The Entrepreneurial Presidency: Five Ways to Govern Like a Startup
Published January 20, 2009 @ 03:00AM PT

To celebrate President Obama's inauguration (boy that feels good to type...), each of the Change.org editors is writing something about their hopes for the new administration. I've written before about some of the things on my "White House Wishlist:" an Office of Social Innovation, an updated tax code that embraces social enterprise, financial support for early stage markets, quality standards for sustainability, and more.
But when I think about what I really wish for the Obama administration, it's that they bring the spirit of a startup to the White House. To me, that means five key things (plus one foundational bonus).
5. Do more with less
With the pressure of financial failure constantly looming, startups - social enterprise or pure business - need to be lean. In fact, according to famed venture capitalist and Paypal founder Peter Theil, low CEO pay is the best predictor of startup success. I'm not suggesting that government employees get a big pay cut. But, you don't have to subscribe to any one particular ideology to recognize that the federal budget is bloated and filled with pet projects, tax loopholes, and budget sinkholes that drain resources from more pressing issues.
4. Harnessing your team's talent around a meaningful mission
People love jobs with a sense of mission. For many, government service no longer feels like a good way to change the world. That's a bummer, because there's a lot of talented people who would be thrilled to contribute if they felt their capacity would really be harnessed rather than just shoved in a cubicle to languish. Restoring the sense of purpose and actually fully utilizing people's abilities is key.
3. Find the right partners
Successful startups don't do everything. They know their core missions and integrate partners or service providers for everything else. The government not only can't do everything, it shouldn't do everything. Every challenge we face, from education to climate change, will be solved only through a combination of business, civil society, government, and the contributions of average people. The Obama administration can and should be a convener that brings together these various actors around our most pressing problems.
2. Learn from everything
Successful startups are sponges of information. Whether its learning from the competition or being inspired to think differently by a random article, successful entrepreneurs tend to always have some part of their mind filtering and assimilating new knowledge. Our government must have the capacity to learn - from business, from civil society, from other governments, and from the real lived experience of its citizens. Initiatives like the Citizen's Briefing Book are a great start.
1. Iterate and scale success
Perhaps the key characteristic of a successful startup is agility. Because of their comparatively smaller teams and shorter institutional histories, young companies tend to have an easier time responding to changing environments. I would love to see the Obama team embrace a spirit of iteration, where lots of promising ideas are attempted - even if its on a small scale, and sometimes through partners rather than directly by the White House itself - and the best are taken to scale through policy. By way of example, there's education. How many more examples of successful innovation like the longer schedules of the KIPP schools do we need before we see a local or national administration try to embed some of those lessons in public policy.
BONUS: Impact over ideology
Finally, and most importantly, it's important to remember that the primary responsibility of any government is the safety and prosperity of all of its citizens. There will, necessarily, be ideological battles to come. But where possible, the primary allegiance of the government should be to impact, not ideology. At the end of the day, I don't care whether Republicans or Democrats have the silver bullet for issues like education - I want better schools where more students have the chance to live up to their full potential. Period.
It doesn't take much back-reading to tell how excited I am about the promise of President Barack Obama. I think he embodies the American spirt of community organizing and social entrepreneurship that runs back through people like Jane Addams. I think that he will be a partner to social entrepreneurs. But I think the challenges he faces are as monumental as we've seen in decades. And if President Obama really can bring the spirit of a startup to the White House, lets just hope it's the next Google.
Share this Post
Related Posts
-
Inauguration 2.0
-
Does Google Have the Right to Digitize the Global Library?
-
Social Media and Obama's Ghana Speech
Comments (10)
Comments on Change.org are meant for further exploration and evaluation of the ideas covered in the posts. To that end, we welcome constructive comments. However, we reserve the right to delete comments that are offensive, abusive, or off-topic; that contain ad hominem attacks; or that are designed to subvert or hijack comment threads rather than contribute to them. Repeat offenders may be permanently removed from the site at our discretion.
Facebook
Twitter
Digg
StumbleUpon
Delicious
Email



















6. Create an API.
http://news.ycombinator.com/item?id=442078
Posted by rob rhyne on 01/20/2009 @ 11:02AM PT
You must be signed in to report content.
Where do I sign on? As a former entrepreneur I sometimes get discouraged by my progressive friends' emphasis on trying hard, rather than being agile, and constantly evaluating whether we are succeeding, like a business startup has to.
I loved the ideas in this article; and I have visited with a Kipp School and see it as a great model for a new generation of African American succeeders.
Posted by Nick Sheridan on 01/23/2009 @ 05:34PM PT
You must be signed in to report content.
7. Re: strategic planning and problem solving--Be creative, willing to take some (reasonable) risks but learn from the mistakes of the past.We are already seeing some of these approaches to strategic planning and problem solving under the leadership of Obama. However, I hope this administration does not fall back to the same old way of trying to solve problems (e.g. giving huge sums of money to businesses without accountability). As a woman-owned small business owner since 1993, I can tell you that taking the first step into self-employment was a risk that I could afford to take at the time. Part of the reason I am still going today is that I did not rely on huge loans nor create huge unmanageable debt--nor should our government. I started small and kept it small because that's what I could do at the time.
Now I'm ready to take the next step into a wider market with a more creative strategy (I am soliciting stories for a book by women, for women on their significant turning points and major life decisions.) I believe we can learn from each other and our challenges--not just in business, but in life. Hence, the book.So, let's hope that this administration under Obama's lead will be creative in moving forward and learn from the mistakes of the past as any good business should--especially a start up striving for success. That's what I did 15 years ago and I'm still standing (with integrity) and with very little business debt--I might add.
Terri Spahr Nelson, Reflections From Women
Posted by T.S. Nelson on 01/24/2009 @ 03:39AM PT
You must be signed in to report content.
As a federal employee of seventeen years, I've seen the old ways of thinking about how things can/should be done predominate. In my agency, we are tasked with providing direct human services. New initiatives first require a new level of management it seems.
Workers know how to do the work and often times do it more efficiently. This knowledge is not harvested, it seems, and rather than funds going to do the work, we implement another level of management. More chiefs but not more workers!
I do hope new ideas about delivery of services tap the knowledge of "line workers" in every area of government.
Posted by Peter Mitchel on 01/24/2009 @ 07:03AM PT
You must be signed in to report content.
8. Successful startups are like small communities. There may be a charismatic figure at the top of the hill, but often each team is open to new ideas and makes decisions quickly to solve problems, agility is almost the opposite of what we consider government programs, but there are so many exceptions to that that need to be emulated .... where small teams have brought out good ideas and been given the opportunitie to develop them as pilot programs.
We need to start volunteer communities around the problems we face, take input from all, have team leads that are dedicated to solutions and not stardom and keep ideas circling around our charismatic leader.
Sign me up.
Posted by Michael Terpening on 01/24/2009 @ 07:13AM PT
You must be signed in to report content.
Television coverage of the President's Cabinet meeting on about Jan. 22 showed people gathered around a rectangular table. Eye contact between the President and several Cabinet officers appeared to be awkward because of the straight-line seating dictated by the shape of the table.
Replacing the rectangular table with an oval table would improve interpersonal communication at cabinet meetings.
Posted by Harry Hempy on 01/24/2009 @ 09:55AM PT
You must be signed in to report content.
The infrastructure improvements and additions (including health care) that this Administration intends to make are directly in line to help all businesses. These things allow businesses to focus on building themselves rather than on externalities. CEO and upper mgmt overpayment (particularly bonuses) should not be allowed - as rightly noted, such largesse is not warranted, especially in current circumstances. Companies must once again have long-term business plans (40-, 50-, 100- years) as well as short term profit-taking. Laws governing corporations should change drastically - companies are not people, and the law should not treat them as such. Corporations must be allowed to save money for the future (not every year is an 'up' year), not required to pay it all in dividends (that which doesn't already go to excessive compensation). If needed, excessive compensation - and windfall profits (eg oil companies) - should be taxed away to fund a more diverse economy. Monopolies should be disallowed or brought under the ownership of the people/the government. Privatization of our military is the biggest national security issue we face. It increases costs, removes personal responsibility, and in actuality limits the flexibility of our military. Our media would regain some credibility if it would do actual reporting, research, basic legwork gathering real facts that voters and citizens need to know, and would stop simply seeking out conflicting personal opinions and saturation-reporting on local stories as though they affected everyone. Our economy cannot continue to be based on a strategy of 'continual growth unto perpetuity', as it will not grow forever (obviously). We must adjust trade laws/restrictions to allow ourselves and others to set standards, and to give preferences to our own economic development needs. We must acknowledge that the only way to increase our wealth is to use the resources from the earth, which are finite. Sun, wind, water, food from the land, and mined resources are those that increase wealth. Everything else is just playing with money - it may increase the pile, but not the value, of the paper involved. Which type of wealth creation actually contributes more to our country's economic health? Checking out the health of our financial sector answers that question most accurately. I believe that Mr. Obama will bring a healthy dose of realism to governing. I sincerely hope that his advisory staff don't insulate him from the tough realities he must enable us to deal with.
Posted by Dolores Reynolds on 01/24/2009 @ 10:27AM PT
You must be signed in to report content.
0. Above all, especially in social issues, the Entrepreneur must have integrity. Creating an enterprise base solely on greed or self interests will not only fail, it will have an overall negative effect on society. In my view, Obama has that integrity. I hope Obama employs the five key issues to bring "Social Inovation" to our government.
Posted by Rich Dennison on 01/25/2009 @ 06:51AM PT
You must be signed in to report content.
The United States is full of entrepreneurs who are working to make our world and our nation better. One key role that government can play is giving a focus and a mission to coordinate all the splintered efforts of groups and companies. It is time that our youth know that the whole community is watching their growth, that our companies know that we back their innovative spirits, and our seniors know that we support their quality of life.
Posted by Tim Hurst on 01/26/2009 @ 06:19AM PT
You must be signed in to report content.
While operating like a nimble start-up can accomplish a lot with a little, President Obama's team needs to take that they do not fall into a common problem that has faced many start-ups. Rule Avoidance.
Many start-ups find the rule systems that apply to them to be stifling and often find themselves skirting or avoiding rules that they feel get in the way of success. This is not difference than when President Bush decided to suspend Habeas Corpus or many of his other questionable choices. For this reason he and his teams were often labeled as arrogant.
President Obama has declared a a rule against "revolving door" lobbyists. People on his team are now pushing to avoid this rule in specific cases. Simply put, this is a bad idea. We need a strong leader who will stand by his convictions even when it means taking a longer path to success.
If a rule is bad get it changed, don't avoid it. If a rule is good, then follow it.
Posted by Dan Walter on 01/29/2009 @ 08:22AM PT
You must be signed in to report content.