An Introduction to the 7 Stages of Enterprise Growth Put Your Title Here Alignment. Engagement. Implementation. An Introduction to the 7 Stages of Enterprise Growth

The Goal: Help you find the code!

Plenty of Experts …… Mastering the Rockefeller Habits The Breakthrough Company One barrier to growth is the need for the executive team to effectively delegate and predict. Vern Harnish, author of Mastering the Rockefeller Habits Long-term growth will only happen if the company learns how to operate differently as it grows larger. Keith McFarland, author of The Breakthrough Company

Would You Like a Crystal Ball? How prepared are you to predict how growth will impact your company? What if you could identify growth issues before they set in?

What Needs to Be Done, When? Can’t do it all Who knows best Can look like a game of chance Easy to react to who’s buttons are being pushed

The 7 Stages of Entrepreneurial Growth

Stage 1 – Start Up 1 – 10 employees CEO-centric Still trying to figure it out It’s chaotic Hire for fit not skill

Stage 2 – Ramp Up 11 – 19 employees CEO-centric Focus is on growth, not survival Moving beyond owner’s span of control Starting to delineate responsibilities

Stage 3 – Delegate 20 - 34 employees Enterprise-centric CEO must start releasing control Staff revolution Staff will leave if not given roles and responsibilities

Stage 4 – Professional 35 – 57 employees Hire professional managers who have been there done that Build confidence in divisions Too big to rely on faulty systems

Stage 5 – Integration 58 - 95 employees Focus back on company Getting managers to ‘play well together’ Training is critical for all employees

Stage 6 – Strategic 96 - 160 employees Perspective needs to shift as you are now on radar of other competitors Emotionally aware leaders do well Culture and core values are key

Stage 7 – Visionary 161 - 500 employees Cruise liner not a speed boat Lose sight of target and competitors will eat you for lunch CEO must ignite fires of inspiration to avoid complacency

The 7 Stages of Entrepreneurial Growth

Flood Zone

Wind Tunnel

Outcomes from Understanding Your Company’s Stage of Growth Help gain clarity of where a company is today and why the company may be experiencing specific growth issues Alignment of management team which allows issues to be identified and addressed sooner Look behind, examine today and look ahead to see what’s creating obstacles to growth Help create a language of growth that will resonate with every single person in the company

The Rules That Govern the 7 Stages of Growth The movement from one stage of growth to another begins as soon as you land in any stage of growth What you don’t get done in a specific stage of growth does not go away Time will make a difference If you aren’t growing, you are dying

Three Gates of Focus Profit/Revenue Gate People Gate Process Gate Predicting growth by maximizing and anticipating profit and revenue, protection and capacity issues People Gate Building competency and innovation through the conscious development of people Process Gate Transforming complexity into clarity through systems

Three Gates of Focus Stage 1 Stage 2 Stage 3 Stage 4 Stage 5 Stage 6 Profit People Process

What Are the Three Faces – What Face Are You Wearing Today? Visionary: Can take the most insignificant situation and turn it into an opportunity. Manager: Creates order and focuses on the pragmatic systems and procedures that make the company run well. Specialist: Is action oriented and detail focused, driven to complete tasks and centers on results, not ideas.

Three Faces of A Leader Stage 1 Stage 2 Stage 3 Stage 4 Stage 5 Visionary 40% Manager 10% Specialist 50% 20% 60% 30% 70% 45% 5% 75%

Builders and Protectors: Which One Are You Today? Builders: A Builder mindset creates new ideas, takes on new initiatives, finds ways to expand the revenue and profitability of the enterprise. They are risk tolerant and highly supportive of growth. Protectors: A Protector mindset is cautious and prefers to slow things down. They are risk averse and highly suspicious of growth.

Builder/Protector Ratios Stage 1 Stage 2 Stage 3 Stage 4 Stage 5 Stage 6 Stage 7 B/P 4:1 3:1 1:1 3:2 2:1

27 Challenges Exercise What is the Value?

27 Challenges – Alignment. Engagement. Implementation. Forces a company to put words to their critical top 5 issues Provides an opportunity to see how the leadership team defines the company’s top challenges Forces a discussion that moves the company toward alignment of goals and objectives Allows the leadership team to build confidence as they proactively tackle critical issues Forces a deeper discussion about how to address each of the top 5 challenges Helps the leadership team to address more strategic issues once everyone agrees to problems

Project Management & Resource Coordination Challenges Are processes captured, written down and reviewed regularly Are these processes being followed If processes are in place, are they working Has the company identified key success indicators and are they being tracked and measured Is there a project management template

Leadership/Staff Communication Gap Is there a written vision and mission statement Are there well defined core values Is there a communication plan Are people held accountable for performance measurements Do managers conduct one-on-ones with direct reports weekly

Need for a Flexible Planning Model Does the company understand how they plan to grow Do they have a 6 month short term plan especially if they are in crisis mode Does the company evaluate its strategic planning concepts regularly and make adjustments Is there a feedback loop to identify improvements in processes

Need to Have Better Staff Buy-In Is there a strong vision, mission that is written down Have core values been identified Does the leadership of the company walk the talk Are managers conducting regular one-on-ones with their direct reports Do employees have a say in how problems get solved

Discussion What specific issues surround this challenge? What are 3 – 4 ideas that will help you create an action plan to address this challenge? As a leader, how can you engage your team to help create solutions for this challenge? What are the key indicators you can put in place to ensure you are tracking results?

Plenty of Experts …… Mastering the Rockefeller Habits The Breakthrough Company One barrier to growth is the need for the executive team to effectively delegate and predict. Vern Harnish, author of Mastering the Rockefeller Habits You need to know WHEN and HOW … The 7 Stages of Growth can provide those answers …… Long-term growth will only happen if the company learns how to operate differently as it grows larger. Keith McFarland, author of The Breakthrough Company You have to know what Operating Differently looks like ….. The 7 Stages of Growth tells you what to do, when ……

Solutions to Your Growth Challenges Stages of Growth XRay: Alignment. Engagement. Implementation. Focusing on the right things at the right time. A Strategic Planning Program for a CEO and his/her management team to stay ahead of their growth curve. Zeroing in on Your Company’s Profit Zone: Identifying the 9 activities of a company’s profit zone. Creating a proactive plan to help each person see how their job impacts the bottom line.

Solutions to Your Growth Challenges Destination, Greatness: Your Financial Success System. An online program that teaches business fundamentals that lay the groundwork for success. Monthly Growth Calibration Program: One-on-One monthly sessions designed to address current issues, provide accountability, and improve confidence and decision making.

You can reach Laurie at 520-906-1119 or laurie@igniteyourbiz You can reach Laurie at 520-906-1119 or laurie@igniteyourbiz.com And I invite you to visit: www.igniteyourbiz.com www.destination-greatness.com www.growthcurvespecialists.com