At the end of the day, what is every business trying to do?
Grow. More customers, more sales, positive cash flow, larger
deal sizes, higher volume, more billable hours, justification
for higher prices, etc. Ask any hard-working entrepreneur what
he or she is working on and you’re bound to hear a comment
related to growth. Why? Because if you’re not growing, you’re
shrinking. It’s why we are all in business – to build or create
something bigger than ourselves.
The classic growth strategies include partnerships, market
expansion, acquisition, product extension, and franchising.
While these strategies are well known, how does an organization
come to select one over the other as a means for growth? And
once decided, how is the company run? Ultimately, I believe
growth is determined by providing value to your customers, the
people you hire, the processes they develop, and culture you
choose to build.
So instead of thinking about the detailed strategies
themselves, here are some practical considerations to keep in
mind on your constant quest for growth…
Drive the organization with big vision. Growth
requires thinking big, then executing like crazy. Success is 10
percent inspiration and 90 percent persistence. But that 10
percent is critical, otherwise the 90 percent is lost, aimless,
and unproductive. According to Alvin Toffler, "You've got to
think about the big things while you’re doing the small things,
so that all the small things go in the right direction." Growth
comes from pursuing a worthwhile plan with measurable rigor.
Account for big goals. Every organization sets goals,
but sometimes they aren't big, and sometimes they are not
written down! A big vision is achieved through accomplishing big
objectives and goals. That’s all execution really is – your
organization’s ability to achieve goals. First, objectives and
goals must be understood. Everyone needs to understand how they
contribute to and impact the goals. Second, they must be
measurable and actionable by having someone responsible and a
due date. Review regularly and hold people accountable. Create a
culture that people that people feel responsible for "not
missing a due date here." That's all there is to it – it doesn’t
have to be complicated, confusing or time consuming.
Celebrate wins along the way. Publicly share big
accomplishments, milestone, project completion, revenue goals.
This sharing drives growth in two ways:
- It motivates the people driving those accomplishments to
press on.
- Success and profit sharing breeds confidence, fueling
enthusiasm for further growth.
Everyone wants to be appreciated and we often dwell on what we
failed to achieve, instead of celebrating the small wins. Do
something special for yourself and your team. After all, it's
the journey, not just the destination that matters. Enviable
growth business happens when you create something with "a
feeling that we're in this together."
Seek out new ideas. Invite left and
right-brained people into your organization to
create a complete “brain trust” of skills and
competencies. You need both perspectives to
invent creative solutions, challenge the status
quo, find hidden connections, new models,
analyze data for discoveries, and explore
parallel industries for new methods. Henry Ford
could not have grown faster than everyone else
had he not borrowed the division of labor
manufacturing line concept from a meat packing
plant. Walgreens could not have grown as fast
had they not changed their approach to increased
convenience instead of big stores, big ticket
items. Southwest could not have grown had they
not reinvented airline service and the
hub-and-spoke approach. Challenge conventional
wisdom to solve your customers’ issues and pains
with non-traditional approaches.
Ignore distractions. In tandem with
new ideas, we must focus! This is the
never-ending struggle for entrepreneurs – too
many ideas, too little resources. In an
increasingly competitive environment, growth
comes from being great at one thing at a time.
Succeed at one thing that you know customers
need. That takes focus – focus on the customer
and focus on what you choose to do better than
anybody. Use your vision as a filter to keep out
distractions. If the activity is not line with
your big goals, even if it is a good idea, table
it and move on.
Empower through ownership. This is
similar to accountability, but slightly
different. Inside almost every motivated
employee is a frustrated entrepreneur. As we
know, entrepreneurs like to build and own their
work. They are achievement-oriented and take
pride in results. Feed these engines with
premium fuel by assigning ownership. Recognition
is the number one motivator. You can unleash
powerful output by clearly defining roles and
responsibilities. Give ownership of a key
business metrics. Then give that individual or
team the autonomy and authority to drive that
revenue past the forecast!
Neutralize negativity. There is no
such thing as "try", there is only "do". That’s
the attitude of a sustainable growth company.
The question is never, "Are we going to make
it?" The question is "What do you need to make
it" and the answer is, "Here's how we can." But
be realistic. Most growth companies don’t grow
quickly without sustaining some damage. Consider
how to avoid road blocks and road bumps along
the way.
Passion overall. If you’re motivated
and excited about what you are doing, people
will follow and your organization will grow.
This may be the most important element because
it is the true spirit behind growth.
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