Making shift happen

by James Feldman

All companies want to increase their growth and productivity. After all, growth and productivity equal profit, and profit is the reason most people are in business. However, a question common to all organizational leaders is how best to achieve that goal of increased growth and productivity in the most efficient manner.

In order to compete, succeed and prosper, large organizations need to look at the entrepreneurial model of small companies for guidance and direction. Why? Because the entrepreneurial model is based on small business units in which everyone is a contributing participant and everyone thinks like an owner. When large organizations embrace this concept and break into smaller groups, they increase their ability to mobilize quickly, slash response time, cut through layers of bureaucracy, and ultimately drive down costs. Small, organized work units allow for greater risk-taking and promote creativity, allowing everyone to actively participate in the risk and reward dynamic.

The entrepreneurial leader
The most effective business leader is one who takes personal responsibility for managing change. At the entrepreneurial level, everyone in the organization thinks like an owner, and so everyone takes on the same level of responsibility. The entire workforce is therefore prepared to take advantage of opportunities and provide solutions.

This sense of responsibility can be the core principle of every employee in every organization. Since the global market presents new challenges every day, the creative mindset of the entrepreneur can help you most effectively deal with these challenges.

You can start thinking like an entrepreneur today by applying these seven principles to your business operations.

Create a new perspective
An entrepreneurial mindset requires that a company change its focus from a task-based perspective to a process-based perspective. A task-based perspective treats each project as a one-time event and emphasizes the immediate conclusion of the project. This perspective is outdated and will no longer serve to increase your competitive lead.

The process-based perspective is an integrated perspective that takes into account the contributions of all departments and the innovations each may be able to contribute, as well as the current and future markets that exist outside the organization. Forward-looking leaders now focus their energies on the entire process, looking beyond the immediate outcome to all potential future scenarios.

Provide creative direction
Without creative direction, few organizations can survive in a changing marketplace. Therefore, managers must provide inspiration and direction for their employees in order to meet the needs of both the organization and the customer. Directional processes within the company are as important as the customers, because without effective internal processes, a company can’t serve its customers well. Since your organization is only as effective as its processes, you need to make each person accountable for the proper operation of his or her department, and ultimately for the customer satisfaction that is the end result.

Creative leaders incorporate processes that everyone can understand and implement. They explain the company’s responsibilities and discuss possible outcomes of the new entrepreneurial focus. When there is a lack of direction within a company, the result is poor performance. However, with creative direction, everyone is encouraged to think like an owner. When employees are encouraged to take responsibility and offer solutions, the entire company benefits.

DATE your customers
Successful entrepreneurial organizations DATE their customers. That is, they Dazzle them, they Anticipate their needs, they Treat their employees and suppliers as well as their customers, and they Educate customers, employees and suppliers. Why? Because your company needs the input and wisdom gained from these disparate sources in order to stay in touch and continue to improve.

The actual needs of your customers, not just the needs you imagine they have, must influence everything your organization does. The best way to keep in touch with these needs is to keep the lines of communication open. Commit to the idea that customer service is an attitude, not just a department. When everyone in your organization knows that customer service is a priority, they can then focus on meeting and exceeding customer expectations.

Stay connected
You have to stay connected to the changes in your industry and in the business climate in order to know how to serve your customers. A process-based outlook lets you see the whole picture so that you can develop a comprehensive strategy.

To stay connected, you must continually communicate with others within your organization and also extend that communication to those outside your company, such as business partners, suppliers, and of course, customers. Highly connected leaders increase their ability to see the whole picture, can avoid unpleasant surprises, and are able take advantage of new opportunities discovered through the contacts they make.

Remove barriers
The process-based entrepreneurial organization breaks down the barriers that exist in the traditional corporate model, as distinction between departments and divisions hinders communication and tends to foster divisiveness. When the entire organization is introduced to the entrepreneurial mindset, most of the delays and busywork disappear. What flourishes in its place is a stronger, more dynamic structure in which everyone works together and is better able to quickly shift thinking for tactical advantage in the marketplace. When your employees all think like owners they feel more committed toward improving the quality of the work.

Take risks
Entrepreneurs are known for being risk takers. Unfortunately, many large corporations lose their focus and forget to be innovative. They shift from risk taking to merely maintaining the current markets they serve. But entrepreneurs are constantly on the lookout for fresh ideas and new ventures. However, before taking a risk, they consider the potential losses as carefully as the rewards.

In the process of risk-taking, entrepreneurs know that they may fail. That’s why they learn from trial and error and accept the fact that every risk they take won’t work out. Therefore, encourage creative thinking, and avoid penalizing anyone for the outcome. After all, if the penalty for failure is too high, no one will try anything new. Ask associates how they would apply their specialized skills and knowledge if they were the owner. When you encourage people to think from an entrepreneurial perspective, they become inspired to take the calculated risks necessary to make the company an industry frontrunner.

Let talent shine
Because an entrepreneurial organization is people-focused, each individual makes the team experience more vibrant and enjoyable. As a leader, you need to remember that in today’s professional environment, employees are more highly educated and knowledgeable. Therefore, by giving employees the freedom to manage themselves and do the tasks they enjoy, you can ensure that each individual employee has a high level of job satisfaction and maintains high productivity. You neither can nor should you try to babysit or supervise productivity.

Permit others to do what they do best. Manage your employees without expecting everyone to follow your lead to the letter. Not everyone is a natural visionary or an entrepreneurial thinker, but you can be sure they all have unique talents that can benefit the company. Acknowledge the value of all pieces of puzzle.

With this in mind, rethink your role as a leader. The company changes when your thinking shifts from managing people to managing the process and the outcome. Invest your energies in the process. This approach will enable everyone to perform at his or her highest level, and will increase the organization’s overall productivity.

Make shift happen
To change direction, you need to shift your thinking. A process organization allows you to reap the benefits of creative thinking, increase problem-solving abilities, and draw from the untapped sources of talent that surely exist in your organization. Giving your employees the freedom to try new ideas will allow your business to continue to be forward-looking and creative and to increase your chances of success.

Because of the highly integrated nature of entrepreneurial companies, team members can be fully aware of what is going on in all parts of their company. They will be “in the box” rather than trying to think outside the box. Therefore, entrepreneurial leaders can recognize and define problems in order to find solutions more quickly. By applying the entrepreneurial mindset to your business, you will be able to have greater control over the company processes and react quickly and effectively to changes in the marketplace, thus leading your company to greater success in the 21st century.

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