Challenges On the Pathway From a Start-up To a Lasting Enterprise

Start-up  Scale-up  F***-up?
Challenges On the Pathway from a
Start-up to a Lasting Enterprise

# 2 | © Centre for Leadership 2013-2014 – all rights reserved | service@centre-for-leadership.com
Table of Contents
• What‘s a start-up?
• Hereafter?
• Do you want to scale-up?
• Dig deeper!
• How to overcome the transition crisis
• Means and measures in detail

WHAT‘S A START-UP?

To be developed:
• Product / Service
• Technical Solutions
• Scalable Business Model
• Customers
• Market(s)
• Skills
• People

And now?
• Product / Service
• Technical Solutions
• Scalable Business Model
• Customers
• Market(s)
• Skills
• People

START-UP FOREVER?
A START-UP THAT REMAINS TO BE A
START-UP FAILS!

Young organizations either die or
grow up!
Start-up Enterprise

A challenge!
Transition

The full picture (american trad.)
Start-up Transition Enterprise

The full picture (real)

DO YOU WANT TO SCALE-UP?

A difference that makes a difference!

SHOW STOPPERS IN THE
ENTREPRENEUR‘S MINDSET –
THREE EXAMPLES

#1: Beware of Change!

DON‘T F*CK UP THE CULTURE!
#2

#3: Stay in Your Comfort Zone!

The Founder’s ”life cycle”?
Arrogant
Ignorant
Dumb
Lazy
Dead

Famous Last Words [fill blanks]
• This changes vrtig!
• We make the wrl turn usid dn!
• We‘ve lots of rilint ideas in the pe!
• It‘s a u-b!
• Csme? – We have s!
• That f*** bes me to death!

Transition

Crisis
Decision

DMP* test
Not to uneasy in the end ;-)
• Accept the need for
transition
• Adapt creatively
• Learn actively
• Drive change
• Grow rapidly
• Succeed distinctively
Definitively easy
• Misconceive crisis
• Overestimate yourself
• Stay in your comfort zone
• Embrace friendly
avoidance
• Fold up
* DMP: Decision Making Process aka Führungsprozess

LET‘S DIG A BIT DEEPER

Luzern Start-up Model

CFL Development Model

Founder‘s Challenges

An Entrepreneur’s Decision!
• Get rid of the boring stuff, quit, and found a
new start-up
or
• Play the game through to the happy end!

Attention!
If you choose the second
alternative there‘s time for
development and change.

East of start-up Eden
The entrepreneur‘s role is neither to accept
change nor to benefit from the change driven
by others.
During all stages he is the one to make change
happen.
Beyond the early start-up stages he even has
to change the character of change.

Fields of development
• Personal Development
• Leadership
• Personnel: recruit, develop, and change
• Shaping your organization
• Strategy

People first, strategy second!
»We expected that good-to-great leaders
would start with the vision and strategy.
Instead, they attended to people first, strategy
second. They got the right people on the bus,
moved the wrong people off, ushered the right
people to the right seats — and then they
figured out where to drive it.«
(Jim Collins)

MEANS AND MEASURES
TO OVERCOME THE
TRANSITION CRISIS

Prerequisites
• There is neither time nor money to waste!
• Supporting means and measures have to be
aligned to and integrated into the start-up
development process.
• Support does not mean to substitute
sequences of either individual or team
learning curves but to accelerate necessary
learning and development processes.

Leverage Points
(Keller, Price 2010)

Internal Alignment

Quality of Execution

Capacity for Renewal

Means and measures
• Business Leader Coaching
provided by experienced business pros
• Start-up Development Workshops
• Peer Coaching
• General Management Consulting
• Interim Management

MEANS AND MEASURES
IN DETAIL

Business Leader Coaching
Every business issue is a personal issue, too.
Every business challenge provides us with
opportunities for personal development.
Business coaching provides both: Business
consulting in the different fields of building an
enterprise from a start-up and coaching that
fosters personal leadership development.

Start-up Development Workshops
• Work out immediate and viable solutions for
current problems together
• Moderated and infused by business pros
• Variable set-up:
– Whole start-up team
– Dedicated start-up team members
– Leaders of different start-ups

Development WS Process Model

Peer Coaching
• Peer coaching groups typically emerge from
start-up development workshops
• Variable set-up:
– Leaders of different start-ups funded by a given
incubator / accelerator / VC
– Functional leaders of different start-ups
• Moderated and infused by business pros
during the first five sessions

General Management Consulting
• Brain & body leasing to bolster up and
enhance start-up business knowledge and
performance for a given period of time
(typically 6 months)
• GMC advises CEO and/or functional leaders
during transition phase(s)

Interim Management
• Change Manager during transition phase(s)
• Business Realignment
– Culture
– Strategy
– Portfolio
– Organizational design
– Board

Time to tackle?
By experience there‘s no chance to prevent
transition crises. They are substantial parts of
every development process of an enterprises.
The crucial point is to detect and understand
the crisis – as early as possible.
From the early beginning on, quality and
quantity of options are reducing in an ever
faster rate the longer you stay in a state of
ignorance.

grow@centre-for-leadership.com
Questions?
Observations?
Remarks?
Any crisis to tackle?

Challenges On the Pathway From a Start-up To a Lasting Enterprise

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Challenges On the Pathway From a Start-up To a Lasting Enterprise