LSC UoS - Venture Creation: Contemporary Management Issues Essay

This essay explores the novel approaches required for venture creation within the context of contemporary management issues. It discusses the role of artefacts such as business models, pitches, and prototypes in supporting venture growth, distinguishing them into abstract, material, and narrative categories. The essay contrasts traditional entrepreneurial traits with the importance of understanding these artefacts for effective business management and economic success. It highlights the significance of causation and effectuation in entrepreneurial decision-making, particularly in the face of dynamic global business environments, technological advancements, and market uncertainties. The impact of macro-environmental factors, including political, environmental, technological, and legal issues, on business functions is examined, emphasizing the need for flexibility and adaptability in strategic decision-making. The essay also addresses the challenges faced by HR managers in balancing employee relations, providing training and development, and ensuring data security, ultimately stressing the importance of a comprehensive business plan and effective communication for organizational success.

Contemporary
Management Issues in
the 21st Century

Table of Contents
INTRODUCTION ..........................................................................................................................3
MAIN BODY...................................................................................................................................3
TASK ..............................................................................................................................................3
Explanation for artefacts requires a novel approach to the concept of venture creation drawing
on the understanding of business management issues................................................................3
CONCLUSION ...............................................................................................................................6
REFERNCES:..................................................................................................................................7
Books and Journals:....................................................................................................................7

INTRODUCTION
This report aims to discuses about the statement which says that artefacts are assumed to
require novel approach for the entrepreneurship management and economics. This shows that the
entrepreneurship rely upon two aspects which are causation and effectuation. These aspects
shows that the business ventures runs on a predefined goals and carry out different functions and
activities to achieve these goals (Popkova, and Gulzat, 2019). Whereas, the effectuation process
refers to the approach for taking decisions in order to carry out necessary actions. Therefore, this
report is going to present the argument in relation to artefacts in order to understand business
management issues is the contemporary world.
MAIN BODY
TASK
Explanation for artefacts requires a novel approach to the concept of venture creation drawing on
the understanding of business management issues
As per the various novelist and scholars, the business environment is surrounded with
many artefacts in terms of business models, pitches and prototypes. These artefacts are required
as the support system for the ventures which leads to its growth and development. These
artefacts are distinguished among broad categories which are abstract, material and narrative. In
the traditional ways, the entrepreneurial creation was mainly depended on the entrepreneurial
traits and their efforts which tend to show the result of success. Therefore, it shows that,
understanding these artefacts are helpful for the economic and management of the business.
These business plans, pitches and models likely to impact on the business functioning at practical
situations. It is necessary to understand the entrepreneurship in a better way. Many theorist have
created novel methods for the entrepreneurial journey which will be effective for analysing many
facts and data for the business activities (Chang, and Andreoni, 2020). In context to the dynamic
global business environment, the presented theories, models and business plans are becomes vital
for every business in order to get rid of failures. As the environment is becoming complexing
day by day and uncertainties are threatening the environment which might impact on the venture
launch, starting activities and taking decisions. The global environment is now based on new
trends, technology and innovation. Therefore, the decision are need to be taken on behalf of it.
There are various models like stage process are yet discovered for fulfil the needs of the various

business. It helps in giving solutions regarding global business aspects which helps in garbing
opportunities and seeks development. Entrepreneurship are full of uncertainties which
demonstrate markets, people and trends. All these factors simultaneously impact on the ideas and
decision of an entrepreneur. For example, an entrepreneur is looking to make innovation in food
products, they need to think about both its advantages and disadvantages, resource generation,
staff hiring and training. Hence, causation and effectuation are the two vital terms which have
gained much significance in developing entrepreneurship. In the modern working time of
business, there is requirement of flexibility and limited working approach which does not effect
on the employee retention and manpower of the company. The effect of causation derived that
the goal must be pre-determined. In the business with a lot of complexities require aims and
gaols which will create a systematic path to go (Anagün, 2018). As nowadays entrepreneurs
could not take decision must frequently and make experiments in order to analyse the business
effectively. The modern ways of working as not constant and simpler as compared to traditional
ways. It leads to derive every decisions and gaols needs to be pre set and determined so that, rest
all the activities will move in the prescribed manner. It creates minimum changes of failure and
business are running profitably. Whereas, the approach of effectuation put focus on decision
which which will create insight of doing the set goals. These approaches are necessary in the
global business context where businesses are getting affected with political, environment,
technological and legal issues. These macro environment issues put emphasise on the decision of
business functions. As the impact on taxes, trade policy and environment concerns become threat
for the business to get positive impact on the society. Technological factors are the most
important one for the global business environment. Everything is becomes digitally integrated
which are crucial for the economy and enhance growth into society. Many organisation like
Amazon, Apple have become a true example of high technology and innovation which comes
under largest companies to grow into market. In the changing trends and market, the effectuation
approach does not always works in the business management, there are some decisions which
might do not suit with the current market opportunities. So that, the mangers needs to be
adjustable and ready to accept changes and uncertainties to change the decision as per the
situations (Wrahatnolo, 2018). There comes a situation like Covid-19 when business needs to
change their strategies and face many complexities to enhance their profits and provides welfare
of the economy. It has ascertained that the approaches of causation and effectuation are critically

applies on the current business situation. It is vital for the company to enhance the need of the
society through contributing in the businesses. There are various business bodies which get
support through the government and agency as they have clear aims which gets regulate into the
market. There is requirement of the effectuation model in which the entrepreneurs gets into
insight about what decision will be beneficial in future and what needs to be eliminate quickly. It
is necessary that decisions must promote the business objectives and managers will easily adhere
to market changes (Meyer, and Norman, 2020). The effectuation cause many negative impact
also. The contemporary business issues trouble the management functioning of the business. It
will ascertained that, there are many key essential areas that needs to be manage in the function.
The employees, productivity and profitability are the key function that every managers needs to
look at. An efficient organisation is the success for the business enterprise. An organisation is
run on some rules and regulations. The defining of duty and fixing responsibility of all
employees in the organisation is very essential. Before starting a business an owner have a good
business plan which consist organisational goals and objectives that a businessmen want to
achieve. Organisational goals are the objectives that organisation are seeking to achieve. These
goals are setup to attempt desire state of profit. Some goals are predetermine, which is based on
past experiences. The next step is management, manager of the business organisation help to run
the business entity effectively and efficiently. Manager can lead member to success. Now days
HR manager face various type of challenges, which can be remove with the help of pre
determine goals. HR manager perform the function of recruitment and selection, finding a
suitable candidate for the organisation is a basic problem faced by the human resource manager.
To remove this situation of problem company need to make a proper recruitment plan. After
recruiting staff proper training and development programmes should be provide. Apart from this,
providing wages and salary is not sufficient. The human resource manager should maintain
healthy relation among the employees (Chalkiadaki, 2018). The human resource manager has a
responsibility to balance the relationship between employees and employers. When there is a
absence of communication between employees that gives a negative impact on profitability of
the organisation. Human resource manager face the challenge of providing training, development
and compensation. These programmes help the employees to achieve the targeted goals. Training
programmes develop the skills and knowledge of employees. Compensation in form of salary,
bonus, allowances, and incentives. Challenges faced by an HR manager include overseen

personnel information and securing the privacy of confidential data. Providing training to
employees who to secure data is a difficult task of human resource manager. To overcome from
all of these challenges company need a proper business plan, which consist all the information
regarding the activities that happen in an organisation (Russo, and Scarnato, 2018). The
causation and effectuation need to contribute for both short term and long term business
strategies. Once goals are set manager's duty is to communicate with them employees. Manager
is the crucial part of a business entity and they play a major contribution in the profitability of an
organisation. Causation and effectuation define the issues that faced by an business organisation
in their starting period. It is require to established goals for business organisation.
CONCLUSION
From the above it has been evaluate that the business organisation is based on two
aspects which are causation and effectuation. Before starting a business owner need to develop a
good business plan. The owner responsibility is to make proper strategies for the business
operations. A causation approach is used by an business organisation to design the goals and
determine the right path to achieve them. Apart from this effectuation means, entrepreneurs
focus on the means at hand, and try materialize them into one or more goals. These two
approaches are play a vital role in success of business. Without applying these approaches a
business can't function properly. While applying these approaches an owner define the
challenges that came out. They present the issues that arises within an organisation.

REFERNCES:
Books and Journals:
Anagün, S. S., 2018. Teachers' Perceptions about the Relationship between 21st Century Skills
and Managing Constructivist Learning Environments. International Journal of
Instruction, 11(4), pp.825-840.
Chalkiadaki, A., 2018. A systematic literature review of 21st century skills and competencies in
primary education. International Journal of Instruction, 11(3), pp.1-16.
Chang, H. J. and Andreoni, A., 2020. Industrial policy in the 21st century. Development and
Change, 51(2), pp.324-351.
Malik, R. S., 2018. Educational challenges in 21st century and sustainable development. Journal
of Sustainable Development Education and Research, 2(1), pp.9-20.
Meyer, M.W. and Norman, D., 2020. Changing design education for the 21st century. She Ji:
The Journal of Design, Economics, and Innovation, 6(1), pp.13-49.
Popkova, E. G. and Gulzat, K., 2019, May. Technological revolution in the 21 st century: digital
society vs. artificial intelligence. In Institute of Scientific Communications
Conference (pp. 339-345). Springer, Cham.
Russo, A. P. and Scarnato, A., 2018. “Barcelona in common”: A new urban regime for the 21st-
century tourist city?. Journal of Urban Affairs, 40(4), pp.455-474.
Wrahatnolo, T., 2018. 21st centuries skill implication on educational system. In IOP Conference
Series: Materials Science and Engineering (Vol. 296, No. 1, p. 012036). IOP
Publishing.