Solving the People Puzzle in Entrepreneurship: Insights from ABH ScaleUp

On Wednesday, June 26th, 2024, Africa's Business Heroes (ABH) hosted an impactful session of its ScaleUp series, centered around the theme: "Solving the People Puzzle in Entrepreneurship." The event, hosted by Yussouf Ntwali, Co-Founder & CEO of BAG Innovation, provided a platform for some of Africa’s most successful entrepreneurs, and past ABH Heroes, to share their wisdom and experience on managing people dynamics within growing businesses. Here are the key insights and takeaways from this enriching session.

Understanding Employee Evolution

As Dorcas Rutunda, Head of Expansion at ITM Africa, aptly put it, "Companies must recognize and adapt to the personal growth of their employees." She emphasized that as individuals progress through different life stages, their needs and motivations evolve. Failing to acknowledge this can lead to disengagement and attrition, regardless of initial enthusiasm.

Communication: The Cornerstone of Engagement

Rutunda also stressed the importance of consistent communication of the company's vision. "Jobs can feel mundane unless employees understand how their roles contribute to the bigger picture," she noted. Clear, ongoing communication builds a sense of purpose and belonging, crucial for employee retention and satisfaction.

Objective Performance Measurement

Christelle Kwizera, Managing Director of Water Access Rwanda, underscored the need for objective performance measurement. "Objectively measuring outputs ensures accountability and fairness," she advised. She also emphasized the importance of proactive feedback, stating, "Employees should never be the last to know about their performance."

Navigating Co-Founder Dynamics

Thomas Njeru, Co-founder & CEO of Pula Advisors, shared invaluable insights on co-founder relationships. "At some point earlier in the business, we were co-CEOs. In the early stages, that probably worked. But as the business grew, it was no longer feasible. We needed a proper structure and one captain, someone who could be held accountable." Njeru stressed the importance of a trusting personal relationship between co-founders. "A trusting, personal relationship is essential," he emphasized, "as it forms the bedrock for navigating the challenges of growth and decision-making."

Establishing Clear Roles and Boundaries

Cynthia Umutoniwabo, Founder & CEO of Loopa, highlighted the importance of clear agreements and roles within founding teams. "Our founders' agreement was like a marriage contract," she explained, "establishing roles and responsibilities while allowing for flexibility as the business evolves."

She also advised against micromanagement in the context of team members who deliver results but lack integrity. "No matter if you’re an A player, once you start relying on constant oversight, it turns into another job. Micromanaging means they’re not fulfilling their role as they should. It's better to train someone else to become an A player than to micromanage."

Conclusion

The ABH ScaleUp event provided profound insights into the multifaceted challenge of managing people in entrepreneurship. From embracing employee evolution and maintaining clear communication, to facilitating a respectful culture and establishing strong co-founder relationships, the lessons shared are invaluable for any entrepreneur. As we continue to build and grow our ventures, these insights remind us that solving the people puzzle is not just about strategic planning but also about genuine human connection, empathy, and continuous adaptation.

Subscribe to the ABH AI Newsletter on LinkedIn for updates on ABH events, the latest insights, reflections and business tips from the ABH Community: ABH Newsletter