Right-Brained, Creative Thinkers PDF

Right-Brained, Creative Thinkers Always ask, “Is there a better way?” Challenge custom, routine, and tradition. Are reflective. Play mental games.  Right-Brained, Creative Thinkers (continued) Helicopter skills in the business...

Right-Brained, Creative Thinkers Always ask, “Is there a better way?” Challenge custom, routine, and tradition. Are reflective. Play mental games.  Right-Brained, Creative Thinkers (continued) Helicopter skills in the business refer to the entrepreneurs' skills Realize that there may be more than one “right” answer. and abilities to see the bigger picture. See mistakes Highly as pit stops imaginative on the way toand success. creative people can vividly Relate seemingly unrelated ideas to a problem. visualize a situation without Have “helicopter skills.” experiencing it.  Left-Brained or Right-Brained? Entrepreneurship requires both left-and right-brained thinking. – Right-brained thinking draws on divergent reasoning, the ability to create a multitude of original, diverse ideas. – Left-brained thinking counts on convergent reasoning, the ability to evaluate multiple ideas and to choose the best solution to a problem.  Barriers to Creativity Searching for the one “right” answer Focusing on “being logical” Blindly following the rules Constantly being practical Viewing play as frivolous  Barriers to Creativity (continued) Becoming overly specialized Avoiding ambiguity Fearing looking foolish Fearing mistakes and failure Believing that “I’m not creative”  Questions to Spur the Imagination Is there a new way to do it? Can you borrow or adapt it? Can you give it a new twist? Do you merely need more of the same? Less of the same?  Questions to Spur the Imagination (continued) Is there a substitute? Can you rearrange the parts? What if you do just the opposite? Can you combine ideas? Can you put it to other uses?  Questions to Spur the Imagination (continued) What else could you make from this? Are there other markets for it? Can you reverse it? What idea seems impossible, but if executed would revolutionize your business? Tips for Enhancing Organizational Creativity Embrace diversity Expect creativity Expect and tolerate failure Encourage creativity View problems as challenges Tips for Enhancing Organizational Creativity (continued) Provide creativity training Provide support Develop a procedure for capturing ideas Reward creativity Model creative behavior  Tips for Enhancing Individual Creativity (continued) Allow yourself to be creative Give your mind fresh input every day Recognize the creative power of mistakes Keep a journal handy to record your thoughts and ideas Listen to other people  The Creative Process Preparation Investigation Transformation Incubation Illumination Verification Implementation  Preparation Get your mind ready for creative thinking. – Adopt the attitude of a lifelong student. – Read…a lot…and not just in your field of expertise. – Clip articles of interest to you and file them. – Take time to discuss your ideas with other people.  The Creative Process Preparation Investigation Transformation Incubation Illumination Verification Implementation  Investigation Get your mind ready for creative thinking. – Join professional or trade associations and attend their meetings. – Study other countries and their cultures and travel. – Develop your listening skills.  The Creative Process Preparation Investigation Transformation Incubation Illumination Verification Implementation  Transformation Involves viewing both the similarities and the differences among the information collected. – Grasp the “big picture” by looking for patterns that emerge. – Rearrange the elements of the situation. – Remember that several approaches can be successful. If one fails, jump to another.  The Creative Process Preparation Investigation Transformation Incubation Illumination Verification Implementation  Incubation Allow your subconscious to reflect on the information collected. – Walk away from the situation. – Take the time to daydream. – Relax and play regularly. – Dream about the problem or opportunity. – Work on it in a different environment.  The Creative Process Preparation Investigation Transformation Incubation Illumination Verification Implementation  Verification Validate the idea as accurate and useful. – Is it really a better solution? – Will it work? – Is there a need for it? – If so, what is the best application of this idea in the marketplace? – Does this product or service fit into our core competencies? – How much will it cost to produce or to provide? – Can we sell it at a reasonable price?  Techniques for Improving the Creative Process Brainstorming – Goal is to create a large quantity of novel and imaginative ideas. Mind-mapping – A graphical technique that encourages thinking on both sides of the brain, visually displays relationships among ideas, and improves the ability to see a problem from many sides. Rapid prototyping – Transforming an idea into an actual model that will point out flaws and lead to design improvements.  Protecting Your Ideas Patent – a grant from the Patent and Trademark Office to the inventor of product, giving the exclusive right to make, use, or sell the invention for 20 years from the date of filing the patent application.  The Steps to a Patent Prosecute the patent application Submit the patent application Study search results Search existing patents Document the device Establish the invention’s novelty  Protecting Your Ideas Trademark – any distinctive word, symbol, design, name, logo, slogan, or trade dress a company uses to identify the origin of a product or to distinguish it from other goods on the market. Servicemark – the same as a trademark except that it identifies the source of a service rather than a product.  Protecting Your Ideas Copyright – an exclusive right that protects the creators of original works of authorship such as literary, dramatic, musical, and artistic works. Copyrighted material is denoted by the symbol ©. THEORIES AND MODELS OF ENTREPRENEURSHIP  INTRODUCTION Entrepreneurship is an evolved thing. With the advancement of science and technology it has undergone metamorphosis change and emerged as a critical input for socio-economic development. Various writers have developed various theories on entrepreneurship and popularized the concept among the common people. ❖Sociological theories ❖Economic theories ❖Cultural theories ❖Entrepreneurship Innovation theory ❖Psychological theories Theory of Achievement Motivation Motivation theory by McClelland (Acquired Needs theory)  SOCIOLOGICAL THEORIES Entrepreneurship is likely to get a boost in a particular social culture Society’s values, religious beliefs, customs, taboos influence the behavior of individuals in a society. The following theories explain how sociological factors accelerate the growth of entrepreneurs: Theory of religious beliefs Theory of social change  THEORY OF RELIGIOUS BELIEFS Max Weber has propounded the theory of religious belief. entrepreneurism is a function of religious beliefs and impact of religion shapes the entrepreneurial culture. entrepreneurial energies are exogenous supplied by means of religious beliefs.  ELEMENTS OF WEBER’S THEORY  Spirit of Capitalism-In the Webrian theory, spirit of capitalism is highlighted. We all know that capitalism is an economic system in which economic freedom and private enterprise are glorified, so also the entrepreneurial culture.  Adventurous spirit -Weber also made a distinction between spirit of capitalism and adventurous spirit. According to him, the former is influenced by the strict discipline whereas the latter is affected by free force of impulse. Entrepreneurship culture is influenced by both these factors. Protestant ethic-The spirit of capitalism can be grown only when the mental attitude in the society is favorable to capitalism. Inducement of profit - The spirit of capitalism intertwined with the motive of profit resulted in creation of greater number of business enterprises. In fact, this theory suited the British rulers, who desired to encourage European entrepreneurship in India. This theory was vehemently criticized by many researchers because of the unrealistic assumptions.  THEORY OF SOCIAL CHANGE Everett E. Hagen, in his theory of social change propounded how a traditional society becomes one in which continuing technical progress takes place. Presentation of general model of the society- The theory reveals a general model of the society which considers interrelationship among physical environment, social structure, personality and culture. Economic Growth Rejection of followers syndrome -Hagen rejected the idea that the solution to economic development lies in imitating western technology. So the follower’s syndrome on the part of the entrepreneur is discouraged.  Historic shift as a factor of initiating change-Hagen in his book, How Economic Growth Begins, depicts historic shift as the crucial force which has brought about social change technological progress thereby leading to the emergence of entrepreneurial class from different castes and communities. Withdrawal of status respects as the mechanism for rigorous entrepreneurial activity-Closely consistent with the historic shift it is the social group that plunges into rigorous entrepreneurism which experiences the status withdrawal or withdrawal of status respects.  ECONOMIC THEORY Entrepreneurship and economic development are interdependent. Economic development takes place when a country' real rational income increases overall period of time wherein the role of entrepreneurs is an integral part. Entrepreneurship and economic growth take place when the economic conditions are favorable. Economic incentives are the main motivators for entrepreneurial activities. Economic incentives include taxation policy, industrial policy, sources of finance and raw material, infrastructure availability, investment and marketing opportunities, access to information about market conditions, technology etc.  PSYCHOLOGICAL THEORY Entrepreneurship gets a boost when society has sufficient supply of individuals with necessary psychological characteristics. The psychological characteristics include need for high achievement, a vision or foresight, ability to face opposition.  THEORY OF HIGH ACHIEVEMENT/ACHIEVEMENT MOTIVATION McClelland identified 2 characteristics of entrepreneurship –Doing things in a new and better way –Decision making under uncertainty He stressed that people with high achievement orientation (need to succeed) were more likely to become entrepreneurs. Such people are not influenced by money or external incentives. They consider profit to be a measure of success and competency.  MOTIVATION THEORY (ACQUIRED NEEDS THEORY) According to McClelland, a person has three types of needs at any given time, which are: – Need for achievement (get success with one’s own efforts). – Need for power (to dominate, influence others) – Need for affiliation (maintain friendly relations with others). The need for achievement is the highest for entrepreneurs.  CULTURAL THEORIES Entrepreneurship is the product of culture. Entrepreneurial talents come from cultural values and cultural system embedded into the cultural environment. Hoselitz’s Theory The supply of entrepreneurship is governed by cultural factors, and culturally minority groups are the spark-plugs of entrepreneurial and economic development. In many countries, entrepreneurs have emerged from a particular socio-economic class.  ENTREPRENEURSHIP INNOVATION THEORY Theory by Joseph Schumpeter believes that entrepreneur helps the process of development in an economy. He says that an entrepreneur is the one who is innovative, creative and has a foresight. According to him, innovation occurs when the entrepreneur- – Introduces a new product. – Introduces a new production method. – Opens up a new market. – Finds out a new source of raw material supply. – Introduces new organization in any industry The theory emphasises on innovation, ignoring the risk taking and organising abilities of an entrepreneur.  MODELS OF ENTREPRENEURSHIP  CONSULTANT MODEL This model is common among academicians and those with who gained expertise in the industry. Many corporate executives, after retiring from their regular jobs also take the consulting route, either directly or by taking on director roles at different companies. Many IT professionals, especially those with niche skills and/or certifications also tend to move on to consulting roles.  MOONLIGHTING MODEL This model is common among those want to experience entrepreneurship “part-time” without taking the risks associated with full-time entrepreneurial activities. This model is not really new. Opportunities with industries that use their expertise to implement the research ideas fine-tuned in academia. Some professionals take the public speaking or column writing route where they try to publish their ideas outside the confines of their organisations.  BRILLIANT IDEA MODEL Model applied to professionals and others working in the corporate world or for regular employers. They realise that they have a “million dollar idea” that they can capitalise on. Employees take their new/innovative idea to the employer with a suggestion to implement it on the job. When the ideas are not taken up by the management, they contemplate the entrepreneurial route if they feel strongly about it.  EXITING BUSINESS/FRANCHISE MODEL Individuals who do not want to continue in the corporate world decide to start their own venture. Entrepreneur approaches a corporation. Takes on the responsibility of running his business using the brand and marketing support from the enterprise. 1. Schumpeter's Innovation Theory 2. McClelland’s Need for Achievement Theory 3. Hagen‘s Status Withdrawal Theory 4. Kunkel’s Social BehaviorTheory 5. Cochran's Model Personality Theory 6. Drucker’s Theory of Systematic Innovation 1.Groups will research the assigned model, focusing on key principles, entrepreneurial characteristics, and real-world examples. 2. Each group will create a startup business idea that aligns with your assigned model. They should include: Business concept: What is the business, and what problem does it solve? Model Application: Explain how their entrepreneurial model influences the business idea, strategy, and operations. Market strategy: How will they attract customers or users? Revenue model: How will the business make money? 3.During the pitch, you must clearly explain how your assigned entrepreneurship model has shaped your business strategy. 1. Schumpeter's Innovation Theory: Economic development driven by innovation and entrepreneurship Creative destruction: old industries replaced by new ones Role of innovators in driving economic growth 2. McClelland's Need for Achievement Theory: Motivation driven by the need to achieve and excel Individuals with high need for achievement often become entrepreneurs Focus on setting challenging goals and taking calculated risks 3. Hagen's Status Withdrawal Theory: Economic development driven by social status and prestige Individuals seek to improve their status through economic achievement Role of social factors in shaping economic behavior 4. Kunkel's Social Behavior Theory: Economic development influenced by cultural values and social norms Emphasis on collectivism vs. individualism Role of cultural factors in shaping economic behavior 5. Cochran's Model Personality Theory: Economic development influenced by individual personality traits Focus on personality factors such as risk-taking, perseverance, and creativity Role of individual personality in shaping economic behavior 6. Drucker's Theory of Systematic Innovation: Innovation as a systematic process that can be managed and improved Focus on identifying opportunities, creating new products or services, and implementing changes Role of organizations in driving innovation