This essay has been submitted by a student. This is not an example of the work written by our professional essay writers.
Despite the previous generations enjoyed the security of lifelong employment with government firm. Privet businesses and SMEs are become more and more profitable nowadays. Recent developments in research on entrepreneurship, shows more attention given to small and medium-sized enterprises (SMEs), due to the realisation that it plays a big role in a country's economy. Indeed, some researches are in general agreement about the numerous difficulties experienced by SMEs. In particular, smaller firms have higher failure rates then larger firms (Story, 1994 in Ahmed, N 2007) they are also more likely to be affected by changes in their internal and external environments. According to study by (Stokes, 2006 in Ahmed, N 2007) the lack of market power and dependency on a relatively small customer base make their environments more uncontrollable and more uncertain. As such, an important question concerns '' How the SMEs firms can best cope in an uncertain and dynamic environment?'' Attempting to answer this question, the present research show that in SMEs '' the Entrepreneur '' is the main core competence of the business. For this reason, in this research I am going to demonstrate the typical behaviours and competencies which are required for a successful entrepreneur include the attributes and 'Knowledge, Skills, and Abilities' known as (KSA) involved. Entrepreneur is a special type of successful entrepreneurship and thus shares many key behaviours characteristics with this concept, such as innovation, creativity, vision and problem solving and also capable of dealing with failures, ability to take risks, marketing skills, business management skills,
Generally entrepreneurship behaviours have become more important objectives for organisations and societies with related to the abilities for exploiting successfully innovative ideas in a commercially competitive market. It has also been considered as a source of flexibility and innovation, a creator of jobs for improving the economy and good opportunity for individual career seeker.
1.1 Background and Contextualisation:-
A central thesis of this research is the entrepreneurial competencies, which are defined as '' underlying characteristics'' such as generic and specific knowledge, motives, traits, self-images, social roles, and skills which result in venture birth, survival or growth which can be the key to improve the business performance. By developing relevant competencies for the entrepreneur is considered to be an important step in providing an SME with sustainable competitive advantage, because the SMEs businesses are critically dependent on the owner's capabilities and their skills and their behave in real situations, and how they respond to challenging situations in 21st century, one way is to understand the role of entrepreneurs in ensuring the availability of their business.
Interestingly, the concept of competencies and its application in entrepreneurship sector is relatively new, it started to gain popularity in the late 1980's (Ahmed, N 2007) it can be argued knowledge, skills and abilities (KSA) reflects task-based areas of competence whereas, competencies on the other hand, are person related, they are the attributes of the individual that underlie observable behaviours. In my point of view for these arguments, competencies can be described as representing another level of analysis that sits above the KSA.
1.2 Aim and objectives of the assignment:
The main purpose of this essay is to explore the 'Life world' of an entrepreneur and evaluating the pressures and complexities associated with running a small business as well as the skills and competencies needed for the 21st Century. The research question is '' what are the skills and competencies needed for the 21st century entrepreneur?''
2.0 Literature review:-
The present a number of skills I believe are relevant to management effectiveness in the entrepreneur world life .These include time management, communication skills, personal adaptability and motivation, an occupational and technical knowledge. Each of these factors or skills is a key to successful entrepreneur and has performance. Planning refers to setting short- and long goals, setting schedules, anticipating obstacles, providing documentation for some activity, and developing alternative strategies. Additional administrative skills include organizing, assigning responsibilities, allocating resources, arranging information systematically, and processing work issues requests
Interpersonal skills comprise human relations skills and conflict management and negotiating skills, human relations skills refer to showing consideration for the feeling of other people, and management and negotiating skills use dissent to produce constructive solutions that can be used to maintain positive working relationships between the organizations. In terms of time management which is simply defined as how to make better use of all the hours in the day. Usually entrepreneur starts early morning at their desk late into the night, and through the weekend, but is this really necessary or remotely sensible for all entrepreneurs? The research found that, they are admitting to working well beyond 35 hours a week, however for any self-employed person, and creating entrepreneur will agree that is impossible to turn down work even if he is manically busy. There is something is important regarding time management is the deadlines which are missed and that causes their client lose faith. Although for some businesses are not important because they have enough time to manage their jobs and that makes their business interesting and enjoyable Another common failing among entrepreneurs they are all underestimate of the time a job will take and consequently undercharge, in this case the entrepreneur experience and his skills will prove that clients will be prepared to pay a little more for the confidence of knowing that a job will be done properly. Keeping track of the schedule is important, it is all too easy to forget to remind to send an invoice as the research found today's entrepreneurs face a lot of problems in paying the invoices on time specially when they deal with large organization which sometimes loss the invoices so they have to keep reminding or issue another invoice and then become another problem in terms of tax . Also entrepreneurs nowadays are not keeping their diary up to date the reason for this that they cannot manage to do the jobs in orders but some entrepreneur prefer loads of post-it notes stuck around their computer and office while a few of them prefer accessing a complex diary in their computer.
Entrepreneur should set compelling goals for every aspect of both his work and personal life ranging from the size of his database to holidays and personal wealth. Having these goals done will ensure that all his time becomes focused. However most of these goals and their sizes are dependent on cash flow in other words ''money'' as my questioner reveal. Money is playing a big role in risk taking for the entrepreneurs. Entrepreneurs are not afraid to take any risks as long as he convinced with the business plan and he has enough money.
Being an entrepreneur, many people believe that all you need to do is simply keep working, but in practical this is not the case standing still in the same way of doing the job is not good option no matter what type and size of the business.(The businesses who survived the recession can be good example), so in my opinion there is extremely need for making sure you keep up to date with career developments entrepreneurs can not expect the next job with another company and this will need to have flexible entrepreneur which is very important to adapt all the changes e.g. market change and customer change. Personal adaptability I assume that one is capable of responding to the stress and pressure of everyday life work demands and is committed enough to the organization to feel obliged to respond. Inherent in successful entrepreneur is their high performance standards in quality and quantity of work produced. Motivation is one of the essentials for entrepreneur owning his business in order to keep his business up to date and to keep his carrier on the straight and narrow. The drive of success that keeps business going comes from the entrepreneur's feeling of responsibility to everyone depends on him. However, according to my research, ''money'' and job as long as they have jobs ongoing which are the biggest motivating factors no matter how the jobs sized as long as they are in their sectors, my finding that, the entrepreneur never give up any job. There is no doubt that, personal development can help the business to do the job in several unexpected ways. Entrepreneurs must understand all legal requirement for their business, there will be a lot of demand for entrepreneur to become very well with legislation and knowing how to overcome the rules very well, the insurance sector for example high experience required to convince that the entrepreneur is fit to run the business however, is not only insurance there are things that could stop their business in the future.
Effective leadership is taking charge and initiating actions, directing groups of individuals towards their targets, and adapting to change when required. Key features of leadership and success organization include creating an environment where employees are rewarded for their work, using the collective resources and of the work group to facilitate problem solving and decision making, and clear delegation and control of responsibility. Strong leadership skills are essential for gaining the trust between organizations. This research have shown that, these days strong leadership means ethical leadership and will be for the future entrepreneur, conventional wisdom, willing to learn as well as teach, keeping an open mind to his members, ideas while challenging the status. The effective leaders of today are visionaries.
A culture where clear and honest communication between the entrepreneur and his staff is important by involving the staff in decision making by discussion and keeping them informed with the business statues as well as mutual trust and respect. Any member of the organization want to feel their ideas are welcomed and considered, this will give good impact member retention, job satisfaction and good service. One of the skills which is related to communication skills is maintaining client relations which building up a strong and honest relationship with client means they are more likely to let the entrepreneur know when have new issues and to accommodate them. There is saying that, it goes without saying. However, in practical of situations it's always good to accommodate the clients needs, if not try to convince them by offering them alternative solutions, for example when the entrepreneur has a meeting with the client he must listen carefully to what the client say and make sure they know what they are talking about. Essentially entrepreneur must find some ways to remind their clients why they should be with him and not his competitors without overdoing it.
3.0 Conclusions and Recommendations:-
The research that has been undertaken tends to focus on the specific factors which influenced somebody starting a business rather than entrepreneurship as a career choice, yet in the new 21st century the prospect of a ''portfolio career'' involving periods of salaried work, self-employment and leads to increase unemployment in which causes entrepreneurial skills will be more important. Moreover, the twenty first century post industrial society is likely to be characterised by a knowledge-based environment dominated by information technology and networking with less location ally-dependent on more fragmented business operations. The more focus will be on flexible business structures.
The utilisation of competency approach suits this research because the environment of 21st century entrepreneurs in SMEs will operate characterised by an increasing the rate of challenging work tasks which is way of different from the past business environment. It is undeniable that environment variables such as global recession, marketing and sells changes and financial rate influential on entrepreneur success for this reason the need to evaluate the internal factors which may contribute to a business success. The internal factors were related to the skills and abilities of the entrepreneurs themselves, while the external factors are government police and economic conditions were the least important factors for success. The new millennium is likely to involve more personal responsibility for employment and financial affairs. Flexibility and creativity will be necessary survival skills in the workplace. Such an environment points to greater need for entrepreneur activity. The interview suggests that entrepreneurs are favourably regarded for their ability to make money and their dynamism, motivation and contribution to the economy. Tomorrow entrepreneur will face the challenge posed by the current transition from an industrial to an information based economy. Their ability to perform successfully into 21st century will depend upon profound understanding of the business impact of information technology. In my point of view, management of information resources will be one of the key business skills of the future.