For most small and medium-sized enterprises (SMEs), governance is something far away. In other words, measures of good governance are not yet part of daily practice. Particularly explosive growth and/or external demands, for example from an external financier, have changed this to date. Especially to make the likelihood and impact of risks manageable. Oddly enough, because fundamentally every entrepreneur wants to be successful and certainly not fail. Thus, corporate governance aimed at SMEs is actually relevant for every entrepreneur: it is about having control over realizing entrepreneurial ambition. And there's quite a lot involved. Therefore, we will be paying ample attention to this unexplored area in the world of the entrepreneur in the coming period.
Today, Route ICR shares the fourth article from the series 'How to practically implement SME governance'.
Nine ICR Growth Principles Foster a Culture of Improvement in Businesses
Amsterdam, August 25, 2021 – Entrepreneurship is simple. However, the hardest thing is to keep entrepreneurship simple. But why is that? Let's discuss this in the coming period. We will also explore how this problem can be solved. Today, Route ICR shares the fourth article in the series 'How to practically implement SME governance'.
In our previous articles, we explain that you can learn to be a successful entrepreneur. Learning by doing. And you maintain focus and overview by working from a single figure, your company's ICR. To be successful in business, you work and grow together with your team. Growth here stands for progress. Better first, then bigger. In that order and by applying the nine ICR growth principles. Because with these pillars, the fear entrepreneurs have of employing (more) staff diminishes.
Building a Top Team
Especially from the perspective of professional sports, we understand the importance of collaboration. A clear vision, common goals. A shared approach. Automatisms and built-in certainties in execution. Holding each other accountable for undesirable behavior and opportunities for improvement. Implementing improvement actions. Completely logical principles to form a top team. The 9 ICR growth principles are therefore mainly aimed at developing highly intuitive teamwork. Because the same principles that work in professional sports fundamentally work in the business world.
Strengthening Team Intuition is a Core Task
A highly developed team intuition aids in effective and efficient business operations. And that's absolutely necessary if you want to progress with your business. The condition for team intuition is trust. You achieve this by creating mutual expectations and organizing the business accordingly. This implies that trust is a leadership risk. In other words, if I, as an employee, don't trust my leader, who is the entrepreneur, it affects our company's performance.
Shared Vision as the Starting Point for Strategy
Next, a team only mobilizes when vision and support converge. The power of repetition ensures that people truly understand the vision, make it their own, and thus create support. From the vision, we derive which strategy we will follow to achieve our goals.
Control Over Your Business, Control Over Your Entrepreneurial Ambition
Working on a clear shared vision and translating it into all aspects of your business is an ongoing growth process. In fact, it's essentially a dynamic business plan that you continually improve. This creates a culture of improvement and gives you control over your business. Ultimately, this also helps you realize your entrepreneurial ambition. Thus, the nine ICR growth principles contribute to the implementation of SME governance in practice!