Professional Documents
Culture Documents
COURSE OUTLINE
• Session 1. INTRODUCTION OF ALL IN MBA CLASS !!!
Self Entrepreneurship story !!!
Nature and development of Entrepreneurship
Entrepreneurship Audit
The Value chain patterns
The three Key Assets
The top ten enterprises in India
The top ten global companies
• Session 2. ENTREPRENEURSHIP
Definition & Structure
Entrepreneurial Culture
Theories of Entrepreneurship
Classification and type of Entrepreneurs
Entrepreneurial traits and growth of Entrepreneurs
Nature and importance of Entrepreneurs
Entrepreneur versus Professional Managers
Development of Women Entrepreneurs
SEARCH FOR A BUSINESS IDEA
• PRODUCT PLANNING AND DEVELOPMENT
STRATEGY
EXISTING MARKETS
EXISTING
PRODUCT MARKET PENETRATION
PRODUCT DEVELOPMENT
NEW
PRODUCT NEW MARKET DEVELOPMENT
DIVERSIFICATION
PRODUCT PLANNING AND DEVELOPMENT
CONCEPT
PROCESS
COMMERCIAL
PRODUCT TESTMARKETING
CONCEPT STAGE
IDEA STAGE DEVELOPMENT STAGE
STAGE
STAGE
INTRODUCTION
EVALUATE
GROWTH
EVALUATE
EVALUATE
EVALUATE
MATURITY
LAB
IDEA PILOT SEMICOMMERCIAL
DEVELOP
PRODUCTION RUN PLAN TRIALS
MENT DE
DECLINE
PHASES OF PROJECT FORMULATION
DESIGN OF A PROJECT
SEQUENTIAL STAGES OF PROJECT
FORMULATION
PROJECT
PRE-INVESTMENT
RELATIONSHIP BETWEEN PROJECT
DESIGN AND NETWORK
SEQUENTIAL
PROJECT LOGIC
NARRATION
GRAPHIC
NETWORK
PRESENTATION
BASIC COMPONENTS OF A PROJECT
OBJECTIVE
RATE OF RETURN
SIZE OF
ORGANISATION SOCIAL BENEFITS
PROJECT
CONCEPTUALISING THE PROJECT
Does your
Product Have you Have you
checked it
have a
out factored the
Global
Market export duty
Start
the
Project Abort the
Project
Is your viable
project Redesign the
Have you set viable? Project
Start
a global
Financing
target data
PHASES OF PROJECT MANAGEMENT
SEQUENTIAL
PROJECT LOGIC
NARRATION
GRAPHICAL
PRESENTATION NETWORK LOGIC
ASPECTS OF PROJECT APPRAISAL
PROJECT APPRAISAL
TECHNICAL
FINANCIAL COMMERCIAL ECONOMIC MANAGERIAL
ORGANISATION
FINANCIAL ASPECTS OF PROJECT
APPRAISAL
F
I FINANCIAL SOUNDNESS
N
A
N
C EFFICIENT OPERTION
I
A
L
A
COST OF PRODUCTION
S
P
E
C
T RETURN OF INVESTMENT
S
CHARACTERISTICS OF AN
ENTREPRENEUR SESSION 2
ENTREPRENEUR
BUSINESS SECRECY
CREATIVITY
COMMMUNICATION SKILLS
CLEAR OBJECTIVE
PUBLIC RELATIONS
TECHNICAL KNOWLEDGE
WILL
PRIDE FLEXIBILITY CREATIVITY ORGANISING
POWER
SELF
TACTFUL VALUES CONFIDENCE DYNAMISM CHANGE
FLOW CHART OF AN INDUSTRIAL
ENTREPRENEUR SESSION 2
GENERATES PROFITS RISK TAKING
E
N
T
MARKETING R INNOVATION
E
P
R
INITIAL CAPITAL & E PROFITABLE
FINANCE N INVESTMENT
E
U
TECHNICAL KNOW HOW R INDUSTRIAL LICENCE
ENTREPRENEURIAL ENVIRONMENT
ENVIRONMENT
ACCEPTING ORGANISATION
DECISION CHALLENGES
MAKING
RISK
TAKING
SKILLFUL L
ENTREPRENEURSHIP MANAGEMENT
INNOVATION
KEY ELEMENTS OF ENTREPRENEUR
SESSION 1
RISK – TAKING INNOVATION
ETHICS
OPERATIONAL
EXCELLENCE
VALUES
CHARACTER
VISION ORGANISING SKILL
HOW TO PREPARE A BUSINESS PLAN
SESSION 12
• OBJECTIVE: BUSINESS IDEA : WHAT EXACTLY YOU WANT TO DO : BRAIN STORMING SESSION:
• DEFINE THE OBJECTIVE AS A SPECIFIC OBJECTIVE IN A WRITTEN DOWN FORM ONLY.
• MARKET SEARCH FOR THE PRODUCT AFTER PRODUCT IDENTIFICATION AND SEGMENTATION.
• DEVELOP THE MARKETING PLAN BASED ON THE FAVORABLE AND UNFAVORABLE VARIABLES.
• DEVELOP THE STRATEGY FOR OBTAINING THE START UP CAPITAL ALSO CALLED SEED CAPITAL
• DEVELOP A STRATEGIC PLAN AS TO WHERE YOU WANT TO BE IN 1/2/3/4/5 YEARS !!!
• DEVELOP A PLAN AS TO WHEN YOU WANT TO REACH BREAK EVEN STATUS !!!
• SPLIT THE COSTING OF THE PRODUCT INTO COMPONENTS TO ARRIVE AT COST/PROFIT
• DEVELOP THE FINANCIAL PLAN TO OBTAINING THE NECESSARY FINANCING FOR PROJECT
• DECIDE ON THE LOCATION OF YOUR BUSINESS LOCATION !!! LOCATION !!! LOCATION !!!
• DEVELOP A PRODUCTION PLAN IF YOU WANT TO PRODUCE YOURSELF OR OUTSOURCE.
• DEVELOP A MANPOWER/WOMAN POWER PLAN AS TO THE INITIAL NUMBER OF EMPLOYEES.
• DEVELOP A MARKETING AND ADVERTISING STRATEGY FOR INTIAL LAUNCH OF PRODUCT.
• PREPARE THE PROJECT REPORT USING ALL THE ABOVE POINTS IN YOUR REPORT
• OBTAIN THE FINANCING FROM THE BANK AND THE INSTITUTIONS THAT HELP YOU !!!!
• THANK YOU AND GOOD LUCK TO BECOME AN ENTREPRENEUR !!! DONT FORGET ATLEAST
• TWO YEARS WORK EXPERIENCE IN THE PRODUCT/SERVICE YOU ARE PLANNING TO START TD !!!
ENTREPRENEURIAL STRUCTURE
SESSION 1
STRUCTURE
VALUES EXTERNAL
ENVIRONMENT
SKILLS
PEOPLE TECHNOLOGY
BASICS OF AN ENTREPRENEUR
SESSION 1
SKILL
RISK
VISION
ENTERPRISE
GROWTH MANAGEMENT
CONCEPT OF ENTREPRENEURSHIP
SESSION 1
RELIANCE
ITC
H.LEVER
FAMILY BUSINESS ACCOUNT FOR ABOUT 70% OF
THE TOTAL SALES AND NET PROFITS OF THE
BIGGEST 250 PRIVATE SECTOR COMPANIES
THAPAR
INNOVATION CENTRE SESSION 2
LICENSE TO
ANOTHER COMPANY
INVENTORS
TECHNOLOGICAL
EVALUATION
ENTREPRENEURIAL NEW CO. IN
ASSESMENT INCUBATION CENTRE
ENTREPRENEURS PRODUCT DEVELOPMENT
FEASIBILITY STUDIES
NEW CO. IN
WORKPLACE
GOVT.EMPLOYEES
STUDENTS&FACULTY
NEW CO. IN
BUSINESS
METHODS OF MARKETING SESSION 8
• Entrepreneurs cannot compete with a new brand of detergent or soap with HL !!!
• Entrepreneurs need to produce a product for the benefit of the consumer with good ASS !!
• Marketing by Kotler Marketing is an organization function to market and sell a product to a
consumer for a profit for the benefit of the company and its shareholders !!!
• SALIENT FEATURES OF MARKETING:1Creative function to promote business & employment.
2.Co-ordinates Finance, Production & HR !!!
3. Emphasis on what the customer needs and wants
4. Process of exchange between Seller & Buyer
5. Social benefits of increasing employment !!
• DIRECT MARKETING: 1. Business to Business Marketing Ex Wholesaler to Retailer
2. Retailer to consumer or end user Ex Retail Stores
3. Company directly to consumer-Telemarketing !!
4. Internet Marketing !!! The future of Marketing !!!
METHODS OF MARKETING SESSION 8
PROFIT IS THE ONLY MOTIVE FOR SALES !!! PROFIT MOTIVE IS SECOND TO SATISFACTION!!
DOES NOT FIND ANY RELATIONSHIP WITH TAKES INTO ACCOUNT RELATIONSHIP WITH
OTHER MARKETING FUNCTIONS !!! ALL FUNCTIONS OF MARKETING !!!!
• PRODUCT PLANNING: Determine and develop the product mix to match all specifications of
packaging, pricing, service and after sales service !!!
• ADVERTISING & PROMOTION: Press, TV, Radio, Hoardings, Posters, Point of Sale & Internet !!
• The Marketing Mix is a combination of all the above functions to develop an effective
Marketing Plan and Strategy for the Entrepreneur to market and sell the product !!!
• The Success of the Marketing in terms of Sales will be a measure of success of the
Entrepreneur.
METHODS OF MARKETING SESSION 8
• MARKET SEGMENTATION: Decide which segment of market you want to target !!!!!!
• GEOGRAPHIC VARIABLES: Product determines the market as per region, state, nation !!!
• DEMOGRAPHIC VARIABLES: Sex, age, family, size, occupation, religion, national origin !!!!
• PSYCHOGRAPHIC VARIABLES: These variables depend on social status, life style & personality
• BEHAVIORABLE VARIABLES: Consumers differ in knowledge, tastes, attitude and response !!
• MARKET POSITIONING: Process of distinguishing a product from competition !!!!
• THREE LOGICAL STEPS FOR MARKET POSITIONING:
• 1. ANALYZE MARKET OPPORTUNITIES FOR YOUR COMPANY !!!!
• 2.SELECT A MARKET AND TARGET A SPECIFIC SUB GROUP !!!!!
• 3.DEVISIVE A COMPETITIVE STRATEGY – Basically a SWOT analysis and KITA for competition !!
• THE RIGHT TIME APPROACH !!! 1. Product Launch- To be launched after MR & Advertising !!!
2. Promotions- Advertising for Product promotions !!!!
3. Timing between Advertising and launching the product !!!
4. Exit the market with a new product to confuse competition
• MARKET RESEARCH: It is the basis of all Marketing activities and don’t do anything without it
MARKETING CHANNELS SESSION 8
• CONCEPT OF MARKETING CHANNEL: Organized network of agencies and institutions !!!
• PRODUCER- WHOLESALERS-RETAILERS-END CONSUMERS WHO USE THE PRODUCT/SERVICE !
• CONNECTING LINK: Movement of Goods between POP !! and POC =Point of Consumption !!
• DISTRIBUTION CHANNELS: Route through which goods flow from producer to consumer !!
• DIRECT CHANNEL: No Middleman and the goods pass directly from producer to consumer.
• INDIRECT CHANNEL: Middleman and Agent involved between Manufacturer and consumer.
• IMPORTANCE OF MARKETING CHANNEL: Effective way for goods to reach consumer !!!
• DIFFERENT MARKETING CHANNELS: 1. Manufacturer to Consumer-shortest channel !!
2. Mfg-Retailer-Consumer Ex. Supermarket !!
3. Mfg-Wholesaler-Retailer-Consumer Ex drugs !!!
4. Mfg-Agent-Wholesaler-Retailer-Consumer Voltas !!
5. Mfg-Wholesaler- Consumer Ex Hospitals ,Education !!
• CONSUMER GOODS: 70% use the traditional wholesale outlets for some of their products !!
21% use wholesalers, 2% directly to consumer 18% through retailers.
• INDUSTRIAL GOODS: 75% use wholesalers only 16% use direct selling !!!
MARKETING CHANNELS SESSION 8
• CHOICE OF CHANNELS: PRODUCT: 1.Product is perishable so few channels of distribution.
2. Longer channels for standardized goods Ex Automobile
3. Customer made product-direct Ex Computer by Dell !!
4. Technical Product direct to consumer-Cell phone
5. Jewelry sold directly to Retailer /Consumer High Value !!
• MARKET: 1. Consumer goods market Retailers are needed but not so for industrial markets
2. Market is large we have many channels and small market for direct selling !!
3. Direct selling for highly concentrated marketing but channels for big markets !!
• BROKERS: They bring Buyers and Seller together, negotiate terms of sale and get commision
• COMMISSION AGENT: Like a Broker but has possession of the goods& sales commission.
• BANKS&INSURANCE COs: Banks provide loans & insurance cos provide insurance for goods.
• AUCTIONEERS: Arrange for Auction of goods and work on a percentage of sales !!!
• COMMON CARRIERS: Responsible for movement of goods from one place to another !!!!
• MARKETING IS THE MOST IMPORTANT FUNCTION FOR A BUSINESS TO SUCCEED !!!!!!!!!!!
MARKETING INSTITUTIONS AND
ASSISTANCE SESSION 9
• MARKETING depends on Marketing Assistance from Institutions to be successful !!!!
• NATIONAL SMALL INDUSTRIES CORP. & STATE SMALL INDUSTRIES CORP: They assist small
scale industries sell their products to the Government
• CENTRAL GOVERNMENT STORES PURCHASE PROGRAM: Central Govt. provides an outlet
for the production of industrial units in the country with incentives and tax benefits !!!
• RESERVATION OF ITEMS FOREXCLUSIVE PURCHASE FROM SMALL SCALE SECTOR:
• 16 Products have been reserved to be produced for the Defence Department !!!
• Now 40% have been reserved !!! 50% !!! Research has to be done to find the items !!!
• TRADE CENTERS: Govt of India has trade centers to meet the marketing needs of SSS !!!
• EXPORT PROMOTION COUNCILS: 11 EPCs perform both advisory and executive functions.
• IIFT: Training in international trade by research, area surveys, market surveys for FT !!!
• COMMODITY BOARDS: 5 for Rubber, Coffee, Tea, Tobacco & Spices for production & export.!!
• EXPORT INSPECTION COUNCIL(EIC): Responsible for Q/C of items to be exported !!!
• INDIAN INSTITUTE OF PACKAGING(IIP):Research into raw materials for the packaging industry
• EXPORT CREDIT GUARANTEE CORP OF INDIA(ECGC): Provides insurance for Exporters/Credit
MARKETING INSTITUTIONS AND
ASSISTANCE SESSION 9
• EXPORT PROCESSING ZONES(EPZ): India has 7 EPZ SEEPZ in Mumbai for Gems & jewelry !!
• EXPORT ORIENTED UNITS(EOU): Compliments the EPZ !! 502 units are in operation !!!
• EXPORT PROMOTION INDUSTRIAL PARK SHEME(EPIP): created for export oriented items !!!
• EXPORT HOUSES,TRADING HOUSES, STAR TRADING HOUSES : Export oriented !!!!
• JUTE CORP. OF INDIA: Export, import and internal marketing and export of jute products !!!
• STATE TRADING CORP OF INDIA(STC): Explore new markets to increase the exports !!!
• PROJECTS & EQUIPMENT CORP. OF INDIA(PEC): Taken over the Railway Engg Div from STC !
• HANDICRAFT& HANDLOOM EXPORTS CORP OF INDIA(HHEC): new markets for Handicraft !!
• CASHEW CORP. OF INDIA(CCI): Subsidiary of STC to stabilize the import of cashew !!!
• MMTC : To increase the exports of Indian minerals and import of raw materials for units here.
• TEA TRADING CORP. OF INDIA(TTCI): To create a stable export for Indian packet/instant tea !!
• THE SPICES TRADING CORP.LTD(STCL): To domestic and international trade in Spices !!!
• SMALL INDUSTRIES DEVELOPMENT ORG.(SIDO): Has promotional activities in various areas
• WORLD TRADE ORGANIZATION(WTO): is the legal and foundation of multilateral trading !!!
• NAFTA: Free trade between US, Canada, Mexico for 15 years from 1989 No taxes !!!!
• FREE AMERICAN FREE TRADE AREA OF THE AMERICAS(FTAA): Free trade with all Americas !!!
SETTING QUALITY STANDARDS
SESSION 9
• Liberalization of the industrial policy moved the economy into a market driven economy.
• Quality Performance and Standards are very important for India to compete in the world.
• ISO- Quality is total features of product/service to satisfy the implied needs of customer.
• TOTAL QUALITY CONTROL (TQC): Quality Control is an integral part of Management !!!
Quality is no accident planned with no short cuts !!!
Use problems as sources of improvement in quality !!!
Quality is conformance to requirements and specs.
Quality is achieved by prevention and not by appraisal
Quality is zero defects and measured by non-conformance
• STANDARDIZATION: Standardization and Quality Control are vital factors for industry
• ADVANTAGES OF STANDARDIZATION: Provides economic and technical good solutions !!
Optimum utilization of available raw materials.!!!
Defining the quality levels of the product !!!!
Providing basis for Quality Control for the product !!!
SETTING QUALITY STANDARDS
SESSION 9
• INTERNATIONAL SATISFACTION: ISO 9000 is the International Standard for Quality Systems.
IS 14000 – The Indian Standard
EN 29000- The European Community Standard
BS- 5750 The UK Standard
• WHOM ISO DOES NOT HELP: Companies that see ISO-9000 certification as an end itself
Companies that already have a TQM system in place.
Companies that follow other world wide Systems
Companies that have quality problems from HR problems
Companies that are Struggling to survive in todays market !!!
• STANDARDIZATION IN INDIA: All Large, Medium & Small Industries conform to Standards.
BREAKEVEN ANALYSIS SESSION 5
• BREAK EVEN POINT-Establishes level of out put to break evenly cost & revenue for profit.
• BEP = Fixed Cost÷ Total contribution X Total amount of Sales
• ( Total Sales-Total Variable costs= Total Contribution )
• Example: Sales 1000 units
Selling price per unit 60
Variable cost per unit 40
Fixed cost 1500
• BEP(UNIT VOLUME) 1500÷20 (60-40) = 75 units
• BEP in terms of sales 75x 60= 4500
• BEP (in terms of capacity utilization)= Total fixed costs divided by TC X Production of units
• Example if the unit is to achieve a capital utilization of 40% 45% 60% 80% BEP will be 80%
• CALCULATION OF BEP in physical terms BEP= FC ÷ Contribution (SP-VC)
• Example FC= 1,000,000 VC= Rs 2 per unit,SP=Rs 4 per unit Max capacity=1,00,000
• BEP= 1,00,000 divided by 2(4-2) = 50,000 units= 50 % capacity
• NET PROFIT RATIO= NET PROFIT ÷ SALES X 100
• CAPITAL TURNOVER RATIO: SALES ÷ Net capital employed X 100
• Multiply both to get ROI
• Example Sales 5,000 Capital 20,00,000,Profit 5,00,000 5,00,000 ÷ 50,00,000X 50,00,000 divide by
20,00,00 X 100 or 10%x2.5=25%
SETTING UP & LOCATION OF AN
ENTERPRISE SESSION 11
• Small Scale industry and Entrepreneurs play an important role in the growth of an economy!!
• After 7th Plan SSI accounted for 55% of mfg sector & 40% of total exports employing 245 lakh.
• LOCATION ! LOCATION ! LOCATION ! Is very important in the setting up of an enterprise!!
• STEPS IN ENTERPRISE LOCATION 1. Selection of the region. 2. Selection of the community
3. Selection of the optimum and exact site.
• FACTORS AFFECTING LOCATION 1. Availability of raw materials, power labor & govt. policy
2. Banking and Finance and Research facilities available.
3. Religious and Education institutions in the area.
4. Price of land and disposal of waste and other amenities.
5. Technical know how and State Assistance in all areas.
• SELECTING GENERAL AREA 1. Availability of raw materials and skilled/unskilled labor.
2. Nearness to the source of Power and Water.
3. Nuisance problems of noise, odor or smog
4. Suitability of climate. Ex Computers Bangalore.
LOCATION OF AN ENTERPRISE SESSION
11
• SELECTION OF ACTUAL SITE SITE A SITE B SITE C
• FIXED CAPITAL
• Land Acquisition cost
• Building Construction cost
• Equipment installation cost
• OVERHEADS:
• Factory insurance & taxes
• Factory depreciation
• Office salaries
• Selling overheads
• Distribution overheads
• TOTAL
LOCATION OF AN ENTERPRISE SESSION
11
• STATE INCENTIVES: Feasibility Study- 75% of cost of preparation of report-max Rs 5000 for
small scale industries, 50,000 for medium & large.
• INVESTMENT SUBSIDY: 10% of fixed assets upto 5 lakh for small scale & 10 lakhs for M&L
• DEVELOPMENT LOAN: 25% of fixed assets for small scale and 50 lakhs for M&L
• WORKING CAPITAL LOAN: 25% of fixed assets for small scale and upto 50 Lakhs for M&L
• PROCUREMENT OF KNOW HOW: Full upto Rs 25,000 for SCI and ceiling of I lakh for M&L
• STAMP DUTY EXEMPTION: Exemption of Stamp duty for agreements with KSFC for both !!
• SUBSIDY ON HOUSING: Rs 1500 per house not less than 300 sq ft for both SSI & M&L
METHODS OF TRAINING SESSION 3
• INDIVIDUAL INSTRUCTION- A single individual selected to be taught a complicated skill Pilot !!
• GROUP INSTRUCTION- This method for a group where general instructions are to be given.
• WRITTEN INSTRUCTION METHOD- Training is given with future written reference by trainees.
• MEETINGS METHOD- Meetings for groups to exchange ideas to discuss and get trained.
STAFF TRAINING SESSION 3
STAFF TRAINING
TRAINING OF ENTREPRENEURS
• Achievement Motivation sessions to induce positive behavior and learning from feedback
• Moderate risk taking is taught to take calculated risks based on all factors.
• Problem Solving attitude to solve the problems internally only-no consultants !!!!
• Develop the ability to define and set goals in life
• Train to learn by ones own actions and behavior based on experience
• Teach Management skills and technics to deal with the management problems
• Overall objective of the training program is to make the entrepreneur more professional
ENTREPRENEUR VS PROFESSIONAL
MANAGERS SESSION 3
• Entrepreneurs and Professional Managers are two sides of a coin
• PROFESSIONAL MANAGEMENT
1. Body of Knowledge-Management of knowledge to enter the world of entrepreneurship
2. Management Tools- Tools of Management in specific functional areas
3. Specialization- Growing need to appoint specialists in each functional area
4. Separate Discipline-Management Studies is considered a separate discipline
5. Code of Conduct- Business Management is a social institution, responsible to customers,
employees and the society.
6. Professional Association- Business Management Associations have been formed to have
ethics in business and project a good image of the managerial profession.
• ENTREPRENEURIAL MANAGEMENT
1. Creative and innovative instinct from childhood- dare to be different
2. Calculated risk taking attitude- venture into the unknown
3. Work with borrowed or very little capital
4. Pride of ownership of the business
5. No pay check to look forward to every month !!!
6. You are your own boss- you decide whatever you want to do-freedom & independence !!!
PROCESS OF ENTREPRENEURIAL
DEVELOPMENT SESSION 3
• ENTREPRENEURIAL DEVELOPMENT PROGRAM EDP-Designed to help a person to strengthen
and meet his entrepreneurial motive to acquire skills and capabilities to play his role well.
• EDP meant for first generation entrepreneurs who need help to become successful.
• MISCONCEPTIONS ABOUT EDP
• Joining an EDP is a privilege, many programs give false hopes about entrepreneurship !!
• EDP means only training potential entrepreneurs through class room training
• Higher the number, better the EDP- Qualitative is better than quantitative !!
• EDP Success is the Sole Responsibility of the Trainer-Motivator
• Potential Entrepreneurs think that they will be successful by attending one EDP!!
• Entrepreneurship is a process of development of an individual only
• All cannot become Entrepreneurs since the success rate is low !!!
• Professional Managers can become Entrepreneurs and vice versa
• Entrepreneurship begins with childhood and can only be developed
• EDP has become MDP- Executives have become Management !!!
SIMILARITIES BETWEEN MANAGERS
AND ENTREPRENEURS SESSION 3
ENTREPRENEURS MANAGERS
• Produce results-Long term • Short and medium term
• Produce results through people- • Handle people in daily
deal with people who can management tasks
conceptualize like them
• Operational and administrative
• Take decisions-strategic involving
expansion ,diversification
decisions only-short &
medium term
• To co operate under constraints-
import policy, licensing etc. • Constraints are within the
• Follow sound principles of organization, plant, labor etc
Management-macro aspects like • Principles are only related to
social responsibilty equal the company like delegation,
opportunity to government accountability etc
policies
DISTINCTIVE FEATURES BETWEEN ENTREPRENEURS AND MANAGERS
SESSION 3
ENTREPRENEUR MANAGERS
• To see an opportunity • Setting of Objectives
• Risk taking • Policy formulation
• Tactical Planning • Strategic Planning
• Interpersonal communication • Formal communication
• Negotiating • Organizing
• Trouble Shooting • Motivating
• Making it a growing concern • Controlling
• Innovator • Administrator
• Motivator • Skills
• Determined • Confident
• Idealist • Specialist
• Committed • Loyal
• Visionary • Planner
• Planner • Implementer
DISTINCTIVE FEATURES BETWEEN ENTREPRENEURS
AND MANAGERS SESSION 3
ENTREPRENEURS MANAGERS
• Primary motive-freedom,goal oriented, self reliant, self- Wants promotions and rewards
motivated Responds to quotas, weekly,monthly quarterly,
• Time orientation-5-10 years Delegates action
• Action- whatever it takes to get the job done !!! Professional training-MBA
• Skills-Knows business well Sees others in charge of his destiny
• Courage-Self confident Events in company only
• Attention-Mainly on technology and market place Careful
• Risk-calculated-expects to succeed Has MR done before launching product
• Market Research-Creates products that cannot be tested Cares about status-corner office
• Status- don’t believe in it Likes to avoid mistakes,pospones recognizing failures
• Failure/Mistakes-Learning experience Agrees with those in power, delays decisions to see what bosses
• Decisions-decisive and action oriented want
• Who they serve-pleases self and customers Please bosses
• Attitude towards the system- rapidly advance Seeks position in nurturing system
• or use own system if frustrated Works out problems within the system
• Problem solving style-Solves problems or starting over Family members worked for large companies
• Family history-Small business,agri background Independent of mother, good relations with father slightly
• Relationship with parents – absent,poor relations with father dependent
• Socio-economic background-lower to middle class Middle Class background
• Education-Less educated Highly educated
• Relationship with others- Deal making as basics !! Hierarchy as basic relationship
OWNER VS PROFESSIONAL MANAGER
SESSION 3
• SOCIALISM: The private enterprise does not contribute to the economy and is entirely
controlled by the government!!! No scope for Entrepreneurship !!!
CULTURE: Members regulate their behavior in harmony with other groups in the group
PRODUCTIVITY CULTURE- Not only doing things right but doing right things better
TOTAL QUALITY CARE- Introduction of all efforts for totally quality care
TOP PROGRAM- Integration of all factors of productivity, innovation, culture ,mobilizatiion
of employees and customer satisfaction at the TOP !!!
CORPORATE VALUES OF AN ENTREPRENEUR:
Be a Leader not just a Manager-Set examples of punctuality, honesty and fairness
Be a Facilitator- Be accessible and listen to all levels of employees in the company
Be Deliberate- Be result oriented and avoid unproductive meetings
Be Explicit- in assigning responsibility both small and big tasks
Be Decisive Break the relations if someone is not working out. Indecision is bad for everyone.
TOP PROGRAMME SESSION 2
TOP
CUSTOMER
CULTURE CHANGE
n
CONCEPT OF ENTREPRENEURSHIP
SESSION 1
ENTREPRENEUR ADMINISTRATIVE
STRATEGIC ORIENTATION STRATEGIC ORIENTATION
Driven by perception of Driven by controlled resources
opportunity COMMITMENT TO SEIZE
COMMITMENT TO SEIZE OPPORTUNITIES
OPPORTUNITIES
Revolutionary within short duration Evolutionary with long duration
COMMITMENT OF RESOURCES COMMITMENT OF RESOURCES
Many stages with immediate decisions Single stage with out of decision
CONTROL OF RESOURCES CONTROL OF RESOURCES
Proper utilization of resources Ownership or employment of
MANAGEMENT STRUCTURE resources
Flat with multiple informal networks MANAGEMENT STRUCTRE
Hierarchy
CREDO OF ENTREPRENEURS SESSION 2
• The world is looking for
• Entrepreneurs that are honest !!!
• Entrepreneurs that are innovative !!!
• Entrepreneurs that are optimistic!!!
• Entrepreneurs that stand for the right !!
• Entrepreneurs that care for the society !!
• Entrepreneurs who stand for values!!
• Entrepreneurs with conscience!!
• Entrepreneurs that neither brag or run!!
• Entrepreneurs that neither flag nor flinch!!
• Entrepreneurs who know their place and fill in!!
• Entrepreneurs who know their business and attend to it !!
• Entrepreneurs who are not too crazy !!!
• Entrepreneurs who are not lazy to work !!
• Entrepreneurs who will prosper with society
• Entrepreneurs who will lead and motivate
• Entrepreneurs who always dream for change
• Entrepreneurs who live for their principles
DEFINITION AND STRUCTURE
SESSION 1 & 2
• Definition - derived from the French verb “Entreprende”- to
undertake or to start your own enterprise or business
• CONTENTS OF REPORT: 1.Objective and Product design and features with sample
2. Market position and trends with anticipated demands
3. Supply of raw materials and manufacturing process
4. Details of plant, machinery power and water supply
5. Financial implications of project cost and profitability
6. Manpower planning for the project
7. Social benefits and implications of the project .
ENTREPRENEURSHIP & PROJECT
MANAGEMENT COURSE OUTLINE
• Session 3- ENTREPRENEURIAL DEVELOPMENT
Entrepreneurial Environment
Process of Entrepreneurial Development
Entrepreneurial Development Training
Institutions to aid Entrepreneurs
• Registration ,Arranging finance to provide land, power, water and other resources
• Guidance for obtaining machinery and supply of raw materials for the enterprise.
• Getting licenses and obtaining tax benefits and other subsidies from the State Government.
• Management Consultancy for market research to market and sell the product
• GENERAL PLANNING: Determine the size and extent of the market and the costs involved !!
• PRODUCT PLANNING: Determine the product features with service and ASS !!!!
• PRICING: Pricing of the product with suitable margin to break even and make a profit !!!
• ADVERISING & SALES PROMOTION: The program designed according to the needs !!!
• All above points debatable and will be points for group discussion and conclusion !!!
THE THREE KEY ASSETS
SESSION 1
Concept driven communities search for new ideas ,and
have a knowledge intensive workforce
Competence driven-develop centers of quality for
manufacturing using a combination of good
infrastructure ,customized job training and
commitment to world class standards
Connection-driven combine their cultural knowledge of
the world with a healthy infrastructure to make deals
A combination of each of these assets creates the basis
of an economy that attracts jobs, capital and customers
An Entrepreneur needs to have these assets !!!