ENTREPRENEURIAL ENTREPRENEURIAL FUNCTIONALITY OFFUNCTIONALITY OF

NEW VENTURE CREATION NEW VENTURE CREATION LEARNERSLEARNERS

Philna BuysPhilna BuysJJD HavengaJJD Havenga

Primary objective Primary objective

Evaluate the suitability of Evaluate the suitability of individuals as potential individuals as potential entrepreneurs in the entrepreneurs in the

entrepreneurial economic entrepreneurial economic environmentenvironment

OpportunitiesOpportunities Assess respondents for suitability Assess respondents for suitability

Applied in the workplace for people who are already Applied in the workplace for people who are already employedemployed

Productivity and workforce impact Productivity and workforce impact can both be improved substantially can both be improved substantially if people can operate in an if people can operate in an environment to which they are best environment to which they are best suited. suited.

OpportunitiesOpportunities Productivity and workforce impact Productivity and workforce impact can both be improved substantially can both be improved substantially

if people can operate in an if people can operate in an environment to which they are best environment to which they are best

suited. suited. Government, SETAs and employers in Government, SETAs and employers in

general can allocate funds more general can allocate funds more appropriately to allow more people appropriately to allow more people the opportunity to become skilledthe opportunity to become skilled..

High level HRD strategyHigh level HRD strategy Initial over-ambitious targets for Initial over-ambitious targets for people to become qualified learners. people to become qualified learners.

Result :Result : push-through effect of individuals who were push-through effect of individuals who were not necessarily suited to a particular not necessarily suited to a particular learnership or learnership or

able to function at National Qualifications able to function at National Qualifications Framework or NQF Level 4 (equal to grade 12). Framework or NQF Level 4 (equal to grade 12).

Low level evaluations were used to ‘certify’ potential Low level evaluations were used to ‘certify’ potential learners in terms of their numeracy and literacy levels learners in terms of their numeracy and literacy levels only.only.

Research ApproachResearch Approach

DATA SET I

SETA interview

Star In-Basket

Phase I Phase II

New Venture Creation

Learnership results

DATA SET II DATA SET III

Functional Intelligence Assessm ent

Tool (FIAT)

Separate num eracy

andliteracy tests

SETA Scientific M easuring Instrum ent

Research ApproachResearch Approach ParticipantsParticipants

learners who were in the process of learners who were in the process of completing the New Venture Creation completing the New Venture Creation Learnership at an events management Learnership at an events management company in Johannesburg, South Africacompany in Johannesburg, South Africa

Biographical DataBiographical Data 20 respondents - all black Africans20 respondents - all black Africans 11 females (seven < age of 30, three – 30-11 females (seven < age of 30, three – 30-40 years, one of 44)40 years, one of 44)

9 nine males (eight < 30, 1 male = 39 years9 nine males (eight < 30, 1 male = 39 years

Functional Intelligence Functional Intelligence Assessment Tool (FIAT)Assessment Tool (FIAT)

FIAT is unique in the sense that it FIAT is unique in the sense that it scientifically measures the influence scientifically measures the influence of the environment on the individual of the environment on the individual and the individual’s response to that and the individual’s response to that environmentenvironment (Whitehouse) (Whitehouse)

An additional questionnaire was An additional questionnaire was administered to evaluate leadership administered to evaluate leadership qualities which are an essential qualities which are an essential component of the entrepreneur.component of the entrepreneur.

Functional Intelligence Functional Intelligence Assessment Tool (FIAT)Assessment Tool (FIAT)

Two important systemsTwo important systems The General Behavioral System (GBS) The General Behavioral System (GBS) - - peoples’ feelings and emotionspeoples’ feelings and emotions

- how the candidate portrays him/herself – what one can see.how the candidate portrays him/herself – what one can see.- Our perceptions influence itOur perceptions influence it

Internal Interaction System (IIS)Internal Interaction System (IIS)- Is our Self-Perception- Is our Self-Perception - Our perceptions influence it- Our perceptions influence it

FIATFIAT Perception is a critical element Perception is a critical element based on the six (separate) based on the six (separate) superconstructs (areas) used in the superconstructs (areas) used in the FIAT which are the ones that people FIAT which are the ones that people function from, each with their function from, each with their related constructs:related constructs:

FIAT- Positive Functioning FIAT- Positive Functioning Areas: IISAreas: IIS

Achievement (IIS and GBS) is Achievement (IIS and GBS) is accomplishment, success, realization.accomplishment, success, realization.

Satisfaction (IIS and GBS) is Satisfaction (IIS and GBS) is contentment, fulfillment and approval.contentment, fulfillment and approval.

Expectations (IIS and GBS) are the Expectations (IIS and GBS) are the outlook (positive orientation), outlook (positive orientation), potential, hope and opportunity of the potential, hope and opportunity of the individual towards his/her future individual towards his/her future involving emotional experience and involving emotional experience and cognitive appraisal of one’s life from cognitive appraisal of one’s life from an optimistic point of view.an optimistic point of view.

FIAT - Negative FIAT - Negative Functioning AreasFunctioning Areas

GBSGBS Frustration (IIS and GBS) is Frustration (IIS and GBS) is aggravation, irritation, disturbance, aggravation, irritation, disturbance, annoyance, disappointment, annoyance, disappointment, dissatisfaction.dissatisfaction.

Stress (IIS and GBS) is pressure, Stress (IIS and GBS) is pressure, strain, anxiety, tension.strain, anxiety, tension.

Helplessness (IIS and GBS) is Helplessness (IIS and GBS) is defenselessness, exposure, defenselessness, exposure, vulnerability.vulnerability.

Self-Perception AreasSelf-Perception Areas

Inner Insecurity – state of not being Inner Insecurity – state of not being secure; experiencing fear or anxiety.secure; experiencing fear or anxiety.

Guilt Feelings – conscious of guilt; Guilt Feelings – conscious of guilt; state of having done wrong. state of having done wrong.

Lack of Self Worth – lack of quality Lack of Self Worth – lack of quality which renders a thing valuable; which renders a thing valuable; perception of the individual that he/she perception of the individual that he/she is unimportant and does not mean is unimportant and does not mean anything to others; is not special and anything to others; is not special and does not deserve to be handled with does not deserve to be handled with respect.respect.

Relationship AreasRelationship Areas

ColleaguesColleagues PartnerPartner GeneralGeneral

Emotional Functioning Emotional Functioning AreasAreas

Dependency (addiction, reliance)Dependency (addiction, reliance) Disturbing ThoughtsDisturbing Thoughts Memory LossMemory Loss Paranoia (fear, suspicion, mistrust, Paranoia (fear, suspicion, mistrust, people talking behind your back)people talking behind your back)

Anxiety (nervousness, concern, Anxiety (nervousness, concern, apprehension)apprehension)

Senselessness of Existence.Senselessness of Existence.

Corporate Functioning Corporate Functioning areasareas

Job SatisfactionJob Satisfaction Job SecurityJob Security EqualityEquality Effectiveness of SupervisorEffectiveness of Supervisor Supervisor’s Leadership Ability Supervisor’s Leadership Ability (Staff Perception)(Staff Perception)

Supervisor’s Communication Skills Supervisor’s Communication Skills (Staff Perception)(Staff Perception)

Supervisor’s Communication Skills.Supervisor’s Communication Skills.

ResultsResults 47% of respondents 47% of respondents intentionally tried to intentionally tried to manipulate their results but manipulate their results but were identified through their were identified through their inconsistent resultsinconsistent results

11% manipulated results 11% manipulated results unintentionally unintentionally

ResultsResults 26% of respondents tried to 26% of respondents tried to disguise their results by giving disguise their results by giving extreme scores thereby hoping to extreme scores thereby hoping to impress with their choice of impress with their choice of answers (impression management) answers (impression management)

11% were in denial about their 11% were in denial about their situation, having scored situation, having scored unrealistic results unrealistic results

ResultsResults 11% of respondents had serious 11% of respondents had serious problems with their emotional problems with their emotional functioning to the extent that functioning to the extent that it is believed that they should it is believed that they should consult a professional person consult a professional person (professional intervention). (professional intervention).

ResultsResults 63% of respondents revealed 63% of respondents revealed definite inconsistent results definite inconsistent results

15% of respondents should be 15% of respondents should be re-assessed due to the extent re-assessed due to the extent of their inconsistency.of their inconsistency.

Partnership EntrepreneurPartnership Entrepreneur Apparent that the entrepreneur needs Apparent that the entrepreneur needs

a more protected environment than a more protected environment than what might currently be in place, what might currently be in place, despite efforts from the South despite efforts from the South

African government to improve the African government to improve the situation. situation.

Partnership EntrepreneurPartnership Entrepreneur Take an existing successful Take an existing successful business with the intention of business with the intention of

‘cloning’ some or all aspects of an ‘cloning’ some or all aspects of an entire business and constructing entire business and constructing

eventual reciprocate relationshipseventual reciprocate relationships

Partnership EntrepreneurPartnership Entrepreneur an entrepreneur is considered an inspired an entrepreneur is considered an inspired

individual who excels at creating individual who excels at creating employment (of self and others) by making employment (of self and others) by making use of an existing successful partnership use of an existing successful partnership to create a separate entity. Yet, the to create a separate entity. Yet, the

individual must still be able to function individual must still be able to function as an entrepreneur (generate ideas, take as an entrepreneur (generate ideas, take risk, create employment) otherwise the risk, create employment) otherwise the support and guidance in the form of the support and guidance in the form of the

partnership is of little use.partnership is of little use.

(Charney & Libecap, 2002).(Charney & Libecap, 2002).

Partnership EntrepreneurPartnership EntrepreneurSupport from

Macro-environmentGovernment

• Learnership grant

Banks• Access to finance

Skills Development Coach (SDC) Access, availability, problem

solving

Mentor Access, availability, problem

solvingSupport fromMicro-

EnvironmentOwner/Manager(s)

• Knowledge, experience, finance

Entrepreneur

Parent Company

Network of suppliers,

infra-structure etc.

Market Place

Competitors