Factors Influencing New Business Start-ups, Enterprise Culture, Innovation And Creativity

The role of the entrepreneur, innovator, and creative people in new business start-ups

Evaluate and explain the external and internal factors that influence new business start-ups, enterprise culture, innovation and creativity.

There are different kinds of organization but none of the organizations are categorized as the either the good organizations or the bad organizations. Organizations working in the process of making them; and therefore they keep on adopting new strategies, so that the product and the services that are being sold by these organizations are readily accepted by the customers. Organization strive to survive in this competitive market and if the company or the organizations wants to survive in this competitive market then the contribution of all the members in the organization is important. The role of the entrepreneur, creative people as well as the role of the innovator is very important. Along with it role of the leader or the management is very important for the survival of the organizations.

The effective growth and the sustainability of the organization depend on the management of the organization and to be more specific it depends on the leadership quality of the manager in the organization. The leaders mainly have to work for the five main things, which also include achieving the result, or the goal set by the organization. Although the goal could only be achieved by the organization if the organization has the capability of carrying out the other four task preceding it. Among the fur task, the most important task is providing direction to the people working in the organization and at the same time, the leaders should be responsible for setting direction for the people working in the organization (Sigala and Chalkiti 2015). Apart from that, the leaders also responsible for working with all the people there in the organization and at the same time the leaders are also responsible for effective allocation of resources that are available. Lastly, if there are any changes in the organization, the leaders should be able to facilitate those changes that are being introduced in the organization and if the leaders able to carry out all these tasks effectively then achieving the goal that is being set by them will not be a very difficult thing for them.

The growth of the organization depends on effective people management and especially on the work that is being carried out by an effective people manager. The people working in the organization possess many kinds of skills but then without the proper and the nurturing of those skills there will not be either growth of the people or the organization. Here, the role of the people manager is very important because a people manager is responsible for the guiding, as well as for praising the people working in the organization and at the same time they are also responsible for identifying the skills of each people working in the organization. The people managers are responsible for the employees and the other people working in the organization; one more important task they should carry out and that is they should be able to identify the future skills that are needed; for the growth of the organization.  

The importance of effective people management and leadership in organizations

According to critics the organization, contain at least five very important parts. Among those important five parts the Operational Core, is the most important part because almost every organization and even the small private organization has the Operational Core. The operational core or the Operating core is the sector or segment, which includes those people who plays the most important part in making the product or services that are being offered to the people. Apart from operating core, the other important segment or sector in an organization is the middle line up segment or the sector. The middle line up segment or the sector help in the effectively managing all the managers, is the responsibility of the middle manager. A big organization or a small organization growing or expanding as a big organization is something that should always be taken care of. Therefore, there is a need of a middle manager in the organization, who very effectively supervises the junior as well as the lower level managers. The next important part of an organization is the Technostructure of an organization. Well, at this point, the critics differ from each other, but then there are some critics and scholars who believe that in an organization there is a Technostructure; which makes every decision the best decision. The decisions that are being executed in the best way possible include things like technology and setting up new computerized system and things as such. Most decisions that are taken are intangible decisions and not at all a tangible decision. The fourth part of an organization is the support staff of an organization and because there is a support staff in an organization now it is not very difficult for an organization to carry out all their activities. The support staff of the organization helps in smooth functioning of all the sectors from the operating core department to the Human Resource department to even cafeteria. The next and the final part of an organization is the apex or the top management of the organization. It may contain a single manager of the organization and at the same time, it may contain a board of directors or managers of an organization who are responsible for looking after the workings of the organization so that the works that are being carried out the innovators, creative people and the entrepreneurs, are executed properly.  

The workings of all the five departments depend on the mutual adjustment that is there between the five departments and at the same time, it depends on the direct supervision. Direct supervision is good for but at the same time; from the managerial point of view, this is something that is very costly as well. The workings of the entrepreneurs, innovators and the creative people also depend on the standardization of the work, which is possible through system and procedures. Apart from the standardization of work, there is also a standardization of output as well as standardization of skills, which depends largely on the ability of each employee working in the organization. The theory also refers to the fact that the job specialization and the behavior specialization as well as trainings are certain tools that help in the effective management of the innovators, entrepreneurs and the creative people. Apart from these tools they are other tools as well, which include things like planning and control system, unit grouping, size, and tools like indoctrination. The theories are there for the organization and the theory state the different tools that an organization may use for the effective management of everything inside the organization. Although, theories are there, one should not forget that most of these theories are written long ago and therefore, in today’s organization, in practice there is a need of all the tools or most of the tools and not one tool is sufficient for the working of the organization. Thus, a difference is there between the theory and the practice, what is there in the theory my not always be true in practical sense as well.

The five important parts of an organization and their functions

The effective management of all the sections of an organization depends of the decisions taken by the senior management of the organization. There are firms or companies where there are people from different profession such as law, marketing, accountancy and architecture and things such as these, in such a firm the operating core is the most important department. The works that are being carried out in the operating core department are the most important. Here the support services are there but then in reality the support services act as a “back room” support to the people, and here the senior management has a very important role to play. The problem that the organization faces in practice is the problem of power structure. There are many organizations and each organization depends on different kinds of power structure. There is the centralized power structure where there is the manager or the board of directors who take decisions on behalf of the whole organizations. Again, there are other kinds of organizations as well, such as those organizations that provide accounting services to the people and these organizations has more than one senior managers or partners. Therefore, while adopting any policy or strategy the opinion and the voice of these partners are very important and only after the senior managers agree on a particular policy or strategy only then it is adopted in the organization (Gregor and Hevner 2015). The organization who has this kind of structure follows a decentralization of power but when an evaluation of both the structures are made then it is found out that neither is better than the other. Therefore, the theories are there for both kinds of organization but then not only one kind of theory is applicable for different kinds of organization. The effective working of the organization, in practical depends on the use of different kinds of theory that are there. In practical the management and especially the senior management is responsible for taking effective decision so that the new products and services that are being launched in the market has an advantage in this competitive market.

The theory state above about the effective management of the organization and the practical situation that the management of an organization faces is quite different from each other. There is a gap between the theory and the practice and therefore often there are certain problems that most of the organization and the management of the organization faces because most of the time, the management faces a difficulty in taking an effective decision, which will help in managing the entrepreneur, the creative people and the innovators, effectively. Although, effective working of the management will not be a very difficult thing if six steps are being followed, and the six steps actually forms a cycle as well. Among, those six steps one of the most important and the first step is the assessment of the leadership (Greener 2016). There should be an effective management of the leadership, which will help the management to find out the ability of the management in the organization so that the future strategies are carried out smoothly and that too without any problem. At times, there are gaps between the leadership and the management capability and the second step is that the organization should find out the gap between the leadership and the management capability. The third step includes, addressing the gaps that are there between the leadership and the management. There is more than one option and to address the problem, which is the cause of the gap that is there between the managerial and leadership ability. The organization should consider more than one option for filling up this gap that is there. The fourth step that is there is choosing the right and the preferable training option. At times, there is a feeling that an effective management of all the three sectors is not possible without training and therefore it is important that training be provided to the employee. Therefore, choosing the right training option is important, because only the correct training option could fill the gap that is there between the managerial and the leadership ability. The fifth step includes evaluating the value for money as well as its impact that is required for the development, of the management and the leadership ability. The objectives that are being set by the organization is important for the success of the organization, therefore, it is important review of both the leadership and the management skills and that too at a regular basis so as to reduce the gap that is there between the leadership and management capabilities.