Be a Vamana in leading Small Businesses
- Ramesh Doraiswami
- Aug 10, 2025
- 3 min read
Why is leadership development in small businesses important and different?
“Every business is a story of risk, resilience, and the belief that something great can grow from something small”- Unknown author
During this millennium, small and medium-sized businesses are increasingly attracting leadership talent from large organisations. Notable factors contributing to this are:
New, niche opportunities arising from technology, product innovation & consumer preferences are being successfully nurtured in small businesses/start-ups with Venture Capital funding
Gen Z & Millennials are finding more purpose and value in small business careers
Lack of growth opportunities in large organisations is leading to talent migration towards small businesses.
The context, culture, and rhythm of small businesses are different from those of large organisations, from which most management practices and leadership behaviours have emerged. It is also equally important for leaders in large organisations to understand how success in small businesses looks, in order to seed small businesses in their organisations or to compete with them.
This article summarises my learnings from leading 2 such small and medium enterprises.
Realities of small businesses:
Constrained on resources (funds, people, and infrastructure) not just in quantity but also in quality.
Thrive on chaos and pride in operational detail
There is more followership than leadership; hence, little challenge or pushback
Strategy without results is frowned upon.
The leader is the last person standing. What matters to the Board/founders is only the results and a limited time for explanations!
While many of these realities need to change, leaders should understand these and calibrate change through building confidence, influence, and credibility to succeed here.
Approach to leadership transition or change in small businesses:
Timeline | Key Agenda | Actions |
First 90 days | Study the organisation & build confidence among stakeholders |
|
90-180 days | Alignment & Communication | -Align Board/Promoters on proposed changes
-Socialise the plan to relevant stakeholders
|
>180 days | Execute & Govern |
|
Leadership traits for success – Be a Vamana!
Borrowing from Indian mythology, I liken the leader of small businesses to Lord Vishnu assuming the “Vamana” avatar of a Brahmin dwarf to punish the demon king Bali. Bali readily agreed to donate 3 paces of land as a gift to the Brahmin. Just like the Lord assumed gigantic proportions to take away the entire earth and sky with just two steps to reform the proud king, leaders transitioning to small businesses should “stoop to conquer” the hearts and minds of people in the business. Some traits to be successful as a small business leader are:
1. Make your commitment to the organisation visible through your actions. For example, a serious crisis rocked my organisation within a few months of my joining as CEO. My direct assurance of continuing in the organisation and actions reposing confidence in tiding over the crisis, got people to rally around me.
2. Be comfortable with dealing at different planes of leadership concurrently. Multiple aspects of leadership -strategic, tactical, or operational are demonstrated in the leader’s actions /decisions in the routine. The message goes down better given the perspective and result-oriented approach of stakeholders.
3. Structure solutions for best results and impact, eg, onboard the right talent, redesign and automate processes, establish a governance framework. While people love chaos, some structures are “quick wins” to have a visible impact.
4. Personalise your engagement with stakeholders
Am happy to hear your perspective on this as well!
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Valuable insights!