The Amp It Up Fieldbook

13Stay Scrappy as You Scale Up

The paradox of scaling up is that, as companies do so, they tend to outgrow their scrappiness and lose their dynamism. However, that is a recipe for failure, no matter how well you penetrate the market. Your company's stage of development determines your approach to resourcing and leading your team. You cannot run a 10-person team the same way you run a 500-person organization, so understanding what your organization needs to work through each stage of development is critical—as is having a leader who can adapt to the company's shifting approach.

The following activities will help determine the most appropriate, efficient, and affordable way of doing business.

PEG YOUR EXPENSES TO YOUR STAGE OF DEVELOPMENT

There are three main phases of a company's development, and each one demands different types of leadership:

1. Embryonic: The smallest stage of a startup, when the team is small and close-knit.
2. Formative: When there is enough product to begin testing the market.
3. Scaled-up: When the company serves a large market after rapid adoption.

Consider your company's characteristics, personnel, and relationship with your market. What stage do you think you are in? Why? Describe the greatest challenges you are facing regarding your organization's growth.

 

 

 

 

 

 

 

Consider whether your spending efficiency and operating efficiency are appropriate for your organization's development level. What changes could you make to your operations, cash flow, and ...