That’s when instead of creating a business, most entrepreneurs merely create a job for themselves. They have achieved the satisfaction that comes along with their own businesses, only to find that this freedom has its price: Daily attendance is mandatory in order for the business to succeed and be profitable. In a sense, rather than creating their own business these entrepreneurs have instead created their own jobs, with all of the responsibilities that go along with it. The second challenge successful entrepreneurs’ face is that while they have developed the business skills they need to grow their business; very few of them have cultivated the personal wealth skills they need to build their wealth independent of their business. This is extremely shortsighted and risky.
A substantial amount of CoolBurst management and employees have worked at the company for a long time and continue to tradition of the close minded work environment. The employment team does not have a diverse background or work history, so there lack of knowledge and exposure to other work environments enhances the company’s rigorous environment. There is lack of creativity in not only the work environment, but also in the problem solving that the company does. The company has become focused just on procedures and policies, oppose to new approaches to problem solving and growing within the market. This makes employees more concerned with the office politics than company success which will hinder the growth of any company.
PMP Certification: an add-on on the PMs for better career future: Today the jobs are based on various projects and the success of that projects depend upon the Project Manager. But there have many situations in the companies where even the experience manager fail to lead a project or the project is a complete failure. There are many times that projects are handled in proper way, but it always better to have your experience formalized with a certification. And the Project Management Professional (PMP) certification would be the best choice for you. There are few people who would ask why to have a PMP when you earn a good pay and is at good post.
Starting up and running an owner managed small business is a trying task that takes dedication, commitment and in some cases luck. Unless you manage to grasp a guaranteed successful opportunity and excel from the word get go, most small business owner managers (SBOM’s) face a tremendous amount of pressure and risk. Deciding whether or not to start up a small business is not easy and with it comes a lot of restraints which in turn tend to defer prospective SBOM’s. Peacock (2004) claims that some people have certain periods in their life cycle where a window of opportunity open’s, this is where a person builds confidence in the feeling that their current restraints are considerably outweighed by their feeling of readiness. Readiness represents a person’s confidence and feeling of complete competency over the challenges to come in the new business venture.
Profit Sharing - Result controls may serve well with congruence between employees’ and company’s objectives, but employees take for granted the law-required 10% profit sharing of the company’s income and so their motivational effect seems little. Salary Increase – The semi-annually salary increase is subjective and irreversible, and so may be inconsistent with performance and fails to motivate employees to work harder. Internal competition – Although assigned the
He gave up his very successful banking job to become a photojournalist and deal with less than half salary as he used to get. It is not as satisfying as loving your job and making less money. I admire him for leaving his job and leaving everything behind. He had everything he wanted as a banker, he had the houses, cars, everything he dreamed of, but it wasn’t what he loved to do. He did not want to sit at a desk for the rest of his life, and I can relate to that.
What are the risks, rewards, and trade-offs of a lifestyle business versus a high potential business one that will exceed $5 million in sales and grow substantially? A lifestyle business is one where the owner develops a company doing something they enjoy doing, they aren’t necessarily looking to become a millionaire they are generally satisfied making a living doing what they love. The risks involved with this type of business are mostly related to external factors, you are extremely dependent on the economy and the consumer market. In Roxanne’s case they were unable to hire quality and skilled employees at this level, it was crucial for them to grow into a larger organization to be able to attract higher level employees. The rewards of owning a smaller business is that you can set priorities outside of the business, if you want to shut the doors at 3pm and go golfing for the afternoon you can do so.
This is evident with Steve Jobs, he is clearly an outstanding leader, however before he was initially fired, we could see from the sales data that he was not a very good manager. This leads me onto the point that a leader such as Steve Jobs may have a great vision for the future that will turn the company around, but it is almost impossible for the chief executive to do this as a one man job. This is evident in a company such as Virgin, where Richard Branson created a an entrepreneurial vision that turned out to be hugely successful, but to ensure this success occurred and stayed, he had to employ others to support him such as managers, to help run the logistics behind the company and essentially the companies backbones, that ensure it runs smoothly. This would be a seemingly impossible task for a singular person to do as it requires a large range of skills. It is important that for the easiness of change to occur, that the leader and the managers or sub groups within the company work well and flow together.
For instance, if a manager of a large company worked their way up the corporate ladder through sacrifice and hard work, they would be defined a success compared to those who had an insider to piggy-back them to the top, which is what I consider unsuccessful or a “hollow Success”. Although some may consider success as a goal being reached, or accomplishing the task at hand, however I feel if someone only achieves one successful feature, it doesn’t make them a successful individual. You cannot cut corners on your own aspirations. In addition, satisfaction holds a significant part in the game of success; the key point is
An interesting thing to remember is shareholders of a company cannot pay them first before, employees, suppliers, creditors, the government, and stakeholders they will receive nothing. Shareholders take on many risks when running a firm and if the firm is not managed properly to maximize the shareholders wealth, the investors will have no desire to accept the risks for that business to succeed. Does the firm appear to have an agency problem? Reading the case study, yes the firm does appear to have an agency problem. The firms stock has declined $2 per share over the last nine months but the firms profits have been rising.