8/8/2019 Essential Skills for Young Entrepreneurs

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Article by

- Neeta Baporikar

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` Skills related to personal and interpersonalcompetencies of people and are expressed in theirbehavior.

` These skills can change the behavior through learning

and training.` Theyre the indicators of how well the entrepreneur

can perform important tasks but are no substitute tothe innovative individuals ability to

x Identify opportunity

x Take risk

x Make success in business venture

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` Competency proposed by Boyatzis(1982) Underlying characteristic exhibited by a person that can

result in effective and/or superior performance in the job.

The characteristic may be

x A motive

x Trait

x Skill

x Aspect of ones self image or social role

x Body of knowledge which an individual uses.

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` Based on the exhibited level, these competencies

of entrepreneur can be classified as threshold or

success.

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` A common concern is to get individuals to become

more entrepreneurial and innovative.

` Therere training programs given to individuals to

improve entrepreneurial learning process At stage 1: Focusing on creating and running new

business.

Stages later on : Encouraging them to set up and

manage their own business, as well as to secure their

growth and future development.

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` Common attributes of entrepreneurs are Tolerance of ambiguity

Locus of control

Propensity to take risk

Achievement values

Task motivation

Successful entrepreneurs are not gamblers

High quality of work, assertiveness, self-confidence and taking actions to overcome

obstacles are needed.

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` Another challenge for entrepreneurs is to remain

constantly innovative, which needs continuous

updating and learning.

` An associated skill is creativity.` Being creative requires being different, curious

and persistent that enables generation of novel

ideas.

` They have to identify the market, intuitively think ,wider network,

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` Competencies such as finance management,

engineering, accounting, marketing, and sales,

have been cited as important to succeed in

business.` Important thing is that he must be able to discuss

and persuade with stakeholders, such as

customers, clients, suppliers, competitors, service

providers and the like.

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` Decision Making

` Identifying and solving Problems

` Identifying business opportunities

` Innovative thinking` Evaluating business opportunities

` Communication

` Deal making and negotiation

` Networking However competencies may vary according to the

development of particular venture

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` Internal factors: Cost and Revenue: rise or fall, profit margin, cash flow

Human Resource: employees, management plan, talent

management.

Operations: supervision, achievement of consistent

results

Philosophy or Mission: Written mission, Kind of

activities that will be performed, resources, core values.

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` External Factors: Your Market: share, strategy.

YourCompetition: Threat, Are some part of your market

becoming crowded with competitors?

EconomicClimate: interest rates, Inflation,

developments in market place.

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` Identify a medium term vision , a 3 year vision with

clarity.

` Dont mistake 3 yr vision for those formal vision

stmts.,` This can help you to visualize specific things youd

like to realize within a 3 yrs time frame.

` To identify 3 yr vision, focus on the future.

` Consider changes in the global market, internetand technology.

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` Do gap analysis.

` Set SMARTx

Specificx Measurable

x Achievable

x Relevant

x Time-based goals

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` All these competencies cannot be applied to all

the levels of Y.E around the globe.

` Although the essential skills require validation,

they provide insights on the competencies to beemphasized for Y.E

` By installing these in students/entrepreneurs, we

can encourage them to become more

entrepreneurial and establish enterprise for fastereconomic development of the country

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