Growing pains are a great problem to have. However, they are one of the biggest challenges for a company to achieve success. Success at scale means transitioning from a scrappy entrepreneurial mindset to one that follows processes and procedures meant to ensure consistent, measurable, and reliable results.

There are a few reasons this transition is so difficult. One is simply the change in atmosphere necessary for this transitional growth. This seat-of-your-pants entrepreneurial hustle mindset is simply incompatible with success in the scaling and process-driven phase. 

In an up-and-coming organization, the best team members thrive by working with all hands on deck. When a problem arises, these team members don’t wait for permission to solve the problem, they just jump in and help. This builds cohesion and shared buy-in, but it isn’t sustainable long term. When processes don’t exist, these types of employees and leaders thrive on the freedom. Their can-do attitude and ability to be a self-starter is critical to success. The wait-and-see employees who need permission before they can act are likely managed out of this business or are not nearly as acknowledged as their counterparts who are jumping into the fire ready to firefight.

But as an organization grows, especially if it has taken on investment like private equity or venture capital, operating in this entrepreneurial all-hands-on-deck style is untenable. You need to find ways to delegate responsibilities. 

Should the CFO be handling a customer complaint ticket because they were the first to notice the ping and the other customer success employees were busy with another task?

Should the new hire, who has been shadowing and learning from one employee, receive a completely different set of instructions to accomplish the same task from a different employee the week the original trainer was out on vacation?

Should the account executive who is one of the biggest revenue earners for the company be able to skip updating the CRM because “he doesn’t feel like it” and points to his track record as to why he is going to be able to hit his numbers for this quarter?

In a scrappy, entrepreneurially minded organization, these types of situations slide through. They happen because action is rewarded over process. 

But they are very inefficient, and every one of these behaviors causes workload debt to build up in the company. The CFO missed an hour they could have spent preparing for the next quarter. The senior team members are forced to redo the newbie’s work half the time because nobody finished training. And the best client just got a second call this week from a different account executive and just called the CEO to see what was going on. Hours and days of lost time will drag the company down. 

And in an organization that wants to grow and drive consistent profitability, something needs to change to ensure people are being held accountable and that there is consistency across the organization.

And the ironic thing about this change is that oftentimes, the person who created the original process for how things are done is excited to update it. They will readily admit that they just threw something together using whatever resources were at their disposal and they are optimistic that the new system could be better. However, this won’t be the case for every team member.

Change is hard, and those who become accustomed to a routine or way of operating are incredibly difficult to change. 

If you have ever upgraded your ERP or CRM systems you likely have felt this pain and are acutely aware of how hard it is to get people to change. 

Here are 4 steps to driving strategic change in an organization:

1. Having a change plan is critical to successfully driving strategic change in an organization. The key changes need to be laid out, prioritized, and planned so as to avoid too many changes happening all at once. Everyone feels more comfortable following a well-laid plan. Too often organizations try to cram too many changes in at the same time - leading to confusion, change fatigue, and loss of confidence in the executives driving the change.

For strategic change to occur, trust must exist between the executive team driving the change and the employees implementing the change.

2. Too often change efforts are described using words that emphasise what’s in it for the company and not the individual. “With this change, we expect to improve our EBITDA by 67%”. Unless employees have equity in the company, they don’t really care about how the books will change because of this extra work. What they really care about is what is in it for them.

Therefore, every message needs to be crafted for each employee. What drives one person might not drive another. Some people are motivated by work/life balance, and they’ll appreciate how the new processes will reduce emergency all-hands-on-deck situations. Some are driven by professional growth, and they’ll be excited for the new opportunities that come with scale. And others are driven by their passion and their personal and professional mission alignment, and growth can help them make their mark on the world. The Work Orientation of an individual should help the company understand how to portray the change to each individual.

3. Middle management is at the core of where a change initiative succeeds or fails. If middle managers buy into the change, they are much more likely to hold others accountable when they aren’t behaving in alignment with the change. Therefore, they need to be able to communicate the change in their own words and they need to have the space with the executive team to have their questions answered and concerns assuaged. 

For example, let’s say you are changing CRM (customer relationship management) systems. There was a separate system for managing support tickets and another for managing potential new deals. The new system brings it all together so when support answers a customer inquiry, they can quickly touch base with the accompanying account executive to help make sure that the client is successfully onboarded and can cover the concerns the customer has shared without having the customer repeat herself. If a customer support representative accidentally inputs notes about a customer in the wrong spot in the new CRM system because he couldn’t figure out where to put the notes, it is on the customer success manager to educate the representative on why this was wrong and educate them on how to do it properly. If the customer success manager doesn’t fully understand why the change to the new CRM system was implemented in the first place, they may intentionally or unintentionally not correct the bad behavior. If the bad behavior isn’t corrected, bad habits form and it will likely lead to a follow-on change to a system that didn’t get fixed in the first place. 

4. Getting quick wins and celebrating (even if it feels over the top) is vital to getting the team to buy in to change. Let’s say a technical team is implementing a kanban board to identify where their weekly sprints are and their upcoming product roadmap and the Director of Product Management is wanting to get the sales team involved with adding issues/product development opportunities to the kanban board. It is critical that the Director of Product Management publicly and privately celebrate anytime anyone from the sales team puts something on the board. It may seem like a small task to the sales team but the Director of Product Management knows that if she wants the sales team to engage in the kanban board and the development of their product, they need to be effectively communicating with each other and she needs to provide dopamine to the sales team for following along with what she wants them to be doing.

These are the 4 steps to driving strategic change in an organization. For resources on how to learn how others are handling this transition, consider joining an executive mastermind group to connect with other executives going through similar challenges as you.