Decisions in the organic growth stage of a business are typically made by just 1 or 2 people. Because so few people are needed to make a decision, little to no work is done to build the muscle of scalable information sharing. Heroic leaders thrive in this time. We pride ourselves on our agility and decisiveness.
However, as the complexity in the business and the size of the team grow, the baton starts dropping, critical information slips through the cracks, and decisions are made by someone with little to no input from all those key stakeholders who will be affected by the decision.
For example, a sales team will decide to offer an additional service as an incentive to land deals and hit this month's sales targets. However, the marketing team had already run a different promotion, and the order fulfillment team had no idea about either of them. Customers end up getting incomplete orders, and a mountain of time and expense build as everyone scrambles to make it right. Everyone (including the customer) is a little frustrated, but the next month hits, and we do it all over again.
To resolve this issue, we need to move to team-based decision-making. Now, this is not consensus or mindless bureaucracy. Instead, it is efficient and effective decision-making. You'll find this switch a little awkward at first, but once you get the hang of it, you'll be able to make decisions quickly, execute on those decisions quickly, and do it at scale.
But first, we need to identify what information and reports are needed for the team to make these high-quality decisions. Then we need to make sure that information is ready, valid, and accessible for the team when they sit down to make the decision.
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