2 1
Task Management
Efficiency in operations results in
the accomplishment of work in
Such a way that there is minimum
Interfere of human elements
Concern for People
(5,5)
(1,1)
(9,1)
Concern for Production
(Burns, 2007)

26. The Managerial Grid Middle of the road Management
Adequate organizational performance
Is possible through balancing the necessity
to get out work with
maintaining morale of the people
At a satisfactory level
(1,9)
(9,9) 9 8 7 6 5 4 3 2 1
Concern for People
(5,5)
(1,1)
(9,1)
Concern for Production
(Burns, 2007)

27. The Managerial Grid Country Club Management
Thought full attention to needs
of people for satisfying
relationship leads to a
comfortable friendly
organizational atmosphere &
work tempo
(1,9)
(9,9) 9 8 7 6 5 4 3 2 1
Concern for People
(5,5)
(1,1)
(9,1)
Concern for Production
(Burns, 2007)

28. The Managerial Grid Team Management Work accomplished is from
committed people,
Interdependence through
common stake in organizational
purpose leads to relationship
of trust and respect
(1,9)
(9,9) 9 8 7 6 5 4 3 2 1
Concern for People
(5,5)
(1,1)
(9,1)
Concern for Production
(Burns, 2007)

29. Leader and Group Participative Consultative Paternalistic Autocratic
High
Participative
Consultative
Group autonomy in decision-making
Paternalistic
Autocratic
Low
Leader’s authority
Low
High
Leader Authority
(Burns, 2007)

30. 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
(Burns, 2007)

31. Strategic Planning Process
Vision
Strategic Analysis
The organization( strengths and Weaknesses)
The environment (opportunities and Threats)
Feedback
Loops
Strategy Formulation
Identify Strategic Options
Evaluate options
Select Strategy
Strategy Implementation
Leading and Managing Change
Organization Structure and Culture
Planning and Allocating Resources
(Burns, 2007)

32. 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.
(Burns, 2007)

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