This quote from Verne Harnish’s book, Mastering the Rockefeller Habits 2.0: Scaling Up, explains the potential S-growth curve for most companies.
Of all those present in the market, 96% will stagnate at the first stage, the so-called “mouse” stage. Only a few will rise to the level of “gazelle”, a company with strong growth potential, leadership, strong organization and great adaptability.
The key to successful transition from mouse to gazelle is based on 4 critical decisions:
1. Attract and retain good people
2. Create a clear differentiation strategy
3. Execute efficiently
4. Have enough cash to deal with the storms and capture opportunities
Nevertheless, there are 3 main barriers that will stand in your way towards reaching the higher level of growth of your company:
1. Leadership: the inability to staff/grow enough leaders throughout the organisation who have the capability to delegate and predict.
2. Scalable infrastructure: the lack of systems and structures (physical and organisational) to handle the complexities in communication and decisions that come with growth.
3. Marketing: the failure to scaleup effective marketing function capable of attracting new customers, talent, advisors and other key relationships to the businesss
The solution? Identify which of the 4 decisions (People, Strategy, Execution and Cash) is critical for you and make it your TOP priority for the next quarter. The Gazelles tools will guide you through this process.
For growth to continue, one must be focused and not be bogged down in generalities. Go for it!