ENTREPRENURSHIP

TOPIC:
Objectives of the Lesson » Entrepreneurship
• Identify important
characteristics or
entrepreneurial competencies 2.. Appraising yourself for an
which you have to develop or Entrepreneurial Career
strengthens
2.1 Assessing your personal
entrepreneurial
• Enumerate guidelines that are competencies
important in entrepreneurship
2.2 PEC’s Self Rating
Questionnaire
• Identify the tools and
behaviour associated with
2.3 Developing yourself for
successful entrepreneurship Entrepreneurship
Pre Activity
APPRASING YOURSELF FOR AN
ENTREPRENURSHIP
• Entrepreneurs are rather self-
confident people. They believe that
they can achieve their goals. So
must you. If you do not have faith in
yourself, no one else will.
 DEVELOPING YOURSELF FOR
ENTREPRENEURSHIP
Given the entrepreneurial attributes in the previous lesson, it is not enough that
an individual is aware of the qualities to become a successful entrepreneur. The
individual has to appraise himself and be aware of what skills and qualities he could
possess. And knowing those personal attributes does not stop there, these need to
be developed.
Here are suggestions from Asor on how to develop yourself for
entrepreneurship, as follows:

1.Be Creative. To be creative is to generate ideas and images in your head in order to
come up with solutions and alternative solutions to problems. Creativity involves
moving around ideas, splitting them, combining them with other ideas; thus arriving
at new ways of doing things.
DEVELOPING YOURSELF FOR
ENTREPRENEURSHIP
2.Actively Seek Opportunities. As successful entrepreneur actively seeks
opportunities. He looks at a situation and thinks, “What is in here that can be
turned into a business,” or “What is in here that will be good for my business
or will improve it?” Opportunity- seeking is actively going after ideas which
can be turned into opportunities.

3.Take Moderate Risks. The successful entrepreneur takes risks, but before
doing so, he is able to recognize, assess, and minimize these risks. This is
known as calculating, moderating, or controlling the risks. What must you do
to be a moderate risk-taker?
Here are some suggestions:
DEVELOPING YOURSELF FOR
ENTREPRENEURSHIP
a. Assess the situation carefully.
b. b. Find out if your actions will have negative side effects. A moderate risk-
taker must be prepared to cope with this possibilities.
c. c. Ask for advice from knowledgeable people d. Plan for contingencies.

4.Practice Persistence. Trying and trying again until you succeed is what
persistence all about. Persistence is also trying to do something even if other
people say that you are likely to fail. It means not being afraid of hard work. It
also means not being afraid to fail because you can try again.
If you feel that being persistent is difficult, you must realize this three things:
DEVELOPING YOURSELF FOR
ENTREPRENEURSHIP
• Do not give in quickly when someone disagrees with you.
• If you get angry at someone who stubbornly disagrees with you, your
persistence will wear off quickly because you will be concentrating on your
anger.
• Face the opposition squarely and openly

5. Be Committed to What You Set Out to Do. You can practice behavior that
will lead to strong commitment to work contract. Here are some guidelines
that may help in building your commitment to work contact:
DEVELOPING YOURSELF FOR
ENTREPRENEURSHIP
a. Have strength of character.
b. Only make promises you can keep.
c. Know what to do when you cannot keep a promise.
d. Cultivate the trust of others.
e. Clarify expectations.
f. Apologize sincerely

6.Set High Standards of Quality and Efficiency.No matter what you are doing,
you can strive for quality and excellence. Good entrepreneurs demand quality
and efficiency not only from their workers and suppliers, but also from
themselves
DEVELOPING YOURSELF FOR
ENTREPRENEURSHIP
Here are behaviors that can help you achieve quality and efficiency in
business and other aspects of your life:
a. Consistency is important.
b. Neglected and dissatisfied customer might never return.
c. Devotion to quality and efficiency must become a way of life for you and
your workers.
d. Use appropriate technology to help you

7.Seek Information. You need information to get wind of business ideas and
opportunities
DEVELOPING YOURSELF FOR
ENTREPRENEURSHIP
8. Believe in Yourself. Entrepreneurs are rather self-confident people. They
believe that they can achieve their goals.Believing in yourself means having
faith in your own capabilities. It means believing that you CAN do something
— that it is within your ability. When you believe in yourself, you can
overcome self-doubt and have the confidence to take action and get things
done.
ASSESING YOUR PERSONAL
ENTREPRENURIAL COMPETENCIES

Personal Entrepreneurial Competencies (PECs). The PECs questionnaire

provides a self-assessment tool on how each one sizes up to the common
competencies identified by Management Systems International (MSI).
Understanding your PECs will be of great help in the detection and analysis
of your strong and weak points. Thus, these behavioural indicators are said
to be useful in strengthening entrepreneurial potential.
ASSESING YOUR PERSONAL
ENTREPRENURIAL COMPETENCIES
What is entrepreneurial competency?
Entrepreneurial competency is a set of skills and behaviour needed to
create, develop, manage, and grow a business venture. It also includes the
ability to handle the risks that come with running a business. Without a
doubt, business owners and startup founders must possess most of the
entrepreneur competencies to succeed.

Just like other types of competencies, there are different sub-categories

here. The competencies could be technical, behavioural, attitude-based, or
productivity-based.
ASSESING YOUR PERSONAL
ENTREPRENURIAL COMPETENCIES

Those with an entrepreneurial zeal need to play three prominent roles.

• Creator
• Organizer
• Market maker

So the competencies for entrepreneurship are designed to help people

perform in these roles effectively.
WHY ORGANIZATIONS LOOK FOR
EMPLOYEE WITH ENTREPRENURIAL
COMPETENCIES?
Entrepreneurs are some of the most engaged and healthiest individuals
in the world. The survey states that this could be because they are
passionate about what they do and always looking for opportunities.

An entrepreneurial mindset also means pushing themselves to be

innovative and creative and holding on to even the tiniest opportunity to
grow. Don’t all these characteristics sound valuable? Organizations feel that
when their employees have an entrepreneurial mindset, they add more
value to the workplace and get a sense of ownership of the company and
not just treat it like a place to earn a salary from.
WHY ORGANIZATIONS LOOK FOR
EMPLOYEE WITH ENTREPRENURIAL
COMPETENCIES?
Entrepreneurs are some of the most engaged and healthiest individuals
in the world. The survey states that this could be because they are
passionate about what they do and always looking for opportunities.

An entrepreneurial mindset also means pushing themselves to be

innovative and creative and holding on to even the tiniest opportunity to
grow. Don’t all these characteristics sound valuable? Organizations feel that
when their employees have an entrepreneurial mindset, they add more
value to the workplace and get a sense of ownership of the company and
not just treat it like a place to earn a salary from.
 ENTREPRENURSHIP COMPETENCY
Entrepreneurship competency will mean employees are self-driven, responsible, innovative,
and motivated about what they do. Here are the basic differences between any other
employee and one with entrepreneurial competencies.

Employees with entrepreneurial competencies employees Employees without entrepreneurial competencies

 The ultimate need becomes job security; hence, these

employees take very few risks.
 The ultimate need is freedom and creativity; hence, these  Time-based compensation is taken seriously and
employees take more risks. employees work only for what they feel their salary is
 These employees don’t worry about time-based worth.
compensation and are very invested in their jobs.  Most employees function better when they are told what
 Such employees are self-motivated and driven and don’t to do and are monitored.
require a lot of monitoring.  Employees like handing over responsibilities to others,
 Employees end up owning decisions and responsibilities. doing only what is asked of them.
They enjoy accountability.  Employees consider the organization as just a workplace
 Employees have a sense of ownership to the organization. to become financially stable.
CORE COMPETENCIES IN ENTREPRENUER
While there are a lot of core competencies in entrepreneurship, here are
some basic ones you can look for in your employees the next time there is a
competency evaluation process happening.

 Risk-taking abilities
 Out-of-the-box thinking and creativity
 Problem-solving abilities
 Taking initiative
 Persistence
 Persuasion and social skills
 Business management skills
 Critical thinking skills
 Networking skills
 Effective communication skills
HOW TO ENCOURAGE ENTRPRENURIAL COMPETENCY
SKILLS IN EMPLOYEES
Developing entrepreneurial competencies offers two benefits – it helps employees move from
individual roles to management roles and allows the organization to flourish and take more giant strides
ahead. So, here are the innovative ways in which an organization can encourage entrepreneurial
competencies in its employees.
Allow knowledge sharing
This is one of the most important ways you can groom entrepreneurs within the organization. Make
sure knowledge is available freely for those who pursue it. Diversity of knowledge is what makes a
person holistically developed. Employees should have a basic idea of how most other teams and the
organization’s business function. Learning programs need to be offered regularly, without hesitation.

Initiate programs that foster creativity and fresh ideas

There are organizations that host town halls just to get fresh ideas and thoughts from employees.
Employees are asked to speak their minds here, and new ideas are jotted down. This makes employees
feel like they matter. It also helps the organization to identify those with entrepreneurial skills easily and
get smart ideas that may work.
HOW TO ENCOURAGE ENTRPRENURIAL COMPETENCY SKILLS IN EMPLOYEES
Allow ownership
Having someone to monitor employees is a good idea. However, micromanagement can turn out to be negative
for the employee’s spirits. Make sure you create the sense of ownership in employees, letting them take smaller
decisions themselves and deal with clients with minimal monitoring. Hire managers who believe in this process
to ensure employees get the freedom that allows them to foster entrepreneurial competencies.

Create an atmosphere of security and protection

Many employees don’t take risks or don’t go the extra mile because they fear things going wrong. What
would happen to their jobs if their decisions didn’t work? Will they be blamed if their choices go wrong?

All entrepreneurs make choices and decisions and own them, whether they worked or not.
However, employees have the added pressure of being accountable to the management. So, they would
hesitate to do this unless they know that the management trusts them and would not shift blame if a decision
didn’t work.

If you want employees to develop entrepreneurial competencies, then let them know that making
mistakes is alright and that the organization will back them up and help rectify damages. Creating that kind of a
psychologically secure atmosphere is very important.
Conclusion
You can do two things to foster entrepreneurial competencies in the workforce – hire individuals who
show entrepreneurial zeal or have had past experiences handling businesses or invest in training and
learning programs to promote the same in your existing employees.

Make sure there are a couple of employees with a high entrepreneurial spirit in every team to help
others grow and be productive. These employees will constantly think about ways to uplift their team
and their processes and, as a result, help the organization grow too. Employees with an entrepreneurial
spirit are assets to the organization, and their skills need to be valued, appreciated, rewarded, and
nurtured.

You can design your own competency framework and include entrepreneur competencies in them to
start monitoring the skills.
References
Entrepreneurship in the Philippine Setting, Winifreda T. Asor, Ph.D.; pages 18- 26
Activity
PEC SELF-RATING QUESTIONNAIRE

Instructions:

1. This questionnaire consists of 55 brief statements. Read each statement and decide how well it describes you. Be honest about yourself. Remember, no one does everything very
well, nor is it even good to do everything very well.
2. Select one of the numbers to indicate how well the statement describes you:
5 = Always 4 = Usually 3 = Sometimes 2 = Rarely 1 = Never
3. Write the number you select on the line to the right of each statement. Here is an example:
I remain clam in stressful situation 2.
The person who responded to the item above wrote a “2” indicating that the statement described him very little.
4. Some statements may be similar but no two are exactly alike.
5. Please answer all questions.
 30. I try to think of all the problems I may encounter and plan what to do if each
1. I look for things that need to be done. problem occurs.
2. When faced with a difficult problem, I spend a lot of time trying to find a solution. 31. I get important people to help me accomplish my goals.
3. I complete my work on time. 32. When trying something difficult or challenging, I feel confident that will succeed.
4. It bothers me when things are not done very well. 33. In the past, I have had failures.
5. I prefer situations in which I can control the outcomes as much as possible. 34. I prefer activities that I know well and with which I am comfortable.
6. I like to think about the future. 35. When faced with major difficulties, I quickly go on to other things.
7. When starting a new task or project, I gather a great deal of information before going 36. When I am doing a job for someone, I make a special effort to make sure that
ahead. person is happy with my work.
8. I plan a large project by breaking it down into smaller tasks. 37. I’m never entirely happy with the way in which things are done; I always think there
9. I get others to support my recommendations. must be a better way.
10. I feel confident that I will succeed at whatever I try to do. 38. I do things that are risky.
11. No matter whom I’m talking to, I’m a good listener. 39. I have a very clear plan for my life.
12. I do things that need to be done before being asked to by others. 40. When working on a project for someone, I ask many questions to be sure I
13. I try several times to get people to do what I would like them to do. understand what that person wants.
14. I keep the promises I make. 41. I deal with problems as they arise, rathers than spend time trying to anticipate
15. My own work is better than that of other people I work with. them.
16. I don’t try something new without making sure I will succeed. 42. In order to reach my goals, I think of solutions that benefit everyone involved in a
17. It’s a waste of time to worry about what to do with your life. problem.
18. I seek the advice of people who know a lot about the tasks I am working on. 43. I do very good work.
19. I think about the advantages and disadvantages or different ways of accomplishing 44. There have been occasions when I took advantage of someone.
things. 45. I try things that are very new and different from what I have done before.
20. I do not spend much time thinking how to influence others. 46. I try several ways to overcome things that get in the way of reaching my goals.
21. I change my mind if others disagree strongly with me. 47. My family and personal life are more important to me than work deadlines I set for
22. I feel resentful when I don’t get my way. myself.
23. I like challenges and new opportunities. 48. I find ways to complete tasks faster at workand at home.
24. When someone gets in the way of what I am trying to do, I keep on trying to 49. I do things that others consider risky.
accomplish what I want. 50. I am as concerned about meeting my weekly goals as I am for my yearly goals.
25. I am happy to do someone else’s work if necessary to get the job on time. 51. I go to several different sources to get information to get help with tasks or projects.
26. It bothers me when my time is wasted. 52. If one approach to a problem does not work, I think of another approach.
27. I weigh my chances of succeeding or failing before I decide to do something. 53. I am able to get people who have strong opinions or ideas to change their minds.
28. The more specific I can be about what I want out of life, the more chance I have to 54. I stick with my decisions even if others disagree strongly with me.
succeed 55. When I don’t know something I don’t mind
29. I take action without wasting time gathering information. admitting it
Scoring Sheet for PEC Self-Rating Questionnaire
Instructions:
1.Enter the ratings from the completed questionnaire on the lines above the item numbers in parenthesis. Notice that the item in each column are
consecutive: Item 2 is below item number 1, and so forth.
2.Do the addition and subtraction indicated in each row to complete each PEC score.
3.Add all the PEC scores to complete the total score.
Ratings Statements Score PEC

+ + - + + 6 = Opportunity Seeking

(1) (12) (23) (34) (45)

+ + - + + 6 = Persistence

(2) (13) (24) (35) (46)

+ + + - + 6 = Commitment to Work

(3) (14) (25) (36) (47) Contract

+ + + - + 6 = Demand for Efficiency

(4) (15) (26) (37) (48) And Quality

- + - + + 6 = Risk Taking

(5) (16) (27) (38) (49)

- + + + + 6 = Goal Setting

(6) (17) (28) (39) (50)

+ - + + + 6 = Information Seeking

(7) (18) (29) (40) (51)

+ + - + + 6 = Systematic Planning

(8) (19) (30) (41) (52) and Monitoring

- + + + + 6 = Persuasion and

(9) (20) (31) (42) (53) Networking

- + + + + 6 = Self-Confidence

(10) (21) (32) (43) (54)

- - - + + 18 = Correction Factor

(11) (22) (33) (44) (55)

Instruction:
1. The Correction Factor (the total of items 11, 22, 23, 33,
44 and 55) is used to determine whether or not a person
tries to present favorable image of himself. If the total
score of this factor is 20 or greater, then the total scores
on the ten PECs must be corrected to provide a more
accurate assessment of the strength of the PEC scores
for the individual.
2. Use the following numbers when figuring the corrected
score:
If the Correction Subtract the following number
Factors Score is from each PEC Score
24 or 25 7
22 or 23 5
20 or 21 3
19 or less 0
3. Use the next page to correct each PEC Score before
using the Profile Sheet
Activity
INTERPRETING SCORES*
THE HIGHEST CORRECTED SCORE IS 25 PER PECS ITEM. THE CLOSER YOU ARE TO 25 MEANS YOU ARE STRONG IN THAT PARTICULAR PECS ITEM.

THE AVERAGE AND MEDIAN SCORE IS 12.5.

A SCORE BELOW 12.5 MEANS A CHALLENGE OR OPPORTUNITY FOR IMPROVEMENT IN THAT PARTICULAR PECS ITEM. A BELOW THE AVERAGE
SCORE CALLS FOR CHANGE OF BEHAVIOURAL PATTERN.

MARKING ON THE EXTREME LEFT SIDE (BELOW 12) REQUIRES SELF-REFLECTION AND FIGURING OUT CHANGES NEEDED TO IMPROVE ONE’S
PERSONALITY. THE PECS PROFILE IS DYNAMIC, MEANING IT IS NOT SET IN STONE AND WHATEVER CHALLENGES YOU MAY HAVE COULD STILL BE
IMPROVED ON. YOUR PECS PROFILE WILL BE TECHNICALLY PROGRESSIVE ONCE THESE CHALLENGES ARE FACED WITH SELF-CONFIDENCE AND
ARE ALIGNED TO YOUR BUSINESS PLAN. IN A LARGER SENSE, A WINNING PERSONALITY IS CONSIDERED A KEY FACTOR WHETHER YOU ARE FIT TO
START OR MAINTAIN A BUSINESS.