This neurological characteristic separates entrepreneurs from managers

Not everyone is cut out to be a leader, and not all leaders are quite right for certain principal positions. For instance, while entrepreneurs who start their own businesses from scratch and managers employed by a larger company are technically both titles associated with leading others, the two distinctions entail wildly different day-to-day responsibilities.

In other words, a great entrepreneur is hardly guaranteed to succeed if placed within the corporate confines of a formal manager position. Similarly, even the most seasoned and proven office manager isn’t all that likely to be triumphant regarding entrepreneurial endeavors. 

So what separates entrepreneurs from managers? Fascinating new research conducted at the University of Liège in Belgium has uncovered a key neurological characteristic unique to only habitual entrepreneurs. Read on to learn more.

Managers and entrepreneurs: A brain-to-brain analysis

After directly comparing the brains of both managers and entrepreneurs, the research team reports evidence of greater cognitive flexibility among entrepreneurs’ brains. Additional brain differences were noted between the two cohorts as well. More specifically, experienced entrepreneurs displayed higher levels of gray matter volume in the left insula. Crucially, that brain area has long been associated with elevated cognitive agility and divergent thinking, both of which are considered essential traits in an entrepreneur. Researchers also recorded a link connecting gray matter density in the left insula to cognitive flexibility, especially divergent thinking.

“Our study used a two-stage methodology,” explains Frédéric Ooms, Assistant Professor and first author of the study, in a media release. “First, we collected self-reported measures of cognitive flexibility from 727 participants, including entrepreneurs and managers. Next, we performed structural magnetic resonance imaging (MRI) on a subset of these participants to explore differences in gray matter volume in the brain. This multidisciplinary approach enabled us to correlate self-reported cognitive flexibility with actual brain structure.”

Cognitive flexibility sets entrepreneurs apart

“This finding suggests that the brains of habitual entrepreneurs are specially adapted to foster the cognitive flexibility needed to identify and exploit new opportunities,” explains Steven Laureys, neurologist at ULiège and Laval University.

This study, recently published in the Journal of Business Venturing Insights, holds major implications for both individual educators and entire organizations. Acknowledging the key role of cognitive flexibility can help numerous educational programs develop more strategies focused on building this characteristic among aspiring entrepreneurs. Organizations, on the other hand, can also benefit mightily by promoting cognitive flexibility among managers, which should produce more innovative, adaptive business strategies.

“This study is essential for entrepreneurship and neuroscience researchers, educators designing entrepreneurial training programs and business leaders wishing to foster innovation within their organizations,” adds Bernard Surlemont, Professor of Entrepreneurship. “By understanding the neural basis of cognitive flexibility, stakeholders can better support entrepreneurial success and adaptability.”

The brains behind business

In summation, study authors say the discovery of unique neural characteristics in habitual entrepreneurs offers a two-fold advantage. To start, these findings expand modern science’s understanding of entrepreneurial cognition. This study also opens up new research opportunities regarding how these brain structures develop in the first place before changing in response to entrepreneurial activities. 

All in all, this work highlights the importance of combining neuroscientific endeavors with more traditional entrepreneurship studies in order to develop a more comprehensive understanding of what makes a successful entrepreneur distinct on a purely neurological level.

“As we continue to explore the role of the brain in entrepreneurship, this study represents an important advance in the field of neuro-entrepreneurship,” Prof. Ooms concludes.