Agilexecution Consulting – Company Stages III & IV:
Company stages are determined by how big the firm scope of business operation and resources that supporting it.
After facing so many challenges, as the owners or top management become more acquaintance. On this stage, the challenge will lie on how to expand the company’s achievements and make sure that it will be achieved with stability and profitable.
The mindset that need to keep in this stage will be how to make the company as the platform to growth or as a means to support the bigger objectives. The toughest challenge in this stage is to stay focus and relevant with the nature of business that nurtured from stage I and II.
Another challenges also to ensure economic success and profits as the transformation is done. The changes will include the expansion of functional managerial team as well as its expertise to navigate the bigger ship. Even the cash are sufficient enough but without prudence allocation, the turning point can be very critical if not risky.
At this stage the role of owner become lesser than the managerial team in monitoring the planned strategy up to desired result execution. However, the process of disengagement by the owner, to some degree can also give special challenges. As trustworthy and capabilities to navigate as successful as the owner are frequently shown as count to give positive credibility assurance.
With the company rapidly bigger along with the exponential financial growth, the challenge gets layered and complex.
Some major questions asked will be in the area of:
Can delegation process flow evenly according the organizational structure? The delegation will be accompanied with expected high performance.
Will the top management give room for learning to process including mistakes made?
Will the tolerance of high debt-equity ratio or tight cash flow be possible as long as the expenses are controlled?
Is the ill-investment upset the owner or top management and make major turning point?
In this stage IV, the organization grow bigger and begin to have needs to be decentralized. The competent leader are default necessities to function in both operation and strategic planning in the company.
The ambitious goal will be very appealing but without meticulous checking, the higher leap wouldn’t happen in overnight process. This critical leap, will determine whether company fails or make big time jump to stage V.