IS THE IDEAL LEADER AN ENTREPRENEURIAL LEADER?

In the dynamic and competitive landscape of today’s job market, entrepreneurship is back in vogue, once again emerging as a widely valued quality in the idealization of a leader. Companies, regardless of their size and structure, aspire not only to remain relevant but also to stand out as innovative, efficient, and agile – characteristics historically associated with entrepreneurs. However, the quest for entrepreneurial leaders often becomes a challenge, with companies facing the lack of tools and structured dynamics to distinguish true entrepreneurs from other talented professionals, often falling into the trap of choosing based on stereotypes.

In this context, this article aims to fill this gap by offering strategies to identify and select entrepreneurial leaders more accurately. Likewise, in exploring the topic of what truly makes an entrepreneur unique, I turned to the results of psychological tests from various studies conducted in different countries. These tests were administered to individuals who self-identified as managers as well as those who considered themselves entrepreneurs.

A deeper analysis of these evaluations, incorporating data on personal interests and personality traits, revealed distinctive characteristics in entrepreneurs. These include the ability to thrive in times of uncertainty, an intrinsic desire to create and lead their own projects, and a unique quality of persuasion. These attributes reveal nuances that traditional stereotypes associated with entrepreneurial leaders often do not fully address.

It is imperative to understand that, for example, creativity and innovation are not exclusive to entrepreneurs, but rather characteristics that can be found in various professional profiles. The differentiator for entrepreneurs lies in their curiosity and perseverance – they do not seek unnecessary risks but rather embrace uncertainties as intriguing challenges. In this article, I aim to provoke the deconstruction of myths related to entrepreneurs, providing a closer and more aligned view with reality. Additionally, I will present some practical and well-founded guidelines, highlighting questions that can be very useful tools during interviews and resume screenings, allowing recruiters to identify entrepreneurial candidates among talented professionals with great potential, but who may meet other organizational questions and needs.

Understanding the Needs: Shaping the Search for the Entrepreneurial Leader

Before embarking on the search for entrepreneurial leaders, it is imperative to consider a crucial question: does the company really need a leader with this approach? This question is essential because, contrary to common conceptions and trendy trends, not all organizational challenges require an entrepreneurial mindset. Imagine, for example, a company that has been established in the market for decades, with robust processes and well-established hierarchies. In this context, introducing an entrepreneurial leader who values extreme autonomy can create friction, as the existing structure requires interdepartmental collaboration and information sharing.

On the other hand, consider a startup in full growth, whose main challenge is to innovate quickly and adapt to a competitive market. In this scenario, an entrepreneurial leader can be the key to driving the company towards success, as agility and the ability to think outside the box are crucial. See, upon entering the practical field, it is noticed that members of successful innovative groups demonstrated significantly higher scores on a scale that assesses the desire for power and control, compared to non-entrepreneurial leaders.

In terms of behavior, it becomes evident that this characteristic can generate conflicts in situations that require information sharing and power, crucial elements for the company’s performance. Imagine a situation where a company needs to consolidate several teams for a joint project. An entrepreneurial leader, accustomed to autonomy, may struggle to adapt to an environment that requires constant collaboration and joint decision-making. On the other hand, this characteristic may not align properly with organizations with a matrix or horizontal structure, which require flexible boundaries between workgroups or depend on high collaboration.

Another point that I understand to be fundamental is that during the hiring process, those responsible should take into account not only the company’s culture but also the specific leadership challenges for which they are recruiting. In situations involving innovation, agility, turnarounds, or more independent project initiatives, an entrepreneurial style will likely be great. For example, imagine a technology company that is developing a differentiated product. In this case, an entrepreneurial leader with experience in bringing new ideas to the market can be a valuable asset. However, in circumstances that require substantial interdependence between the matrix and the units, it may be more effective to hire someone with a different leadership profile, who knows how to balance collaboration with autonomy.

If the decision is indeed to hire an entrepreneurial leader, it becomes crucial to understand the entrepreneurial personality in a sophisticated and nuanced manner.

There is a widespread belief that entrepreneurs and those who appreciate innovative and constantly changing environments are more creative. However, creativity in the business world manifests itself in various ways, and some executives stand out for their originality in fixing what isn’t working. Although entrepreneurs excel in the uniqueness of their ideas, this characteristic is not exclusive to them.

What truly distinguishes entrepreneurs goes beyond mere “creativity”; it’s the ability to thrive in times of uncertainty. A crucial aspect in this dimension is openness to new experiences, a characteristic that stands out in entrepreneurial leaders compared to their conventional peers. Being open to new experiences is not just about being willing to advance in unpredictable environments, but also feeling intense motivation to explore the unknown and untested. For those who score high in this regard, uncertainty is a source of stimulation, not anxiety.

Imagine an entrepreneurial leader facing a rapidly evolving market. Not only do they adapt to changes, but they actively embrace them, seeing each challenge as an opportunity to expand their understanding and competence. This mindset not only drives creativity but also stimulates resilience in the face of uncertainty, crucial characteristics in dynamic and competitive environments.

A concrete example is the trajectory of Carlos Alberto, whose nearly ten years of experience in a renowned technology company preceded his venture into creating an innovative IT startup. In robust corporate contexts, Carlos Alberto adopted an approach that set him apart from other leaders. “I didn’t stick to the conventional process of my last job or the typical chain of command, as it was the only way to effectively do my job,” he says. “I didn’t see myself confined to a predetermined box; I didn’t see limits. I faced a blank sheet and questioned myself about what I could create there.”

Entrepreneurs, like Carlos Alberto, appreciate the process of “invention.” They are less inclined towards conventions than their peers and more likely to believe that things can be improved. They thrive in environments where there is a market opportunity but no product or service yet, or when there is a product, but the go-to-market strategy is unclear. They enjoy the early stages of projects and tend to be less involved as projects become more routine and stable.

Is it True That Entrepreneurs Feel More Comfortable in Risky Situations?

The common idea that entrepreneurs are thrill-seekers or adventure lovers in the business world is simplistic. They are not skydivers or radical adventurers in the business world. Like any other professional, they seek to minimize risks in all situations, but there is a notable difference in how they approach risk compared to conventional executives.

Studies indicate that entrepreneurs feel more comfortable in risky situations than their peers. It’s not about seeking the thrill of risk but rather accepting that facing risks is a reality to achieve a desired goal. Instead of being inhibited by the anxiety that risk can bring, entrepreneurial leaders learn to deal with it more adaptively. Additionally, from some interviews, I’ve noticed that colleagues of these leaders often see them as more comfortable in risky situations than traditional executives.

Entrepreneurial leaders do not necessarily stand out for being more resilient to stress or firmer than other executives. In resilience analyses, I haven’t found significant differences between the two groups. Instead, it’s clear that unpredictable and ambiguous environments are a source of motivation for entrepreneurial leaders, becoming one of the main reasons they thrive in times of uncertainty.

To visualize this in practice, consider Carlos Alberto, this aforementioned entrepreneurial leader. When the market faces a drastic change, Carlos not only adapts to the situation but sees it as an opportunity to innovate and explore new paths. His mindset reflects not only the willingness to take risks when necessary but also the ability to turn uncertainty into motivating fuel. For him, the risky situation is fertile ground for creation and discovery, highlighting the complex interaction between risk aversion and the need to explore the unknown. You see, these leaders don’t seek risks for their own sake but understand that facing them is an inherent part of the process of achieving desired results and promoting innovation.

The Truth Behind the True Power of Entrepreneurs

Entrepreneurs are not simply individuals motivated by the need to create their own products and projects; they transcend the conventional view of power as mere supremacy over subordinates. A deeper analysis reveals a fascinating complexity, where ownership takes on greater importance than dominance.

In interviewing and working with entrepreneurs, I encountered an intriguing variation in terms of the need for power. For them, power is not just authority; it is control over the end product. Their motivation goes beyond passive leadership; it’s about being at the heart of the process, where a project comes to life and evolves daily.

• The Entrepreneur as Craftsman: Contrary to the image of a dictator controlling pieces of a game, the true entrepreneur resembles more a craftsman with hands in wet clay. They want to actively participate in creation, pulling a product out of the oven and proclaiming, “This is mine.” This expression of power is not selfish but an assertion that they shape materials into something useful and valuable. Good entrepreneurs, even after achieving success, tend to remain involved in discussions at various stages of their business and evaluate every detail.

• Power at the Center, Not the Top: For entrepreneurs, power does not manifest top-down but at the center of a circle, not at the top of a pyramid. Despite demonstrating authority, expertise, and charisma, their unity lies in the willingness to engage in crucial activities. Each new project is an opportunity to reveal to the world who they are and what they can create.

• The Importance of Persuasion: The need to persuade different audiences becomes vital for entrepreneurs. This includes team members, investors, strategic partners, and consumers. The ability to persuade is an essential skill for entrepreneurial leaders in large organizations. A concrete example is an executive who, even in corporate environments, stands out as an entrepreneur due to their unique persuasion skills.

For example, returning to Carlos Alberto. I consider him a true professional who led innovative projects in a technology company for many years. His ability to persuade colleagues to adopt new approaches, attract key investors, and negotiate strategic partnerships illustrates how persuasion is crucial. Regardless of the context, the ability to sell ideas and gain support drives success in entrepreneurial projects within large corporations, which motivated him to create his own startup.

The Ideal Candidate

I hope you’ve already noticed that entrepreneurship is not just about exceptional creativity. Entrepreneurs may not be extraordinarily creative, but they are remarkably curious and tireless. They do not avoid risks but see uncertainties and novelties as intriguing opportunities. Contrary to some myths, entrepreneurship does not follow simple patterns.

Therefore, before seeking entrepreneurial leaders, it is crucial to assess whether your company really needs one. Consider the specific leadership challenge for which you are recruiting. In situations that require initiative in contained projects, an entrepreneurial style may be useful. However, as described earlier, if the interdependence between the matrix and the units is high, perhaps a different leadership profile would be more effective.

When deciding that your company needs an entrepreneurial leader, understand the entrepreneurial personality in a sophisticated way. The following questions are valuable tools for identifying candidates who are likely to thrive in times of uncertainty:

1. What do you fear most: anxiety or frustration?

   ( ) Anxiety

   ( ) Frustration

2. Are you willing to engage in trouble to make something important happen?

   ( ) Yes

   ( ) No

3. What do you value most: instinct or knowledge? Why?

   ( ) Instinct

   ( ) Knowledge

4. What do you value most: imagination or analysis? Why?

   ( ) Imagination

   ( ) Analysis

5. A space explorer is looking for people to colonize Mars. Would you talk to the part of you that would say yes to such a mission and the part that would say no?

   ( ) Yes

   ( ) No

6. We (or a competitor) decided to launch this product this way. How could it have been done differently?

   ( ) Exploring a different business model for the launch.

   ( ) Adopting a more comprehensive marketing strategy.

   ( ) Adjusting the product’s positioning in the market.

   ( ) Modifying the product’s features or functionalities.

   ( ) Considering different distribution channels.

   ( ) Implementing an alternative pricing approach.

7. Quickly, choose one of the options from each of the following pairs.

   ( ) CONSISTENCY or ( ) FLEXIBILITY

   ( ) PROVEN or ( ) POTENTIAL

   ( ) CAUTIOUS or ( ) BOLD

   ( ) EXPLORE or ( ) ACCOMMODATE

   ( ) PREDICTABLE or ( ) POSSIBLE

   ( ) BONUS or ( ) SALARY

   ( ) SECURITY or ( ) OPPORTUNITY

   ( ) REWARD or ( ) SATISFACTION

   ( ) PUZZLE or ( ) BLANK SHEET

   ( ) AGILE or ( ) STABLE

   ( ) CHANGE or ( ) CONTINUITY

   ( ) KNOWN or ( ) UNKNOWN

   ( ) PATIENCE or ( ) ENTHUSIASM

   ( ) FRONTIER or ( ) DOMESTIC

   ( ) PREDETERMINED or ( ) OPEN

   ( ) WILD or ( ) TAMED

   ( ) VARIETY or ( ) CERTAINTY

   ( ) INHERIT or ( ) CREATE

Interpretation of Results: The Ideal Candidate

1. What do you fear most: anxiety or frustration?

   – Anxiety: Indicates a willingness to face unknown challenges and an ability to deal with uncertainties and ambiguities.

   – Frustration: Signals a preference for more controlled situations, where expectations are clear, and risks are minimized.

2. Are you willing to engage in trouble to make something important happen?

   – Yes: Demonstrates a propensity to take on challenges and a proactive attitude toward obstacles, fundamental characteristics in an entrepreneurial environment.

   – No: May suggest a preference for more predictable and controlled tasks, avoiding situations of complexity or uncertainty.

3. What do you value most: instinct or knowledge? Why?

   – Instinct: Indicates a more intuition-oriented approach, which can be advantageous in situations where quick adaptation is essential.

   – Knowledge: Reflects an emphasis on information and accumulated experience, suitable for contexts where stability and consistency are crucial.

4. What do you value most: imagination or analysis? Why?

   – Imagination: Suggests a preference for creative and innovative approaches, crucial for entrepreneurial leaders seeking unconventional solutions.

   – Analysis: Indicates a inclination for careful evaluation of data and information, valuable in environments that demand rigor and structure.

5. A space explorer is looking for people to colonize Mars. Would you talk to the part of you that would say yes to such a mission and the part that would say no?

   – Yes: Reveals a willingness to explore the unknown, facing challenges with enthusiasm and adaptability.

   – No: May indicate a preference for familiar and known environments, avoiding high-risk and uncertain situations.

6. We (or a competitor) decided to launch this product this way. How could it have been done differently?

   – Multiple choice with specific options related to creativity, marketing strategy, product positioning, feature modification, distribution channels, and pricing approach. Each choice reflects an area where an entrepreneurial leader can seek innovation or improvement.

Word Pairs:

– CONSISTENCY or FLEXIBILITY: Indicates preference for stable and predictable approaches versus adaptability to changes and unforeseen events.

– PROVEN or POTENTIAL: Reflects appreciation for tangible previous results or belief in future potential.

– CAUTIOUS or BOLD: Shows inclination for more cautious and safe approaches compared to bolder strategies.

– EXPLORE or ACCOMMODATE: Indicates preference for exploring new opportunities or accommodating to familiar environments.

– PREDICTABLE or POSSIBLE: Reflects preference for predictable scenarios versus openness to unknown possibilities.

– BONUS or SALARY: Shows preference for immediate financial rewards versus long-term benefits.

– SECURITY or OPPORTUNITY: Indicates valuation of stability and security versus pursuit of growth opportunities.

– REWARD or SATISFACTION: Reflects preference for tangible recognition versus intrinsic satisfaction.

– PUZZLE or BLANK SHEET: Shows inclination to solve existing problems versus create completely new solutions.

– AGILE or STABLE: Indicates preference for dynamic and agile environments or stable and predictable structures.

– CHANGE or CONTINUITY: Reflects willingness to embrace changes versus preference for continuity and stability.

– KNOWN or UNKNOWN: Indicates preference for familiar and known environments or willingness to explore the unknown.

– PATIENCE or ENTHUSIASM: Shows preference for more patient and careful approaches versus enthusiastic and immediate energy.

– FRONTIER or DOMESTIC: Indicates preference for exploring frontiers and new territories versus domestic and familiar environments.

– PREDETERMINED or OPEN: Reflects preference for following a predetermined course versus openness to unplanned possibilities.

– WILD or TAMED: Indicates inclination for wild and unconventional environments versus controlled and familiar contexts.

– VARIETY or CERTAINTY: Shows preference for variety and diversity versus pursuit of certainty and stability.

– INHERIT or CREATE: Reflects valuation of traditions and inheritances versus inclination to create something entirely new.

From the text so far, these interpretations provide a basis for evaluating the entrepreneurial characteristics of candidates based on their responses. It’s worth noting that the analysis should be done considering the specific context and culture of the company.

The Journey to Hire an Entrepreneurial Leader

As we explore the intricate journey of hiring entrepreneurial leaders, we uncover crucial nuances that distinguish conventional leaders from truly innovative ones. The ability to thrive in uncertainty, passion for own projects, and ultimately, the skill of persuasion emerge as essential foundations of this unique profile.

Evaluating the ability to persuade transcends a mere superficial analysis; it is an foray into the core of interactions, where genuine trust intertwines with the ability to intelligently speculate about the challenges ahead. This is not an exercise in artifice, but rather a grounded demonstration of the ability to face the unknown with determination and vision.

Suggested questions in the selection process:

1. Innovation and Experimentation:

   – Describe a situation where you proposed a completely new idea or implemented an innovative approach in a project.

   – How do you deal with uncertainty when introducing something new in an organizational setting?

2. Resilience and Adaptation

:   – Could you share an experience where you faced a major adversity or failure? How did you handle it, and what lessons did you learn?

   – How do you adapt to unexpected changes or unpredictable situations?

3. Decision Making in Challenging Environments:

   – Talk about a significant decision you made in a high-pressure environment. How did you balance urgency with the quality of the decision?

   – How do you approach risk analysis when making important decisions?

4. Inspirational Leadership:

   – Describe a moment when you inspired and motivated your team to achieve challenging goals.

   – How do you build and maintain a positive and inspiring work environment?

5. Collaboration and Influence:

   – Share an experience where you had to collaborate with different departments or teams to achieve a common goal.

   – How do you influence and garner support from colleagues to implement new ideas or strategies?

6. Continuous Learning and Exploration:

   – What are your practices to stay updated on the latest trends and developments in your field?

   – How do you encourage a culture of continuous learning in your team or work environment?

7. Creativity and Problem Solving:

   – Tell us about a situation where you had to solve a complex problem in a creative and unconventional way.

   – How do you stimulate creativity and innovation in your team?

These sample questions aim to inspire you to connect with the reality of your company and thus deepen the assessment of the entrepreneurial dimension, providing a more comprehensive and holistic view of the candidate during the selection process. Following the advice offered throughout this article, the journey to hire an entrepreneurial leader becomes more informed and strategic. Each question, each analysis, and each decision become pieces of a complex puzzle, shaping the path to identifying and attracting that leader who not only manages but creates, inspires, and transforms visions into reality. Hiring exactly what your company is looking for becomes not only a possibility but a tangible reality that is aligned with the company’s culture.

I hope to have explored the intricate journey of hiring entrepreneurial leaders, we uncover crucial nuances that distinguish conventional leaders from truly innovative ones. The ability to thrive in uncertainty, the passion for own projects, and ultimately, the skill of persuasion emerge as essential foundations of this unique profile. Evaluating the ability to persuade transcends a mere superficial analysis; it is an foray into the core of interactions, where genuine trust intertwines with the ability to intelligently speculate about the challenges ahead. This is not an exercise in artifice, but rather a grounded demonstration of the ability to face the unknown with determination and vision.

Remember always that the questions asked in the selection process should not only seek predefined answers; instead, they reveal authentic attitudes and behaviors. Sales experience, resilience in the face of specific challenges, and a proven ability to influence decisions are crucial indicators of this entrepreneurial dimension. Notable leaders share various characteristics, being able to adapt to a variety of organizational challenges. However, the true distinction emerges when we encounter entrepreneurial leaders. In these cases, their exceptionalism is manifested in taking full control of projects or problems, revealing a growing motivation in the face of uncertainty.

Additionally, they stand out for their remarkable ability to persuade others to align with their visions. Although this profile may present challenges in complex environments, where established units must collaborate intensely, overcoming boundaries, and leaders need to routinely share information and power, there are contexts where hiring an entrepreneurial leader becomes crucial. If your company is looking for someone capable of transforming innovative ideas into independent ventures or bringing completely new models to life, this may be the ideal time to incorporate an entrepreneurial leader.

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