Indrianawati Usman and Edwyn C Putra (2016) From Entrepreneurs Leadership Components to Business Success, the Journey to Grow SME through Sustainable Value Creation. In: 2016 International Conference of Organizational Innovation (ICOI 2016), 26-28 Juli 2016, Beijing, China.

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Abstract

SME has a very important role to boost economic growth in Indonesia. The Indonesian government through the enterprises owned by government (BUMN) create a partnership program to support SME growth through capital assistance and also training regularly. However, the growth of SME is not optimal yet. One importance factor that determines the success of SME is the role of leadership, such as framing the challenge, absorbing uncertainty, building commitment, specifying limit and path clearing, such roles are importance factors in determining successful of the business and also support the sustainable value creation of business. This research using quantitative approach, include 119 SMEs owner as research sample. Data analyses by Partial Least Square (PLS). Result of the research, indicate that four components of entrepreneurial leadership, framing the challenge, absorbing uncertainty, building commitment and specifying limit, have a significantly influencing sustainable value creation, and one component call path clearing, indicate insignificant in affecting value creation. The result of this research realize that its very importance for the owner and also a manager of the SME have a good entrepreneurial leadership, specially framing the challenge, absorbing uncertainty, building commitment, specifying limit and path clearing components as a role to increase the success of the business through value creation as well.

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