Leadership for Creativity, Innovation and Entrepreneurship*
Prof. Colin Coulson-Thomas
People, organisations, communities and societies face challenges ranging from global warming and
climate change to the impacts of disruptive technologies and new business and operating models.
More than incremental adjustment may be required if we are to cope. For Schumpeter (1961), the
sustained profitability of commercial enterprises is a consequence of innovation, which can require
a combination of creativity and entrepreneurship. Creativity and innovation are also required in the
public and voluntary sectors if, despite resource constraints and the changing and growing demands
being placed upon them, they are to deliver acceptable services to the citizens who depend upon
them (Dimock, 1986, Coulson-Thomas, 2012b).
Professionalism and Accountability in Leadership
This article considers professionalism in contemporary leadership in relation to creativity,
innovation and entrepreneurship. It highlights certain factors, such as openness and diversity, that
have emerged as particularly significant in the author's engagements with directors and boards who
are seeking to transform the prospects of their organisations by challenging inherited assumptions
and looking beyond the incremental improvement of what already exists. George Strauss (1963)
associated expertise, autonomy, commitment and responsibility with professionalism. The degree of
autonomy or discretion leaders and others are given can depend upon expectations and trust.
Leaders should periodically reflect upon their own expertise and that of those for whom they are
responsible, the degree of freedom and autonomy they are prepared to give to others, their
commitment to innovation and radical change, and to whom they should feel responsible when
seeking and helping to bring them about. They should also consider whether their own approaches
to leadership, their values and the values they encourage and seek to instil in others are conducive
of creativity, innovation and entrepreneurship. For example, might a democratic style of leadership
be more appropriate than an autocratic one (Yuki, 1989)? Where people can be trusted to innovate
responsibly and excessive interference might be counter-productive, should greater freedom be
allowed (Coulson-Thomas, 1997a)? In some contexts leaders may need to define the nature of the
creativity required as well as understanding how best to stimulate and manage it (Banks et al, 2002).
In relation to accountability, a degree of cynicism and distrust has resulted in calls for business
leaders to look beyond shareholders and their own interests and pay more attention to the interests
of other stakeholders. In the UK, Prime Minister Theresa May (2016) has raised the questions of
whether certain interests and communities are being overlooked and whether governance
arrangements should be changed to include representation for employees and customers on
corporate boards. Increasingly, contemporary leaders may be expected or required to consider a
wider range of interests when deciding when, where and for whom to be creative, innovative and
entrepreneurial (Coulson-Thomas, 2017a).
A combination of developments require creative and innovative responses and much rethinking of
individual ambitions and corporate aims and purposes. For example, repetitive, structured and,
increasingly, knowledge-based activities and professional tasks may be automated and handled by
robots, drones, artificial intelligence and other digital solutions (Ford, 2015). Such challenges and
corporate reactions can have differing implications for various stakeholders. Many leaders may
need to consider and periodically reconsider the choices, priorities and trade-offs they make in
relation to both those who are impacted and those to whom they feel accountable or responsible.
Values for creativity, innovation and entrepreneurship
For many leaders and followers, being values-led and endeavouring to do the right thing in terms of
what is ethical and moral may seem highly desirable. However, they are not always easy to
implement, and the “right” course of action is not always clear cut (Trevino and Brown, 2004).
One's view of a situation and options can vary depending upon one's position, perspective and
preferences. Are there particular qualities such as openness and tolerance and their associated values
that are favourable to creativity, innovation and entrepreneurship and which leaders should
encourage, support and reward? How are they perceived by the various social and ethnic groups,
cultures, religions and nationalities within an organisation and among its stakeholders?
Archie Kleingartner (1967) identified some 30 goals or values which professionals seek in their
work and careers. He categorised these into those concerned with individual satisfaction and career
development; autonomy, economic security and enhancement; and occupational integrity and
identification. The supply of disinterested counsel and service to others appeared in Sidney and
Beatrice Webb's (1917) definition of a profession. One acid test of professionalism could be the
relative emphasis one places upon personal as opposed to client or organisational interests when the
going gets tough (Coulson-Thomas, 2015c). More recently, are leadership values and priorities
adequately reflecting areas of concern such as sustainability, inclusion, transparency and fairness?
Might a failure to respond lead to regulatory and/or other forms of intervention?
For Duxbury (2012) creativity is the generation of novel solutions to relevant problems, the first
stage in the process of innovation, and a stimulus to opportunity discovery and new venture
creation. Factors that might be conducive of creativity and innovation could include qualities such
as independence, intuition, wide interests and non-conformism, behaviours such as critical, creative,
imaginative and independent thinking, values such as openness to new ideas and tolerance of
diversity, and beliefs such as the importance of challenge, discovery, experiment, exploration and
trial. Certain factors are also conducive of innovation which is concerned with the successful
development, adoption and commercialisation of creative ideas, for example by turning them into a
tangible offering or an acceptable solution, a process that can require entrepreneurial skill.
Sir Alexander Carr-Saunders and Paul Wilson (1933) included adherence to an ethical code as a
characteristic of a member of a profession. Such a code is usually underpinned by a particular set of
values, Palchoudhury (2016) has expressed the view that “an ethical work environment is highly
motivating and bound to increase productivity” and a “highly valued and ethical workforce” is
likely to be “highly productive”. Can values and related factors also be linked to creativity, perhaps
because of the extra trust that results and which might give people the confidence to challenge, try
alternatives and take risks? Simply formulating ethical standards and compliance programmes may
not be enough (Megan, 2002). When supported by ethical commitment and understanding, strong
beliefs and supportive values, they may be more effective (Stevens, 2008; Tyler et al, 2008).
One needs to ensure that policies, rules, guidelines, standards and codes and compliance and other
processes and practices are compatible with creativity, innovation and entrepreneurship. Leaders
need to be alert to defensive responses and attempts to protect vested interests. As options, choices
and possibilities multiply and new business and economic models emerge, traditional and past
strengths can become sources of weakness and vulnerability. When and where rapid and creative
responses depend upon breadth of awareness, wider relationships with stakeholders and the ability
to make links and connections across specialisms, narrow skill sets and organisational divisions can
become outdated, even irrelevant. Flexibility, openness to links, patterns and relationships, and the
attributes of the alert and intelligent generalist may well become more significant (Mikkelsen and
Martin, 2016). In the search for creativity, will there be greater demand for polymaths and will the
creative and liberal arts experience a renaissance? Might a wider range of people and organisations
benefit from programmes such as those offered by the School for the Creative Arts to encourage and
develop creativity, innovation and entrepreneurship for leadership in the creative arts (CoulsonThomas, 2017b)?
Changing Leadership Perspectives and Priorities
Some organisational leaders enjoy the wielding of power and regard themselves as “in charge”.
They visualise themselves at the top of organisation charts, providing direction, issuing policies,
taking decisions and monitoring the extent to which those for whom they are responsible are “on
message” and falling in line. Their appointments may well have been based upon their past
achievements in a previous era when expectations and possibilities were more limited and a
different business model applied. Yet some of them still insist on calling the shots. Delegation may
be perceived as a dilution of power and related authority. Some justify holding onto the reins of
power by referring to their broader awareness and a more holistic perspective than others who are
further down the organisation and who have more limited responsibilities.
In reality, those in senior management roles with heavy workloads may be preoccupied with the
internal issues and challenges of a particular organisation. They may be further removed from
stakeholder interests than, for example, front-line staff who are closer to customers and users and
more involved in local communities. Stakeholder expectations can and do change (Oritzky et al,
2003). Leaders need to ensure they are aware of what is happening in the environment and context
in which an organisation operates, and that the people for whom they are responsible are aware of
shifting requirements and priorities and have sufficient understanding of an organisation's purpose,
situation and capabilities to inform their choices and decisions about what is important, when and
where to question, challenge and innovate and which opportunities to pursue for what ends.
How many directors remain current and vital? What proportion are beyond there “sell by” dates?
Remaining open to new ideas and possibilities in the present, and being willing to question and
challenge prevailing assumptions, explore alternatives and create new options, are important
qualities for both directors and entrepreneurs (Coulson-Thomas, 2001). For some, disruptive
technologies may be a challenge, but for others they represent an opportunity (Stuchtey et al, 2016).
Directors and senior managers are sometimes far removed from the coal face. They can lack
awareness of what is happening in emerging sectors, especially when those involved as customers
and users are from different communities and generations. Hence, they may not be aware of
requirements, possibilities and/or where innovation might most add value for key customers.
Directors whose role is to provide strategic direction are generally dependent upon others for
creativity and innovation. Even where a latent potential for creativity, innovation and
entrepreneurship may exist, they might not spontaneously arise.
In the late 1980s and early 1990s in certain companies such as Rank Xerox efforts were made to
emphasise the importance of people in front line sales and service roles by inverting organisational
pyramid diagrams (Coulson-Thomas, 1992). The board now appeared at the bottom. Directors
perceived themselves and various layers of management as supporters of front-line staff, the main
creators of value. Some chief executive officers (CEOs) renamed their roles as “chief coach” to
emphasise the importance of supporting others and helping them to improve their performance.
More recent investigations have shown that performance support can increase flexibility and speed
of response, allow senior management to let go, empower and trust others, and be conducive of
innovation and the dissemination of new ideas and offerings (Coulson-Thomas, 2012 a & b, 2013).
It can allow people more scope for innovation, while simultaneously delivering multiple benefits for
people, organisations and the environment. Collaboration and co-creation can also be supported.
Importance of Openness and Diversity
Few companies are democracies. In recent years, while directors might talk about involvement,
engagement, empowerment and participation, the focus of many boards has been upon driving
people behind aligned objectives and a common purpose, renewing the attack upon variety, and
standardising in order to reduce costs. Some boards have even tried to introduce a particular set of
values and a common corporate culture into organisations that employ and serve people from a
diversity of nationalities, religions, ethnic groups and political backgrounds and involved in very
different of roles and activities. How desirable is this when what people do is important, and when
many behaviours can be changed by performance support independently of corporate culture,
structure and legacy systems (Coulson-Thomas, 2014a & b, 2015a & b)?
In the meantime, while many companies are aiming to constrain diversity and variety, just as many
if not more of their customers are seeking a bespoke response to their personal requirements. They
want to be treated as individuals rather than as a category or statistic. Many markets also appear to
be fragmenting and, as mentioned already, possibilities are multiplying and a variety of new
business models have emerged. Sir Karl Popper (1945) warned of enemies of the open society. Are
those who are excessively concerned with standards, slaves to particular management approaches,
intolerant of diversity, and reluctant to let go and trust others, enemies of the open company?
Openness to new ideas and a constant willingness to explore opportunities to improve, including
when at the height of success, can be essential for staying at the cutting edge (Catmull and Wallace,
2014). Openness, curiosity and non-conformity are also associated with creativity and
entrepreneurship (Duxbury, 2012). While creative artists might view each commission as an
opportunity to build and enrich a portfolio, push against boundaries, and try something new and
distinctive, in many businesses creativity cannot be assumed. It has to be fostered or released and
then sustained. Directors should encourage people to be open about issues and problems, willing to
suggest solutions and to learn from mistakes and failures, and to build upon achievements.
If realities are to be confronted and issues addressed, openness may need to be accompanied by
candour. A key finding of the final report of the Mid Staffordshire NHS Foundation Trust Public
Inquiry chaired by Robert Francis (2013) was the importance of candour in relation to failures and
problems, so that issues can be brought into the open and addressed if improvements are to occur.
Concealment is an enemy of progress. At Pixar, significant effort was devoted to creating a culture
of candour that allowed open, honest and constructive questioning and comment, and encouraged a
search for better approaches (Catmull and Wallace, 2014).
Creativity may be a necessary requirement for innovation, but on its own it may not be sufficient to
guarantee business success. It usually needs to be accompanied by business acumen and a degree of
entrepreneurial nous and flair. At Pixar, attention was also devoted to practical business issues such
as brand building and rights, acknowledgements and other contractual matters to ensure the studio
derived the maximum of credit and benefit from its creativity and promising ideas (Levy, 2016).
The Requirement for Greater Diversity.
As the number of possibilities that deserve exploration increases, and as windows of opportunity
narrow, centralised evaluation and decision making in the time-scales available may no longer be
possible. Local and more varied responses may be required. Many contemporary organisations
would benefit from greater trust and more delegation. In many cases a more accommodating and
supportive form of board leadership that not only tolerates, but actively encourages diversity would
also be helpful. The quest for diversity could extend to the board itself in relation to the gender,
experiences and thinking of its members. For example, women remain under-represented on boards
worldwide, when their presence might have an influence on whether to grow organically or by
acquisition (Chen et al, 2016).
How many boards are actively concerned with the possible impact of technological developments
and increased automation upon their people, customers and business partners (Schwab, 2017)? Are
they helping them to adopt new and more individual ways of working? Are they welcoming and
accommodating the greater diversity that might result? Activities such as inspiring, reconciling
different viewpoints, enabling, listening, reflecting, thinking, learning and encouraging creativity,
innovation and entrepreneurship have become keys to success in uncertain contexts and shifting
situations. Calls may also need to be made for new choices and better options and approaches.
Greater diversity in ways of thinking may also be required to confront challenges and generate
novel solutions to certain problems Over two generations ago, C P Snow (1959, 1961) warned in an
influential Rede Lecture of the implications of what he perceived to be a growing division between
science and the humanities and the emergence of two distinct cultures. Within many companies
today, is there a growing division between those who think in a logical and structured way and
prefer order and standardisation, while others are more tolerant of uncertainty and favour variety
and diversity, look for links, patterns and relationships, and are willing to simultaneously explore in
different directions? To what extent might greater exposure to the creative arts stimulate creativity?
Encouraging Greater Diversity
At the Palo Alto Research Centre of Xerox Corporation in the 1980s it was found that breaking up
the subject, functional, professional and experience homogeneity of research groups by introducing
certain graduate degree majors from disciplines that approached problems differently increased
creativity. Throughout history significant breakthroughs in thinking have often been caused by
relative outsiders who have challenged complacent orthodoxy (Kuhn, 1962). Inspired and
successful leaders are sometimes those who are open to contributions from new sources and
directions. They look beyond the “normal suspects” and are alert to curious and restless explorers.
The nature of the creativity required can vary according to priorities, the situation and particular
roles and tasks. One may need a variety of work environments and support arrangements depending
upon the creative task and the people undertaking it. Creative people in the creative industries are
among those who can benefit from a diversity of spaces (Hoff and Oberg, 2014). Many
organisations and their work environments are characterised by a dull and monotonous uniformity.
It is little wonder that the origins of so many creative ideas lie outside of a normal place of work.
What about competing research teams, streaming, or applying different strategies, policies,
processes and practices according to requirements, circumstances and possibilities? Earlier we
considered values that might be conducive of creativity, innovation and entrepreneurship. Leaders
vary in the extent to which they are tolerant of a diversity of values. Some insist upon championing
particular corporate values, even though an organisation's stakeholders may represent a range of
cultures, nationalities and religions whose values may vary in the extent to which they are aligned
and compatible. Stakeholders can vary in terms of what they consider to be right, wrong,
appropriate or best in a particular situation (Trevino and Brown, 2004).
Assimilating Greater Diversity
People can also vary in terms of what they seek from work. Autonomy has already been mentioned.
A degree of freedom at work is appreciated and “interesting work” emerges along with “good pay”
as a dominant work goal in a study by Harpaz (1990). This suggests that a level of diversity, variety,
discretion and freedom that is conducive of creativity, innovation and entrepreneurship and which
also makes work more “interesting” might benefit both an organisation and its people. However,
pushing people too far, putting them under pressure and increasing levels of uncertainty may trigger
differing reactions. Excessive diversity sometimes leads to a lack of unity, insecurity and division.
Contending interests and competing solutions are perceived as healthy by those who believe the
encouragement of differences of opinion and internal debates are more conducive of innovation and
creativity than imposing single solutions. What is needed can mirror the requirements for how an
effective and well chaired board should operate. Invariably, balance is required. Some organisations
may take more time than others to adjust and to assimilate those who challenge traditional
approaches and who think and operate differently. A group that is too disparate may not be able to
hold together. Differences can sometimes become irreconcilable.
The effective director is sensitive to tipping points and to how far one can go. Choices may still
need to be made in terms of which innovations to back. Designs, models or prototypes can be
compared. Surveys can be undertaken and consumer panels consulted. Play-offs and competitions
can be staged, but views expressed may need to be challenged. Significant innovations have
sometimes been opposed by those who felt threatened by them, or who did not understood them or
their potential. Boards should ensure that evaluations of innovations are objective and balanced.
Many innovations do not sell themselves. Their advantages may not be immediately obvious to
those who are distanced from intended beneficiaries. On occasion, those championing innovations
may need to be tough and display qualities of single mindedness, tenacity and ruthlessness that
might seem a throw back to a previous era (Pfeffer, 2015). Some companies would benefit from
initiatives to stimulate curiosity, encourage persistence as well as flexibility, and develop enterprise
and entrepreneurial qualities across their organisations.
Understanding Factors that Hinder Creativity, Innovation and Entrepreneurship
In many companies, are policy makers and standards helping or hindering innovation-led growth?
Are we on the threshold of fast-and-furious technological development? If so, might existing laws,
policies, rules, codes and guidelines limit the extent to which we benefit from them? Scientific and
technological breakthroughs are both encouraging and promising in many fields and arenas.
However, despite the opportunities Fredrik Erixon and Bjorn Weigel (2016) suggest that in Western
economies innovation is being hampered by government regulations and corporate practices. Any
such obstacles and barriers to creativity and innovation need to be understood and addressed if
related and subsequent entrepreneurship, implementation and adoption is to occur.
Enforcing compliance with policies, rules, regulations, guidelines and practices that reflect past
views, priorities and understanding can stifle questioning and challenge and inhibit the search for
new and better alternatives. Even where people disagree with their purpose, relevance and value
they may still comply because of their fear of the consequences of non-compliance, which could
include formal and informal sanctions (Johnston et al, 2015, Sharma et al, 2015). Most policies,
rules, regulations, guidelines and practices are likely to have been originally introduced to serve a
beneficial purpose, such as protecting those affected or helping those impacted (Jennings, 2015).
Hence, leaders need to ensure that their rationale and purpose is understood and that people are
rewarded rather than punished for considering better ways of achieving their original objectives.
Many people's experience of education, life and employment inhibits or limits the exercise of their
innate creative potential. They are taught about what has been found by others. They are informed
about or simply told what is approved. They learn acceptable answers and are rarely encouraged to
seek their own solutions. As a result they lose confidence in their own ability to be creative and may
lack the courage to release their inner creativity (Kelley and Kelley, 2012, 2013). Directors and
senior managers who seek to maintain control can stifle creativity in the people for whom they are
responsible. They need to let go so that the latent potential of others can be released.
Some people search for external advice, for example a collection of hints and tips that might help
them to become more creative (Kleon, 2012). Others look within themselves for what is blocking
their development of new ideas, whether its the motivation to explore alternatives, the confidence to
try out new experiences, or the courage to advocate a new direction. For some people in certain
situations both may be required. While positive external support and other forces might encourage
them to go forward, negative internal factors may hold them back.
Establishing Creative Communities and Collaborations
Many of the most pressing challenges facing many companies and mankind are unlikely to be
addressed by a succession of modest enhancements of existing activities and/or “excellence” in the
performance of them. More imaginative and innovative responses are required. A key function of
leadership is to encourage and support the inquiry and creativity that will enable them to occur.
Leadership is often associated with activities such as judging and selecting, yet creative thinking
might be best enabled by standing back, inviting challenge and encouraging diversity and debate.
Tolerating risk, well intentioned failure and uncertainty, providing reassurance when imaginative
exploration fails to bear fruit, and avoiding a blame culture can also help (Klein & Knight, 2005).
The case for innovation and viewing it in a positive light may need to be put. A challenge for some
leaders is that people around them see innovation as a threat rather than an opportunity. As Kodak
found with digital technology, innovation itself can indeed be a threat to established businesses, but
as was demonstrated by Canon's response, it can also present a route to rejuvenation, remaining
relevant and competitive, and building market share (Christensen, 1997). Where the adoption of
certain disruptive technologies or a new business model is relentless the choice may be between
being a beneficiary of change or being one of its victims.
Many corporate contexts, communities, cultures and environments are not conducive of imagination
and creativity. There are rules and procedures to be complied with and manuals setting out how
things should be done. Those who are cocooned for most of their active hours within a particular
organisation and preoccupied with its internal issues and priorities may be unaware of ferment and
unrest outside. Going out and about and into the market and local communities to observe and
experience the lives of customers, explore alternatives and obtain insights from different situations
can open one's eyes to changing requirements and new possibilities. It can spark ideas.
Governance arrangements that encourage creative multi-actor collaborations can also enhance
innovation (Torfing and Triantafillou, 2016). As the nature of the creativity required changes, new
links and relationships may be required and new forms of co-creation and collaboration might be
needed. Warren Bennis (1968) and Robert Waterman (1990) have pointed out the advantages that
adhocracy has over bureaucracy. Flexible and responsive organisations that are evolving networks
of relationships can often grow organically. They can mutate and adapt more quickly than more
structured and bureaucratic forms of organisation that may be periodically subjected to costly reengineering, disruptive restructuring or complex transformation programmes (Coulson-Thomas,
1992). As markets change, they ride the waves while others play catch up.
Establishing Creative Working Environments
In the creative industries as well, the nature of the workplace context and environment can influence
creativity (Banks et al, 2002). More boards should be concerned about the extent to which work,
corporate and local environments are conducive of innovation and creativity. Physical layouts,
furnishings, facilities and technological support may have been designed and optimised for certain
ways of operating. Some environments are oppressive, dark and depressing, while others are lighter
and more uplifting and inspiring. One can consciously and specifically create an environment that
encourages flexibility, dynamism and change, for example working and learning spaces with
supporting technology that can be reconfigured for different purposes, whether open to encourage
interaction or providing the private space needed for quiet thought and reflection.
Leaders should question whether their organisation's working and learning environments and
related arrangements inspire and enable the innovative thinking and developments required to
address environmental issues, challenges and opportunities. Are risk management and other
practices viewed as a cost or as adding value? Are they seen as an inhibitor of innovation or as a
positive enabler of it? Are support arrangements, processes and tools conducive of responsible
innovation, while at the same time ensuring compliance (Coulson-Thomas, 2012a & b, 2013)?
People may need a degree of freedom if they are to challenge, question and be creative (Williams,
2016). Some might welcome the opportunity to experiment with new ways of operating and the
space to develop and test their ideas. The author has set out ten essential freedoms for removing
organisational constraints and liberating latent talent by allowing people to work, learn and
collaborate in ways, and at times and places, and with the support that best allow individuals and
teams to give of their best and be creative and productive (Coulson-Thomas, 1997). When
conditions are right for the people and relationships involved they can flourish and be fruitful.
Focusing Creativity and Innovation
Leaders should be open to the ideas of others. They should also discuss, consult and consider where
creativity and innovation should be encouraged and sought and what they should be applied to and
for what purpose. Discovery and invention may not be required if one can make better use of
existing know-how (Perrin, 2000). Some companies seem to loose sight of why people purchase
their products and services. The changes they introduce can sometimes be over-elaborate and
disruptive. They may overlook or ignore what customers and users seek to achieve. Rather than be
obsessed with internal corporate objectives, boards should encourage the people for whom they are
responsible to focus on the aspirations of external stakeholders. For example, they could focus upon
the jobs customers want done and what a company could do to help them (Christensen et al, 2016).
One needs to think about the purpose of creativity, and particularly its significance and value for
customers and prospects. Can one have too much creativity and over-design a product? Might
customers prefer fewer options from a simpler and more affordable product that is easier to use?
Galbraith (1958) suggested that some forms of creativity such as advertising that fuels “want
creation” can be wasteful and irresponsible. Expenditure that others might consider unnecessary
could represent the conspicuous consumption identified by Veblen (1925). Innovation that creates
less wasteful ways of personalisation and standing out might make such practices more sustainable.
On occasion, bigger challenges are easier to tackle than more modest ones. They may also require
breakthrough thinking and larger steps rather than slow or erratic adaptation or incremental
improvement. For established organisations the creative entrepreneurship required for sustained
success, continuing relevance and significant impact can involve imaginative thinking and
improvised responses to address issues as they evolve, as well as transformational thinking to
address some of the most pressing problems facing cities, communities and society generally.
Could the business community learn from the approaches and practices of creative artists? For
example, within some of the performing arts in the place of rigid rules and standard and prescribed
responses, there may be scope for interpretation. In the case of Jazz, improvisation and creativity
may be actively encouraged (Barrett, 1998). Both creativity and innovation involve doing as well as
thinking. They should be about achievement rather than just wishing (Roth, 2015). To have a dream
can be inspiring. To have a relevant offering at an affordable price can provide an income flow.
Creativity, Innovation and Entrepreneurship
Understanding the nature of creativity and its relationship to innovation, and the characteristics of
creative people and how they can be encouraged and managed is important for entrepreneurs as
well as for leaders (Duxbury, 2012). In both cases, one needs to be aware of the distinction between
individual and team creativity, the relationship between them and how each can be best supported
(Pirola-Merlo and Mann, 2004). Are people free to form ad hoc teams of complementary, relevant
and diverse talents as and when required by a particular problem, task or venture? Team creativity
can be more or less than the aggregation of individual creativity according to organisational factors
such as the helps and hinders that we have been considering.
When selecting leaders to run a highly structured corporate machine and enforce compliance, a
premium may be placed upon rationality and the ability to be cold, hard and ruthless. Where the
focus is short-term and upon the achievement of targets imposed from above, promising ideas may
be seen as a distraction and regarded as a potential threat to a limited budget. In more exploratory,
fluid and uncertain situations, where alternatives and a wider range of contributions to thinking and
creativity are required, and the perspective is longer-term, one may look for other qualities. People
may be encouraged if a leader or leaders care about them and their questions, ideas, suggestions and
proposals for new offerings, solutions or ventures. Showing that one cares may be both acceptable
and desirable (Hochschild, 1983).
Innovators and entrepreneurs often invest emotion and passion as well as intellect and energy in
what they are seeking to achieve. More supportive environments can be created if leaders know
how to harness and commercialise these feelings and this commitment (Hochschild, 1983). If
empathy is to be built, a display of interest, caring and/or concern needs to be more than just an act
(Grandey, 2003). Where people are cynical or reluctant to believe or trust, it has to be genuine
(Scott and Barnes, 2011). A leader who is intent on innovation and entrepreneurship should display
genuine and deep interest in, and support of, those who question, challenge and push the
boundaries, and listen to their concerns, suggestions and requirements (Coulson-Thomas, 2014c).
In relation to entrepreneurship, the freedom to fail is an important one. New product and venture
teams often need to react quickly to ideas, feedback and responses from customers and users and
address their concerns and suggestions. Leaders who adopt servant and more supportive approaches
should encourage people to learn from their mistakes, be flexible in their reactions and imaginative
in ways of recovering trust and overcoming obstacles and barriers (Winston and Patterson, 2006).
Iterative development, co-creation and collaboration with customers and users can enhance
collective adjustment and learning and speed up adaptation.
Co-creation and collaboration may be more likely to occur if the motivations, personalities and
traits of those involved are compatible. Those of leaders and followers may be different to a varying
degree (Burns and West, 1995).Where and as organisations become significantly more innovative
and entrepreneurial, leaders need to ensure that the characteristics of leaders, led and any external
parties involved are sufficiently aligned for the empathy required to sustain collaboration and
innovation to remain and be rekindled if necessary. Where both innovation and entrepreneurship are
involved, the commitment, passion and persistence to hold people together in the face of obstacles
and challenges may also be required (Cardon et al, 2005). A key issue for entrepreneurs and
entrepreneurial leaders is the extent to which they can transmit, transfer and share their passion for a
cause, challenge, offering or venture vis-a-vis the people of an organisation (Cardon, 2008).
Given the range of possible approaches to leadership, does what is needed depend upon the
requirements, situation, circumstances and context and the state of relationships between leaders
and followers (Maurik, 2001)? In democratic organisations, joint ventures or where co-creation,
collaboration and collective action is required or under way, might a form of joint or collective
leadership be required? Maybe, it is a case of horses for courses, with leadership within a creative
community or entrepreneurial venture being shared or rotating according to a project's stage of
development, collaboration opportunities, a changing focus and new priorities.
Creativity, Innovation and Employment
Peter Drucker (1985) suggested that over time human institutions can outlive their original purpose
as situations, circumstances, perspectives, requirements and priorities alter. They can imperceptibly
change from being a solution to a pressing problem to become a new obstacle to progress.
Sometimes creativity and innovation have to destroy the old in order to create space for the new, a
process Joseph Schumpeter (1975) called “creative destruction”. As already mentioned, innovation
can be disruptive. It can allow new entrants and more entrepreneurial businesses to replace long
established entities (Bower and Christensen, 1995, Christensen, 1997).
Developments in various technologies threaten to replace human workers with machine and/or
digital alternatives. If sufficient self-employment or new employment opportunities are not created,
disruptive technologies and new business models will reduce the availability of jobs (Ford, 2015).
The areas at risk include the structured and rule based activities undertaken by many professionals
(Susskind and Susskind, 2015). Such developments and their implications create opportunities,
including for social entrepreneurs, as well as challenges for many organisations (Livingston, 2016).
Sharing available jobs equitably could become an ethical as well as a practical issue for responsible
companies, but for many people less working time could mean more scope for creative, sporting
and other leisure activities ( Brynjolfsson and McAfee, 2014). Arun Sundararajan (2016) believes
“the sharing economy” could mean “the end of employment” and lead to new generations of microentrepreneurs. Creative graduates have been encouraged to become entrepreneurs and selfemployed, i.e. to make a job or living for themselves, rather than rely upon someone else to give
them a job (Barton, 2016). In developing countries, the informal economy can be an overlooked
source of innovation, and can give rise to developments which could be supported by collaborators
and backed by more established businesses (Kraemer-Mbula and Wunsch-Vincent, 2016).
Entrepreneurial Leaders
In conclusion, entrepreneurship represents an arena of opportunity for many aspiring leaders, either
within an existing organisation or in collaboration with compatible and complementary partners. It
can provide an opportunity for many people to reassess what is important to them and what they are
good at, and also enable them to change direction at different points in their lives (Coulson-Thomas,
1999). Rather than manage a business, keep it on track and ensure its survival, entrepreneurs often
challenge an existing order and create new choices (Coulson-Thomas, 2001). There are many
opportunities for individuals to offer services based upon data and information that is freely and
readily available, and to which they could add value (Coulson-Thomas, 2003).
New business models and the sharing and barter economies are reducing barriers to entry and
creating new opportunities for entrepreneurship. More flexible and responsive models of
organisation, composed of evolving networks of collaborations, are better suited to the requirements
of entrepreneurial portfolios of expanding and contracting ventures, as successive opportunities
come and ago (Coulson-Thomas, 1992). Their advantages include better ways of engaging, working
with and supporting individual entrepreneurs and entrepreneurial teams. In uncertain times,
traditional activities such as annual budgeting and planning exercises may need to give way to
intelligent steering, flexible adaptation and organic evolution. Bringing diverse but complementary
and compatible people and organisations together can boost creativity (Bennis and Ward, 1997). It
can spark ideas and enable collaborating parties to remain current, relevant, innovative and
competitive. The requirements for effective leadership and successful entrepreneurship are
converging. In certain contexts they may soon overlap to such an extent as to make them almost
indistinguishable.
Note
This article is based upon theme and convention papers prepared by Prof. Colin Coulson-Thomas
for the 2017 Dubai Global Convention on Excellence and Innovation and his plenary contribution
at the event. The convention was organised by the Institute of Directors, India and held from 18th to
20th April 2017, at Hotel The Grand Hyatt in Dubai, UAE. Details of forthcoming programmes at
the School for the Creative Arts to encourage and develop creativity, innovation and
entrepreneurship for leadership in the creative arts will be available on www.sca.edu.gh.
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Author
Prof. Colin Coulson-Thomas has helped entrepreneurs, companies and public and professional
bodies in over 40 countries to harness more of the potential of directors, boards, management teams
and corporate organisations in order to build a business, improve performance and simultaneously
deliver multiple objectives. In addition to board appointments, he leads the International
Governance Initiative of the Order of St Lazarus and is Director-General, IOD India, UK and
Europe Operations, Chancellor and a Professorial Fellow at the School for the Creative Arts,
Honorary Professor at the Aston India Centre for Applied Research, Distinguished Professor at the
Sri Sharada Institute of Indian Management-Research, a member of the advisory board of Bridges
of Sports and chair of the Audit and Risk Committee of United Learning. Colin has served on
public sector boards at national, regional and local level. Author of over 60 books and reports he has
held professorial appointments in Europe, North and South America, Africa, the Middle East, India
and China. He was educated at the London School of Economics, the London Business School,
UNISA and the Universities of Aston, Chicago and Southern California. A fellow of seven chartered
bodies he secured first place prizes in the final examinations of three professions. He can be
contacted at
[email protected]. His latest books and reports are available from
www.policypublications.com.
Abstract
The requirements for effective contemporary leadership are changing along with leadership
perspectives and priorities as more creative, innovative and entrepreneurial responses are required
in the face of multiple challenges, opportunities and possibilities. Openness, diversity and
collaboration and understanding the nature of the creativity, innovation and entrepreneurship
required, their interrelation, and the factors that help and/or hinder them have become more
important. Changing business models, challenges and opportunities are creating new arenas for both
leadership and entrepreneurship and their success requirements are converging to such an extent
that in certain contexts they may soon be almost indistinguishable.
*Publication
Published in the June 2017 issue of Effective Executive (Vol. XX, No. 2, June, pp 12-30) a
quarterly journal published by IUP Publications, a division of ICFAI. The citation is:
Coulson-Thomas, Colin (2017), Leadership for Creativity, Innovation and Entrepreneurship,
Effective Executive, Vol. XX No. 2, June, pp 12-30