The startup world is thrilling yet challenging. But what happens after the start-up phase. How can you bring structure to your business whilst keeping an agile approach.
Once your passed the start up phase, scaling becomes the new goal, and this transition brings many challenges.
The operating model you built from 1 to 10 people does not hold the weight of a 40, 70 or 100 people business.
So here are how to navigate this new phase of growth to a new operating model:
Make sure you standardise where you can. You will gain some efficiencies and quality control as you grow. Avoid becoming overly bureaucratic. Maintain a culture that encourages experimentation whilst mitigating risks.
Example: Set companywide innovation times to explore new ideas, define criteria for opportunities, but stay flexible. Standardise templates while allowing people to explore various solutions.
Define roles and responsibilities and make sure everyone understands who does what in your organisation and the reasons for having the structure.
Move away from the "everyone wears multiple hats" approach. Structures should evolve with the business and you are allowed to try different approaches as long as you bring staff on a journey.
Stop the gut feeling approach. Invest in data analytics to understand customer behaviour, identify key metrics, and optimise your operations.
Examples: Customer lifetime value, lead generation to conversion rates, churn or retention rates, profitability, and cash flow.
Rethink your methodology for a larger team. Consider a hybrid approach that balances flexibility with structure. Not everything can be agile when you grow.
Standardise operational processes like customer onboarding, project management, governance and reporting.
Implement tools that streamline communication, automate tasks, and facilitate data analysis.
Examples: Customer Relationship Management (CRM) systems, HR management tools, expense management systems, communication, and knowledge-sharing tools.
Keep your team informed and engaged throughout the transition. Explain the "why" behind the changes and actively address concerns.
Scaling doesn't mean micromanaging. Invest in training and development programs to equip your team. As you grow, your team members may want to progress, manage others or specialise in certain areas. Developing a structured staff development plan will help them understand their possible progression paths.
Acknowledge and celebrate successes along the way to maintain your team engagement and culture. Your staff will be empowered to work with you during the next growth phase.
Prioritise customer feedback: Collect and utilise customer feedback to make informed decisions and maintain customer-centric focus
Iterate and adapt: Be open to adjusting your strategies and your operating model as needed
Culture and values: Maintain a strong culture and core values to retain your business identify during the growth phase
External expertise: seek guidance from peers or advisors when necessary
Financial planning and management: As the business scales, establish a reporting rhythm and closely monitor finances and cash flow to secure funding and invest in growth areas.
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