Over the last few weeks I have been having discussions with number of CEOs / Entrepreneurs / Small Business Owners regarding reviewing and validating their strategy documents. Most of the time, the leaders in these businesses know the markets, the customers, the requirements, the opportunities and the solutions amongst other things. However almost every one of them without exception felt, they had much greater potential but were somehow not able to capitalize on it. They could not convert the potential opportunities into real value and leverage it to achieve growth. What was stopping them from scaling?
My humble suggestion to almost every one of them has been to re-look at their business models and their current state. I always tell them, while their entrepreneurial selves are ready for growth, their firms aren’t. They seem perplexed every time I say this – but when we look at the current organization equation and change it to the size to be able to achieve scale, their reaction is surprise followed by stunning realization at their own setup! The dynamics of the projected firm seem unhealthy and unstable; far from what they have visualised their grown up companies would look like.
Once we complete this exercise, most of these smart business owners quickly understand the need to re-organize themselves for growth. Without adequate preparation, growth could become a bigger worry to handle as it pans out.
The next time you think of planning for growth, make sure you spend enough time assessing if the company is organized for growth. If not address it first, then plan!