Entrepreneurs Are they born or bred? Derek Whitney South Hampshire Enterprise Agency 21 Feb 07

SHEA - who are we? Entrepreneurs - Types/motivations Traditional views Competencies - what are they and what do they tell us How to use competencies – in helping entrepreneurs Intrapreneur Conclusions Agenda

SHEA MISSION ENTERPRISE AGENCY TO PROMOTE, STIMULATE & ENCOURAGE ENTERPRISE ACTIVITY IN SOUTH HAMPSHIRE TO ASSIST THE PROCESS OF NEW BUSINESS START-UP BY A FREE & INDEPENDENT COUNSELLING SERVICE TRAINING MANAGED WORKSPACE AIMED AT PRE-START AND START-UP BUSINESSES

South Hampshire Enterprise Agency Activities 1:1 coaching Training Managed workspace Other Liss Fareham Paulsgrove Solent Business Link SHEA training Social Business Intrapreneur Consulting Funding Projects

We see a number of different types of Entrepreneur sole traders 60% men/women lifestyle business /operated locally service industry/few employees micro business/below VAT threshold lone inventors 80% men social enterprises HIGH GROWTH START UP -University/technology/global Referral by job centre Bill Gates/Richard Branson WHY? -/+ factors Lost job/shock/lifestyle change/more control work life balance immigration post 50+/difficulty in employment Greater publicity & awareness/success stories/watching others

What help do start-up businesses ask for? Finance - raising funds to start Legal - company structure - NIC - legal requirements - relevant legislation - terms of trade Sales & Marketing  Market research  advertising  business cards - fliers  web sites Book keeping - keeping records -VAT - tax “Confirm what I was told in the pub”

Traditional Characteristics of the Entrepreneur Characteristics A drive ambition risk tolerance desire knowledge Communication skill originality Characteristics B Self control self confidence urgency awareness realism conceptual ability status interpersonal relations emotional stability

What makes an entrepreneur run a successful business? Is it -SKILL? EFFORT? LUCK? Entrepreneurial success = behaviours (effort+skill+luck) PEOPLE CREATE OUTSTANDING PERFORMANCE through Going beyond the norm Teamwork CREATIVITY - INFLUENCING -PERSISTANCE -RESULTS

Management & Entrepreneurial Competencies Behaviours are the outward sign of competencies Competencies are personal characteristic that contribute to outstanding performance in a particular job They are measurable it is what separates the best from the rest Characteristic can take 6 forms ( see over) Competencies make the difference between outstanding and average performance A strong competency is what outstanding performers exhibit more often & with better results

Iceberg Diagram of Competencies Skills Knowledge Social role Self image Trait Motive Skill - ability to do something well Knowledge - Info that a person uses Social role - pattern of behaviour Self - image – person’s view of themselves Trait - a typical aspect of a persons behaviour Motive - a persons thoughts which drive behaviours achievement, affiliation, power

Entrepreneurs are bred In broad terms we come into this world with “ the same potential” to be entrepreneurs (10%) The competencies which are required for a successful entrepreneur  are developed at an early age 0-7 years In year olds (the working population)  if the competency has been demonstrated in the past lengthy coaching can help  if the competency is seldom demonstrated or very weak it is improbable that a dramatic change can be brought about  if the competency is inherently strong coaching will yield a very substantial increase in performance

Entrepreneurial competencies are divided into 4 clusters % strength of competency

1 What behaviours equal superior performance for the entrepreneur achievementThinking style Results orientation initiative Efficiency orientation Critical info seeking Analytical thinking Conceptual thinking Strategic orientation

2 What behaviours equal superior performance for the entrepreneur positive self management influencing Thoroughness Assertiveness Tenacity Interpersonal awareness Concern for impact Rational persuasion Strategic Influencing Self control/image

How to use Entrepreneurial competencies in business In recruitment of staff with entrepreneurial traits/competencies In building new business development teams and developing the concept of INTRAPRENEUR “Using entrepreneurial behaviours within a business” In personal annual reviews to encourage entrepreneurial behaviours In training and coaching In developing better organisations to grow businesses and be globally competitive

INTRAPRENEUR Time £ value Sales Intrapreneur intervention Creativity/Innovation Key Performance challenges Organisation/teams Entrepreneur

Conclusion Entrepreneurial success can be attributed to identified & strongly exhibited competencies These are developed early in life Competencies can be measured and used to test existing staff and new recruits Some selected training can be helpful – not all individuals can be helped Developing the Entrepreneur within the company INTRAPRENEUR can be a positive step forward to kick start growth