hkb.blog

Why are we so conservative when it comes to running companies?

Why do we consistently give entrepreneurs outdated and conservative advice on running companies, despite knowing it doesn’t work?

We celebrate founders for their creativity in launching new products or services, yet we advice them to run their companies in boring outdated ways.

And then when innovative problemsolvers don't feel well in these culture we force them to relinquish leadership to so-called “professional managers” as their companies scale.

This pervasive belief — that entrepreneurs can start but can’t scale companies — isn’t just bad advice; it’s a cultural trap that stifles innovation.

It is a unconcious bias

This bias isn’t always obvious.

Sometimes it’s hidden in conversations with investors, mentors, and board members. Entrepreneurs get the message that they’re not professional enough to lead as the company grows. Many take it to heart and feel wrong for wanting to do things their way. The result? They burn out, forced to follow methods that go against their instincts.

But history proves that great companies are often driven by great founders. When boards replace visionary founders with generic managers, things often go downhill. Sure, some professional managers succeed, but founder-led companies are usually the ones that truly change industries.

Innovation isn’t just for products

We admire entrepreneurs for their creativity in developing products and services. So why do we expect them to manage their companies in the same rigid ways as traditional corporations? The 40-hour workweek, endless meetings, status reports, and slide presentations—these are relics from past generations. Why shouldn’t we encourage entrepreneurs to innovate company operations just as they innovate products?

In fact, many successful founders have done exactly that. They’ve not only disrupted industries with their products but also pioneered new ways of working and leading. These new management styles didn’t come from business schools or corporate boardrooms. They emerged organically from founders who dared to run their companies differently.

A win for employees as well

By forcing founders to conform to a singular idea of professional management, we end up with boring, homogenous companies. Worse, it limits the choices available to employees. When every company operates the same way, there’s little diversity in workplace culture. If we allowed more freedom in how companies are run, we’d see a richer landscape of cultures and working styles—a win for everyone.

Happier founders lead to happier employees, which ultimately benefits investors. Companies led by founders who are free to lead in their own style create more engaged teams and better long-term outcomes.

Let’s embrace founder-led innovation

The solution? Stop imposing outdated management norms on entrepreneurs. Instead, encourage them to be as innovative in running their companies as they are in building products. Allowing more diverse leadership styles will create a broader range of companies and cultures, giving employees real choices in how they work.

It’s time to change the narrative. Let’s trust entrepreneurs to innovate—not just in what they create, but in how they lead. The result? A more dynamic, diverse, and ultimately happier corporate world for everyone.