Reason 1. Knowledge transfer.
When you have found your product-market fit, you need to start scaling your operation. This means rapidly hiring new people and teaching them all your work’s nuances. Your company vision, mission, values, products, ways of working, and all the specifics of the role the employee is hired to do. But teaching takes time. It distracts your current employees from doing the job that they were hired to do. Instead, they spend time mentoring and teaching new hires. Sooner or later, you reach the threshold of how many new hires your company can integrate, which becomes your growth limiting factor.
Reason 2. Losing company know-how.
Your product, marketing, sales, support, and other specific business processes are unique. A lot of the knowledge of how your business operates is sitting inside your employees’ brains, and when they leave, they take it with them.
When you ask people who are leaving to teach their successors. How do you know they have told everything that needs to be told? How do you know that they covered all the details of the role entirely? How do you know that the new person understands and remembers everything they need to know to succeed in their position?
Reason 3. People don’t like to learn the specifics of your company.
All new employees come with their existing knowledge. They have been studying in colleges and universities. They have been working in other companies and have years of experience. They come hoping that they can apply what they already know rather than learning from scratch how you want them to act in their roles in your company. But as a founder and CEO, you have your vision; you have your tried and proven approach that has brought your company to where it is today. Your company is growing; all you want is to get new hires aligned and up to speed as soon as possible, ideally cloning existing high performers to replicate your successful way of working.
Reason 4. You repeat the same mistakes.
Your employees will make mistakes. You will spend time with them, searching for the root cause and correcting them. All at your expense as the owner. When your company starts to grow, the same mistakes will be made by different people, in different locations, repeated again and again, slowing your growth and making growth more expensive.
Reason 5. Hiring A-players takes a long time and is expensive.
I remember how energized and enthusiastic I was after reading “How to hire A players” and “Who. The A method for hiring.” I wanted to put that knowledge into play as soon as possible. Two painful years later, I realized that hiring A players is very expensive. Not only this but finding those A-players takes lots of time. And even when you find them, they have their own opinions about how to do things. A-players often don’t want to follow a pre-defined process that you think is working for your company.
You cannot rely on A-players if you want to scale your business fast.
What’s the cure?
You might ask yourself, “what can I do to solve these problems?”
There are, of course, different solutions available. I’ve tried consultants, HR systems for onboarding, systems for knowledge management, learning management systems, etc. All these things worked to a degree with different limitations, but none of them could satisfy me completely.
Now I have found a much better solution, and if you want to know what it is, contact me.