Feature/OPED
Building Leadership Capacity in Small Businesses
By Timi Olubiyi, PhD
Many people are unaware that the small business sector in Nigeria can have a significant impact on both the environment and the economy. The sector could also provide the country with rapid industrialization and non-oil industrial export gains. All that is required is more structure, framework, support and participation from government, entrepreneurs, politicians, policymakers, and academics.
Nevertheless, what is painful is that, despite this potential and opportunities, the country’s small businesses are failing at an alarming rate. Clearly, the COVID-19 pandemic consequences, fuel cost, inflation and incessant insecurity have continued to harm these businesses.
From my experience working with Small and Medium-sized Enterprises (SMEs), small business owners are multifunctional, and while they are often constrained by day-to-day operational demands, it is important to encourage them with ways to help their businesses to be more sustainable.
My focus is to continue to target the sector with knowledge of best practices in my own space. Therefore, this piece is primarily to address leadership deficiencies and stress that leadership is critical and can be a great indicator of an organization’s success or failure in the country.
No matter how small or micro a business is, the owner-manager or operator adopts a certain leadership quality to lead or govern the business. This is what is referred to as the leadership style that the business leader has, even though effective leadership is lacking in many of these businesses.
As simple as it sounds, leadership style or qualities impact strongly on decision-making and the business outcomes in any scenario, it equally impacts employees significantly.
To mention, it is vital to note that true leadership in any business or organization is informed via the combination and use of power and authority. While power is the capacity to influence people to accomplish goals, authority refers to the legal rights that follow a person who holds a certain position or office. What give issues in small businesses majorly are the unethical behaviours around power and its dispensation.
Most small business operators and entrepreneurs exhibit absolute control of overall business, and workplace decisions and enjoy imposing commands on staff and the management if any.
More so, in the majority of the businesses particularly in Lagos State, owner-managers, operators and entrepreneurs continue to instil fear in their staff by threatening them with consequences such as being fired, ignored or withholding salary, or even threat of assaults and so on.
Many workers in these small businesses, although may not acknowledge it openly, they carry some measure of worry with them into the workplace due to this issue. Which usually weighs them down and also affects their morale, motivation and performance in the short to long term in the business.
When operators/owner-managers lead or run a business they apply the combination of their personality, life experiences, communication style, decision-making preference, level of emotional intelligence, education and overall perspective to the way the business is run. These attributes are typically what inform the leadership style(power) available in the business, whether it is nano, micro, small, or medium-sized. So, the question is does leadership style affect small businesses? The answer is yes, leadership style does. Staff are never involved in the decision-making process; they are expected to follow the leader’s decisions, choices and orders because the leaders have a huge amount of influence over them. These business leaders bring all the decisions and commands to the subordinates; whose responsibilities are mainly to align.
So, it is fair to conclude based on context observations and obvious perception that small businesses around are typically run-on autocratic leadership style, characterized by the authoritative and forceful work environment, and imposing commands in the daily business operations.
Note that with a large enterprise, there are several hierarchical levels, so the conduct of a CEO does not immediately affect the employees, however in small businesses the owner has a direct influence on their staff and decisions are only goal-oriented.
Other forms of leadership styles are available but are underutilized for a variety of reasons, the most imperative is the environment, characterized by labour issues, where individuals must be pushed to do the correct thing. While this is a valid reason, largely most of these businesses are unaware of the impact an autocratic leadership style can have on business performance and staff morale.
Good relationships with the employees have been noted as one of the key factors for business success. Consequently, being flexible by displaying and combining a variety of leadership styles within a business by leaders can also improve the performance of small businesses, instead of sticking to the predominant autocratic leadership style that is widespread. For instance, different leadership styles can be adapted for different scenarios in the business for outcomes and deliverables.
In some cases, leaders can adopt the democratic leadership style, also sometimes known as participative, which builds on consensus through the participation of staff and team members to achieve a goal or make a decision within the business. It is moderately the opposite of the autocratic leadership style and useful in a structured business entity where staff are educated and rational. Employees feel motivated to participate in decision-making and that can enhance their performance.
Rather than extracting inputs from staff from a participative leadership style and then considering it when making a decision, a laissez-faire leader willingly submits to team members in making decisions. This form of leadership style is the extreme opposite of autocratic leadership and is equally useful. A laissez-faire leadership style may be a very fruitful and effective method to manage staff or teams made of highly talented, highly specialized individuals within the business. It has been captured that initiative and creativity behaviours are achieved by staff with this form of leadership style in businesses be it small medium or even large firms. Because with sufficient job experience, a person learns a variety of things that eventually reflects in behaviour and character. Furthermore, it is believed that the more experience one has, the smarter and wiser one becomes. The Laissez-faire leadership style gives this platform, it does not have to be an autocratic style predominantly.
For micro-entrepreneurs with a staff or two the coercive leadership style which generally expects instant compliance with instruction and commands may be suitable because of the lack of structure and that not too educated employees are engaged for duties. This method is especially effective in times of crisis, in other businesses like during a major emergency or rowdy session.
While it is similar to the autocratic leadership style, it differs somewhat but is oftentimes used interchangeably since both require the use of force. Other forms of leadership available that entrepreneurs can use to support the autocratic leadership style if the business is structured and formal businesses are the transactional leadership style transformational leadership. Transactional leadership style is set up, for rewards and incentives for specific outcomes from employees, simply agreement basis. Next, is the leadership style that transforms called the transformational leadership where the collective, collaborative, or participative approaches to leadership are all taken at the same time.
Though there is no ideal leadership style for a business, the key is that there is a leadership style suitable for each scenario or situation in the business, therefore entrepreneurs must understand this and swap to apply the appropriate style to each situation. This is essential to obtain the best business outcomes, achieve best practices and promote ethical behaviours within the business. If this approach is adopted by many struggling businesses, they can still be hopeful. Good luck!
How may you obtain advice or further information on the article?
Dr Timi Olubiyi is an entrepreneurship and business management expert with a PhD in Business Administration from Babcock University Nigeria. He is a prolific investment coach, seasoned scholar, chartered member of the Chartered Institute for Securities and Investment (CISI) and a Securities and Exchange Commission (SEC) registered capital market operator. He can be reached on the Twitter handle @drtimiolubiyi and via email: [email protected], for any questions, reactions, and comments
Feature/OPED
Unlocking Full Human Potential: Growth, Diversity, and Purpose
In Nigeria’s diverse workforce, the conversation around diversity and inclusion (DEI) extends beyond gender to address tribal diversity, socioeconomic representation, and other cultural nuances. Policies that promote inclusivity are crucial for fostering collaboration in Nigeria’s multicultural corporate environment.
“An organisation is only as good as its people. Ensuring those people perform to their best is the role of human capital. Today, the field has a range of tools to ensure real-time engagement and agile interventions for optimal job satisfaction and performance”, – Catia Teixeira, MultiChoice Africa Holdings Group Executive Head of Human Capital.
In both our professional and personal lives, we all strive for growth and development. These opportunities are deeply rewarding, supporting the kind of self-actualisation that makes life most fulfilling. In the Nigerian workplace, where career growth often intertwines with societal expectations and the drive for self-improvement, human capital plays an even more significant role. Opportunities to grow are not just fulfilling but are deeply rooted in our collective ambition for a better future.
Employee engagement is a reflection of how actualised individuals feel in their roles. Engaged employees are more likely to perform at their peak and contribute positively to the workplace. In Nigeria, where the “hustle culture” is celebrated, organizations must create environments that not only nurture growth but also recognize and reward the efforts of their people.
When employees feel enriched and their work aligns with their aspirations, the results are transformative. Growth and development are not just personal milestones—they are the foundation of a thriving organization and, by extension, a more productive society.
Identifying Growth Opportunities
In every workplace, some employees stand out from the first day, while others take time to grow into their potential. Talent management processes must cater to both. For instance, a twice-yearly organizational talent review can help Nigerian companies identify where employees excel and where they need support.
Interactions within the workplace also play a crucial role. In Nigeria’s highly networked professional landscape, creating opportunities for cross-departmental collaboration can open new doors for employees. Systematic development plans, supported by tailored training, ensure that these opportunities translate into tangible growth.
Take the MultiChoice Academy, for example, which offers over 4,000 online courses spanning finance, HR, marketing, and other fields. This mirrors the Nigerian appetite for continuous learning, especially as industries rapidly embrace digital transformation. While face-to-face training remains valuable, customized e-learning platforms are pivotal in bridging knowledge gaps and preparing employees for the future of work.
For any training program, balance is key. Organizations must align employee development with business goals while ensuring individuals feel empowered to pursue their aspirations. In Nigeria, induction programs that connect new hires with company visions and purpose are critical to building this alignment.
One of the most rewarding aspects of human capital management is witnessing success stories unfold. In a country like Nigeria, where talent is abundant, but opportunities may be unevenly distributed, developing talent internally can make a significant impact. Long-term employees bring invaluable institutional knowledge, and nurturing their growth ensures they continue to drive organizational success.
At MultiChoice, we are deeply committed to equipping our workforce with the skills and confidence needed to excel. Whether it’s training young leaders, empowering women in leadership, or developing heads of departments, every investment in our people enhances their value – as individuals and as indispensable assets to the company.
What Diversity Means
At MultiChoice, gender equity remains a key focus. Women make up 46% of our workforce, and 46% of leadership roles are held by women—a significant achievement in a society where women often juggle professional aspirations with traditional family roles. Our promotions policy is designed to push these numbers to 50%, ensuring equity across all levels of the organization.
When entering new markets, MultiChoice intentionally applies its culture of inclusion, empowering women to excel in leadership positions. This commitment extends to addressing barriers unique to Nigeria, such as access to resources and mentorship for women in underrepresented fields.
Data Drives Change
To drive meaningful change, data is indispensable. Nigerian companies often face challenges like high employee turnover and workplace inefficiencies. By leveraging data, organizations can address these issues strategically.
MultiChoice uses platforms like Office Vibe to generate insights into employee engagement, satisfaction, and work-life balance. Weekly surveys and random polls provide actionable feedback, enabling quick interventions and fostering a culture of continuous improvement.
In Nigeria, where trust in leadership significantly influences workplace morale, data can also help bridge gaps between management and employees. Regular focus groups, coupled with robust analytics, ensure employees feel heard and supported. When organizations align employee needs with business goals, the result is a workforce driven by purpose and achievement.
The Collective Goal
In Nigeria, where community and collective growth are deeply valued, human capital strategies should emphasize the power of shared purpose. By investing in people, organizations contribute to a larger vision of national development.
At MultiChoice, every success story is a testament to this philosophy. From training young leaders to empowering women in leadership, the organization demonstrates that growth is a journey best undertaken together. For Nigeria, this represents a powerful blueprint for building a future where individuals and organizations thrive in harmony.
Feature/OPED
Between Governor Bala and the Presidency
Abba Dukawa
Although I’ve never met Governor Bala Muhammad in person, only seeing him on television, his recent outburst against the federal government’s economic policies resonates deeply with poor citizens’ view.
His concerns stem from empathy for the citizens’ going through unbearable hardships, which have worsened due to the economic situation where millions of citizens struggling with high cost of living, poverty and hardship, reflecting the reality on the ground where citizens face significant economic challenges.
His view resonated with the people in respect of political affiliations have praised Governor Bala for speaking truth to power, acknowledging that the economic policies aren’t working. But his outburst of the economic policies has sparked a heated response from presidency.
Even though President Bola Tinubu claims to have no regrets about his economic policies, aiming to strengthen the country’s economy, policies must be empathetic.
The Tax Reform Bills, in particular, have generated widespread concern, with experts warning of negative implications and advising the government to postpone the bill and engage in further consultations.
The National Economic Council, comprising 36 state governors and led by the Vice President, had expressed reservations about the bill, emphasizing the need for adequate consultation with stakeholders.
However, the Presidency swiftly rejected the NEC’s advice, stressing that the bill is crucial for supporting President Tinubu’s administration in bolstering the country’s fiscal institutions.
Governor Bala Muhammad’s expressed his concerns when hosting Sheikh Yahaya Jangir, a frontline campaigner for the Muslim-Muslim presidency, at the Bauchi Government House.
The governor urged President Tinubu to listen to Nigerians and correct his errors, stating that it’s his duty as a leader to tell the truth.
As Governor Mohammed noted, “I am sure you have heard that we are quarrelling with the president. Yes, it is true we are quarrelling because our people are suffering, and the president has refused to listen to us.”
His comments should not be seen as a critique of the president’s policies, not a personal attack. It’s essential for President Tinubu’s administration to understand the growing concern among Nigerians about the country’s economic direction and the need for effective strategies to address the current economic hardship.
The Presidency, through his Special Adviser, Sunday Dare, responded by urging Governor Mohammed to prioritize the welfare of Bauchi citizens instead of engaging in political posturing. Dare emphasized that the President’s administration is focused on national development and collaboration with state leaders.
It’s worth noting that Governor Mohammed has implemented various poverty alleviation programs, including the Kaura Economic Empowerment Programme (KEEP), to reduce the state’s high poverty rate. He has also prioritized education, with a focus on reducing the number of out-of-school children in the state.
Additionally, Governor Mohammed has taken steps to improve the state’s healthcare system, His administration’s efforts to address these challenges echo the experiences of poor citizens in Bauchi State and across Nigeria.
Overall, Governor Mohammed’s commitment to addressing the pressing issues faced by his state and its citizens resonates deeply with the experiences of poor Nigerians..
Dukawa write it from Abuja can be reached at [email protected]
Feature/OPED
Tinubu’s Titanic Wahala
By Tony Ogunlowo
‘Titanic’ can mean something that is very big, gigantic or enormous and it was also the name of a ship that sank on its maiden voyage.
When the Titanic sank in 1912 it sank due to a number of avoidable factors: a ship deemed unsinkable that wasn’t fitted with watertight compartments, a ‘unprofessional’ seasoned captain who was apparently bullied into going at full speed through known ice-berg strewn waters, lack of common binoculars for the deck watch and the unavailability of enough life boats for all the passengers.
This all put together, as they say, was a recipe for disaster. Red flags were ignored.
Translating this to President Tinubu’s modern-day Nigeria, the avoidable factors that can sink the country are way too obvious.
Nigerians have long enjoyed the benefits of fuel subsidy. Costly as it is to maintain it’s enabled the economy to keep running by keeping the cost of things low. It’s removal, as can be seen, has created a domino effect, as the experts predicted, resulting in the prices of even the basic commodities skyrocketing as everyone passes on the additional costs.
With inflation currently at 32.7% and still rising, things are only going to keep on getting more and more expensive. As a result, the new minimum wage of N70,000 will have less purchasing power than the previous 2021 minimum wage of N30,000. If fuel subsidy removal was meant to boost the economy it has done the opposite and will stagnate any efforts to kickstart it.
The governments inability to control corruption or severely punish corrupt officials which is robbing the country’s coffers of billions and billions of Naira every year is a stumbling block for development.
If a corrupt government official who built 750 houses with stolen funds or an ex-governor accused of misappropriating N80 billion are allowed to walk around freely, supposedly on bail, without fear of eventual conviction it questions the message the government is sending out to future looters: if the culprits were in Russia or China the outcome will be totally different.
Even though an austerity economic policy may seem harsh like it was designed to rob Peter to pay Paul, it should be short, sharp hardship with green pastures in the foreseeable future – not ever! A good start will be to cut down on the number of foreign loans being obtained every year as their repayment can take a huge chunk out of the country’s annual income.
The new tax laws are long overdue and it should include that VAT earned in a state stays in that state: so, if your state doesn’t generate any VAT (- such as from the sale of alcohol products) you don’t get to share in what other states have collected.
Insecurity in the country is not something that started yesterday. Previous governments have blood on their hands for not nipping these insurrections in the bud before they grew to become monstrosities. You don’t pat yourself on the back, like the Nigerian Army likes to do believing you have the threat ‘under control’ – you eliminate the threat completely using what ever means necessary.
Unless the order (given by ‘Somebody’) is not to destroy them completely and to quote the late Sani Abacha,”…any insurgency that lasts more than 24 hours, a government official has a hand in it..”, no wonder Boko Haram continues to flourish and bandits like Turji Bello continue to taut the government. When the armed robber Lawrence Anini did something similar in 1986 he was fished out within months, tried and executed.
As I’ve written before the Nigerian Police Force is long past its sell by date and considering the ever growing population of Nigeria with its associated acts of anti-social behaviour its time to seriously consider devolving the NPF into state-run outfits. The growing popularity of state-run security outfits, such as Amotekun, proves this is feasible and effective.
Considering the fact the country is going through severe economic hardship the President, himself, should curb frivolous spending where possible: no more new Presidential yachts or planes ( – that includes the new one for the VP), a cap on ridiculous-no-real-job SA and SSA appointments and most important of all a cap on ALL politicians salaries and perks (which is to say if politicians are patriotic enough they’ll agree to a pay cut, forgo some of their benefits and pay for their own jaunts abroad).
Implementing the Steve Oronsaye Report which recommends merging and closing of ministries etc that has been passed over by every President since President Goodluck commissioned it in 2011 will cut government operating costs even further. This should not just be at Presidential level but extended to all the states: this will not just streamline the bloated and largely inefficient civil service but will also weed out ghost workers and white elephant project.
The ‘japa’ movement which the government is trying to discourage should be allowed to continue. It’s morally wrong for a government that can’t provide suitable employment for its citizens to try and prevent them from seeking opportunities abroad : ‘japa’ is not just limited to Nigerians, it’s a worldwide phenomenon.
People, British, American, Filipinos, are migrating worldwide to where ever there are opportunities for them to prosper. That’s the way the world works now: nobody is going to stay in a ‘sh*t-hole’ country if there are no opportunities for them to grow. Scr3w patriotism! It’s every man for himself! So, if a country can’t provide adequate employment opportunities people will pack their bags and ‘japa’! And if you restrict them from leaving the country what are they going to do? Get up to mischief – 419, cultism, kidnapping!
These same people send money back to their home countries all the time: Nigerians in diaspora in 2023 alone sent home more than $19.5 Billion Dollars. This is a huge injection of foreign currency for a country that desperately needs it.
So, just like the Titanic the warning signs are there and the inevitable that will happen should they be ignored. The question is which way is President Tinubu going to go. This is what I call the ‘Titanic Wahala’, ignore the obvious and the proverbial will hit the fan, sooner or later.
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