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How to Be a Good Business Manager

What makes a good manager? What are the characteristics and qualities of a good manager? Do you want to learn how to become a good manager in business? Then read on.

For an organization to be successful, there must be a good manager. The same is applicable to business management. There are a number of factors that can make you that better business manager that you have always wanted to be. So without wasting your time, below are some practical steps to follow if you want to become a good business manager.

How to Be a Good Business Manager – 8 Qualities and Characteristics

1.   Lead by example

Let it be at the back of your mind that the people you manage look up to you. If you expect your staffs to behave in a certain way, show an example by portraying the behavior first. It is not fair to expect your staffs to do something when you know that you are not doing it.

2.   Do your job

That you are a manager does not give the temerity to leave all the tasks to your staff. You need to also prove that you are also part of the team. By so doing, your staff will respect you for being a leader that works with the team; not just talking to the team alone.

3.   Be transparent with your team

No one will like to confide in a person who is not transparent and reliable. When you are reliable, your staffs will not find it difficult to communicate to you any idea that they think will help in moving the business forward.

4.   Be constructive while critizing

Nobody is above mistakes. What makes you a good manager is your ability to learn from those mistakes and help your team mates do the same. Ensure you don’t repeat a particular mistake twice. Construct your employees’ mistakes into learning opportunities.

5.   Be motivating and inspiring

To be a good business manager, you must do your best to inspire and motivate your staffs. This will encourage them to do more and it will not only portray you as a good manager but also it will profit the business enterprise because everyone will be up and doing.

6.   Allow employees to participate in management

Allowing employees participate in management is always a good strategy. Don’t hide anything from the employees just because you want to showcase your power and authority as the manager. A good manager should always discuss problems facing the organization with the employees and seek for suggestions from the employees.

7.   Manage your time

One thing you will not have in abundance aside money is time. To be a good business manager, you must learn how to manage your time as well as other people’s time.

8.   Don’t over stress yourself

Your effectiveness as a manager drops when you are over stressed. Give yourself a break to relax and recharge your energy. You must also learn how to do your work with your allotted time and go home. Try to eliminate or reduce working over time. This will help increase your productivity.

In conclusion, i want you to know that business management is very wonderful, if only you have what it takes to be called a good business manager. And as you strive to improve your managerial skills, always remember that becoming a good manager is not a one-day job. It requires continuous learning and action-taking.

The Highest Paid CEOs in the World are not Entrepreneurs

Have you ever at one time or the other admired the fortune 500 CEOs? Have you ever wished to be one of the top corporate managers? Are you building a business so that you can write yourself huge paychecks? Then you better have a rethink because the highest paid CEOs in the world are not entrepreneurs.

I recently stumbled upon an article on CNNMoney, where the highest paid CEOs of 2009 was published and I carefully went through the list. To my surprise, I discovered that majority on the list of the top twenty highest paid CEOs were not entrepreneurs or founders of the companies they were managing. You can have a quick look at the list of highest paid CEOs in the world.

   The Highest Paid CEOs in the World

1.       Larry Ellison:       Oracle Corporation –      $84.5 million

2.       Ray Elliot:             Boston Scientific –           $33.4 million

3.       Ray Irani:             Occidental petroleum –                $31.4 million

4.       Mark Hurd:         Hewlett Packard –           $24.2 million

5.       James Hackett: Anadarko petroleum –                 $23.5 million

6.       AG Lafley:           Procter & Gamble –        $23.5 million

7.       William Weldon:               Johnson & Johnson –     $22.8 million

8.       Miles White:      Abbott Laboratories –    $21.9 million

9.       Bob Iger:              Walt Disney –    $21.6 million

10.   Samuel Palmisano:          IBM –    $21.2 MILLION

11.   Robert J. Stevens:           Lockheed Martin –          $20.5 million

After running through the above list, I also saw the list below.

The Lowest Paid CEOs in the World

1.       Steve Jobs:         Apple Inc –         $1

2.       Eric Schmidt:      Google –              $245,322

3.       Warren Buffett:                Berkshire Hathaway –    $519,490

Reading this article on CNNMoney made my mind flash back to a previous article I wrote that Aliko Dangote; the richest black man in the world is not the highest man in Nigeria. In that article, I emphasized that despite being the richest black man in the world; some corporate executives and DGs of governmental agencies l know earn more salary per year than he does and the article on CNNMoney has re-emphasized that view.

Analyzing the list of the highest paid CEOs in the world, you will find out that more than 98% of those that made the list are not entrepreneurs. Larry Ellison tops the list of highest paid CEOs but I believe he deserved to be on that list because he built Oracle from scratch and is actively involved with the engineering process of the company’s product development.

I felt compelled to write this article because everyday, I come across entrepreneurs who are trying to raise capital for their business idea. Often, they come to me for advice and I offer to critique their business plan.

Looking through their business plans, I usually observe that some of these entrepreneurs assign to themselves; ridiculous salaries. When I advice they cut the salary in half or work for free, all I get is a strong resistance or excuse. Some go ahead to tell me that they deserved such salaries or they need to put food on the table. While I am not objecting to their view, I remind them that their business is still in its startup phase and may require them to work for free. Of all the entrepreneurs I have given such advice, only few heed it.

Now isn’t your business meant to pay you huge salary? It is but not in its early stage. Secondly, entrepreneurs build business for a reward higher than that of a steady paycheck. Entrepreneurs are not driven by the desire to make money; they are driven by a desire to create outstanding value that will outlive them.

“The person who starts simply with the idea of getting rich won’t succeed; you must have a larger ambition.” – John D. Rockefeller

In retrospect, it will surprise you to know that Steve Jobs and Warren Buffett are among the lowest paid CEOs in the world. Steve Jobs is paid $1 per annum. This brings me to the question: why are the highest paid CEOs not on the list of the richest people in the world?

The answer is this;

“The highest paid CEOs are employees; not entrepreneurs.”

Larry Ellison is among the highest paid CEOs and also on the list of richest people in the world because he’s an entrepreneur. Warren Buffett, Steve Jobs and other lowest paid CEOs are on the top list of the world’s richest people.

Warren Buffett is not on the list of the highest paid CEOs; yet, he’s the richest investor in the world. Bill Gates is not the highest paid CEO but he’s the richest man in the world. Mark Zuckerberg is not among the highest paid CEOs but he is the youngest billionaire in the world and Aliko Dangote is not the highest paid CEO in Nigeria, but he’s the richest black man in the world. Why this discrepancy?

The discrepancy lies not in their paycheck but in their motive for undertaking a task. Entrepreneurs are known to work for free, for many years without pay while the top corporate managers are in the game for the paycheck and security.

“You know you are on the road to success if you would do your job and not get paid for it.” – Oprah Winfrey

Another reason why the highest paid CEOs are not entrepreneurs is because entrepreneurs get their pay in a different form order than a salary. Entrepreneurs build businesses for the asset; not the money. Note the difference.

 “I don’t make deals for the money. I’ve got enough much more than I’ll ever need. I do it to do it.” – Donald Trump

“Money was never a big motivation for me except as a way to keep score. The real excitement is playing the game.” – Donald Trump

Entrepreneurs are in business to acquire assets; not monthly paychecks. They are not the highest paid CEOs because their reward comes in the form of royalties, dividends, rental income, increase in asset base and business growth.

Entrepreneurs are not the highest paid CEOs because they don’t think short term. They think long term; they think about the future generation and they think about creating value that will outlive them. Entrepreneurs don’t strive to earn the highest paycheck; they strive to build an asset that will continue to add value and better the lives of humanity.

“The richest people in the world build networks; everyone else is trained to look for work.” – Rich Dad

As a final note, I want you to reflect on the lessons of this article and answer the following questions: Are you working for a paycheck or are you working for free to build an asset? Do you need the highest paying job or a long lasting business? Do you want to be among the highest paid CEOs or among the richest people in the world? Only you can answer these questions; I rest my case.

“The problem with having a job is that it gets in the way of getting rich.” – Rich Dad

11 Traits of Exceptionally Creative Business Leaders

What special traits do creative business leaders and successful entrepreneurs such as Bill Gates, Steve Jobs, Warren Buffett, Richard Branson, Henry Ford and Aliko Dangote possess that you don't? Have you ever wondered what it takes to build a successful business from scratch? What does it take to be at the helm of affairs of a Fortune 500 company? If you seek answer to any of these questions, then read on.

                "In the course of building a business, leadership skill is not an option. It's a necessity." – Rich Dad

To successfully complete the entrepreneurial process, you must be a leader but to build a business that will be a pacesetter in any industry it finds itself; becoming a leader is just the beginning. You have to be creative and exceptional in your leadership style. Being creative and exceptional requires you adopt a strong, tested and proven leadership strategy.

                "Inventories can be managed but people must be led." – Henry Ross Perot

Today, I am going to highlight 15 traits possessed by creative business leaders who have shown exceptionality in their endeavors. I am not highlighting these traits to thrill you; rather, I am highlighting them so that you can look into yourself and know the traits you lack.

                "If there is such a thing as good leadership, it is to give a good example. I have to do so for all the IKEA employees." – Ingvar Kamprad

With these 15 traits in you, growing your small business startup at a very fast rate will be a piece of cake. Possession of these 15 traits is the sole reason the school drop out billionaires were able to become great business leaders, build successful businesses and ultimately became rich. Have you ever wondered why Facebook grew so fast? Or why Mark Zuckerberg became the youngest billionaire in the world? Or how Aliko Dangote emerged the richest black man in the world? Well, the answer can be found in the 15 traits highlighted below.

                11 Traits of Exceptionally Creative Business Leaders

 

1.            Integrity

                "The most important thing in your business relationships is your reputation for honesty. If you can genuinely and sincerely fake honesty, you will be a success. Never doubt it." – The Mafia Manager

The first trait possessed by exceptionally creative business leaders is integrity. The Oxford dictionary defines integrity as the quality of being honest and fair. It also defined integrity as the state of being whole or unified.

                "Real integrity is doing the right thing, knowing that nobody's going to know if you did it or not." – Oprah Winfrey

Of all the traits I will be sharing with you, integrity is the most important. But unfortunately, it's difficult to find entrepreneurs of integrity today and the past case of Enron, WorldCom and Arthur Anderson proves it. Integrity is supreme, it is the thin line between the over achievers and the average. Building a business on the foundation of integrity is a recipe for survival; take a look at businesses that have stood the test of time and you will see integrity at the base. General Electric is one of such businesses.

                "I shall argue that strong men conversely know when to compromise and that all principles can be compromised to serve a greater purpose." – Andrew Carnegie

The importance of integrity cannot be over emphasized. I have seen entrepreneurs raise billions of dollars in capital without stress because they have a reputation for honesty. Integrity can be your leverage if you hope to rise to leadership position in the future and it can also be your winning competitive strategy. Take a closer look at the life of exceptional business leaders and you will see they are an embodiment of integrity. Warren Buffett is a good example of an exceptional business leader with integrity.

                "It takes 20 years to build a reputation and only five Minutes to ruin it. If you think about that, you will do things differently." – Warren Buffett

So if you want to be an exceptional business leader, then you must be a person of integrity. You must have strong self imposed standards and stick to it because it takes discipline to manifest integrity. In fact, you must be yourself and be a man of your words. Be honest, be open; be disciplined.

 

2.            They are Excellent Strategists

                "The best thing to invest in your business is your time. To schedule, plan and use time effectively, know your turf and know your objectives. Assess the obstacles and opportunities, then devise your strategies." – The Mafia Manager

Entrepreneurship is a game and to emerge a winner in a game, you must be strategic in approach. The ability to strategize is what separates exceptional business leaders from the average one. Creative business leaders are referred to as masters of the game because they are excellent strategists. Bill Gates, Jack Welch and Alfred Sloan are the master strategists of the business world.

                "The most meaningful way to differentiate your company from your competitors, the best way to put distance between you and the crowd is to do an outstanding job with information. How you gather, manage and use information will determine whether you win or lose." – Bill Gates

To become an excellent strategist, you must develop your critical thinking skill; you must learn to think critically and strategically. Critical thinking is essential to becoming an excellent strategist and an exceptional business leader.

 

3.            Humility

                "To learn new things; you might need to unlearn old thoughts and tricks. Both processes can never be achieved without humility." – Ajaero Tony Martins

Show me a humble leader and I will show you an exceptional leader. What does humility have to do with being an exceptional business leader? My answer is everything. It takes humility to serve; it takes humility to learn and it takes humility to admit your mistakes.  So therefore, it takes humility to be an exceptional business leader. Nobody will willingly follow a proud and arrogant leader except they are forced to. Take a look at successful entrepreneurs such as Aliko Dangote, Mike Adenuga of Globacom Nigeria, Cosmos Maduka of Coscharis Group, Bill Gates and Li Ka Shing; these men are epitomes of humility.

                "One of the great things about being willing to try new things and make mistakes is that making mistakes keeps you humble. People who are humble learn more than people who are arrogant." – Rich Dad

 

4.            They are Proactive Learners

Highly exceptional business leaders are proactive learners. They know that no man has monopoly of knowledge; they know their cup must never be full so they are always willing to learn at every giving chance.

Sometime ago, Bill Gates scheduled a visit to meet Warren Buffett. According to Bill Gates schedule, the meeting was to last an hour but Bill Gates over stayed his time by nine hours. The meeting ended up lasting ten hours because Bill Gates and Warren Buffett discovered they both have something to learn from each other.

Being willing to sacrifice other appointments to learn something you don’t know is an attribute of an exceptional business leader in the making. To be a successful leader, you must be willing to expand your context at every giving opportunity; your cup must never be full.

                “A cup that is full is useless.” – Chinese proverb

 

5.            Decisiveness

                "You have to act and act now." – Larry Ellison

One important trait possessed by exceptional business leaders is the ability to arrive quickly at a decision. Most people avoid being responsible for their actions; they hate being the one to take the last decision.

As an entrepreneur and business leader, you are the pilot of your business and it’s up to you to determine the direction your business goes. No matter how smart your business team is, you hold the last decision. In retrospect, a single decision; just one decision can either make or break your business.

                "Screw it, let's do it." – Richard Branson

I believe being decisive is an exceptional trait possessed by creative business leaders. These set of business leaders face reality with guts and take their stand; they make decisions with the probable consequence in mind and they are prepared to face it.

                "Before making an important decision, get as much as you can of the best information available and review it carefully, analyze it and draw up worst case scenarios. Add up the plus or minus factors, discuss it with your team and do what your guts tell you to do." – The Mafia Manage

 

6.            They are Excellent Communicators

                "The most important thing in communication is hearing what isn't said." – Peter F. Drucker

Are you a communicator? Are you good at selling? If your answer to the two questions above is no, then you are never going to be an exceptional business leader. Take a close look at the highly exceptional business leaders and you will observe that they are excellent communicators and sales people. When they speak, people listen. Bill Gates, Steve Jobs are critical examples.

Show me a successful business leader and I will show you an excellent communicator. Learning and harnessing your communication skill is very vital to your bid of becoming an exceptional business leader.

 

7.            Exceptional Business Leaders are Team Players

                "Business and investing are team sports." – Rich Dad

Aliko Dangote; the richest black man in the world once attributed his success to his business team and if you should take a critical look at his statement, you will observe the truth in its entirety. No exceptional business leader stands alone; they surround themselves with men smarter than they are.

                "Successful businessmen share the ability to hire people smarter than they are." – Dillard Munford

They are also good networkers; they network with other exceptional business leaders. They know that birds of the same feather must flock together.

 

8.            They are Flexible

                "Willingness to change is a strength, even if it means plunging part of the company into total confusion for a while." – Jack Welch

Flexibility is another outstanding trait possessed by highly exceptional business leaders. They are always willing to try out new strategies and innovations even when there is massive risk involved. In retrospect, lack of flexibility made Henry Ford lose the leadership position of Ford Motor Company to a more flexible General Motors led by Alfred P. Sloan.

                “Defeat your enemy by flexibility and strategy.” – Sun Tzu

                "The competition to hire the best will increase in the years ahead. Companies that give extra flexibility to their employees will have the edge in this area." – Bill Gates

 

9.            Creative Business Leaders are Excellent Negotiators

                "If you cannot negotiate, you will end up getting good deals at exorbitant prices or worse still, you will get nothing." – Ajaero Tony Martins

I don’t think I need to stress much on this because the lesson is clear. If you cannot negotiate deals; forget about being an entrepreneur, talk more being a business leader.

 

10.          They are Excellent Motivators

"I am looking for a lot of men who have the infinite capacity to not know what can't be done." – Henry Ford

Exceptional business leaders are masters of motivation. They know how to use words to stir the spirit of their employees. They know how to motivate employees; they know how to bring out the best in their employees.

                "Outstanding leaders go out of their way to boost the self esteem of their personnel. If people believe in themselves, it's amazing what they can accomplish." – Sam Walton

 

11.          Highly Exceptional business leaders thrive on Criticism

Show me a business leader who hasn’t faced stiff criticism and I will show you a mediocre leader. All great business leaders I know have at one time or the other faced severe criticism and media attack. From Ingvar Kamprad, Bill Gates, John D. Rockefeller, Henry Ford, J. Paul Getty to Mark Zuckerberg and George Soros.

                “There will be times when you will have to be abrasive, even brutal to members of your staff. Don't worry that your people will say bad things about you because of this. They already have. But in general, try to be pleasant and accommodating. Try to please the greatest number who work for you that you can; antagonize the fewest. Blow smoke.” – The Mafia Manager

All these men have faced mass criticism but they were not deterred; they remain focus to there calling and got to the place of their dream. So if it’s your utmost desire to become a creative and exceptional business leader; then you must be prepared to face criticism. It’s not optional; it’s a must.

                "Dare to risk public Criticism" – Mary Kay Ash

As a final note, I want to state clearly that it’s within the reach of everyone to be an exceptional business leader but unfortunately, many won’t dare to reach for this height because they hate being responsible for their actions. So if becoming an exceptional business leader is your dream, then take these 11 traits to heart and go for that dream. Good luck.

Entrepreneurs vs. Managers: What’s the big difference?

It’s never my intention to make this article controversial but I could help express my own view after witnessing a heated debate and the subject of the argument was “entrepreneurs vs. managers; which is more important to the process of building a business. Though I am an entrepreneur to the core, it is never my intention to place a kind of supremacy of one over the other; I just want to highlight some fundamental differences between an entrepreneur and a manager and there relevance to the entrepreneurial process.

                "When entrepreneurs and investors come together to pool resources, they form a team. When employees and self employed specialists come together to network, they form a union." – Robert Kiyosaki

Sometimes, both of them are mistaken as being the same but they are not. Before I proceed, I want stress the point that entrepreneurs and managers are both needed for the growth of any business. One cannot do without the other. Without much ado, below are 12 differences between entrepreneurs and managers.

                Entrepreneurs vs. Managers: What’s the big difference?

 

1.            An entrepreneur will perceive an opportunity, assemble a team, locate resources for his new business idea, raise the needed capital and start the business while the manager comes in only after the foundation has been laid and the business established. What this mean in essence is; without entrepreneurs, the managers will have no business to manage.

2.            Entrepreneurs are more concerned with the launching and sustainability of a business in the face of uncertainty while managers are more concerned with the effective and efficient operation of an on going business.

3.            Managers are business management specialist. They are only focused on managing and growing a business. On the other hand, entrepreneurs are generalist. They need to know a little about everything. An entrepreneur must know a little about product development and design, business law, accounting, communication and public speaking, investing, leadership, business systems, finance and insurance, marketing and sales, raising capital and so on. An entrepreneur’s cup must never be full.

                “A cup that is full is useless.” – Chinese proverb

 

Entrepreneurs vs. Managers: What’s the big difference?

4.            Entrepreneurs are street smarts; they learn everything by trial and error, they learn from their own mistakes and the business mistakes of others. An entrepreneur starts with whatever is on ground and learns the hard way. That’s why most of the successful entrepreneurs of the world are school drop out billionaires. On the other hand, managers are school smarts. They are mainly degree holders, MBAs to be precise. Managers go to school to become professionals; entrepreneurs get their education from the streets.

                "Business and financial intelligence are not picked up within the four walls of school. You pick them up on the streets. In school, you are taught how to manage other people's money. On the streets, you are taught how to make money." – Ajaero Tony Martins

5.            Financial freedom is the utmost priority of entrepreneurs. Freedom to do what they want, freedom to live the kind of life they love and freedom to make a choice. To managers, security is the utmost priority. Security comes in the form of a steady paycheck, pension, gratuity, pay raises, job titles, promotions, bonuses and entitlements.

6.            An entrepreneur owns the business; a manager is simply an employee that works in the entrepreneur's business. In essence, a manager owns a job. A manager is paid to run the entrepreneur's business.

 

Entrepreneurs vs. Managers: What’s the big difference?

7.            The reward of entrepreneurs come in the form of capital gains, asset acquisition, cash flow, dividends and excessive cash while the managers reward come in form of salaries, pay offs, promotion, job title, bonus and incentives.

8.            Entrepreneurs thrive on risk and uncertainty. To entrepreneurs, risk and uncertainty are part of the game of entrepreneurship; risk is what makes the game exciting. Managers on the other hand are conservative and detest risk; they simply avoid it.

                "Without the element of uncertainty, the bringing off of even, the greatest business triumph would be dull, routine and eminently unsatisfying." – J. Paul Getty

                "You must take risks, both with your own money or with borrowed money. Risk taking is essential to business growth." – J. Paul Getty

9.            Entrepreneurs see mistakes as an avenue to learn something; they learn more from their business mistakes. Managers avoid mistakes because it will cost them their job. Besides; that is why they are being paid, to avoid mistakes. That is where the word "professionalism" comes in.

 

Entrepreneurs vs. Managers: What’s the big difference?

10.          When entrepreneurs come together to pool resources or network, they form a business team but when managers who are usually employees come together, they form a union.

11.          Entrepreneurs are primarily motivated by the feeling of building a big business, the cash flow and freedom while managers are motivated by the next paycheck, bonus, incentive, pay off, job title and promotion.

12.          Entrepreneurs are committed to the business from its launching till they achieve their goal. Managers on the other hand are committed till the next paycheck; delay or cut their paycheck and they are gone.

                "I'm not afraid of turning 80 and I have lots of things to do. I don't have time for dying." – Ingvar Kamprad

As a final note; the successful entrepreneurs and business leaders of the business world are Henry Ford, Andrew Carnegie, Henry Ross Perot, Bill Gates, Oprah Winfrey, Larry Ellison and Aliko Dangote; the richest black man in the world. On the other hand, the renowned corporate managers of the business world are Alfred P. Sloan, Jack Welch and Lee Iacocca.

I hope with these few points; you can now differentiate between an entrepreneur and a manager. So when next see those fast talking CEOs on television, you should know where to place them.