08 Aug Scale Up Faster By Slowing Down
When you drive your car, do you keep the engine redlined, ignore the warning lights on the dash, and turn up the radio so you don’t hear the noises coming from somewhere underneath? My hope is that you don’t. So why do so many entrepreneurs do exactly those things when driving their business and trying to scale up?
I may be dating myself, but for those of us who learned to drive a manual transmission, you know that in order to shift gears smoothly you have to ease off the throttle. If you have ever driven on icy, slick roads, you know that if you lose traction, you have to slow down to regain your grip.
Running a business is no different. I was recently facilitating an EOS® quarterly off-site with a leadership team of a growing business. They had just opened their second location and their big goal, or Core Target™ as we call it in the EOS® world, was to systematize the model and scale up to 20 locations by 2025. Their Visionary owner had been passionately driving toward that goal since we met.
But there was a problem. They were running into customer-service issues, having trouble hitting numbers, not communicating well, and struggling to define and document their Core Processes.
As we began to dig deeper into what the underlying issues truly were, to a person, the Leadership Team members all admitted to being stretched well beyond their capacity. To use the analogy above, they were all redlined and the Visionary owner still had her foot on the gas and the pedal to the floor. They needed to speak up and just say no to grow.
I was eventually able to push the team to the point of being 100% open and honest with the Visionary about the aggressive drive to the Core Target™ and how they were struggling to scale up while the engine for their growth sputtered and skipped as it needed a tune-up. After some very open discussions, the Visionary began to have a revelation.
We transitioned into a conversation about what it would look like to take a breath for the next 6-12 months, focus on fine-tuning the engine and letting growth happen organically, and then, only after the engine was rebuilt and ready, hitting the gas and going hard for the finish line.
With a fresh perspective from the Visionary and a much relieved and refocused Leadership Team, we refined their 3-Year Picture™ and 1-Year Plan, then set Rocks to focus on an alignment around solving their internal issues and tuning the business to scale up in years 2, 3, and beyond.
6 Important Questions to Ask Yourself Before You Blow Your Engine
- Do we have the growth engine for our business well tuned and ready for the journey ahead?
- Do we have a clear structure in place, defining the flow of accountability to get us to the next level?
- Are all of the right people in the right seats?
- Does everyone in the organization share our Vision? Are we all 100% aligned?
- Are our Core Processes defined, optimized, documented and Followed by All?
- Do we have good data and does everyone in the organization have a number?
As we closed our session at the end of the day, the feedback was unanimous. Everyone, including the Visionary, felt more confident and aligned. Even though the pace of external growth may slow for a few quarters, the pace of internal growth will explode. And when the internal growth is strong, this team will be well poised to scale up to their 2025 goal and may even blow it out of the water a few years early.
- Watch for Michael’s new book, RISE: The Reincarnation of an Entrepreneur, available on Amazon later this year.
- Scale Up Faster by Slowing Down: Learn more about The TRACTION Hub and EOS® Implementation here.
- Download Free Chapters of books from the EOS® Library in The TRACTION Hub Resource Center by clicking here.