A typical growth challenge that start-ups run into is the transition from being a small company to upscaling the business into a larger organization.
During the transition, from a small start-up company to a large organization it is time for the entrepreneur to stop making all decisions in the organization and to start delegating the decision power to other stakeholders. This might be easier said than done and several organizations lack the know-how and power to make the transition efficiently. Ascend is working with several smaller organizations that are about to make the leap into a larger corporation. There are a few guiding principles that need to be addressed to make the transition successful:
- Articulate the vision of the company – remember, a vision should be a “dream with a deadline” e.g. 2022 we should be the leading provider of [..] within [..].
- Establish a clear strategy – A strategy answers the questions: where, what and how to play. Make sure to involve the organization in establishing the strategy. This will make everyone feel part of the next step.
- Define the organization to support the strategy. An organization should be set up to support the planned strategy, so make sure to have a clear strategy before you start changing the organization.
- Set up the needed process to run the daily business smoothly. How are you going to enable the organization to work together and support each other to reach the objective of the organization?
- Identify key people needed to build and grow your business – normally you need to recruit talent in order to grow the business. New and larger challenges might mean new types of leaders and managers in the company.
- Establish how to give people incentives. How will you measure and reward success within the different parts of the organization?
Make sure to communicate the strategy and keep everyone informed about where you are heading and how you intend to take you there. A common goal and a clear way forward will energize the organization.
A scale-up is a challenging transformation and something that needs your full attention. Ascend is there to help if needed.