3 Mistakes : Why businesses fail to scale up
Do you feel stressed & tired at work? Do you feel like wanting to take a day off (rather a month) but fear that your business/function will NOT work without you? Do you feel the burden to expand but unable to do so? Do you feel that in your business/function no one else other that you is capable?
If you answered in the affirmative to either of these questions, then it’s likely that you are the bottle neck.
In most of the organisations, the bottle neck is at the top of the bottle – Peter Drucker
The job of management is to eliminate bottlenecks but what if management itself is the one and does not even realise this?
This normally happens with small and medium companies that fail to scale up
They don’t scale up NOT because of poor Product-Market Fit. In fact that is established but the ‘well oiled engine to run fast’ is missing.
Here are Top 3 mistakes that you can avoid and have a well oiled engine to make your company scale up fast to the destination you have always dreamed of :
1. Get operationally involved in business
You get stuck in day-to-day business. You should be either on the business side or building the company and setting up systems for the long run.
To play the game for survival, for QoQ targetsis NOT business.
2. Not building a team
You look at hiring as a cost. It is rather an investment. You need to stop this reluctance to hiring and in fact think of developing your unique process for the same.
3. Hiring and NOT Training
Hiring and not training is as good as not hiring.
Don’t assume that your job is done once you hire people. It rather starts when you do that. If you don’t train them, you will not trust them. If you don’t trust them, you will not delegate to them. If you don’t delegate, you will always be stuck in doing the operational stuff someway or the other.
Only 4% of the companies make it to $1m mark. In order to be in that 4% you need to give a deep thought on how you want to scale up, what you want to do and what you want to STOP doing. I am sure once you sort this out, you will be on your way to scale.
I hope this information has helped you to ignite your mind to what should be done and you take that all important first step to achieve scale! BEST WISHES!
What are other mistakes that you feel are important for businesses to scale up?
Feel free to add your views in the comments below.
