Top 3 Challenges The Entrepreneurial Leader Faces And How They Overcome

For the entrepreneurs out there, the first and the foremost challenge comes in the form of thinking ways and means of taking the business towards expansion and growth and hiring the chunk of individuals who can work towards making the organisation more and more enriching. These challenges seem to be equally exciting as well as ripe as a single mistake is bound to bring a lot of consequences. Here, we bring to you a dose of the challenges you ought to face as soon as you slip into the shoes of an entrepreneur. We do not believe in leaving our readers in the dark, thus we also bring to you the ray of hope in the form of practical ways to deal with them. Read through:

 

1.      Hiring As Well As Keeping The Right People

As per the researchers, the entrepreneurs make a number of regretful appointments in the early phase. They commit the mistake of hiring those who are alike them, instead of adding a different mindset to the organisation who can complement to the entrepreneur's mind. There are a number of leading recruitment firms in India who are adept in doing thoughtful hiring. Thus, the best solution is to trust the executive search firms in India. The next big task comes in the form of keeping the workforce motivated to work for the benefit of the organisation. This can be done by giving them incentives, motivation and word of appreciation.

 

2.      Managing The Change

The entrepreneurs often face the problems of changing the corporate culture in accordance with the growth or the turmoil of the organisation. Time, always changes, sometimes it is bad while sometimes it is good. The company and its leader are required to give a serious thought when the question is about layoffs or lesser packages. These changes are hard in terms of acceptance, but are required to be done when the situation demands and the position of the business seems quite unfavorable. When the situation turns positive and growth is proposed, it will bring positive changes to the entire organization in terms of more revenue, promotions for staff members and good salary packages.

 

3.      Expansion Should Be Done Prudently And Certainly Not Prematurely

When an organization starts on the path of expansion, the charm of growth of the business on the basis of the opportunities present here and there tempts the leader to go for reckless expansion which is not prudent, but a premature decision. This premature expansion causes a number of wrong hiring which acts a reason for the fall in the revenue of the business and the growth of the business going haywire. 

Top Reasons Big Firms Are Hiring Human Resource Consulting Firms Today

The consulting gigs are amongst the hot things, which are happening in the business world these days. The era that started in early 1980s acted as a perfect incubator for surfacing of a number of HR consulting firms in India. By positing themselves as an expert in the field of human resource hiring, these Human resource consulting firms have created a great demand for themselves. These consultants proved to be the biggest asset for those firms who require an expert service of human resources, but have no intention of increasing the size of their payroll.

Mentioned below are some of the top reasons because of which the big firms are eyeing the HR consultants in today's world:

Q      To Get The Needed Hr Expertise

The prime purpose, the big firms get fulfilled from the consultants is to gain the necessary expertise and skills from the consultant which their own staff lacks. These consultants provide the right candidate with the right set of skills for the right position in an organization.

Q      Identify The Problem Areas

Each and every organization has certain problems. These problems may appear too close to the employees, yet they are unable to identify and rectify the same. This is when the consultant firms come to the rescue and identify the problem areas in order to rectify the same.

 

Q      Cost Saving

There are a number of expenses which are incurred in a business on an ongoing basis. The business can save nearly thousands of their hard earned dollars by hiring consultants instead of hiring the full time employees and creating a department for them. The additional amount of money is also saved as the consultants don't ask for benefits as are applicable to the full time employees. So, even when the fees charged by the consultant are more than what you will give to your regular employee, overall the cost of hiring consultants for the purpose of hiring human resource for the organisation is comparatively less.

Q      To Bring About The Change

Bringing a change is always a difficult task. No one if fond of changes. The changes are usually opposed by the employees at large. When an organisation requires making a change, the consultant plays a key role. This is because the consultant is not required to worry about the corporate culture followed in the organisation. They are not that inclined about the morale of the employees. Thus, the consultant firms are usually less inclined towards the issues which tend to elicit the high emotions amongst the staff. This is the reason they can easily bring about the change by acting as the catalyst for the change.

Hiring Trends And CXO Hiring

The Indian market evolved as it liberalised in the 90s and multinationals marked their strong presence.  Back then, retained executive search was still in its infancy in India; since then, senior level hiring has grown significantly and so has the executive search profession itself. The profession has become challenging in the fast paced multilevel expressway of hiring. The years since then to now have been marked with big changes and a retrospective enquiry confirms the fact.  The face of both hiring in general and leadership hiring stands altered today. Those days (90s to millennium) most 'CXO' jobs were advertised in the media. Organisations selected available people as opposed to launching an extensive search for the right people. Also several accomplished candidates did respond / apply to job advertisements.

 

Today, most CXO level roles are filled through executive search firms or through references and much less through advertisements in print media. Most global executive search firms have a firm foothold in the Indian talent market. Now Executive Search is synonymous with finding top notch talent. Firms such as Egon Zhender and Kornferry Internationalhave made sure that a career in executive search is very strongly mainstream and no longer 'off-beat'.

Another influencing catalyst has been that of the booming digital media, search engines, social and professional networks, powered by the internet. Job searches are atheists in terms of location as companies vie for the best fit for the position. Access to potential candidates has become easier but fitment remains the key parameter.  Box files full of CVs are a bygone feature as electronic database and communication clears the way. Skype, Whatsapp and professional social media has some features of the 90s; such as staying up late to get hold of candidates on their landlines; a long extinct exercise. The seasoned Indian talent today is in no way in a beeline for multinationals only and many prefer working for Indian origin corporate houses. The structured and rigid career path has given way to a radically fired culture where longevity is no longer the sole sacred virtue. In short, 'Cradle to Grave' company careers are passé.

 

The total rewards system is another influencing factor for change. Compensation is not limited only to monetary gains as talented individuals seek out firms which provide learning opportunities and innovative cultures. As per general estimates, average compensation has grown by about 1500 per cent in the last 15 years across most sectors. Negotiations are protracted and not straight-forward like in the past and typically people were selected for jobs. Today, people are sought out for jobs and compensation is structured to attract and retain people. Senior level hires’ reward plans often include stock plans, long term incentives, profit share plans and commissions as firms prepare to 'golden cages' their talent.

Reports and studies suggest an upward swing in hiring. Many organizations are poised to increase hiring across levels, thanks to a stable political environment and macro-economic conditions. As talent becomes a true differentiator for organisations the opportunities for executive search industry become more lucrative to command a higher stake in the talent market.