Journey of a Serial Entrepreneur

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How to get from where you are to where you want to be

Mismanagemnt of Competing Interests

“Wearing the same shirts doesn’t make you a team.” Buchholz and Roth

Reflecting through the past couple of the ventures I have been part of,  this was one of the things which struck me as a vital cause for a team’s eventual downfall. The issue of managing competing interests is prevalent in most teams and organizations. However in teams which include many ‘stars’, this issue gets amplified. The reason being that stars are always on the look out for new opportunities, they are approached by many individuals who want them to be a part of their ventures and they are also approached by headhunters who are scouting for senior positions. In short these individuals have many options available to them from the onset and pinning them down to work on one business is very difficult. Multiply this issue by the number of stars in the team and there is substantial work to be done by the leader.

Looking at the bigger picture, a misalignment of interests is something that start-up companies have to deal with very often. From the very beginning, founders want different things from the venture. When investors come in, they have a different set of objectives and the employees of the venture will have another set of objectives. The entrepreneur needs to manage all of these competing interests by making sure that channels of communication are kept open and as candid as possible. It is when these competing interests are kept under wraps that they tend to blow out of proportion when brought to the surface.

Therefore in conclusion we have to accept the fact, that every team will have to deal with it’s share of competing interests. In dealing with them it is important not to allow any member of the team to use those interests to undermine the positions of others or to leverage themselves unfairly. Also, mismanagement of competing interests will lead to a drastic reduction of the focus of the team member. This further amplifies the problem, and soon the team finds itself moving away from each other. With transparency the team will be able to get a better idea of how it should proceed and who should stay on the team and who should leave. This can only be possible when a culture of candor has been embedded into the team. This leads me to the next factor which is the lack of the candor.

 

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