Scaling your startup after investment

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    15-Apr-2017

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  • Scaling Your Startup After Investment

  • Who We Are

    Michael Walker

    Managing Partner

    michael.walker@walkerdavies.com@_walkerdavies

    Larry Kotch

    Co-Founder

    Larry@brainbroker.net @brainbroker1

    mailto:michael.walker@walkerdavies.commailto:michael.walker@walkerdavies.commailto:Larry@brainbroker.netmailto:Larry@brainbroker.netmailto:Larry@brainbroker.net

  • Overview

    4 Hiring With Purpose & Development Planning2 Devolving Responsibility

    1 3Org Structure & Strategic Use of Products & Freelancers

    The Role of the Startup

    Leadership Team

  • 01 The Role of the Startup Leadership Team

  • Dude, wheres my Chief Knowledge Officer?

    CEO

    CKO

    CMO

    CDOCOO

    CTO

    CPOCPO

    CIO

    CFO

    Top tip: Just to get us warmed up...dont hire people into C-level positions unnecessarily, as you grow you will need to attract & incentivise more experienced people but to start with just focus on your immediate NEEDS.

  • The role of the startup leadership - Assessing the needs

    Ignore the standard startup structure

    Consider the requirements of the business

    Conduct a brutally honest assessment of your own abilities

    Appoint a team that will complement your strengths & weaknesses

    Remember that the needs of a startup through scale-up business change quickly

    What skills, knowledge &

    experience do you NEED on your

    leadership team?

    Not So Fun Fact: As the founder you do not have to be the CEO by default. Consider who would be best qualified to do this. Dont use C-level titles for the sake of it

    Your leadership must be comfortable being hands-on to begin with before transitioning to a more strategic focus over time (if not you will have a decision to make later on)

  • The changing role of startup leadership - Early on

    Leadership Management

    Leadership

    Define mission

    Set out strategy to achieve mission

    Inspire & motivate

    Management

    Tactical - how will we achieve the business strategy

    Organisation of work

    Line management

    Assign responsibility & ensure accountability

    Fulfilling responsibilities for specific business area(s)

    Leaning more towards management in the early stages.

  • The changing role of startup leadership - Later on

    More leadership, less management More strategic oversight

    Know your numbers! Keep a close eye on the important metrics

    Put managers in place to limit your number of direct reports

    Focus on your key customers or accounts

    Keep everyone focus and working towards the same goal

    Stay visible to employees, you might have meetings all over the place but make sure you get time in the office

    As the company progresses, the responsibilities of the leadership team change

    Leadership Management

  • Devolving Responsibility02

  • Delegate

    Dont do this:

    If you have to sign off every decision you become the bottleneck

    Understand your limitations, you can only control so much

    Automate controls where possible

    Assign budgets

    Top tip:

    Schedule updates

    Aim for admin free leadership

    Only hire managers & staff you will be comfortable delegating responsibility to, set them objectives and give them the freedom to succeed

  • 03 Organisational Structure & Strategic Use of Products & Freelancers

  • The Core Periphery Model

    The Core

    The Periphery

    C-SuiteManagementEquitized StaffTeam LeadersProject ManagersTeam Members

    FreelancersOutsourcedConsultantsContractors

    And always consider automation!

    When considering your hiring & resourcing plans think about your business with the Core / Periphery model in mind

  • The Core Periphery Model

    You need to make IP the core

    Strategic work (must be owned by the core even if provided by a freelance expert)

    Product builders

    Business development and sales (due to lead times & onboarding)

    Experts set strategy using experience

    Junior executes and relays to expert

    Junior is motivated through self development

    Consultant phased out

    Strategic Use of Experts

  • The Optimal size of the Periphery should change with the Company over time

  • Org Structure

    MARKETING SALES DELIVERY SUPPORT INSIGHTS

    Campaign Creation

    Campaign Management

    AgencyManagement

    Content Creation

    Marketing Strategy

    Telesales

    Business Development

    Sales Strategy

    Sales Team Leadership

    Engineering

    Client integration

    Customer Support

    Account Management

    Training & Development

    Accounting

    Operations Strategy

    Data Analysis

    Reporting

    FLOW OF INFORMATION

    Technology Strategy

    Human Resources

    Review the customer journey and the flow of information though your company. Design your future org structure to make this as efficient as possible. Consider which responsibilities should sit in the core and which in the periphery - then check out the relevant products and services which can automate these processes and fill in the gaps with freelancers where necessary

  • Useful Products / Services

    DELIVERY & SUPPORTMARKETING INSIGHTSSALES

  • Hiring With Purpose & Development Planning04

  • Hiring with purpose

    4 Offer more than just salary share the vision

    2 Look for fit not just skills/experience

    1

    3Recruiting is marketing! Optimise your marketing platforms, content and website

    Make it clear what your talent gets from you5

    Map out your goals and plan how

    your team will achieve these*

    Note: *Define your objectives, plan how you are going to achieve these. Then design the job specifically to work towards achieving these objectives, then decide a job title. Dont just hire based on pre-existing job titles.

  • 19 08/01/2016

    What does hiring cost?

    41% of companies say that a bad hire cost them at least

    Replacing an employee costs an

    average of

    Average placement costs with recruiters

    4.5k 19k30khttp://hiring.monster.co.uk/hr/hr-best-practices/recruiting-hiring-advice/managing-hiring-costs/what-are-the-general-costs-of-using-recruitment-agencies.aspx

    http://www.hrreview.co.uk/hr-news/recruitment/it-costs-over-30k-to-replace-a-staff-member/50677

    http://www.fastcompany.com/3028628/work-smart/infographic-how-much-a-bad-hire-will-actually-cost-you/1

    Dont just focus on reducing your hiring costs, if you make the wrong hire and it doesnt work out that will cost you a lot more!

  • Development Planning

    The startup to scale-up path can mean a lot of changes in a short timeframe

    Develop workforce capabilities, build a leaner business, increase employee engagement, improve performance & grow faster.

    When making early hires it is important to think ahead, the job you hire that person to do is likely to change

    Development plans should be flexible to allow the business to build capabilities it needs

    Increased Business Growth

    High Performing Individuals

    High Performing

    Teams

    Increased Productivity

    High Performing Managers

    Do it.

  • 21 08/01/2016

    An engaged team is worth it

    Attract long term

    employees

    Double revenue

    High levels of employee engagement can increase revenue by up to 2.5 times

    Engaged employees are 87% more likely to stay compared to their less engaged counterparts

    http://wisembly.com/en/blog/2016/05/05/the-value-of-getting-employee-feedback

  • You have to learn the rules of the game. And then, you have to play better than

    anyone else. Albert Einstein

  • Chat with us!

    Michael Walker

    Managing Partner

    michael.walker@walkerdavies.com@_walkerdavies

    Larry Kotch

    Co-Founder

    Larry@brainbroker.net @brainbroker1

    mailto:michael.walker@walkerdavies.commailto:michael.walker@walkerdavies.commailto:Larry@brainbroker.netmailto:Larry@brainbroker.netmailto:Larry@brainbroker.net