Competitive advantages With Management models -2nd Roundtable 02/03/2023
The roundtable started as usual looking at the possible roadblocks to move towards new management models. This session has been more focused on culture and risks from different perspectives.
Culture during a growth cycle.
Interesting the example of successfully grown start-ups where the original entrepreneurship spirit risks being diluted and losing the original climate towards something completely different.
Layoffs and hiring vs Learning culture.
From the aspects related to the current contrasting trends like layoffs, research, and hiring talents, the example of TECH Companies emerged: It is traditionally a fast-growing sector. They are looking for talents to be expected to bring results in a short time. However, it also emerged that the turnover is relatively high.
A remarkable observation was that culture and people’s attention may not focus on training to make their performances and resource retention possible. This is a lack of building the bases to create a solid foundation to grow.
According to the experience of one of our guests, many resources as salespeople leave within the first 12 months because they are not achieving their targets. So, it’s almost a vicious cycle because you’re seeing the same challenges repeatedly, and that’s one thing we’re certainly seeing from a hiring perspective. Flexibility, in this case, is based on hiring because of the expectations of getting immediate results.
We all agreed that a company needs the right system with appropriate processes to create an appropriate culture and caring training for employees. People need to stay and grow.
It looks like being stuck in not finding talents depends only on what you create inside your company to let current and new resources work successfully.
Keeping culture consistent -risk-averse culture for management innovation
Discussing the challenges to keep culture consistent, it has been noted that this issue emerges in rapid-growth start-ups. Why? Because the original climate and entrepreneurial spirit risk being diluted when size and dimensions change.
“I’m really worried about the culture, and how do you maintain that passion? And that vision and keeping people excited and like, especially when we are a remote team?”
It emerged that in the UK, education, and experience of resources to implement new management models are perceived as insufficient to progress towards new management models. This could be a factor that can increase the risk-aversion from executives in starting to do something about changing and adapting. Thus, the culture of experimentation with mistakes increases the risk-averse approach and could be one of the roadblocks to new management models.
Risks: business leaders and entrepreneurs.
Finally, It was remarked that the difference between entrepreneurs and executives sits in how the risks are perceived and mitigated. An entrepreneur will always be inclined to evaluate risks and find a way to mitigate and opportunities to exploit them. At the same time, executive-business leaders in a corporate environment will not manage and mitigate risk like entrepreneurs. They will be much more responsive to transmitting stimuli within a system than the entrepreneurs: They will respond much more to external stimuli. Is it worth considering (seriously) Entrepreneurial Leadership?
Thank you to all who participated!