An assessment of corporate entrepreneurship in the finishing units of steel manufacturer
Corporate entrepreneurship is examined with specific reference to the Finishing units of the Vanderbijlpark site of ArcelorMittal South Africa. The objective of the study is to assess the level of intrapreneurship within middle to upper employee levels in order to make recommendations regarding the encouragement of an entrepreneurial climate. The evaluation starts with a historic overview of ArcelorMittal South Africa, followed by an assessment of the current operational characteristics of the company. An evaluation of ArcelorMittal's interaction with its stakeholders is combined with the outcomes of two previous internal surveys of corporate culture to arrive at the causal factors to the study. A literature review is conducted to explore entrepreneurship and the attributes of an entrepreneur. Subsequently, corporate entrepreneurship is investigated in order to outline the characteristics, pivotal agents, importance and dangers of the concept. The establishment of a climate of corporate entrepreneurship was found to be dependent on the presence of 14 important constructs. If proposed steps are followed to promote corporate entrepreneurship in a company, five identified success factors will improve as a result. A questionnaire is adapted to test for the presence of the 14 constructs of a climate of corporate entrepreneurship which were identified and to verify current perceptions regarding the organisational success of the company among B to G role respondents functioning in the Finishing units of ArcelorMittal Vanderbijlpark. A target group of 325 employees was identified and questionnaires were routed to all persons in the group. A total of 180 usable responses were received on which statistical analysis was based. The validity of each construct is individually determined by calculating a Cronbach alpha coefficient and tests for both statistical and practical significance are performed to determine the effect of demographical variables on each construct. An analysis is made of perceptions regarding the presence of constructs of a climate of corporate entrepreneurship as well as constructs indicating the success of the organisation. Furthermore, the effect of demographical variables on recorded perceptions is interpreted. Recommendations, based on the analysis made as well as the literature review, are made on actions to improve the climate of corporate entrepreneurship in ArcelorMittal South Africa. The study concludes with a measurement of the achievement of objectives and suggestions for further research.