VIEWS
BUSINESS: Getting All the Entrepreneurial Wheels Turning Together
Recent Gauteng Business News
The rate at which South Africa produces successful entrepreneurs can
be substantially improved through a better integrated approach that
deals coherently with the full range of closely connected challenges
confronting the would-be small business owner.
Further, we need
to ensure that the personal qualities of the entrepreneurs enjoy the
same prominence as training and financing. The thinking behind this
reassessment is driven by an appreciation that, relative to many
endeavours, South Africa’s entrepreneurs and SMMEs are virtually
smothered with attention by public and private sectors, yet our record
in developing these areas at the rate we need remains mixed.
Seed
capital, finance on favourable terms, subsidies, education and
training, coaching, mentoring, consulting, rewards and competitions can
be found across the landscape of this sector. Tangible and sustainable
results, however, are yet to reflect the level of support available.
While we can always use more resources in entrepreneur development, we
also have an opportunity to do more with what we already have.
This
is largely because each pillar of support for entrepreneur development
is “owned” and run by separate entities that do cooperate but don’t
fully integrate. The result is that the different pillars are sometimes
of varying lengths and sizes, failing to provide robust enough support
for the edifice of entrepreneurship.
We can strengthen this
structure by adapting entrepreneur development programmes to work in a
more integrated manner that addresses the entrepreneur as a single
individual with a range of challenges, rather than by aggregating each
different area of need into a pre-packaged solution.
For the
business sector to get this right, we need to raise our eyes towards the
horizon, beyond narrow short-term concerns, and consider how we remove
constraints on the long-term growth of the very markets we serve. That
is where our business sustainability lies well into the future.
In
banking, for example, it is well-established that we need to grow the
ability of our markets to overcome constraints to gaining finance, which
will in turn enable us to grow as organisations. This is a long-term
process involving all aspects of the person from education to health to
community stability.
In the Standard Bank Entrepreneur
Development Programme, development of these insights and perspectives
has been greatly accelerated by our partnership with TechnoServe over
the past two years. (TechnoServe is a non-profit economic development
organization that helps entrepreneurial men and women in poor rural
areas build profitable businesses that create income, opportunity and
economic growth for their families, communities and countries.)
The
Believe Begin Become programme is developing a robust cadre of
entrepreneurs thoroughly schooled in all the skills needed for small
businesses to grow rapidly. Central to this success has been
simultaneous focus on identification of promising entrepreneurs, deep
skills building and technical assistance, development of business
support networks and brokering access to finance.
This formal
learning is infused with continuing deep personal engagement between
entrepreneur and a mentor who provides feedback and a sounding board.
In
addition, the year-long involvement and constant engagement required of
participants has helped to ensure that those prepared to make a serious
commitment stay in the programme. Indeed, we are not unduly
disappointed when some initial participants who find the commitment too
extensive or who believe they need only finance or only training decide
to leave the programme.
The value in this process is that we
obtain a practical insight into an entrepreneur’s character, that most
difficult of things even for a banker to assess!
Indeed, perhaps
one of the most critical learning’s for the Standard Bank Entrepreneur
Development Programme in recent years has been that it is actually
character, and resilience that are the essential qualities of successful
entrepreneurs.
The good news is that these qualities are found
in people across the socio-economic spectrum and require no formal
training. There is thus much to hope for from South Africa’s burgeoning
entrepreneur class. Business and its partner organisations must now do
more than just try to spot winners and give them funding. We must also
seek out potential, nurture talent, grow ideas and ultimately harvest a
national benefit.
Business News Sector Tags: Business|