There comes a time for most business owners when they confront the challenges of scaling their business – or “taking it to the next level,” as the process is also sometimes characterized.
It’s a “good problem to have.” It can be exciting to see the business that you’ve built grow and become more successful. It’s the realization of your dreams, after all. However, as you make plans to scale up your business, the proper preparation in advance can help prevent that dream from turning into a nightmare.
There’s nothing worse than getting a lot of new business and not having the systems in place to successfully accommodate the new customers.
A Harvard Business School article addresses some of the initial framework needed as you prepare to scale up.
First, it’s never too early to start planning for expansion and growth. Be developing a plan to scale your business and being ready may help you avoid some of the “growth pains” down the road. When you add those new customers or services, nothing is more off-putting to a new customer than having the feeling that you aren’t up to the task of handling their business. Planning ahead can avoid that undesirable situation – keeping your business sustainable and you ready to meet the moment.
So, where to begin? First, there should be a key understanding among all stakeholders as to what the business’s products or services are, and who are their ideal customers. Then, does the business have the right internal processes in place to handle an increase in business? Having the right processes in place is key to success and growth. As more than one business coach has advised would-be entrepreneurs, “If you don’t know where you are going, how will you know when you get there?”
Remember, growth can sometimes come unexpectedly, on a different timetable than you anticipate.
Areas of Growth
The Harvard Business School article recommends focusing on these areas for scaling a business:
- Staff: Do you have the right team in place to ramp up your business? Do you have top performers? Don’t compromise on talent; hire and retain the best.
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- Structure: Having the right organizational structure in place is critical to success as the company grows. The owner and/or founders cannot make every decision and will need to delegate to other seasoned leaders with the skills to carry forward. This can be accomplished in part by the right training and mentoring.
- Speed: Assess how fast your business can grow. While it is ambitious and entrepreneurial to want to grow as fast as possible, plan with your team what is reasonable. Do you have the technology and other systems in place to accommodate that growth? More on that a little later.
- Scope: Where do the opportunities lie for you? If you run a CPA firm, for example, and you have enjoyed success dealing with clients in the legal field, what is another industry vertical that would make sense for our to explore? Or, are there additional services that you can add to your offerings to existing and future customers? Following a roadmap that you have sketched out (so to speak) will make this process easier. It is important to identify who/what the ideal clients will be so that your expansion efforts are focused.
- Financing: How does your financing align with your growth plans? Do you have the resources to accommodate expansion? Do you have strong and solid relationships with a banker or other financial provider should you need one?
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Technology for Company Growth
Another important aspect of scaling up a business is to have the proper technology in place to assist with your ramping up. Consider some of the technological tools to assist, including:
- CRM system: A CRM system can connect your data, your teams, and customers all on one platform. In turn, this serves to unify your marketing, sales and service teams. The right CRM can help with lead generation and email marketing, and overall organization of communications.
- Customer management software: It can help, particularly with e-commerce where you can create live chats, and provide ticketing support and other functions.
- The introduction of Artificial Intelligence: AI brings business tools to the next level, where the possibilities are almost endless. AI can be used to make predictions and projections about customer behavior, revenue forecasting, and potential impacts on your business operations. There are many AI tools available to the business owner. We can assist in helping you determine how AI can help you scale your business.
- Digital transformational tools can help a business with productivity and collaboration techniques, efficiencies, and document management, among other tasks.
- Project Management Software: For project planning, scheduling, task management, and helping project managers and teams plan, track, and report on projects, the right software can be an important took in the “Scaling up your business” toolbox.
- Help desk software: Help desk management software helps businesses manage customer support, track requests, and resolve issues. There are a number of popular options on the market.
- Streamlining your costs and operating systems: In addition to the digital transformation tools previously mentioned, a business can prepare for expansion by being certain that the business is running at peak efficiency. One method of accomplishing this is through a print management system which looks at reducing costs of overall document generation. As a point of reference, the right document management system can bring down the cost of generating documents by a significant amount. The average business spends up to 3% of its total bottom line on tasks related to generation of documents, and the right management system can reduce those costs by up to 25%.
- And, even the business with the best technology and processes is only as good as the protection that its network has. Don’t overlook the importance of having the right Managed IT program in place protecting your infrastructure and all its information.
Scaling up your business is a positive and exciting step in your company’s growth. Take the time to be ready for an increase in business by planning ahead. We can help you as your grow your business. If you are looking for ways to get the most technological “bang for your buck,” visit pulsetechnology.com/contact-us or give us a call at 888-357-4277. We’re here to help!
