The Single Biggest Thing A Business Needs To Grow

I’ve been working with business owners for almost 15 years. So, when someone asked me…The need for, and a willingness to change in order to grow successfully

“What’s the single biggest thing that you think separates companies which grow successfully from those which don’t?”

…I realized that I needed some time to think about it.

As I weighed one thing, then another, over the next few days, I came to the conclusion that the answer is NOT about having:

•    Plenty of cash
•    A price advantage
•    Top quality products and services
•    Products or services protected by patents
•    A broad customer base, not just 1 or 2 really big ones
•    A presence in several markets
•    Great people (which you will know, if you read this blog, I think is huge)
•    A winning strategy
•    A great culture.

Yes, you need all of those things – and others I haven’t mentioned. But they become worthless if one thing is missing.

The single biggest thing that I think separates companies which grow successfully from those which don’t IS…the business owner understands that he or she personally will have to change, and they are willing to make those changes.

At first I thought the answer was just the owner understanding that she or he needed to change.

Then I remembered that we’ve worked with entrepreneurs who have demonstrated that. But they have subsequently been unwilling to make the changes.

In some cases, what we perceived as unwillingness may have actually been inability to change – either because they couldn’t see the need or they lacked the skill to make the changes required.

The owner’s role remains constant – to provide the direction and to put the people, processes and other resources into place in order for the company to grow. However, as each revenue plateau is reached, the way in which they do that has to change in order for the company to successfully scale the next one.

They not only need to learn new things and hire people with the skills they lack, but they may also have to adapt their management/leadership style and even their behaviour.

And they have to do that while ensuring that the other challenges – for example, adapting to changes in the market or industry; funding growth; maintaining product/service quality; recruiting good people, fending off competitive action – are dealt with.

This is not easy. So it shouldn’t be surprising that some owners either choose not to do it or that some simply can’t.

I don’t believe that it’s for us, or anyone else, to judge a business owner by whether or not they do or do not grow their company. Just starting and building a business requires courage and the willingness to accept a level of risk that many people can’t, or won’t, take.

So that’s not my point.

It’s simply my opinion that the single biggest thing that separates companies that grow successfully from those that don’t is the owner’s understanding and willingness to change him or her self.

 

If you enjoyed this post you’ll also enjoy 3 Times When You May Need To Change Your Strategy

Click here and automatically receive our latest blog posts.

Share

Tags: adapting to change, business owners, challenges, direction, growth, industry, Jim Stewart, Leadership, learning, management, markets, People, processes, ProfitPATH, resources, skills, strategy, Strategy Execution

Add a Comment

*

Post History