From “manager” to “strategist”: An examination of the evolving role of persistent high-growth entrepreneurs

Abstract

Purpose

Few high-growth firms (HGFs) are able to maintain high-growth over time. The purpose of this paper is to find out why only a small number of firms become persistent HGFs, explicitly focusing on the role of the founding entrepreneur in this process.

Design/methodology/approach

Initially, 28 semi-structured interviews were performed with high-growth entrepreneurs to discover why so few founders could become persistent high-growth entrepreneurs. In a second phase, four case studies were conducted to uncover the factors that facilitate a swift evolution from the “managerial” role to the “strategic” role.

Findings

High-growth entrepreneurs, who quickly make a transition from a managerial role into a strategic role are more likely to keep their firm on its high-growth trajectory. This transition is made possible by: the early development of strategic skills; the presence of a high quality human capital base; and an organizational structure with characteristics from Mintzberg’s “machine bureaucracy.”

Practical implications

The results are vital for entrepreneurs of “one-shot” HGFs with the ambition to make their firm a “persistent” HGF. If high-growth rates are to be sustained, the three factors that emerged from the authors’ analysis should foster the delegation of managerial tasks, resulting in an easier transition toward a “strategic role.”

Originality/value

Insights are valuable as both founders and governmental institutions can benefit from knowing which factors contribute to a successful phase transition from “manager” to “strategist.”

Citation

Dillen, Y., Laveren, E., Martens, R., De Vocht, S. and Van Imschoot, E. (2019), "From “manager” to “strategist”: An examination of the evolving role of persistent high-growth entrepreneurs", International Journal of Entrepreneurial Behavior & Research, Vol. 25 No. 1, pp. 2-28. https://doi.org/10.1108/IJEBR-01-2017-0010