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In order to run an successful, dynamic, and successful organization, leaders need to possess sound business enterprise acumen. Sadly, we are not born with this essential leadership skill, it is cultivated more than time. When asked to define organization acumen, the response of senior leadership is simple and straight forward. Most believe that business enterprise acumen indicates getting financially savvy but that my friend is only one element of enterprise acumen.
There are 5 necessary components that make up sound small business acumen: Intelligence, Method, Communication, Innovation, and Accountability. As you assessment the qualities of each, assess yourself as effectively as other leaders on your team to see exactly where strengths and weaknesses exist within your organization. Then start out on an action strategy to close those identified gaps and drive organizational success to the next level.
#1 - INTELLIGENCE: Yes, leaders possessing this component of business acumen are skilled at generating, reading, and analyzing financial reports and budgets. Yet, they are also at ease when it comes to explaining this from time to time complex data to others. This is a excellent that most senior leaders admire and believe of when they envision an individual with awesome small business acumen. Along with monetary savvy, leaders possessing this component of home business acumen have an immense hunger to find out significantly more and enhance their understanding and intellect. They not only read business enterprise books, magazines and white papers to gain expertise, but also to glean abilities and strategies that can be applied in their line of home business and every day function.
#2 - Strategy: Leaders possessing this component of small business acumen know the key priorities (enterprise objectives) of the organization, and have proactively formulated a written action plan to get the team there. They do not wait for the strategic strategy to come down the pike from corporate, as soon as they get wind of the key business enterprise objectives they begin focusing on how their team will contribute to and impact it. Again, having small business intelligence is not enough, leaders ought to also be able to turn all that wealth understanding into actionable behaviors that will engage an whole workforce or team and drive positive results.
#three - COMMUNICATION: Leaders possessing this component of enterprise acumen are exceptional communicators, both verbally and in writing. They know that straight forward, clear communication is the important to achievement of the key small business priorities and strategy. If you ever observe leaders with fantastic communication abilities, you will notice that they communicate clearly up and down the organizational ladder. They can get a point across with finesse at the executive level, and simplify the message with ease to relate it to the day-to-day activities of line staff.
#four - INNOVATION & RESOURCEFULNESS: Leaders possessing this component of business enterprise acumen have the keen ability to function with little, and produce a lot. They are not limited by a lack of resources, but innovative sufficient to develop new ways of obtaining the job performed efficiently and efficiently. Though getting all of the tools at their disposal to do the job properly would be great, they do not allow the lack thereof to produce team dissension or negativity. Their greatest joy comes from getting able to overcome barriers and obstacles to develop a item or service that is exceptionally far better than they ever expected. Leaders who possess sound company acumen are not wasteful, but innovative and resourceful.
#five - ACCOUNTABILITY: Leaders possessing this final component of business acumen fully grasp the importance of employee accountability in optimizing productivity to obtain good results. Without having accountability none of the other components that make up sound company acumen (intelligence, strategy, communication and innovation) will be of any worth. In order to hold staff accountable for driving the key priorities of the organization the leader have to set the regular or expectation, communicate it to enlist employee purchase-in, integrate it into just about every aspect of the work environment, evaluate employee performance against it, then reward and recognize those who consistently meet and exceed the expectation or regular.
Just like a waterfall, enterprise acumen begins at the best and trickles down throughout the entire workforce. If senior leadership does not possess these essential components, organizational effectiveness and success is not sustainable. Now that you've been equipped with some level of clarity concerning small business acumen, the next step is to function toward closing your specialist gaps. Bottom-line, developing sound business acumen does not start out or quit with becoming skilled at analyzing monetary reports creating sound business acumen is multi-dimensional.
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