To Manage Growth, Embrace Change

by Robert Gould

The challenge of managing growth is epitomized in a quote from the late W. Edwards Deming, a business consultant: "It is not necessary to change. Success is not mandatory."

Managing growth frequently feels like an elusive concept or even an oxymoron for those involved in high growth organizations. We feel fortunate to have been able to set up our own firm--by design and with some luck--in such a way that we have been on a growth trajectory for most of our 29 year history. We have learned a great deal along the way.

For organizations that grow at five to 20 percent per year, there are issues that most business leaders are familiar with, and these held true for us as well. We knew that a strong vision was important, and that good people would be a key to a strong organization. Finding the best people is critical, but so is respecting and inspiring them. For us, this has been a matter of sharing the risks and rewards with them. It was also clear to us early (and often!) that growth should occur in multiple ways. Diversifying our markets, our services, and our geographical reach have been important to a continual expansion of market share, and to survival (and even growth, though more modest) in lean times.

Perhaps more interesting are the lessons learned from an organization that finds itself growing at 30 to 50 percent per year. That heightened rate of growth, which we experienced for nearly a decade, introduced a different set of challenges. The learning curve was steep but rewarding, and we felt fortunate to be in contact with many other entrepreneurs in the Kansas City area and around the country who were experiencing many of these same challenges. Some of the key challenges included the following:

Grow The Vision

While an organization is growing quickly, there is a need to maintain the vision and adapt it over time--sometimes repeatedly. New people coming on board need to understand the vision and the history of the organization, but they will also have new insight, energy, and ideas that can infuse the vision. The challenge is to avoid letting trends or fads seep into the vision; it must still be a path for the long term.

Empower People

We have learned that it's important to budget time and effort to preparing people to build their own portions of the organization. For us, this might mean a studio, office, discipline, or market sector. Firm leaders have to work consistently to set the expectations amongst every person within the organization. They should feel that it is their responsibility to help to drive the company forward. Our best results have occurred by encouraging everyone to lead, take ownership, and find new ways to exceed internal and external expectations.

Build a Flexible Environment

As an architect and designer, I believe that the physical environment influences the attitude of those who spend time there; anecdotal evidence from all kinds of businesses bears this out. Flexible environments are also key to supporting the constant change that fast growth yields. For us, this meant moving to an office-on-wheels long before that trend became widespread. We were able to reconfigure teams at a moment's notice, which proved a key to responding to client needs and project demands. Restructure as Needed Finally, we have learned that it's important to be willing to restructure the organization as often as necessary. This is perhaps the most difficult challenge of all, because it involves some upheaval. But success in a fast-changing marketplace is a moving target. Resisting this, which would seem simpler, is often not the best path. As painful as upheaval can be, it can reap a more flexible and responsive organization.

Avoiding over-extending in good times is important, and this is also a period in which to plan for how to redistribute resources when things slow down. This positions an organization to use diversity as a stabilizer during a downturn. We are sharing work among our six offices around the country via electronic communications and the old fashioned way: moving people. In addition to minimizing layoffs, this boost of cross pollination has helped unify office culture and has been seen by many of the people who moved (temporarily or permanently) as an exciting opportunity.

Bob Gould, is a principal with Gould Evans and its Kansas City affiliate, Gould Evans Goodman. He can be reached by phone at 816.931.6655 or by e-mail at bob.gould@gouldevans.com.