ISO Entrepreneurs & Family Business

Learning Outcomes ◦ Understand the personal attributes of entrepreneurs ◦ Understand the different types of owner managers & entrepreneurs ◦ Explore some of the challenges that family businesses face

The Building Blocks of a Successful Entrepreneur Personal Attributes Determined Innovative Team Leader Externally Focused Entrepreneurial Management Behaviours Opportunity Identification Resource Leveraging Networking Effective Decision Making Knowledge & Technical Skills Product/Service Knowledge Market & Industry Understanding IP Knowledge Strategic Management Competencies Marketing Finance HRM Stokes & Wilson (2010)

Different Types of Entrepreneurs & Owner Managers Three basic typologies ◦ The Craftsperson – Small business entrepreneurs/owners ranging from carpenters to hairdressers. They directly produce a product/service and enjoy doing so ◦ The Promoter – A ‘wheeler dealer’ who focuses on making deals. This often results in starting, growing and selling several businesses in pursuit of personal wealth ◦ The Professional Manager – The entrepreneur/owner adopts a more structured approach to building a business, following the conventions of bigger business, creating a ‘little big business’ Hornaday (1990)

Case Study: ISO ◦ ISO Quality Services Ltd is an independent, family owned organisation that specialises in the implementation, certification, and continued auditing of ISO and BS EN Management Standards ◦ They provide auditing, training and consultancy services to help improve businesses processes and procedures

Video Activities While watching the video, take notes and think about: ◦ What personal entrepreneurial characteristics are shown in the video? ◦ What entrepreneurial management behaviours, knowledge & technical skills, strategic management competencies? ◦ What type of entrepreneur/owner manager is Jenifer? ◦ Why have you come to this conclusion

Video ◦ Embed/show video

Challenges Faced by Family Owned Businesses 1.Emotions 2.Informality 3.Tunnel vision 4.Lack of formalised strategy 5.Remuneration problems for family employees 6.Role confusion 7.Lack of talent 8.High Turn over of non family employees Adapted from Iwan (2006)

Challenges Faced by Family Owned Businesses 9.Succession planning 10.Training 11.Paternalistic 12.Overly conservative/risk adverse 13.Communication problems 14.Day to day decision making 15.Different visions 16.Growth

Family Business Video Questions ◦ Which of the 16 challenges for family businesses were present in the video case study? ◦ What are some of the benefits of being involved in a family business? ◦ Do you think the benefits for family businesses outweigh the challenges they face? ◦ Why do you come to this conclusions? ◦ Are there some factors which impact your answer?

References ◦ Iwan, L. (2006) 20 Challenges Faced by a Family Owned Business. Availble from: faced-by-a-family-owned-business/ faced-by-a-family-owned-business/ ◦ Hornaday, R. (1990) Dropping the E-words from Small Business Research, Journal of Small Business Research, 28(4), ◦ Stokes, D. and Wilson N. (2010) Small Business Management and Entrepreneurship, South-Western Cengage Learning: Andover.