A lot has been written about what entrepreneurs and business leaders ‘ought to do’ when it comes to running business organizations. Sadly, there isn’t much literature or resource to understand what they should not be doing as a leader.
There is no doubt that being an entrepreneur is not easy. There are just so many things to worry about. When the business is running well, you are bothered by how long will it last. When it is not, you are thinking about when will you get back to profitability.
In the process of being so busy and engaged, entrepreneurs end up making some critical mistakes that harm their organization. They might not do this consciously, but it costs them efficiency and productivity.
In this article, we look at some of the major mistakes that entrepreneurs end up making. Additionally, we also look at why the buck starts and stops with the entrepreneur in a business organization.
Setting the Leadership Tone: Why Entrepreneurs should lead from the front?
Modern businesses are dynamic, flashy, and glamorous. With the average age of business owners and entrepreneurs coming down, management styles and personalities have changed.
The advent of technology and the growth of digital platforms has created a state of business that is always in flux. Smart young professionals with dreams in their eyes are looking to do what their parents could not.
This is the day and age of enterprising start-ups. In such a dynamic era, entrepreneurs need to lead from the front. This is because more often than not the personality and temperament of an entrepreneur that shapes his or her business.
Employees and the company start getting shaded with the same personality colors of the entrepreneur. An entrepreneur that works hard, identifies smart opportunities, and motivates his or her employees can run a highly profitable and successful business.
In other words, the role of an entrepreneur in a business organization is second to none!
List of 5 Leadership Mistakes Entrepreneurs need to stop making
- No Interest in Developing Employee Talent-
You might think that as an entrepreneur you will be able to do everything on your own. However, when businesses get bigger and challenges become complex, you will need a team to help you through. Entrepreneurs need to start investing in corporate training for executives and managers. The development of talent within the business is instrumental to long-term success.
- Not Giving Time for Bonding Activities with Teams-
You have no idea how petrified a 21-year-old fresher feels when they first walk into an organization. when the boss talks to them, they feel a sense of importance. Entrepreneurs should always bond with their teams and employees. This humane side can go a long way in their decision to stay with your business or jump ship somewhere else.
- Not Setting the Example of Leading from the Front-
As an entrepreneur, you know that the adoption of new software can help improve efficiency within the organization. However, you want others to do it and not want to spend time learning how to use the software. This is a major mistake. As an entrepreneur, you need to show your team that you are the first one who is committed to making changes.
- Improper Management of Conflicts-
In today’s day and age, most entrepreneurs are impulsive when it comes to handling conflicts. Rather than being mature, patient, and rational, entrepreneurs are quick to jump to conclusions and make imprudent decisions. Man-management is a critical task of entrepreneurs. This is necessary to help the organization grow and prosper in both the present as well as the future.
- Not Striking a Balance Between Friendliness and Unapproachable-
If management experts are to be believed, both these personalities are problematic. An entrepreneur can never be a good friend of someone. On the other hand, they should also not look like they are haughty or unapproachable. The key is to strike balance between the two. Employees should know that they can walk up to their boss and speak what is on their mind.
The Final Analysis
Being a success as an entrepreneur is an art not a lot of people can muster. It requires an open mind, a big heart to accept where you are going wrong, and a commitment to making things right. By focussing on the above-mentioned mistakes, an entrepreneur can hope to create a team of successful professionals that can power business growth.