300 words
Lotus
Entrepreneurs1powerpoint.pptx
Entrepreneurs, Culture, and Entrepreneurial Culture
Marlene E. Weaver, MBA
School of Business
Hello,
I would like to talk to you today about entrepreneurs, culture, and entrepreneurial culture with regard to strategic management.
We have all heard these words before, but have we thought about them in reference to organizations and businesses?
1
Topics for discussion
Introduction
What is an entrepreneur?
What is organizational culture?
What is entrepreneurial culture?
Why is it important to know the difference?
In this brief presentation we will review the formal definitions of these words and then we will relate those definitions to an organization.
We will review the definition of an entrepreneur, the definition of organizational culture and the definition of entrepreneurial culture and discuss the differences between them.
2
Introduction
Entrepreneur
- Culture
Entrepreneurship
Entrepreneurial culture
3
Our course material has many references to entrepreneurs, entrepreneurship, and entrepreneurial culture.
It is important that we understand their different meanings before we read the material for the week. Once you get past the spelling, the rest is easy!
What is an entrepreneur?
The Webster (1988) dictionary describes an entrepreneur as “a person who organizes and manages a business undertaking, assuming the risk for the sake of profit” (p.454).
How do we describe an entrepreneur?
- an inventor of a business
- a risk taker
When we think about the formal dictionary definition of an entrepreneur, “a person who organizes and manages a business, assuming risk for the sake of profit” we think about the man down the street who just invested his life savings in to a dog training business.
He had an idea for a business venture and set it up hoping to be successful.
4
Other thoughts about entrepreneurs
Inventions are important
Entrepreneurs are important
New ideas
New stores
New services
Inventors like Thomas Edison had an idea and created it. There are also many inventions that fail for some of the same reasons that businesses fail. There is lack of money and focus.
Entrepreneurs are no different. There is a new idea for business, for a product, for a store, or a service and then the entrepreneur makes it happen.
5
Culture
The Webster (1988) dictionary describes culture as “the ideas, customs, skills, arts, etc. of a people or group, that are transferred, communicated, or passed along (p. 337).
Western culture
Eastern culture
Religious culture
Organizational culture
Culture is formally described in the dictionary as “the ideas, customs, skills, art of a group, that are transferred, communicated, or passed along”.
We have cultures based on our location, our heritage, our religion, our schools, and our business.
6
Organizational Culture
- Dess, Lumpkin and Eisner (2010) describe organizational culture as “ a system of shared values and beliefs that shape a company’s people, organizational structures, and control systems to produce behavioral norms” (p. 317).
Formal culture
Informal culture
Entrepreneurial culture
Organizations come in all shapes and sizes and are also located throughout the world. The culture of the people obviously have an influence on the overall culture of the organization, but for now, we will focus on a typical U.S. organization.
Some have formal culture, some have informal cultures and some have entrepreneurial cultures. And some have a combination!
7
Formal Organizational Culture
- Dress code
- Strict hours (9 – 5)
- Meeting rules
- Lunch hour rules
- Timeclocks
A typical formal organizational culture will require a certain dress, typically a white shirt and tie for men and dress slacks or suit for women. There could be definitive hours of work for everyone and formal meetings with meeting rules. Everyone would have a set lunch period and there could be strict timekeeping rules.
8
Informal Organizational Culture
- Relaxed dress code
- Flex hours
- Open lunch periods
- Informal meetings
- No time clocks
Some organizations prefer a more informal atmosphere. They are allowed to wear jeans, sweatshirts, and open toed shoes. They show up when they want and take lunch when they want as long as they work for eight hours in a day. Their meetings are more informal and often have no rules. The entire atmosphere is very social oriented and easy.
9
Entrepreneurial Culture
Dess, Lumpkin and Eisner (2010) describe an entrepreneurial culture as one where “the search for venture opportunities permeates every part of the organization” (p. 440).
- everyone feels the spirit
- no idea is a bad idea
- innovation begins at all levels
Entrepreneurial culture can either be formal or informal. The key to this is that the organization realizes that they have talented and gifted employees who all know the ins and outs of the business either technically or administratively. They welcome anyone’s ideas and have a system to reward innovative suggestions.
10
Entrepreneurial Culture
Can be formal or informal
New ideas for improvement are welcomed
Level does not matter
Size does not matter
Age does not matter
In any business who envelopes a true entrepreneurial culture, it doesn’t matter who the suggestion comes from – everything is important and the leadership ensures that the employees at all levels know this. A balance between rewards, culture, and organizational boundaries create an entrepreneurial culture.
11
Summary
Remember that some of the best innovations in recent years have developed in a garage by somewhat uneducated people.
In many businesses, new ideas for change and new ideas for saving money are what keep them competitive.
Welcome all ideas!
Thank you for your time. Keep in mind that we all have our own cultures, backgrounds, experiences, and ideas. Sometimes when two people have an idea and they talk about it, it then becomes something bigger and better.
12
Questions or Comments?
13
