Menu
Growth is a common aspiration for most private-sector organisations, but not all growth strategies are equal; some organisations manage to outpace the market in their growth trajectory. But how? What type of organisational culture enables and sustains this? We explored these questions in our research and bring the insights to life here. In rapidly growing organisations, it can feel like trying to build the engine while driving the car, and at break-neck speed. Two key tensions often surface in these contexts.
The first relates to ‘Fix the Vision vs. Flex the Journey’ (discussed in the previous blog post). The second is the tension between Productive Paranoia and Courageous Conviction. The ability to understand and carefully balance these tensions makes a big difference in how successfully we’ve seen organisations able to achieve their growth aspirations, but even more importantly, to sustain it.
Achieving and sustaining high-growth is hard. It requires resilience, determination and very highly engaged and motivated employees. “Fixing the Vision” helps in this context, as it provides two vital ingredients:
1: Clarity: Humans seek clarity and structure; your employees won’t run fast towards an uncertain future. Without a clear strategy, organisations risk stalling on the track or burning out having been insufficiently focussed in their direction.
2: Emotion and Meaning: Sustained high-growth is not easy; it requires employees to dig deep, consistently. Operational targets or greater profit may not be sufficient to sustain this level of motivation. It needs to be more meaningful.
A lack of emphasis on ‘Fix the Vision’ leaves room for wide variation in local interpretations and, consequentially, ‘multiple realities’ in interpretations of the strategic priorities, resulting in an insufficiently focused pursuit of all growth opportunities. Against a backdrop of enormous growth and significant change, leaders and teams are overstretched, racing to keep up with the rapid changes that are not sufficiently closely aligned strategically. This kind of relentless pursuit of growth results in a reactive mode of operation where immediate tasks become the priority over strategic plans for the long term. When organisations put too much weight on 'Flexing The Journey', they risk spreading themselves too thin, going after everything but achieving nothing fast, or burning only to be overtaken by competitors in a turtle and hare scenario. The second critical tension, often operating in high-growth cultures, is the tension between Productive Paranoia and Courageous Conviction. Understanding and appropriately balancing this tension is vital for leaders operating in high-growth contexts.
Rapid growth demands bold, strategic actions focused on strategic goals and clear priorities. Yet, this determined approach risks two pitfalls: first, overconfidence in the strategy, leading to complacency; second, a narrowed focus on internal operations, overlooking external changes. Strategy is valuable only when adaptable to market shifts. Imagine the street seller selling sunglasses on a sunny day but having rain hoods ready, which they offer as soon as the skies suggest rain – being tuned into the changing conditions is critical to ongoing success. External influences might include changing regulations, statutory duties, developing competitive environments, changes in government, staff shortages, parent company direction, and so on. If cultural inertia stops us from looking outside of our organisation and questioning whether we’re still relevant, then this threatens the organisation's ongoing viability. Responding to these pressures needs to be targeted; there is no benefit in being productive in the wrong direction
The challenge for leaders in this context is to develop the skill of engendering motivation, commitment, and enthusiasm amongst the workforce while simultaneously being vigilant about external threats and opportunities, akin to a driver putting their foot down hard on the accelerator and constantly checking the mirrors for potential overtakes. This compels leaders to continuously evaluate and question the strategic direction of the organisation and its operational tactics. An absence of 'Productive Paranoia' sees organisations with an abundance of Courageous Conviction too often missing their pitstops and opportunities to pause, reflect, ask themselves if they're still on the right track, and, where necessary, realign their growth goals. While revenues are being met, profitability still needs to be met. People are working hard but not necessarily smart.
Developing leadership capability is important to bring the tension back into a sustainable balance. In this respect, self-awareness and reflection are important virtues. Fostering a culture that values strategic pauses (Productive Paranoia) for critical reflection will set growth ambitions toward sustainable operational realities. Only then will they be able to ensure long-term success and profitability.
Leaders who have deep insight into their own personality traits, through tools like Facet5, will be better positioned to make use of their strengths and avoid their weaknesses. For instance, leaders high in 'Will' may need reminding to incorporate feedback and different perspectives to prevent pressing forward prematurely. Conversely, those high in 'Energy' may need support in maintaining focus on strategic objectives when conditions are in flux. Recognising these tendencies, cascades to foster a culture that values strategic pauses (Productive Paranoia), a prerequisite for critical reflection that will set growth ambitions towards sustainable operational realities. Only then will they be able to ensure long-term success and profitability.
To find out more, download our brand-new eBook 'Culture at Breaking Point'.
