How to Stay "Lean & Mean" Like a Start-Up

Why do growing organizations begin to lose their "edge"? Why do businesses with such incredible promise, veer off-track as they attempt to expand?

It seems that growth, is a very risky business.

I've pondered the growth-risk dilemma for years. But, for anyone that currently owns - or works within a growing organization, this is a current and pressing problem. (The more rapid the growth, the more danger it seems to bring.) Growth brings risk to an organization on a number of internal and external fronts — and protecting core elements of the organization becomes key. Interestingly, some of the answers to these threats may dwell within the developing organization itself.

Of course, organizations require some level of structure to facilitate task completion. However, there is a marked tendency for organizations to become increasingly inflexible as that structure evolves and solidifies.This can affect a number of key processes.

Firstly, the developing structure can begin to strangle the flow of quality information within, and to the organization. Secondly, the structure can begin to limit the agility of the organization to respond to that information.The accompanying outcomes can be costly. But it is possible to mitigate some of the risk. A few ideas to deal with these issues:

• Protect perspective with great conviction. As organizations develop, leadership can become increasingly insulated from their employees and the external environment. This process can trigger nasty by-products, such as Group Think. Embrace dissension and encourage employees to challenge ideas, in an effort to keep a healthy and "connected" point of view.
• Get the information to the right people. Collecting data is one thing - using it wisely is another. If you collect and review production or customer metrics, put the information in the right hands — where change can actually happen. Data simply for the sake of data, can lead to frustration and lowered morale. Don't let the information become "hijacked" within structure.
• Harvest knowledge around you. You don't require a consultant to tell you when things are running a bit "off course" — you'll know it in your gut. Explore a developing issue quickly with those that are most knowledgeable - your employees. By the time that consultant arrives, the long-term damage may have already been done.
  
• Don't lose the ability to "swarm". Form must follow function — and structure should not stifle response times to emerging challenges. To remain competitive while expanding and developing structure, organizations need to maintain the ability to quickly assemble teams to problem solve. (see a related post on Work Swarming here). Without this agility, responses to stressors, both internal and external, can become sluggish and ineffective.
  

How do you protect your growing organization from the common "plagues" that larger organizations can experience? What are your strategies?