ORGANIZATIONAL STRUCTURES, ENTREPRENEURSHIP, AND CREATIVITY: INSEPARABLY LINKED.

• Author: Dexter, Jeanne

ABSTRACT

Evidence states the pursuit of creative endeavors by employee's results in more entrepreneurial activities, higher quality products, and long-term success. A skilled facilitator can direct creativity. However, such efforts to enhance creativity are often stifled by organizational structures themselves. The best way to encourage entrepreneurial and creative endeavors on the job is to understand the importance of creativity to entrepreneurship, to remove obstacles that get in the way of creativity, and to know how to motivate the creative individual.

INTRODUCTION

New ideas, new products, or new approaches to traditional products or services generally characterize the competitive edge in business. An entrepreneurial spirit within an organization might generate notions far beyond what could be originated within more traditional cultures. Nevertheless, no culture can become "entrepreneurial" without a reverence for--and encouragement of-creative endeavors.

Creativity is a term with which most are familiar, yet it still remains a somewhat elusive concept in the business world. While there are techniques for detecting and enhancing creativity, there are few "rules" as to how to best manage the creative individual. Enhancing creativity is the responsibility of management, but it is also the responsibility of employees to use their creative insights and intuitions in order to better both the organization and the individual.

CREATIVITY DEFINED

There are as many definitions of creativity as there are authors writing them. One definition is "Creativity is any act, idea, or product that changes an existing domain, or that transforms an existing domain into a new one" (Csikszentmihalyi, 1996). Still another is "The ability to find new solutions to a problem or new modes of expression; the bringing into existence of something new to the individual" (Edwards, 1989). In terms of corporate creativity, the definition is even more elusive:

Most creative acts, as they now occur in companies, are not planned for and come from where they are least expected. It is impossible to predict what they will be, who will be involved in them, and when and how they will happen. This is the true nature of corporate creativity, and it is here that a company's creative potential really lies. For corporate creativity, the real power is in the unexpected. (Robinson, 1997) It is perhaps easier to determine what these diverse definitions have in common--a sense of change, the possibility of new idea generation, and serendipity.

Likewise, it is difficult to define what is meant by the frequently used phrase, "creative person." A creative person can be defined as one whose "thoughts or actions change a domain, or establish a new domain" (Csikszentmihalyi, 1996). Creative people tend to be confident in their strength-areas, focused on learning and application of that learning, and willing to live with the uncertainty that comes with creativity (Nahavandi, 1999). Perhaps Feldman expressed it best when defining creative productivity:

[Creative productivity] requires a unique juxtaposition of the person's mastery of the domain of knowledge in which creativity will be elicited, the person's ability to think beyond the current limits of that domain, and the perseverance and willingness/proclivity to take intellectual risks to produce something new and transformational within a community or context that is amenable to the transformational idea or product. If any of these elements is missing, then creative production will probably not happen. (Rogers, 1998) With this definition in mind, one can look at several authors who have researched what constitutes an entrepreneurial, creative person. While studies are by no means complete, they are starting points in being able to identify creative individuals in the work place. These cited characteristics include perseverance, risk-taking behavior, willingness to try new things, tolerance of ambiguity, intuitive decision-making, strong will or vision, joy, and compassion (Nahavandi, 1999; Miller, 1986; Ray, 1986).

Even with certain characteristics identified, it would still be a mistake to hire individuals based solely on one or more of these traits. In some cases, the environment slowly nourishes these traits, and true creativity in an individual might not show itself for years. Moreover, all these traits are descriptive of entrepreneurs. The distinction between creativity and entrepreneurship is indeed murky in highly successful organizations.

PURSUING ENTREPRENEURSHIP=PURSUING CREATIVITY

Today's organizations, whether they are non-profit organizations, huge conglomerates, or neighborhood churches, can and should pursue creativity in the continuing quest for quality and entrepreneurship. Some managers, however, still see "creativity" as a bonus area of the organization, something that can be done when everything else is finished or when a new advertisement is needed.

Some cite budgetary reasons as an excuse for sticking to the tried and true, ignoring the possibility that a creative approach to a problem or a product might actually be less expensive to the organization than the status quo. Nevertheless, all organizations should examine the following reasons to pursue "creativity" as a means to improve overall quality:

1. Superior long-term financial performance is associated with innovation. Stockholders, stakeholders, employees, directors all need to understand that it is only with innovation that a company can improve and grow. An organization that remains unchanging for very long will die.

2. Customers...