3 Ways that Startup CEOs Need to be “Visionary”
I have been making the case that the kind of CEO a startup really needs is a Chief Entrepreneurial Officer.
And I’ve argued that “to be an entrepreneurial CEO, you don’t have to be a visionary, but you must be carrying out a vision. It doesn’t matter whether the vision is yours, your predecessor’s, or anyone else’s -- you need to be able to fully appreciate it in order to effectively execute on it.”
I’d like to go further. An entrepreneurial CEO doesn’t just need to have vision in the sense of “a mental image of what the future will or could be like.” A startup CEO also needs exceptional vision in the sense of seeing and understanding the past and present.
They must have X-ray vision -- the ability to see inside things. They must see clearly what is real and what is possible if they are to conceive and carry out smart strategies.
Chief Entrepreneurial Officers need X-ray vision about product, profitability, and people.
Product
I’ve written about “common mistakes developing tech products.” And I have identified fallacies about Product-Market Fit.
For X-ray vision, I’ve developed a methodology for mapping the most effective course of action for entrepreneurs, and it works exceedingly well to achieve Product-Market Fit. It’s called Market Advantage Proof (M.A.P.). It enables entrepreneurs to identify, test, and improve the best pathways to develop new products and achieve profitability.
Profit
I’ve also written about “5 myths that divert startup CEOs from the path to profitability.”
One mistake was to be too fundraising-focused and investor-centric, rather than profit-centric. That’s not to disparage the importance of fundraising when it’s needed. Indeed, I have offered advice on how to avoid costly mistakes when raising funds.
But a CEO needs X-ray vision to clearly see into a startup’s profitability. I contend that every startup needs a Unique Money Model – a financial strategy based on its realistic needs and aspirations, not the conventional planning of an already-established business. To that end, I’ve suggested 3 principles for a startup to create a Unique Money Model.
People
I’ve written about costly mistakes in building teams. And I’ve noted that “team building” can be a misnomer since “it’s rare that a startup has an organization chart with blank boxes that just need to be filled with qualified specialists and voila! you’ve built a team.”
An entrepreneurial CEO should have X-ray vision into a startup’s four constituencies: team, investors, allies, and customers...understanding and appreciating their individual interests, motivations, and yes, their own visions for what the venture should achieve.
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