Small Firms Outscore Big Firms on Resource Growth and Confidence
ANN ARBOR, Mich.---Small firms ranked highest in confidence and plan to grow their resources at a faster rate than larger companies, according to the September 2003 Leadership Pulse.
Conducted by the University of Michigan Business School and eePulse Inc., the Web-based monthly survey of business executives worldwide is designed to measure the effects of key resources and confidence levels on overall business growth and performance. More than 50,000 Fortune 1000 senior leaders, NASDAQ firm executives and women business owners have received the Web-based Pulse Survey since the study began in June.
This month's results indicate the following trends:
- In all data, except for net profit, smaller firms scored higher than larger firms and expect to increase the number of employees, customers and sales at a faster rate than larger firms.
- All firms, big and small, project increases in gross sales, number of customers,net profit, products and services, and number of employees. The highest growth rate is expected in customers and sales and lowest growth is expected in the number of employees.
- Expected improvement in economic climate, ability to execute vision, ability to change, and the leadership team.
- Firms that ranked leadership confidence and resource movement highest also had the highest performance ratings. Leadership confidence ranked as the top factor for improving firm performance, indicating that simply having more resources is not as important as confidence when it comes to firm performance, according to eePulse CEO Theresa Welbourne.
"Confidence will dwindle in the absence of resources, therefore, the dependency between the two over time is important to understand," says Welbourne, an adjunct associate professor at the Michigan Business School's Zell-Lurie Institute for Entrepreneurial Studies. "If your employees are more confident in your ability to obtain resources to grow and more confident in your ability to lead, execute your vision, and more, then employees will give the 'extra' amount of effort needed to make the dream a reality."
For more information or to participate in the Leadership Pulse study, contact Welbourne or the research team at eePulse at (734) 996-2321 or visit www.umbs.leadership.eepulse.com.
For more information, contact:
Phone: 734.936.1015 or 734.647.1847