Updated: Jan 30, 2021
Startups are usually in a rat race to evolve and become mega brands in their given niches. In the bid to achieve this which is not bad on its right, they often miss out on certain ingredients necessary to not just grow, but sustain the growth.
At the center of the entire hyper-growth chase, there is a common misconception downplaying the process. The idea is rock solid and commendable, but the execution and strategy for sustenance is heavily flawed.
The general idea is to scout for talented young minds and hire them in torrent to improve the quality of their employee base, bring in fresh ideas and talents into the mix, and achieve the ultimate hyper-growth. Often times, a goal and a window is set, and must be achieved.
Now these elite team should possess leadership qualities, be futuristic with disruptive mindsets and help the startups grow. It’s all about scaling with right team.
But they forget one integral element of success in this kind of system, and that’s sustainability. They are hell bent on achieving the success that ignorantly fail to strategize on continuity not until everything falls apart before them.
The Grave Misperception
Structure and culture is fundamental to the sustenance of any entity where individuals from a diverse background, environment, and orientation are converged in what is termed workforce or employee. This is where the startups have it all wrong. They fail to ask the pertinent question of “How do we develop a healthy culture that will keep these folks together and loyal to the company?
Remember structure and culture is integral to every business in relation to success. But then the people are even more important. The secret key to the rise of every business under the sun is the people. The people come first before any other factor up for consideration, and the culture/structure is all about the people.
While companies are investing their pool of resources to recruit the right talent for their brands, they also need to develop or adopt the right culture that will be fused into the growth stages for sustenance. When a company fails to look inward and into its culture, the people suffer. Most times they suffer in silence with a tinge of hope that someday the situation will change.
However, that pinch of hope can only live for a set time before it collapses on its weight. Then the consequences of neglect on the part of the company begins to surface. The company starts to witness a mass exodus of its staff. It will then look like a revolving door where they quit one after the other and then quit in mass.
Years of unethical leadership or perhaps of months of it, have enfeebled the workforce of the company. There is a poor culture of staff management in the company. In this kind of culture, staff are treated with less regard in terms of welfare, counsel, personal growth, emotional challenges, and every other aspect that a company needs to focus on.
They forget that success is first about the people inside before the people outside. So this laidback culture, unethical leadership, and every area where the company falters in terms of staff management accumulates over a period of time and produces a bomb. This bomb explodes in the face of that employer of the month as he watches in awe, the mass of exodus of his wonderful employees.
At the end of the day, a pool of talent acquired in mass, leaves in mass. The idea about bringing them was fantastic, but the plan to keep them was abysmally woeful. Great idea, poor execution, that’s the phrase, and this have plagued many companies. The big misperception is that:
let’s hire a team of talented and resourceful young minds to achieve a stunning hyper-growth and then we can be happy. We can continue to grow and grow till we catch up with our models. That’s it.
What then is the Solution?
According to foremost entrepreneur Jeff Chin on the common misconceptions about startups, he said and I quote “Success is hardly ever in the idea but more so in the execution of that idea in the real world.”
If you can take a thing or two out of that statement, then the first is that, ideas are great. No doubt, they are fantastic. But a million-dollar idea will fail if executed wrongly. This is where the startups are found wanting. The solution is execution. How to execute an idea so well and unique that it trumps every competitor in the race. Perhaps a paradigm shift is needed in the status quo of the company. Perhaps disruptive thinking and brainstorming is all that is needed, but let there be an excellent execution of the excellent idea.
And then there’s the ultimate culture shift that needs to be faced squarely. It starts by identifying the blueprints for the startup. Questions like: What’s the intent for starting? Who are we? What’s our primal mission? What’s our distinction? What will be our definition for success or yardstick for it? Answering these questions can keep startups on track and mitigate distractions.
Culture shift also demands that processes need to evolve. Newer ways of tackling challenges, doing things and strategizing should form the building blocks of any startup that can boast of hiring its dream team.
Furthermore, there’s the need to instill a sense of ownership in the minds of employees. They should learn to be accountable and take responsibility for any major or minor setback. The feeling of ownership and accountability keeps their loyalty intact and strengthens it even.
Hyper-growth in startups are unlike some plants in the soil that grow by nature’s influence. They don’t grow organically, they grow by doing the right things at the right time, and focusing on the building blocks for sustenance. They can be likened to seeds that are planted in certain seasons, watered daily, protected, vitalized with nutrients, and intentionally observed as they grow.
Thankfully, there’s a grand formula which startups can use to not only achieve hyper-growth but to sustain it. This formula essentially summarizes everything in this article in a single sentence.
Here it is:
Hiring right people at the right time + (Culture shift, rightful execution, and evolved processes) = Sustainable Hyper-growth.