Balancing Challenges in Small and Large Organizations
In the world of business, organizations come in all shapes and sizes, each facing a unique set of challenges. The obstacles for small and large companies often differ significantly, yet they share a common thread: the need for balance and adaptability.
Small businesses frequently grapple with limited resources. Whether it’s a lack of personnel to tackle growing challenges or insufficient budget to explore new markets or launch innovative products, small companies must constantly prioritize. The constraints of time, funding, and manpower demand creativity and efficiency.
In contrast, large organizations face a different set of difficulties. Consider the recent case of Farfetch, a company that scaled rapidly but struggled to maintain control over resources and projects. This lack of oversight ultimately led to unsustainable situations. While large companies may overcome some of the hurdles small businesses encounter, they often face challenges that are far more complex.
One key issue in large organizations is the opacity of problems. Unlike small businesses, where issues are typically easier to spot and address, large companies can go years without recognizing why certain departments underperform or identifying individuals who fail to contribute value. This can jeopardize the entire organization, as inefficiencies or unaddressed challenges can snowball into larger crises. For instance, if a company collapses, it impacts everyone involved, regardless of their individual contributions.
Another fundamental challenge in both small and large organizations is the balance between taking on tasks personally and delegating them. Assuming responsibility for a task provides control and visibility, but individuals are inherently limited by time and capacity. Delegation, on the other hand, allows for scalability in delivering value but may lead to a loss of control over the timeline and quality of the work delivered.
Delegation in large organizations adds another layer of complexity. Large teams often involve specialized roles, and excluding key stakeholders from major projects can create downstream issues. Attempting to centralize tasks too much can result in missed feedback or critical warnings, ultimately jeopardizing the project’s success.
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So, how can we address these challenges, especially in large organizations? It starts with understanding the problem at hand. This often requires thorough exploration to identify impacted areas and key people who need to be involved. Once identified, holding sessions with relevant stakeholders ensures that crucial perspectives are considered.
Project management principles offer a solid foundation for tackling these issues, emphasizing structured approaches to planning, execution, and reassessment. Even so, it’s essential to continually reevaluate problems, ensuring that the right individuals are involved while avoiding unnecessary involvement from others.
Ultimately, success comes down to people and the connections between them. Until machines replace us entirely, we must remember that people drive projects forward. As the saying goes, “It’s through communication that we understand each other.â€
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SAP Financial and Controlling Consultant, Master in Computer Science. I am SAP Champion and I'm part of the organizing group for the SAP Inside Track Fortaleza and SAP Inside Track Porto events!
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