This is a question I often hear from frustrated business owners, CEOs, and senior leaders.
How do we Scale Our Company Effectively?
The company leaders had their off-site 3-day meeting and came back excited with a new plan and strategy.
This will be the year we scale our company…. but fast forward six months, no one is executing the strategy, and the results your team planned have not been delivered.
What went wrong?
…and more importantly, what can be done to design and deliver a business plan that scales the company and increases shareholder value?
Scaling and profitably growing your business is not easy. It’s hard work, and that’s why so many plans as well as new businesses fail.
Here are some statistics for you to consider…
Six of ten US adults are thinking about starting a business at any time. Here’s what happens:
– 20% fail the first year
– 30% fail year two
– 50% fail by year five
– 70% fail by year ten
From my experience, Scaling Up your organization will be based on four key focus areas.
People
Strategy
Execution
Cash
As we have discussed in the past, nothing in my no-smoke-and-mirrors approach to growing companies profitably is all that complicated. We have a fantastic assessment instrument that is like running an MRI on the health of your business.
We often need to expand on the four p’s…
People – do we have the right people in the right roles and skills? Who are the top 25 relationships we need to be successful?
Pivot – what do we have? What should we rebuild, build, or tune-up?
Process – here, we strive for relentless repeatability. We focus on our top 7-9 processes and nail them to over 10 X our productivity.
Price – Cash is king, and the one P that impacts cash most is price. The sad reality is we often spend a great deal of time understanding our costs, but when it comes to price, we wing it. It’s time we leverage our transaction data and strategically price our products and services based on the value they deliver to maximize our cash.
When companies get it right, they profitably scale their companies and significantly increase shareholder value.
Would you like to run an MRI on the health of your business and diagnose strengths and discover weaknesses in scaling your business?
Reach out on email to schedule your free business health assessment, and then we will discover how we can position your team to scale positively.
