When you think about earning an MBA degree, you probably focus on the hard skills you expect to learn from the program. You want to finish your degree with a solid foundation in accounting and financial principles, business ethics, the principles of management, and skills related to your concentration, whether that be marketing, human resources, health care, or something else entirely.
However, while these hard skills are undoubtedly valuable, and will serve you well in your career, a growing number of MBA graduates who opt to pursue the entrepreneurial route after finishing school note that it isn’t only the hard skills of running a business that have contributed to their success. In fact, many point out that more than instruction in how to manage a balance sheet or develop a business plan, their MBA studies helped build “soft skills” that have taken their businesses from startup to success.
The Importance of Soft Skills in MBA Programs
In the past, MBA programs were focused primarily on building business acumen among their students. Students developed the technical skills necessary to run a business, but as multiple studies dating back as far as 1959 pointed out, putting those skills into practice was often a challenge. Because leaders have multiple responsibilities beyond running financial models or developing marketing projections, the modern MBA is focused on developing principles of leadership, change management, decision-making, communication, and more, so that leaders leave school equipped to handle all of their responsibilities, not just those that have a defined process. In other words, modern business communication is focused on helping students both develop great ideas and communicate them to others.
MBA programs are changing the curriculum in response to employers, who want to hire people who have more than just experience and technical expertise. Businesses want leaders, great communicators, and people who can look at the big picture and help the company both establish and meet goals. But these skills aren’t only beneficial to those who plan to work for others. Entrepreneurs need training in these skills as well.
Soft Skills for Entrepreneurs
So what are the most important skills that entrepreneurs can learn in business school?
Change management. Change is not always easy, but a strong leader is capable of embracing change and helping others navigate change as well. For entrepreneurs, change is inevitable; you need to constantly evolve and innovate or risk being left behind. As part of more and more MBA programs, you learn not only how to manage change and keep your business moving forward, but also how to identify when change is necessary.
Relationship building. A successful business is built upon relationships, and any entrepreneur will tell you that “who you know” is just as important as “what you know” when you are trying to launch a startup. It’s about building relationships with your team and establishing loyalty and commitment to each other, so you keep moving forward.
Leadership. Leadership is such a broad concept — so much so that entire degree programs are devoted to leadership alone — but it’s an important soft skill that entrepreneurs need. Leadership encompasses several aspects, from being able to communicate with your team, to being willing to do whatever it takes to get the job done to providing the right kinds of feedback, support, training, and development while also allowing your team a level of autonomy.
While there are some who argue that leadership is an intrinsic characteristic and cannot be taught, there is evidence that leaders can be developed. Regardless, for an entrepreneur to be successful, he or she must possess some leadership ability.
Communication. Finally, communication is a vital skill for entrepreneurs and a foundation of many business education programs. Communicating your ideas and the value of your business is key, but so is being able to communicate (and listen) to your team members.
Developing soft skills takes time, but they are important enough for business schools to incorporate elements into nearly every course in the typical program. While once considered too “touchy-feely” for a rigorous business education, soft skills have become sought after and an important part of any advanced business education program.
