There are a number of typical mistakes that a company might make, in many cases being convinced to do the best for the company growth. Since it can be a costly affair to make mistakes in the business world, these aspects should be taken into consideration.
List of typical mistakes to avoid during company growth
Transferring the model to another country on a 1-to-1 base
A major and frequent mistake is the wish to do everything as usual by transferring the company principles that had been successful to another country, without adopting the details to the specific situation found in the new, foreign market. Company growth may come to a halt, since this strategy does not take the following points into consideration. Another country is another country, it is as simple as that. So judicial aspects and issues regarding the specific form the company should take are often disregarded. This is bound to fail, unless there is a person who is very qualified and knows about the specifics of the country envisaged. Another option might be to hire a “country manager” who deals with all those major and minor differences to be covered before the company takes off in a new terrain.
To take on everything regardless of capacities
As understandable as it may be to jump for each order placed by the clients it might be counter-productive if one does not calculate the company´s capacities properly. Company growth might easily be hindered at this point as it may come to a jam with orders piling up and deadlines not being met. So, it is more than advisable to check capacities before taking on new orders – otherwise the clients not being served will show their discontent, and this may spread widely. Checking what are reliable profitable orders meeting the company´s core competences is by far more effective.
To cling to the old structures no matter what
In the old days it was common practice to do what we have always done, but today things have become much more dynamic. So, in order to ensure company growth and keep your staffers satisfied, one should be ready to change if something requires changing and also keep to promises made. The internal structures have to follow the products and the changes that are required to keep pace. Only if one adopts the structures to modern times, a company is able to be up to date and successful.
The fear of trying out new things
It is common practice, too, to take successful role models, companies that have proved successful, and follow their pattern by imitating their style and their products. This seems a good idea at first sight, but may in actual fact prove stifling when it comes to company growth. Looking at what “big brother” is doing prevents a company from leaving the comfort zone and trying out new things that may be individually effective. In this context a tip might be to find and concentrate on a niche product and develop it. In other words, a personal profile is by far more effective when it comes to company growth than mimicking others.
To stick to one´s own know-how
Being a lonesome wolf is not the path to company growth. This wolf might get lost in the wilderness or even the desert. It is more advisable to get fresh ideas and impetus from others, resulting in a really thrilling idea that is supported by the business environment. Getting fresh ideas might be best if one hires a true expert coming from the outside. This fresh blood also provides a fresh view that expands the company´s horizon.
We know best – starting a project without carrying out a test phase
Even though a project or product may seem phantastic in theory it may turn out to be a flop when it comes to putting it to practice. Thus, it s advisable to test the project using a small group or focus group to deal with the way the project “flies”. This knowledge, along with a knowledge of what might be drawbacks and obstacles, might be most valuable in terms of company growth.