summary ofScaling UpBook by Verne Harnish

first KEY POINT

Scaling up is a tool that helps to boost productivity in any company

For most entrepreneurs, strengthening their business involves an audacious goal such that they prefer to avoid it altogether. Scaling a business can be a scary process because there will be many changes within an organization — a deviation from a familiar, proven, and established order of work. This difficulty in the scaling process is evident in how few companies actually scale up. There are several barriers to scaling up:
• Leadership becomes a great hindrance to growth when the company does not have enough leaders who can delegate.
• Infrastructure will be a barrier when an organization lacks the necessary systems and resources to handle the decisions that come with company growth.
• Marketing presents a burden when a company fails to create an effective marketing function to attract prospective buyers.To overcome these barriers, an organization should learn to establish rules that everyone will follow. These rules should form the core values of the organization. Secondly, a strategy that focuses on the customers’ needs and differentiates the organization from the competition needs to be set. Next, it’s important to reduce huge or detailed tasks into WWW (Who, What, When) to make execution more manageable and help ensure better management, communication, and accountability. Lastly, cash management ensures that all the set plans go smoothly and according to schedule.Scaling up isn’t a walk in the park, and issues can often come up during the process. A winning strategy helps to nip all the problems in the bud and move any business to a better position.

This summary will provide a breakdown of what it means to scale up a business. It also explains how core values and boundaries in a company help enable and enhance growth.