Expanding your practice is an exciting and challenging goal, but it also comes with risks and uncertainties. How can you ensure that your stakeholders, such as clients, staff, partners, and investors, are on board with your vision and supportive of your decisions? Here are some tips to help you manage stakeholder expectations during expansion.
The first step to managing stakeholder expectations is to communicate your vision clearly and consistently. Explain why you are expanding, what benefits it will bring, and how it aligns with your mission and values. Use different channels and formats, such as newsletters, meetings, webinars, and social media, to reach different audiences and reinforce your message. Invite feedback and questions, and address any concerns or doubts promptly and transparently.
Managing stakeholder's expectations is an important underlying theme of any practice expansion plan. In my experience, the success of expansion program solely depends on contribution of various stakeholders during this activity. I have found the following things helpful: 1. Communicate clearly the need for expansion and the benefits to a specific stakeholder once the expansion is successful 2. Request for their support and clearly mention what specific role you expect them to play 3. Outline the success criteria for the expansion program 4. Create a communication cadence. You can share progress of the program, invite feedback and suggestions 5. After expansion is live, take time out to celebrate the success and acknowledge contributions
Effectively managing stakeholder expectations during business expansions hinges on clear, consistent communication and realistic goal-setting. It's crucial to keep stakeholders informed about the expansion's objectives, progress, and potential challenges. This transparency helps in aligning their expectations with the company's strategic vision. Additionally, providing realistic projections and acknowledging potential risks demonstrates a balanced understanding of the expansion's implications. By engaging stakeholders through regular updates and feedback mechanisms, their concerns can be addressed promptly, ensuring a collaborative approach towards the growth journey.
Like all projects, the rot sets in right at the start! In a world of projects competing for scarce shareholder funds it is vital not to over promise - the temptation to show a very short hockey stick performance must be avoided. The projects success will depend on the sponsor being able to communicate and sell a realistic vision - not one based on flakey assumptions designed to get project approval. You would not expect a farmer to successfully pack in 8 seasons in a year instead of 4! Shareholders need to be persuaded that project glitter is almost invariably ‘fools gold’.
Communication is key: It is important to establish clear and consistent communication channels with all stakeholders. This may include regular meetings, emails, newsletters, and updates on your website or social media. In addition, be transparent about your expansion plans, goals, and the potential impact on various stakeholders. Address any concerns and questions openly.
I concur that establishing mechanisms for ongoing dialogue and actively seek feedback, listen to concerns, and responding in a timely manner, fosters a sense of collaboration and involvement. Conveying a vision is a good way to begin but you must keep your candle burning otherwise darkness will soon engulf your premises.
The next step is to define your objectives and milestones for the expansion project. What are the specific, measurable, achievable, relevant, and time-bound (SMART) goals that you want to achieve? How will you track and report your progress and performance? How will you celebrate and reward your achievements and learn from your challenges? By setting clear and realistic expectations, you can avoid confusion, frustration, and disappointment among your stakeholders.
When a business is expanding, it’s really important to manage expectations on how quickly that might happen. Setting out some very clear and well thought through milestones with specific goals and dates is a great way to set out a defined path and manage stakeholder expectations. The dates can always change if things happen faster or slower, but the sequencing largely remains the same. I was the Finance Director for a business that scaled from $500m to over $2bn of revenue in less than 2 years, and the biggest thing I learnt from that is that growing too fast is not a good thing. You need a plan to scale the infrastructure and support at the same rate as the sales.
One expansion program that I managed I followed the process of formulating SMART Goals and then setting up a project for each Smart Goal to ensure successful completion. We then formulated the work breakdown structure into a RASCI Responsibility Matrix. This facilitated the stakeholder involvement extremely well and furthermore reduced the level ad hoc communications to basically zero.
I emphasize that during the planning phase is possible engage stakeholders to understand their expectation to avoid bias. In addition to that, you should find out the quick wins of the project to keep everyone motivated this will pave a clear understanding of where they are leading.
2. Define your objectives and milestones: Set specific, measurable, attainable, relevant, and time-bound (SMART) objectives for the expansion. Break them down into milestones to track progress and provide stakeholders with a clear roadmap.
The third step is to involve your stakeholders in the expansion process. Depending on their level of interest and influence, you can engage them in different ways, such as consulting, collaborating, informing, or delegating. For example, you can consult your clients about their needs and preferences, collaborate with your staff on designing and implementing new processes and systems, inform your partners about your plans and opportunities, and delegate some tasks and responsibilities to your investors or advisors. By involving your stakeholders, you can build trust, commitment, and ownership.
In my experience, the biggest challenge in managing stakeholders during a period of change is to move them from being passive participants to actively engaging in the programme. It is very easy to be an observer and to take a quality assurance type role….what the programme usually needs however is active support and communication, a role which extends far beyond the attendance at a steering committee;)
Engage stakeholders early: Involve key stakeholders in the planning and decision-making process from the beginning. Their input can help shape the expansion strategy and ensure their concerns are considered.
3. Involve your stakeholders: Engage stakeholders throughout the expansion process. Seek their input, listen to their concerns, and involve them in decision-making. This will make them feel valued and increase their buy-in.
The fourth step is to manage changes and risks that may arise during the expansion. Change is inevitable and often necessary for growth, but it can also cause anxiety, resistance, and conflict among your stakeholders. To minimize the negative impacts of change, you need to plan ahead, communicate effectively, provide support and training, and monitor and evaluate the outcomes. Similarly, you need to identify, assess, and mitigate the potential risks that may affect your expansion, such as financial, operational, legal, or reputational risks. By managing changes and risks, you can reduce uncertainty, increase confidence, and enhance resilience.
4. Manage changes and risks: Expansion often involves changes in processes, systems, and roles. Anticipate and manage these changes effectively by communicating the impact on stakeholders and involving them in the transition process. Address any risks or challenges proactively.
This is the hardest part: getting buy-in and ensuring your sponsor is solidly in your corner for backup with push back. This is also the longest and most challenging phase to manage. Leading people through times of change takes patience, understanding, at the elbow support, encouragement, and consistency.
The fifth step is to seek feedback and improvement throughout the expansion. Feedback is essential for learning, adapting, and improving your practice. You can collect feedback from your stakeholders in various ways, such as surveys, interviews, focus groups, or online reviews. You can also use data and metrics to measure your results and impact. Based on the feedback and data, you can identify your strengths and weaknesses, and implement changes or improvements as needed. By seeking feedback and improvement, you can demonstrate your value, quality, and responsiveness.
5. Seek feedback and improvement: Regularly collect feedback from stakeholders to gauge their satisfaction and identify areas for improvement. This can be done through surveys, meetings, or other communication channels. Act on the feedback received to enhance stakeholder experience.
Actively seek feedback from stakeholders throughout the expansion process. This can help you identify issues early and make necessary adjustments. It worth showing that you value their input and are willing to make improvements based on their suggestions. Also, keep stakeholders informed of the progress of the expansion and regularly share updates on milestones achieved and any adjustments made to the plan. If there are delays or changes in strategy, explain the reasons behind them and the steps being taken to address the situation.
5. Seek feedback and improvement: Regularly collect feedback from stakeholders to gauge their satisfaction and identify areas for improvement. This can be done through surveys, meetings, or other communication channels. Act on the feedback received to enhance stakeholder experience.
It's important to seek feedback using different methods: conversations, polls, feedback forms, surveys, etc. In person (verbal) and electronically (surveys, email, polls) - not either/or.
The sixth and final step is to appreciate and acknowledge your stakeholders for their contribution and support. Expansion is not a solo effort, but a collective achievement that requires teamwork, collaboration, and cooperation. You can show your appreciation and acknowledgment in different ways, such as thank-you notes, testimonials, referrals, rewards, recognition, or events. By appreciating and acknowledging your stakeholders, you can strengthen your relationships, loyalty, and reputation.
It's important to call out specific actions to acknowledge, not general "great job for helping." To add even more value to the appreciation and acknowledgment, do it in a way that is visible to others, so they may see examples of performance that will earn kudos. Also, the recipient will receive even more affirmations from others when specific skills, achievements, and desired behaviors are on display.
Build trust: Consistently demonstrate integrity and honesty in all interactions with stakeholders. Be accountable for your actions and decisions, and take responsibility for any mistakes or setbacks. Monitor and adapt: Continuously monitor the evolving expectations and concerns of your stakeholders as the expansion progresses and be prepared to adapt your strategy and communication approach to address changing needs. Celebrate successes: When significant milestones are achieved, celebrate them with your stakeholders. This helps build a positive atmosphere and reinforces their confidence in the expansion's success.
Alignment with stakeholders and board is most critical during expansion or process improvement projects; or any matter per say that involves business management. There must not be a buffer in between or a relaying party in between conveying the messages.. as this kills the original message and perspective. Have direct interaction and be accountable.
6. Appreciate and acknowledge: Recognize the contributions and support of stakeholders during the expansion. Show appreciation for their involvement and acknowledge their efforts publicly. This will foster positive relationships and motivate stakeholders to continue their support. In addition to the above, it is also important to consider factors such as maintaining transparency, providing regular updates, managing expectations realistically, and ensuring effective communication channels are in place. By implementing these strategies and considering these factors, you can effectively manage stakeholder expectations during the expansion process.