When Growth Breaks Culture: The Scaling Trap Founders Miss

WEBVTT
00:00:46.373 --> 00:00:48.606
So spring brings growth.
00:00:48.606 --> 00:00:58.240
Yeah, growth is always good, especially in your business because nothing when your business, as your business grows, it's just sunshine and rainbows.
00:00:58.240 --> 00:00:58.472
Yeah.
00:00:58.472 --> 00:00:59.306
Nothing ever breaks.
00:00:59.306 --> 00:01:00.406
Ever.
00:01:00.406 --> 00:01:01.706
It's perfect.
00:01:01.706 --> 00:01:02.373
It just grows.
00:01:02.373 --> 00:01:05.173
It's like the flower in the in the garden.
00:01:05.173 --> 00:01:09.272
And the annoyed look on your face is priceless.
00:01:09.272 --> 00:01:10.772
If you're listening.
00:01:10.772 --> 00:01:12.173
Um. Put the knife down.
00:01:12.173 --> 00:01:12.740
Chrissy.
00:01:12.740 --> 00:01:14.772
Uh, fine.
00:01:14.772 --> 00:01:15.939
Stay tuned.
00:01:18.605 --> 00:01:20.340
She's the CEO.
00:01:20.340 --> 00:01:22.539
He's the marketing and operations guy.
00:01:22.539 --> 00:01:25.972
If it's broken, you need the business fix.
00:01:27.605 --> 00:01:30.472
So you're you're you're still not on board with it being spring.
00:01:30.472 --> 00:01:32.306
No, not not not a chance.
00:01:32.306 --> 00:01:32.539
Nope.
00:01:32.539 --> 00:01:34.939
Not not no. Okay.
00:01:34.939 --> 00:01:37.340
Not pretending I live in reality.
00:01:39.140 --> 00:01:39.873
I'm hopeful.
00:01:39.873 --> 00:01:40.272
Damn it.
00:01:40.272 --> 00:01:40.706
Okay.
00:01:40.706 --> 00:01:41.140
I'm.
00:01:41.140 --> 00:01:42.272
I'm.
00:01:42.272 --> 00:01:42.939
You're just pissed.
00:01:42.939 --> 00:01:44.073
Football seasons.
00:01:44.073 --> 00:01:45.640
I am, I'm it's been long enough.
00:01:45.640 --> 00:01:46.406
It's been over.
00:01:46.406 --> 00:01:48.173
It's been six weeks and I'm crabby.
00:01:48.173 --> 00:01:49.006
I don't want to.
00:01:49.006 --> 00:01:49.939
It's not okay.
00:01:49.939 --> 00:01:51.039
I miss it.
00:01:51.039 --> 00:01:53.240
I don't get to sit on the couch and watch football anymore.
00:01:53.240 --> 00:01:56.039
Like, can you have your husband and son play, like Tecmo Bowl?
00:01:56.039 --> 00:01:58.640
No, it's not the same.
00:01:58.640 --> 00:02:00.806
I know you keep trying to get that to work.
00:02:00.806 --> 00:02:02.640
It's not gonna work.
00:02:02.640 --> 00:02:03.173
Okay.
00:02:03.173 --> 00:02:03.605
It's worth.
00:02:03.605 --> 00:02:04.406
It's worth a shot.
00:02:04.406 --> 00:02:06.240
I mean, the draft is going to be in another month.
00:02:06.240 --> 00:02:07.439
I'll be happier then.
00:02:07.439 --> 00:02:08.406
It'll be fine.
00:02:08.406 --> 00:02:09.006
Okay.
00:02:09.006 --> 00:02:09.740
Okay.
00:02:09.740 --> 00:02:17.306
I still think it's hilarious that you're the one that, out of the two of us that, like, if if people looked at us and said, who's the football fan?
00:02:17.306 --> 00:02:19.372
I don't think they would say, you know, it's me.
00:02:19.372 --> 00:02:19.806
Yeah.
00:02:19.806 --> 00:02:22.039
No, it's it's definitely, definitely me.
00:02:22.039 --> 00:02:24.173
I mean, we'll have the Hall of Fame dinners coming.
00:02:24.173 --> 00:02:26.840
Like, you get to go to the Hall of Fame dinner this year, so I'm excited.
00:02:26.840 --> 00:02:27.973
Oh. No kidding.
00:02:27.973 --> 00:02:28.806
Oh, that's very cool.
00:02:28.806 --> 00:02:29.973
Yes, that's very cool.
00:02:29.973 --> 00:02:32.640
We're going and like let's see Drew Brees Larry Fitzgerald.
00:02:32.640 --> 00:02:34.473
Those are two of the people that are getting inducted.
00:02:34.473 --> 00:02:34.840
Sure.
00:02:34.840 --> 00:02:36.140
Eli Manning got skipped.
00:02:36.140 --> 00:02:38.173
People are a little upset I don't really care.
00:02:38.173 --> 00:02:41.573
So. Yeah that's your sports knowledge for the day.
00:02:41.573 --> 00:02:42.473
You're welcome.
00:02:48.240 --> 00:02:49.306
Let's talk scaling.
00:02:49.306 --> 00:02:49.906
Sure.
00:02:49.906 --> 00:02:53.306
Um, let's talk about how that breaks culture.
00:02:53.306 --> 00:02:54.039
Okay.
00:02:54.039 --> 00:02:57.606
Um, kind of like what the Browns have decided to do.
00:02:57.606 --> 00:02:58.606
Oh, gosh.
00:02:58.606 --> 00:03:02.673
Yeah, we could do a whole episode about how to mess up your interview process.
00:03:02.673 --> 00:03:03.706
All the things.
00:03:03.706 --> 00:03:04.340
Everything.
00:03:04.340 --> 00:03:05.106
All the things.
00:03:05.106 --> 00:03:07.406
Um, I heard someone, and this is a while back.
00:03:07.406 --> 00:03:10.406
This is a couple of months back, but when it was first announced about the Browns coach.
00:03:10.406 --> 00:03:10.806
Yes.
00:03:10.806 --> 00:03:13.073
And I know nothing about football at all.
00:03:13.073 --> 00:03:18.073
But someone said that the Haslams should take on the Costanza effect.
00:03:18.073 --> 00:03:27.006
There was an episode where George realized that every decision in his life he made was wrong, and therefore the opposite of that decision would be correct.
00:03:27.006 --> 00:03:27.906
They really should.
00:03:27.906 --> 00:03:31.240
So he started doing everything the opposite.
00:03:31.240 --> 00:03:34.673
And yeah, no, it ended up turning out good for him.
00:03:34.673 --> 00:03:38.740
Most most owners, like growth, is a solution to all problems.
00:03:38.740 --> 00:03:41.006
Cash flow problems grow.
00:03:41.006 --> 00:03:41.573
Yeah.
00:03:41.573 --> 00:03:44.140
Operational problems grow up.
00:03:44.140 --> 00:03:45.506
HR problems just grow.
00:03:45.506 --> 00:03:46.140
Just grow.
00:03:46.140 --> 00:03:47.306
You'll grow out of it.
00:03:47.306 --> 00:03:52.106
Um, no, this is not like that bad pair of jeans that your mom got you that you didn't like?
00:03:52.106 --> 00:03:54.973
No, not when you add people.
00:03:54.973 --> 00:04:02.240
When you add clients, you add structure, you create structural, you create cultural friction.
00:04:02.240 --> 00:04:07.006
You create structural friction, you create layers, um, culture.
00:04:07.006 --> 00:04:09.640
I don't feel like it breaks because the people changed.
00:04:09.640 --> 00:04:20.906
It breaks because the foundation that the people are standing on wasn't big enough, wasn't well built enough to hold those people up from the HR.
00:04:20.906 --> 00:04:32.605
And like visionary perspective on this, why does a team that like at fifteen people is like or five people is like tight knit, they're working well, everything's smooth and you're like, we're just humming.
00:04:32.605 --> 00:04:34.206
It's time to grow.
00:04:34.206 --> 00:04:40.740
And suddenly at like ten or fifteen people, this comes off the rails.
00:04:40.740 --> 00:04:42.473
Like what happened?
00:04:42.473 --> 00:04:44.973
Who are these people?
00:04:44.973 --> 00:04:46.572
It was working so well.
00:04:46.572 --> 00:04:49.540
Yeah, I've just figured I would do more of it and it would work better.
00:04:49.540 --> 00:04:50.740
No it doesn't.
00:04:50.740 --> 00:04:59.206
So I would say this is one of those most, most painful surprises for founders because you look around one day and you're like, we're winning.
00:04:59.206 --> 00:04:59.572
Yeah.
00:04:59.572 --> 00:05:02.639
And then you're like, why does it feel so hard?
00:05:02.639 --> 00:05:03.340
Right?
00:05:03.340 --> 00:05:04.805
Why does it feel less connected?
00:05:04.805 --> 00:05:06.805
Why don't I like it as much as I used to?
00:05:06.805 --> 00:05:07.573
And so here's the truth.
00:05:07.573 --> 00:05:08.805
And I've learned it the hard way.
00:05:08.805 --> 00:05:11.639
You know, growth doesn't break culture unprepared.
00:05:11.639 --> 00:05:12.973
Growth does.
00:05:12.973 --> 00:05:15.973
Oh, you gotta prepare.
00:05:15.973 --> 00:05:19.173
So culture doesn't fall apart because people changed.
00:05:19.173 --> 00:05:27.105
It falls apart because the structure didn't grow at the same pace as the success, and leaders failed to keep growing themselves.
00:05:27.105 --> 00:05:29.740
I think I'm going to say this in every podcast that I possibly can.
00:05:29.740 --> 00:05:33.773
You have to grow yourself as a leader and your team.
00:05:33.773 --> 00:05:35.840
Yes, but it starts with you.
00:05:35.840 --> 00:05:39.073
So I have my little letter person because you got these for me last week.
00:05:39.073 --> 00:05:40.173
I'm very excited.
00:05:40.173 --> 00:05:44.872
Um, so this is the letter D, and we're going to talk about the three D's of the scaling trap.
00:05:44.872 --> 00:05:46.105
I just see the donuts.
00:05:46.105 --> 00:05:46.605
It is.
00:05:46.605 --> 00:05:54.706
Well it says donuts but no it's the letter D. And the three D's for the scaling trap are dilution delegation and distortion.
00:05:54.706 --> 00:05:56.340
Oh yeah.
00:05:56.340 --> 00:05:58.605
So dilution is when value gets watered down.
00:05:58.605 --> 00:06:01.372
So at five people cultures effortless right everyone.
00:06:01.372 --> 00:06:03.105
Here's the founders heart every day.
00:06:03.105 --> 00:06:04.506
Everyone knows what matters.
00:06:04.506 --> 00:06:08.073
Everybody knows each other's names, their pets, all the things.
00:06:08.073 --> 00:06:10.240
But when growth hits, desperation creeps in.
00:06:10.240 --> 00:06:10.840
Right?
00:06:10.840 --> 00:06:11.973
Phones are ringing.
00:06:11.973 --> 00:06:13.173
Clients are waiting.
00:06:13.173 --> 00:06:16.240
Leaders start hiring for bodies, not beliefs.
00:06:16.240 --> 00:06:16.540
Yep.
00:06:16.540 --> 00:06:18.740
You just I need I need butts and seats.
00:06:18.740 --> 00:06:20.740
And that's when dilution begins.
00:06:20.740 --> 00:06:25.240
So growth breaks when the leader prioritizes speed over alignment.
00:06:25.240 --> 00:06:26.939
So they choose how fast.
00:06:26.939 --> 00:06:30.540
Like we got to get this done right now instead of who fits.
00:06:30.540 --> 00:06:32.105
It's really important.
00:06:32.105 --> 00:06:32.340
Right?
00:06:32.340 --> 00:06:32.605
People.
00:06:32.605 --> 00:06:32.872
Right.
00:06:32.872 --> 00:06:36.240
See to something that a lot of different types of gurus talk about.
00:06:36.240 --> 00:06:37.605
Let's have the right person in the right seat.
00:06:37.605 --> 00:06:39.006
It is an absolute thing.
00:06:39.006 --> 00:06:41.973
And I have seen leaders say we'll fix culture later.
00:06:41.973 --> 00:06:43.740
I just need to get the work done.
00:06:43.740 --> 00:06:45.340
We just need help now.
00:06:45.340 --> 00:06:49.773
And every hire like that slightly dilutes the mission.
00:06:49.773 --> 00:06:58.540
And as you continue to do that, it becomes a problem because, you know, one hire doesn't kill culture, but ten in a row absolutely can.
00:06:58.540 --> 00:07:03.805
You can't keep hiring the wrong people just because you need people and you don't lose culture all at once.
00:07:03.805 --> 00:07:06.305
You dilute it, run rushed, hire at a time.
00:07:06.305 --> 00:07:16.706
It's funny you say that because when I was at the truck dealership, as the executive like branch of it, we took on the hiring for departments.
00:07:16.706 --> 00:07:19.540
You've got a parts manager who just lost an employee.
00:07:19.540 --> 00:07:22.340
The parts manager is typically working fifty, fifty five hours a week.
00:07:22.340 --> 00:07:26.973
Now he's lost an employee, so now he's working sixty.
00:07:26.973 --> 00:07:29.240
He or she is working sixty seventy hours a week.
00:07:29.240 --> 00:07:34.473
Oh, by the way, spend some extra time and go find the absolute best people.
00:07:34.473 --> 00:07:36.506
You can guess what's going to happen.
00:07:36.506 --> 00:07:37.805
You've got a pulse.
00:07:37.805 --> 00:07:38.506
Come on in.
00:07:38.506 --> 00:07:39.473
That's exactly right.
00:07:39.473 --> 00:07:41.105
Yeah, that's what happens with scaling.
00:07:41.105 --> 00:07:42.273
It is.
00:07:42.273 --> 00:07:45.006
So let's go to the second D which is delegation gaps.
00:07:45.006 --> 00:07:48.240
And this is where those doers become managers overnight.
00:07:48.240 --> 00:07:52.340
So second second breakdown happens in leadership.
00:07:52.340 --> 00:07:54.305
And we've talked about this in other episodes.
00:07:54.305 --> 00:07:54.939
Right.
00:07:54.939 --> 00:07:59.240
So during growth spurts we promote our best doers into management roles fast.
00:07:59.240 --> 00:07:59.506
Yeah.
00:07:59.506 --> 00:08:00.473
Because they were here before.
00:08:00.473 --> 00:08:01.240
They've got tenure.
00:08:01.240 --> 00:08:03.406
You know what I can't find anybody else to do this job.
00:08:03.406 --> 00:08:04.240
It's yours.
00:08:04.240 --> 00:08:05.805
So congratulations.
00:08:05.805 --> 00:08:07.340
Exactly.
00:08:07.340 --> 00:08:08.206
Congratulations.
00:08:08.206 --> 00:08:09.206
You're about to get fired.
00:08:09.206 --> 00:08:10.340
To get fired.
00:08:10.340 --> 00:08:13.740
But being great at the work does not mean you're ready to lead people.
00:08:13.740 --> 00:08:14.906
And we've talked about this.
00:08:14.906 --> 00:08:21.439
So if those new managers aren't trained, aligned and supported, they unintentionally start killing the culture that they helped build.
00:08:21.439 --> 00:08:21.939
Yes.
00:08:21.939 --> 00:08:24.139
And they don't even realize that they're doing it.
00:08:24.139 --> 00:08:27.872
So, you know, growth requires leaders to become a new version of themselves.
00:08:27.872 --> 00:08:31.706
And most organizations never pause to help people make that shift.
00:08:31.706 --> 00:08:33.173
We have talked before.
00:08:33.173 --> 00:08:36.372
Promoting people without leadership training is irresponsible.
00:08:36.372 --> 00:08:37.773
You have to train them.
00:08:37.773 --> 00:08:41.539
And I mean, I've promoted people because they were loyal and hardworking.
00:08:41.539 --> 00:08:45.405
And then I realized that I never taught them how to coach, give feedback or carry culture forward.
00:08:45.405 --> 00:08:46.706
I did it wrong.
00:08:46.706 --> 00:08:49.840
Um, and that gap creates a lot of confusion fast.
00:08:49.840 --> 00:08:51.872
And people don't know how to deal with that.
00:08:51.872 --> 00:08:54.505
And so untrained managers don't scale culture.
00:08:54.505 --> 00:08:55.773
They actually fragment it.
00:08:55.773 --> 00:08:57.273
Yes I agree.
00:08:57.273 --> 00:08:58.105
Totally agree.
00:08:58.105 --> 00:09:01.472
So that was the second D. The third D is distortion.
00:09:01.472 --> 00:09:03.605
And this is where the founder's message gets lost.
00:09:03.605 --> 00:09:05.105
So it's not what you put in your guitar.
00:09:05.105 --> 00:09:05.972
No it's not.
00:09:05.972 --> 00:09:07.105
Oh it's not.
00:09:07.105 --> 00:09:09.139
So this is this one's subtle.
00:09:09.139 --> 00:09:09.673
Too.
00:09:09.673 --> 00:09:12.372
Because five people culture is transmitted by proximity.
00:09:12.372 --> 00:09:16.173
At twenty five, it has to be transmitted by process.
00:09:16.173 --> 00:09:17.840
Telephone, the game of telephone.
00:09:17.840 --> 00:09:18.840
It all played as a kid?
00:09:18.840 --> 00:09:19.105
Yes.
00:09:19.105 --> 00:09:21.373
So we go from proximity to process.
00:09:21.373 --> 00:09:23.605
So the founder's story values expectations.
00:09:23.605 --> 00:09:26.706
Now they're traveling through a whole bunch of different layers of people.
00:09:26.706 --> 00:09:30.840
And if they're not documented and reinforced, the message gets distorted.
00:09:30.840 --> 00:09:35.806
If you don't have a document that clarifies your core values that everyone can look at.
00:09:35.806 --> 00:09:38.472
I realize that there are sometimes people are like, I don't want to work for a cult.
00:09:38.472 --> 00:09:39.406
Too bad.
00:09:39.406 --> 00:09:41.972
You want clear expectations.
00:09:41.972 --> 00:09:43.105
It's important.
00:09:44.572 --> 00:09:46.440
I mean, Chrissy's cult.
00:09:46.440 --> 00:09:47.072
I'm sorry.
00:09:47.072 --> 00:09:50.105
If you think that's fine, then it's maybe not the cult for you.
00:09:50.105 --> 00:09:51.639
So there are good cults.
00:09:51.639 --> 00:09:52.605
Go find another cult.
00:09:52.605 --> 00:09:53.740
Find another cult.
00:09:53.740 --> 00:09:57.740
So, I mean, I've watched the leaders just assume everyone just knows what matters.
00:09:57.740 --> 00:09:59.005
That's not true.
00:09:59.005 --> 00:10:00.673
You have to clarify expectations.
00:10:00.673 --> 00:10:04.173
You have to tell them what's going on, and then they realize after.
00:10:04.173 --> 00:10:05.572
Like, I just thought everybody knew.
00:10:05.572 --> 00:10:11.173
Then they realize, like three layers down, people are operating in assumptions that are not the thing that you thought was important.
00:10:11.173 --> 00:10:13.206
They're not operating in alignment.
00:10:13.206 --> 00:10:16.240
So what isn't documented gets distorted.
00:10:16.240 --> 00:10:18.440
Yes, one hundred percent.
00:10:18.440 --> 00:10:19.406
Yes.
00:10:19.406 --> 00:10:24.105
So I mean, to kind of summarize some of this, like growth requires a culture reset, right?
00:10:24.105 --> 00:10:27.806
Not a rebrand, not a new mission statement a reset.
00:10:27.806 --> 00:10:30.440
And the reset asks for primary questions.
00:10:30.440 --> 00:10:33.406
It asks, are we still hiring for the same values?
00:10:33.406 --> 00:10:36.740
Are our managers equipped to carry the culture?
00:10:36.740 --> 00:10:44.673
Is the founder's vision still being heard clearly, and are we still growing ourselves as we grow the company?
00:10:44.673 --> 00:10:45.740
Right.
00:10:45.740 --> 00:10:48.273
Those are those are phenomenal questions.
00:10:48.273 --> 00:10:56.105
Because that that really is that is that like you said, that's that reset of like, are we where we think we are?
00:10:56.105 --> 00:10:56.440
Yes.
00:10:56.440 --> 00:10:58.906
Because we too often don't ask the question we assume.
00:10:58.906 --> 00:10:59.639
Correct?
00:10:59.639 --> 00:10:59.840
Yeah.
00:10:59.840 --> 00:11:03.605
And at clarity, this is where we use especially with with organizations that we work with.
00:11:03.605 --> 00:11:08.639
On the fractional side, we use professional development plans for all levels of leadership because they need it.
00:11:08.639 --> 00:11:13.873
We talk about stay interviews, which are the early warning system for what's going on with the organization.
00:11:13.873 --> 00:11:17.105
We care about when people leave, but we really care about why people are staying.
00:11:17.105 --> 00:11:20.306
So stay interviews are really important to assess your culture.
00:11:20.306 --> 00:11:25.673
We also look at manager capability assessments and culture audits that are tied to behaviors, not vibes.
00:11:25.673 --> 00:11:26.740
We've talked about this.
00:11:26.740 --> 00:11:27.773
Yes.
00:11:27.773 --> 00:11:30.572
It's not like management is not a vibe.
00:11:30.572 --> 00:11:32.373
Culture is not a vibe.
00:11:32.373 --> 00:11:33.740
It is clearly defined.
00:11:33.740 --> 00:11:40.740
And I think part of the reason why founders sometimes feel blindsided is it's not that they didn't lose passion and they didn't stop caring.
00:11:40.740 --> 00:11:46.206
It's that they didn't realize that what got them to this point is not going to hold them there.
00:11:46.206 --> 00:11:46.572
Yes.
00:11:46.572 --> 00:11:47.039
Right.
00:11:47.039 --> 00:11:48.639
So and that's I mean, that's from Dan Sullivan.
00:11:48.639 --> 00:11:49.639
He talks about that all the time.
00:11:49.639 --> 00:11:51.240
You've got to continue to keep growing.
00:11:51.240 --> 00:11:53.740
Yes I see that all the time.
00:11:53.740 --> 00:11:54.840
I totally see that.
00:11:54.840 --> 00:11:57.039
So we'll talk operations.
00:11:58.306 --> 00:12:00.206
Do you even need to ask?
00:12:00.206 --> 00:12:02.240
Well, I mean, I figure I might as well just be polite.
00:12:02.240 --> 00:12:05.639
So how do growth spurts cause shakiness?
00:12:05.639 --> 00:12:07.940
I mean, we talked about this in the foundation.
00:12:07.940 --> 00:12:10.406
How does that manifest in operations and marketing?
00:12:10.406 --> 00:12:11.740
Oh, yeah.
00:12:11.740 --> 00:12:16.005
This is the once again we talked about the you have to.
00:12:16.005 --> 00:12:24.972
And I can't believe I didn't say this in the last episode because like my two favorite sayings come from the same movie, my two famous favorite business sayings.
00:12:24.972 --> 00:12:28.639
and the one is, you know, obviously, if there's a shit storm, I want to know which way the wind is blowing.
00:12:28.639 --> 00:12:32.105
The other one is, like I said, is when did Noah build the ark?
00:12:32.105 --> 00:12:33.105
Before the flood?
00:12:33.105 --> 00:12:34.340
You have to look at this.
00:12:34.340 --> 00:12:43.472
So the once again, the workflows when you're scaling, there's still going to be some hidden manual workflows.
00:12:43.472 --> 00:12:48.605
There's processes that were flexible, quote unquote, that were once again in Bob's head.
00:12:48.605 --> 00:12:49.605
Once again, it's Bob.
00:12:49.605 --> 00:12:50.605
I don't know why.
00:12:50.605 --> 00:12:52.105
I just that's okay.
00:12:52.105 --> 00:12:52.505
Okay.
00:12:52.505 --> 00:12:53.039
Sorry, Bob.
00:12:53.039 --> 00:12:54.005
We're in a Bob theme.
00:12:54.005 --> 00:13:02.873
Uh, I mean, at a small scale, they're slightly inconsistent at a large scale.
00:13:02.873 --> 00:13:04.572
That's wildly inconsistent.
00:13:04.572 --> 00:13:04.840
Yes.
00:13:04.840 --> 00:13:06.206
This is a guess.
00:13:06.206 --> 00:13:14.673
I would say this is the the whip that you would call because right near the handle of the whip, the whip doesn't move much.
00:13:14.673 --> 00:13:18.773
You take that out five feet, there's a lot of wiggle there.
00:13:18.773 --> 00:13:20.940
And it is going to come back to bite you.
00:13:20.940 --> 00:13:27.873
Uh, to me once again that you have to if you haven't evolved those standard operating procedures.
00:13:27.873 --> 00:13:31.072
We talked about last episode, building them.
00:13:31.072 --> 00:13:33.673
They were designed for a smaller team.
00:13:33.673 --> 00:13:37.840
You have to probably get some people to specialize.
00:13:37.840 --> 00:13:43.373
Um, the thing that I, that so many people don't look at is they say, okay, we're scaling.
00:13:43.373 --> 00:13:46.740
I went from two people to four people.
00:13:46.740 --> 00:13:49.440
All like two people did the same thing before.
00:13:49.440 --> 00:13:51.773
Now I have four people doing the same thing.
00:13:51.773 --> 00:14:03.740
Why not take person A that is better at one thing and worse at something else, and have them do more of thing, one and less of thing two that rearrange?
00:14:03.740 --> 00:14:05.072
Yes, correct.
00:14:05.072 --> 00:14:10.472
Like and so many people don't do this take take when someone's good at something.
00:14:10.472 --> 00:14:10.840
Yes.
00:14:10.840 --> 00:14:15.840
Once again I'll use a parts uh like a parts counter example of this.
00:14:15.840 --> 00:14:23.539
You may have someone that's great at talking to customers that walk in the door, and you may have someone that's great at answering the phone.
00:14:23.539 --> 00:14:27.605
Have them focus on what those priorities are exactly.
00:14:27.605 --> 00:14:31.039
Don't expect them both to do both in the same.
00:14:31.039 --> 00:14:32.840
It just doesn't.
00:14:32.840 --> 00:14:36.906
You're wasting so many good resources with that.
00:14:36.906 --> 00:14:45.206
Um, realizing that because of that too, in some cases someone may not fit as well in the updated workflow.
00:14:45.206 --> 00:14:50.940
So finding where they do fit, finding how they do fit.
00:14:50.940 --> 00:14:52.840
You need to spend the time to do that.
00:14:52.840 --> 00:15:01.240
If you do not have the SOPs in place before this, you're not going to know where the hell they fit.
00:15:01.240 --> 00:15:08.806
No, um, you're just going to look at it and be like, um, it's kind of, I guess I would say, like, you have no idea where they're at on the map.
00:15:08.806 --> 00:15:09.940
Yeah, you're just guessing.
00:15:09.940 --> 00:15:14.206
You've got a blank piece of paper and you're like, they're somewhere on this paper.
00:15:14.206 --> 00:15:15.173
Yeah.
00:15:15.173 --> 00:15:15.840
Where are they going?
00:15:15.840 --> 00:15:16.740
Where are they supposed to be?
00:15:16.740 --> 00:15:18.173
What's supposed.
00:15:18.173 --> 00:15:21.673
You have to make sure you've got that in process beforehand.
00:15:21.673 --> 00:15:33.306
So while you're scaling as this stuff is breaking, you can start to look at it and be like, look, Bob, how about you focus more on this and less on this?
00:15:33.306 --> 00:15:36.005
Yeah, Bill, I guess it's be names.
00:15:36.005 --> 00:15:36.873
Yes.
00:15:36.873 --> 00:15:37.940
Yeah.
00:15:37.940 --> 00:15:43.105
How about you focus on the thing that Bob's bad at, and less on the thing that Bob's good at.
00:15:43.105 --> 00:15:49.840
Because once again, you're great at the thing Bob's bad at, and you're terrible at the thing Bob is good at.
00:15:49.840 --> 00:15:51.039
Let's build synergy.
00:15:51.039 --> 00:15:51.673
Correct.
00:15:51.673 --> 00:15:53.206
Let's build this across the board.
00:15:53.206 --> 00:15:53.806
Yeah.
00:15:53.806 --> 00:16:00.105
Um, once again, you talked about this somewhat, but like the communication tool.
00:16:00.105 --> 00:16:00.639
Yeah.
00:16:00.639 --> 00:16:06.105
Is that with the vision there is also with that that with the process?
00:16:06.105 --> 00:16:06.740
Yeah.
00:16:06.740 --> 00:16:15.340
What could have been like I may hand a process to one person before now because people are more specialized because we've scaled.
00:16:15.340 --> 00:16:18.072
There may be three separate people that handle this?
00:16:18.072 --> 00:16:18.605
Yeah.
00:16:18.605 --> 00:16:19.340
Who gets it?
00:16:19.340 --> 00:16:19.906
Where?
00:16:19.906 --> 00:16:20.440
Why?
00:16:20.440 --> 00:16:20.873
How?
00:16:20.873 --> 00:16:22.240
And then how do I know when it's done?
00:16:22.240 --> 00:16:23.005
Yeah.
00:16:23.005 --> 00:16:30.572
If someone sells a project, they hand it off to person A. It used to be just person A that handled it.
00:16:30.572 --> 00:16:34.740
Now it goes from A to B to C, and C is the one that finishes it.
00:16:34.740 --> 00:16:35.840
Right.
00:16:35.840 --> 00:16:37.673
Like how do we communicate.
00:16:37.673 --> 00:16:37.972
Right.
00:16:37.972 --> 00:16:41.906
Does C know that they need to tell the salesman like hey this stuff's done.
00:16:41.906 --> 00:16:46.906
If you have your salespeople constantly hunting down your process people and going like, where am I?
00:16:46.906 --> 00:16:48.340
Where's my stuff, man?
00:16:48.340 --> 00:16:49.373
Where's my stuff?
00:16:49.373 --> 00:16:54.873
No. Or you have the space where it's like, well, you just need to trust us to do it.
00:16:54.873 --> 00:16:57.105
No, there has to be a verify because.
00:16:57.105 --> 00:16:57.605
Oh, gosh.
00:16:57.605 --> 00:16:58.340
Yes.
00:16:58.340 --> 00:17:09.240
I mean, this is where I'm going to say salespeople have to deal with a lot, because if you're in service delivery or you're in some type of deliverable and you're responsible for communicating, stop just saying you need to trust that I'm going to do the job.
00:17:09.240 --> 00:17:11.972
No, you need to communicate with your salespeople.
00:17:11.972 --> 00:17:15.639
It's unfair to make them hang out in the dark.
00:17:15.639 --> 00:17:16.940
Oh, it totally is.
00:17:16.940 --> 00:17:23.272
Because to me, like, if there is something that you have to be able to give them a gauge on process.
00:17:23.272 --> 00:17:23.639
Yes.
00:17:23.639 --> 00:17:25.605
And is this going to be delivered on time?
00:17:25.605 --> 00:17:32.373
Because nothing is worse as a salesperson than saying, hey, this is going to be two weeks late on the day that it's due?
00:17:32.373 --> 00:17:32.806
Yes.
00:17:32.806 --> 00:17:37.940
If you tell them two weeks ahead of time that it's going to be two weeks late, still not great.
00:17:37.940 --> 00:17:48.173
But yeah, it's so much better than going to them and saying, hey guys, I know you've got all this equipment lined up for today, but it's it's not going to be here.
00:17:48.173 --> 00:17:48.873
Yeah.
00:17:48.873 --> 00:17:53.006
Especially when you're in a consulting or a service oriented business.
00:17:53.006 --> 00:17:53.373
Yes.
00:17:53.373 --> 00:18:01.873
Your salespeople and your service delivery people have to be able to be in constant dialogue because the other is the salesperson says, yeah, we can do that.
00:18:01.873 --> 00:18:03.640
And then the service delivery people are like, what do you mean?
00:18:03.640 --> 00:18:05.873
This is what you sold, what project we're doing?
00:18:05.873 --> 00:18:09.772
Like you've got if it's a two way street, it makes it a lot easier.
00:18:09.772 --> 00:18:27.405
And some of those having them documented with SOPs, but then also just creating a culture of alignment and communication where we're constantly talking to each other and we have the ability to collaborate, because sometimes a service delivery person can really help a salesperson out on their proposal because, hey, these are the hours that we think you should be projecting as opposed to.
00:18:27.405 --> 00:18:29.472
You said it was only going to take ten hours to do this project.
00:18:29.472 --> 00:18:32.039
This project is actually a thirty hour project if we do it right.
00:18:32.039 --> 00:18:33.539
So let's talk about that first.
00:18:33.539 --> 00:18:35.440
And they're usually happy because then it's more money.
00:18:35.440 --> 00:18:37.105
But it's also a better project.
00:18:37.105 --> 00:18:38.440
You get a better delivery.
00:18:38.440 --> 00:18:38.806
Yes.
00:18:38.806 --> 00:18:40.272
People are not upset.
00:18:40.272 --> 00:18:40.940
People are happy.
00:18:40.940 --> 00:18:42.240
Their expectations are met.
00:18:42.240 --> 00:18:42.539
Yeah.
00:18:42.539 --> 00:18:44.272
As I say, it's all about the expectations.
00:18:44.272 --> 00:18:51.806
And if the salesman is armed with the correct things to talk about those expectations, then it is a correct conversation at that point.
00:18:51.806 --> 00:18:53.306
Dialogue while you scale.
00:18:53.306 --> 00:18:53.940
Yes.
00:18:53.940 --> 00:18:56.740
The other thing is too, is the shift in how things happen.
00:18:56.740 --> 00:19:01.440
It's not just an operations change, but it's way those operations are communicated.
00:19:01.440 --> 00:19:08.306
Um, I have decided in some cases, um, hey guys, we're going to change how we do this.
00:19:08.306 --> 00:19:12.506
And I get looks like if it's a it's a team meeting.
00:19:12.506 --> 00:19:14.539
I get looks from across the room like you.
00:19:14.539 --> 00:19:15.405
What?
00:19:15.405 --> 00:19:16.740
You what?
00:19:16.740 --> 00:19:21.839
I love it when you think we're going to change how we do this, when you haven't done the thing in years.
00:19:21.839 --> 00:19:26.405
That's the other part that that is exactly where I'm especially as a CEO.
00:19:26.405 --> 00:19:26.705
Yeah.
00:19:26.705 --> 00:19:31.205
Because I'm like, oh, well, we should just have Bob do this part and Bill do this part.
00:19:31.205 --> 00:19:35.306
Not realizing that that now gives Bob eighty percent of the work.
00:19:35.306 --> 00:19:35.905
Yes.
00:19:35.905 --> 00:19:39.306
And Bill's over there twiddling his thumbs, going, hey, Bob, how's it going?
00:19:39.306 --> 00:19:44.205
Yeah, it becomes really ugly, really fast.
00:19:44.205 --> 00:19:52.573
So to me, that shift in how you have to look at the like, what works in the huddle isn't necessarily going to work in the department.
00:19:52.573 --> 00:20:03.173
You have to take this past the people that are going to be doing this, because once again, you need this culture of trust with them so they can look at it and be like, oh, I know what's going on.
00:20:03.173 --> 00:20:06.339
And I'm an active participant in this.
00:20:06.339 --> 00:20:16.240
I didn't just get hit with a big bag of dog duty when I walked in the door because Josh thought it was a good idea and he has no clue what I'm doing.
00:20:16.240 --> 00:20:25.306
Um, that once again I said, when the how of communication doesn't keep up with the scale, it is the it's frustrating.
00:20:25.306 --> 00:20:29.839
Employees, managers, everyone in there is like, what the hell is going on?
00:20:29.839 --> 00:20:43.205
And what's difficult is as soon as that starts to escalate, as the owner, you or just any leader, you have to have the cool head to step back and say, look, we are really in it right here.
00:20:43.205 --> 00:20:44.640
We need to step back.
00:20:44.640 --> 00:20:45.506
We need to stop.
00:20:45.506 --> 00:20:50.272
Like we need to stop letting this escalate, and we need to figure out what the problem is.
00:20:50.272 --> 00:20:52.073
We know what the symptoms are.
00:20:52.073 --> 00:20:59.839
We need to figure out what the problem is, that most cases it comes from breaking that foundation.
00:20:59.839 --> 00:21:03.105
If people stop feeling supported, they start feeling obstructed.
00:21:03.105 --> 00:21:07.539
Like I was told to do this, not, hey, can we do this?
00:21:07.539 --> 00:21:08.539
How can we do this?
00:21:08.539 --> 00:21:09.806
How can I help you do this?
00:21:09.806 --> 00:21:10.173
What?
00:21:10.173 --> 00:21:12.705
What roadblocks can I remove?
00:21:12.705 --> 00:21:17.272
As soon as people start to feel like less supported and more obstructed by management?
00:21:17.272 --> 00:21:24.373
And I've been there in so many cases where management's like, do this and I'm like, no, that's just a that's another way.
00:21:24.373 --> 00:21:26.272
That's another way to hamper me.
00:21:26.272 --> 00:21:30.740
That's another way to make my job more difficult without much of a reward to it.
00:21:30.740 --> 00:21:31.339
Yeah.
00:21:31.339 --> 00:21:37.705
Um, I remember I was in the call center at Summit Racing Equipment and was like, they would be like, hey, you need to do this and this.
00:21:37.705 --> 00:21:41.006
And I'm like, there is zero benefit to me in doing this.
00:21:41.006 --> 00:21:43.640
How about no. And they're like, well, that's what we'd like you to do.
00:21:43.640 --> 00:21:44.873
And I'm like, I'm a commissioned salesman.
00:21:44.873 --> 00:21:45.972
I'm selling a lot of stuff.
00:21:45.972 --> 00:21:47.873
Don't, don't don't mess with me.
00:21:47.873 --> 00:21:48.905
Don't mess with me.
00:21:50.272 --> 00:21:51.905
Don't mess with my jive.
00:21:51.905 --> 00:21:52.373
Yeah.
00:21:52.373 --> 00:21:57.905
Um, and it's it becomes a problem because if once again, they're just like, nope, just do it.
00:21:57.905 --> 00:22:02.373
I'm like, no, that's that's that's a great way to piss off your salespeople.
00:22:02.373 --> 00:22:08.173
Well, and your, your high performers, because if you hamper them from being able to make money and it changes their dynamic.
00:22:08.173 --> 00:22:10.173
They're done one hundred percent.
00:22:10.173 --> 00:22:13.440
I checked out very shortly after that.
00:22:13.440 --> 00:22:23.006
Um, so yeah, so from the marketing side of it, um, brand promise versus reality, this is where you, like, you were kind of alluded to this earlier.
00:22:23.006 --> 00:22:23.839
Yeah.
00:22:23.839 --> 00:22:32.772
Like if you it's tough to maintain the same level of quality, the same level of service as you scale because you're trying to balance.
00:22:32.772 --> 00:22:36.006
How many people am I throwing at this as to how many people I have?
00:22:36.006 --> 00:22:37.740
How burnt out are my people?
00:22:37.740 --> 00:22:38.506
Yeah.
00:22:38.506 --> 00:22:42.873
I mean, how much money have I invested in this that I need to get back to?
00:22:42.873 --> 00:22:47.173
Um, if the example that I always give is the bank effect.
00:22:47.173 --> 00:22:47.373
Yep.
00:22:47.373 --> 00:22:49.073
We're going to pick on banks again.
00:22:49.073 --> 00:23:07.873
Um, if you start scaling at a rate that you cannot keep up your culture with, um, and you aren't actively trying to maintain that culture, you end up with that bank effect where the brand is like, hey, we're happy to help you, and you have someone standing behind the counter when you walk into the bank that looks like they're a hostage.
00:23:09.673 --> 00:23:13.039
Yeah, that shift is felt by customers.
00:23:13.039 --> 00:23:25.339
I mean, you say we've got amazing customer service, and you have scaled to the point where your customer service sucks because every customer facing worker is now at one hundred and ten or one hundred and twenty percent of capacity.
00:23:25.339 --> 00:23:30.339
It's only a matter of time before customers are going to feel that shift from quality to quantity.
00:23:30.339 --> 00:23:33.705
And they're like, I am no longer getting the product that I thought I was going to get.
00:23:33.705 --> 00:23:36.673
And if that's intentional, that's fine.
00:23:36.673 --> 00:23:37.240
Yeah.
00:23:37.240 --> 00:23:50.039
But in so many cases, that has been an unintended consequence where people are like, oh, you have to proactively monitor the culture within your company to like, you have to check in.
00:23:50.039 --> 00:23:54.839
If you see people are at ninety eight percent realize they're probably at one hundred and seven percent.
00:23:54.839 --> 00:23:55.272
Yeah.
00:23:55.272 --> 00:23:57.905
Uh, it's it's just the way it is.
00:23:57.905 --> 00:24:01.673
If you're not staying ahead of that curve, you are well, well behind it.
00:24:01.673 --> 00:24:09.539
Because when you think you're staying ahead of it as the owner, as the manager, as the leader, we are kind of the last to figure it out.
00:24:09.539 --> 00:24:15.306
Yeah, we like to put on our rose colored glasses and be like, no, everyone loves it here.
00:24:15.306 --> 00:24:16.306
I'm amazing.
00:24:16.306 --> 00:24:18.373
Who wouldn't love me?
00:24:18.373 --> 00:24:22.205
Uh, you don't need to look at me like that for it.
00:24:22.205 --> 00:24:22.506
Like.
00:24:22.506 --> 00:24:25.339
No, no. Thank you.
00:24:25.339 --> 00:24:33.173
So, yeah, you have to stay well out ahead of this, because however far ahead you think you are, you are not.
00:24:33.173 --> 00:24:39.173
No. Um, so that that capacity needs to be monitored as a safety net, too.
00:24:39.173 --> 00:24:43.339
Um, the other thing that I look at is keep an eye on your capacity.
00:24:43.339 --> 00:24:47.039
You can go, as you've said, one hundred and ten percent for a very short period of time.
00:24:47.039 --> 00:24:47.506
Yeah.
00:24:47.506 --> 00:24:51.440
The example that I like to give is businesses continually running.
00:24:51.440 --> 00:24:51.705
Yes.
00:24:51.705 --> 00:24:53.806
You can throw a couple of short sprints in there.
00:24:53.806 --> 00:24:55.205
You cannot sprint the entire time.
00:24:55.205 --> 00:24:56.373
No, absolutely.
00:24:56.373 --> 00:24:56.940
You just can't.
00:24:56.940 --> 00:24:58.940
No. You'll break yourself and you'll break your people.
00:24:58.940 --> 00:25:00.140
Yeah, you will break.
00:25:00.140 --> 00:25:01.306
You'll break everything.
00:25:01.306 --> 00:25:10.405
And that's the biggest mistake that I see that breaks culture so quickly when people are scaling is they're expecting more from the same number of people.
00:25:10.405 --> 00:25:10.873
Yeah.
00:25:10.873 --> 00:25:16.006
And once again, people start running faster and faster and faster, and eventually people just start dropping dead.
00:25:16.006 --> 00:25:16.640
Yes.
00:25:16.640 --> 00:25:18.306
Um, someone clutches their chest.
00:25:18.306 --> 00:25:19.373
This is the big one.
00:25:21.140 --> 00:25:23.673
See him flop over to the side of the track.
00:25:23.673 --> 00:25:26.205
Uh, the other thing is, too.
00:25:26.205 --> 00:25:27.839
And a great gauge for this.
00:25:27.839 --> 00:25:30.073
You said this a number of episodes back.
00:25:30.073 --> 00:25:31.472
PTO should not be panic.
00:25:31.472 --> 00:25:34.673
No, if it is, you've got a problem.
00:25:34.673 --> 00:25:35.073
Yeah.
00:25:35.073 --> 00:25:37.240
This is a great temperature gauge for it.
00:25:37.240 --> 00:25:39.972
Now, PTO is probably some stress.
00:25:39.972 --> 00:25:40.940
It can be.
00:25:40.940 --> 00:25:41.806
Absolutely.
00:25:41.806 --> 00:25:45.140
It's like, oh, hey, we're all we all got to pick up a little slack here.
00:25:45.140 --> 00:25:46.573
It should not be.
00:25:46.573 --> 00:25:47.073
Uh oh.
00:25:47.073 --> 00:25:48.140
I'm so glad you're back.
00:25:48.140 --> 00:25:49.140
I couldn't deal with it.
00:25:49.140 --> 00:25:49.673
Right.
00:25:49.673 --> 00:25:50.573
It should not be.
00:25:50.573 --> 00:25:51.240
Uh oh.
00:25:51.240 --> 00:25:58.006
I just know, uh, to me, the once again, it comes back to that success as a shared thing for me.
00:25:58.006 --> 00:26:02.539
If the team doesn't see the ROI of growth for themselves.
00:26:02.539 --> 00:26:09.140
Remember, the people really don't want to say they don't care about your business, but they don't care about your business nearly as much as you do.
00:26:09.140 --> 00:26:09.539
Oh gosh.
00:26:09.539 --> 00:26:11.073
No. I would hope not.
00:26:11.073 --> 00:26:13.173
Uh, fractional at best.
00:26:13.173 --> 00:26:13.640
Yes.
00:26:13.640 --> 00:26:17.105
Um, and by the fraction I'm talking about is there's a one on top.
00:26:17.105 --> 00:26:17.339
Yeah.
00:26:17.339 --> 00:26:19.140
You have to pay them to be there.
00:26:19.140 --> 00:26:20.006
Correct.
00:26:20.006 --> 00:26:20.640
Correct.
00:26:20.640 --> 00:26:22.272
You show up, you show up.
00:26:22.272 --> 00:26:23.373
And sometimes unpaid.
00:26:23.373 --> 00:26:24.006
Yes.
00:26:25.105 --> 00:26:25.873
Yeah.
00:26:25.873 --> 00:26:28.806
They have to know that there's a return on investment for them.
00:26:28.806 --> 00:26:34.306
And if they know that you have a much better chance of keeping your culture intact, that better tools, less friction.
00:26:34.306 --> 00:26:36.006
Removed bottlenecks.
00:26:36.006 --> 00:26:41.673
I mean, they will like if you are constantly working for those things, they will see the growth.
00:26:41.673 --> 00:26:44.240
They will see it as growth and they will see it as good growth.
00:26:44.240 --> 00:26:49.339
Rather than he's just asking me to carry this up the hill so he can buy another Lambo.
00:26:49.339 --> 00:26:50.006
Yeah.
00:26:50.006 --> 00:26:53.740
No, I, you and the Lambo are.
00:26:53.740 --> 00:26:55.105
And I don't even like those cars.
00:26:55.105 --> 00:26:55.506
Really?
00:26:55.506 --> 00:26:57.140
Hey, I'm a Porsche guy.
00:26:57.140 --> 00:27:01.905
Um, to me, the other thing is too, is when you're.
00:27:01.905 --> 00:27:05.006
This is the other thing that I see is it's just a short time.
00:27:05.006 --> 00:27:06.972
It's just we just need a little bit of effort.
00:27:06.972 --> 00:27:07.539
Suck it up.
00:27:07.539 --> 00:27:08.605
Yeah, suck it up.
00:27:08.605 --> 00:27:09.905
It's just a little bit.
00:27:09.905 --> 00:27:11.339
Don't sugarcoat growth.
00:27:11.339 --> 00:27:12.839
No, guys, this is going to be tough.
00:27:12.839 --> 00:27:14.806
I really appreciate your help in this.
00:27:14.806 --> 00:27:19.940
When we get past this, as we're able to get to this mark, we're going to be able to do this thing.
00:27:19.940 --> 00:27:20.173
Yeah.
00:27:20.173 --> 00:27:20.972
Be honest about it.
00:27:20.972 --> 00:27:21.605
Yes.
00:27:21.605 --> 00:27:25.806
Show them a light at the end of the tunnel and make sure they realize it's not a train.
00:27:25.806 --> 00:27:27.373
Yes, please.
00:27:27.373 --> 00:27:29.573
Because in so many cases, they're worried.
00:27:29.573 --> 00:27:30.006
It is.
00:27:30.006 --> 00:27:31.205
They're worried it is.
00:27:31.205 --> 00:27:37.240
Um, if your culture initially is set up that they're like, hey, there's a light at the end of the tunnel, but it seems to make this honking noise.
00:27:37.240 --> 00:27:39.705
Yeah, they're going to be worried about that.
00:27:39.705 --> 00:27:42.806
Um, the hiring and panic thing is something we addressed a little bit.
00:27:42.806 --> 00:27:50.940
Yeah, I, I to me the dismantling of that and how it like that one bad hire.
00:27:50.940 --> 00:27:51.806
Yes.
00:27:51.806 --> 00:27:52.905
Starts it.
00:27:52.905 --> 00:27:53.405
It does.
00:27:53.405 --> 00:28:04.705
And it's a cascading effect because you expect that you're going to get like you're going to add you're going to add a person and you're going to add another one hundred percent capacity to whatever a person does with the wrong hire.
00:28:04.705 --> 00:28:12.506
That may be fifty or sixty percent capacity for them, and it may take ten percent of someone else's capacity, and it may take four percent of someone else's capacity.
00:28:12.506 --> 00:28:14.640
Yeah, I see that all the time.
00:29:11.860 --> 00:29:12.826
I do too.
00:29:12.826 --> 00:29:14.925
Slow down, damn it, slow down.
00:29:14.925 --> 00:29:17.625
Hiring in a panic is how you borrow relief from the future.
00:29:17.625 --> 00:29:18.660
You pay it back with interest.
00:29:18.660 --> 00:29:19.492
It's not.
00:29:19.492 --> 00:29:20.726
It's never good.
00:29:20.726 --> 00:29:23.492
I don't understand why we treat hiring like last call at the bar.
00:29:23.492 --> 00:29:25.559
And we don't want to go home by ourselves.
00:29:25.559 --> 00:29:30.559
I do, I, I have made so many over the years dating references with hiring.
00:29:30.559 --> 00:29:37.460
It is because, let's face it, you're going to spend more time with those people than you are with the person that you're dating.
00:29:37.460 --> 00:29:38.492
Most likely.
00:29:38.492 --> 00:29:39.093
Yeah.
00:29:39.093 --> 00:29:47.492
So and I would say too, if you cannot describe your culture and expectations clearly in three sentences, you're not ready to hire someone.
00:29:47.492 --> 00:29:55.026
Ooh, you've really got to be I mean, you got to slow down enough to protect the standard in your organization, even if it hurts for the short term.
00:29:55.026 --> 00:29:57.860
Clarify what you want.
00:29:57.860 --> 00:29:58.360
It's interesting.
00:29:58.360 --> 00:29:59.492
I use a question for that.
00:29:59.492 --> 00:30:02.593
Yeah, I give people our mission or our core values.
00:30:02.593 --> 00:30:03.192
Yes.
00:30:03.192 --> 00:30:04.925
And I say what's your opinion about that?
00:30:04.925 --> 00:30:07.125
Yeah, that's a great one right off the bat.
00:30:07.125 --> 00:30:10.759
Some people I mean most people, you see a little bit of panic in their eyes.
00:30:10.759 --> 00:30:11.492
Yeah.
00:30:11.492 --> 00:30:12.793
How do you feel about this?
00:30:12.793 --> 00:30:16.692
I'm like, um, um, I don't know what he's thinking I should feel about this.
00:30:16.692 --> 00:30:17.326
Exactly.
00:30:17.326 --> 00:30:17.726
Other than.
00:30:17.726 --> 00:30:18.893
Hey, I like it.
00:30:18.893 --> 00:30:21.793
Um, they need a better answer than that.
00:30:21.793 --> 00:30:24.660
The the house on the bad foundation.
00:30:24.660 --> 00:30:24.925
Yeah.
00:30:24.925 --> 00:30:26.593
We talk like I find.
00:30:26.593 --> 00:30:27.660
It's funny.
00:30:27.660 --> 00:30:28.460
You keep going.
00:30:28.460 --> 00:30:29.492
Clarity's kindness.
00:30:29.492 --> 00:30:29.759
Yeah.
00:30:29.759 --> 00:30:31.925
You keep you clarity all the time.
00:30:31.925 --> 00:30:33.526
I must have a leaky basement.
00:30:33.526 --> 00:30:35.160
Yeah, because I talk about all these.
00:30:35.160 --> 00:30:38.860
There's a lot of lessons for business in deferred maintenance on your home.
00:30:38.860 --> 00:30:40.992
So there really are.
00:30:40.992 --> 00:30:42.125
We've talked about it.
00:30:43.526 --> 00:30:44.660
I love that there is.
00:30:44.660 --> 00:30:45.726
I love that.
00:30:45.726 --> 00:30:46.960
Don't neglect your home.
00:30:46.960 --> 00:30:48.093
Don't neglect it.
00:30:48.093 --> 00:30:53.093
I think it's where a lot of times leaders feel stuck too, because you're trying to build everything.
00:30:53.093 --> 00:30:56.625
While, I mean, the house is already built and you're trying to grow or you're trying to add on, you're trying to do things.
00:30:56.625 --> 00:30:58.893
So you've got to make sure the foundation is secure.
00:30:58.893 --> 00:31:03.259
So I would say what's really important is that you slow down.
00:31:03.259 --> 00:31:08.460
I know that people don't like to do that, but sometimes we need to slow down, slow down to speed up.
00:31:08.460 --> 00:31:17.460
And I mean, I would say too, that, you know, underpinning your foundation while living in the house means that you have to retrofit all those systems as you go.
00:31:17.460 --> 00:31:17.726
Yeah.
00:31:17.726 --> 00:31:19.293
And it's messy.
00:31:19.293 --> 00:31:20.192
It's messy.
00:31:20.192 --> 00:31:21.425
It's humbling.
00:31:21.425 --> 00:31:23.893
Um, but it's necessary.
00:31:23.893 --> 00:31:27.593
Don't put on an addition if you've got a leaky roof.
00:31:27.593 --> 00:31:28.192
Yes.
00:31:28.192 --> 00:31:29.059
Fix the damn roof.
00:31:29.059 --> 00:31:29.726
That's it.
00:31:29.726 --> 00:31:34.059
Growth doesn't wait for perfection, but it does demand stability.
00:31:34.059 --> 00:31:34.293
Yeah.
00:31:34.293 --> 00:31:35.393
You don't have to be perfect.
00:31:35.393 --> 00:31:37.160
No, but you've got to be stable.
00:31:37.160 --> 00:31:41.093
No. So, no, the other piece that I see a lot, too, is.
00:31:41.093 --> 00:31:43.625
And I know I was this.
00:31:43.625 --> 00:31:47.960
Oh, was I this in the worst way when the founder is the bottleneck.
00:31:47.960 --> 00:31:49.093
Oh, yeah.
00:31:49.093 --> 00:31:52.492
Let like I hear Elsa in the background.
00:31:52.492 --> 00:31:53.326
Let it go.
00:31:53.326 --> 00:31:54.226
Yes.
00:31:54.226 --> 00:31:56.160
Just just let it go.
00:31:56.160 --> 00:31:57.059
Yeah.
00:31:57.059 --> 00:31:57.492
That's it.
00:31:57.492 --> 00:31:58.692
It's not losing control.
00:31:58.692 --> 00:32:00.960
It's upgrading your leadership.
00:32:00.960 --> 00:32:05.425
So I would say, you know, founders don't break companies because they care too much.
00:32:06.759 --> 00:32:11.226
They break them because they hold on too long and they refuse to grow.
00:32:11.226 --> 00:32:12.726
It's not because you care too much.
00:32:12.726 --> 00:32:13.360
My baby, damn it.
00:32:13.360 --> 00:32:14.226
Because it was your baby.
00:32:14.226 --> 00:32:17.293
And you wouldn't let anybody else even take care of your baby.
00:32:17.293 --> 00:32:18.125
Yeah, and that's it.
00:32:18.125 --> 00:32:21.125
You have got to let people do things for you.
00:32:21.125 --> 00:32:25.660
Otherwise, just admit that you don't want to grow, because that's a great it's a conversation to have.
00:32:25.660 --> 00:32:29.826
And there are times where I've had that with different business owners and said, are you sure you want to grow?
00:32:29.826 --> 00:32:34.026
Because to grow means that you are no longer the center of the universe, right?
00:32:34.026 --> 00:32:35.526
And I like being the center of the universe.
00:32:35.526 --> 00:32:37.660
I'm like, then I don't think you want to grow.
00:32:37.660 --> 00:32:38.360
And that's okay.
00:32:38.360 --> 00:32:38.925
It's interesting.
00:32:38.925 --> 00:32:43.093
I've talked with people about it before too, that like business owners, I've seen it.
00:32:43.093 --> 00:32:53.460
I've talked about it with a doctor before and I've talked about it with someone that makes candy and they both truly enjoy, like the candy maker enjoyed making the candy.
00:32:53.460 --> 00:33:00.425
The doctor loved working with the patients and I'm like, great, you can still own the business, but you need to hire a general manager.
00:33:00.425 --> 00:33:04.726
That is their job to grow the business and to manage the business.
00:33:04.726 --> 00:33:08.660
You're still allowed to be the owner, but you have to let them run it.
00:33:08.660 --> 00:33:19.526
Yeah, there's a difference between the owner hat, the manager hat, CEO hat and they that you can own it, but you have to let someone else treat it as their own because otherwise it's just not going to grow.
00:33:19.526 --> 00:33:19.625
Yeah.
00:33:19.625 --> 00:33:21.960
And sometimes as an owner you have to get out of the way.
00:33:21.960 --> 00:33:24.026
You are the problem.
00:33:24.026 --> 00:33:27.192
If I had a nickel for every time I've been told that.
00:33:27.192 --> 00:33:27.860
Same.
00:33:29.992 --> 00:33:30.826
Same.
00:33:33.360 --> 00:33:35.860
Uh, what are some what are some of the key takeaways here?
00:33:35.860 --> 00:33:38.992
Um, I'll let you start with this.
00:33:38.992 --> 00:33:40.826
Pause the hiring, if possible.
00:33:40.826 --> 00:33:42.059
Take some time.
00:33:42.059 --> 00:33:42.326
Yeah.
00:33:42.326 --> 00:33:46.192
Again, if you can't describe your culture in three sentences, you shouldn't hire anybody.
00:33:46.192 --> 00:33:49.860
No, you definitely should not, because that's the key to it.
00:33:49.860 --> 00:33:50.393
Yeah.
00:33:50.393 --> 00:33:54.259
Um, if you're the leader, work on yourself.
00:33:54.259 --> 00:34:02.059
Please, please don't expect everyone else to get around, like, around you to get better while you stay the same.
00:34:02.059 --> 00:34:04.059
No, because that's the reason why they're not getting better.
00:34:04.059 --> 00:34:07.526
Because you're not showing them the example of what it means to be a good leader and develop yourself.
00:34:07.526 --> 00:34:09.659
So I'll get off my soapbox now.
00:34:09.659 --> 00:34:13.159
I was about to say you said that with authority.
00:34:13.159 --> 00:34:17.659
Like, listen here, people, I would say to you and to that point developing yourself.
00:34:17.659 --> 00:34:19.893
The next is develop your people.
00:34:19.893 --> 00:34:20.425
Yeah.
00:34:20.425 --> 00:34:24.092
So give them a, give a create a budget for training and development.
00:34:24.092 --> 00:34:27.192
Stop just saying oh I'll just let them listen to I mean, they should listen to our podcast.
00:34:27.192 --> 00:34:27.826
Yes.
00:34:27.826 --> 00:34:30.625
But there are other things that they should be doing.
00:34:30.625 --> 00:34:34.259
And you need to invest dollars and time into your people.
00:34:34.259 --> 00:34:35.025
Yep.
00:34:35.025 --> 00:34:36.860
Um, I'm going to make a super bike reference.
00:34:36.860 --> 00:34:37.293
Okay.
00:34:37.293 --> 00:34:43.893
Overcommunicate your vision because as you're as you start to go faster, it gets tougher to see where you're going.
00:34:43.893 --> 00:34:44.492
Yeah.
00:34:44.492 --> 00:34:46.659
Um, you need to say it more.
00:34:46.659 --> 00:34:49.525
Focus on your vision more.
00:34:49.525 --> 00:34:56.393
Because when you when you talk about if you say, here's where we're going, yeah, you're going to get people to buy into it.
00:34:56.393 --> 00:34:59.559
If you say it once, people just feel like they're getting more work.
00:34:59.559 --> 00:35:01.492
Yeah, I agree.
00:35:02.592 --> 00:35:08.459
Um, ten percent a year forever or one hundred percent in one year.
00:35:08.459 --> 00:35:10.292
What's better?
00:35:10.292 --> 00:35:13.292
Oh, I think it depends on your foundation.
00:35:14.492 --> 00:35:20.359
Ten percent a year with strong culture systems and leadership capacity is sustainable and it compounds.
00:35:20.359 --> 00:35:20.992
Right?
00:35:20.992 --> 00:35:25.025
One hundred percent in one year without that foundation is usually borrowed growth.
00:35:25.025 --> 00:35:25.525
Yeah.
00:35:25.525 --> 00:35:27.925
You're going to shrink and contract.
00:35:27.925 --> 00:35:32.292
So because you're not ready for it, you you may hang on to it for a little while.
00:35:32.292 --> 00:35:32.759
Yes.
00:35:32.759 --> 00:35:44.259
But the problem is, is as you scale, like you aren't prepared to scale, that your customers are going to feel the squeeze, your employees are going to feel the squeeze and all the things that got you to that one hundred percent.
00:35:44.259 --> 00:35:44.925
Bye bye.
00:35:44.925 --> 00:35:47.559
Yeah, I don't think fast growth without structure isn't success.
00:35:47.559 --> 00:35:48.259
No it's not.
00:35:48.259 --> 00:35:49.992
It's alone.
00:35:49.992 --> 00:35:50.859
It's alone.
00:35:50.859 --> 00:35:52.925
I love that alone with interest.
00:35:52.925 --> 00:35:54.025
Alone.
00:35:54.025 --> 00:35:54.959
Yeah.
00:35:54.959 --> 00:35:55.925
Wear your helmet.
00:35:55.925 --> 00:35:56.792
Wear your helmet.
00:35:56.792 --> 00:35:57.659
Absolutely.
00:35:57.659 --> 00:35:58.925
What's the first system?
00:35:58.925 --> 00:36:01.592
Every growing business needs to document?
00:36:01.592 --> 00:36:02.559
All of them.
00:36:06.225 --> 00:36:07.459
How decisions get made.
00:36:07.459 --> 00:36:11.025
Yeah, like who's making this decision?
00:36:11.025 --> 00:36:12.025
Who has the authority?
00:36:12.025 --> 00:36:14.025
Who has the autonomy to make this decision?
00:36:14.025 --> 00:36:18.025
What's what's the process for making decisions?
00:36:18.025 --> 00:36:22.125
And I mean, to me there's like a certain level of decision where I'm like, I don't want to be involved.
00:36:22.125 --> 00:36:22.725
Yeah.
00:36:22.725 --> 00:36:25.059
Um, if it's under four hundred dollars, don't even ask me.
00:36:25.059 --> 00:36:26.259
Just do it.
00:36:26.259 --> 00:36:26.459
Yeah.
00:36:26.459 --> 00:36:27.392
Don't care.
00:36:27.392 --> 00:36:27.625
Yeah.
00:36:27.625 --> 00:36:29.125
That's it.
00:36:29.125 --> 00:36:29.792
Agree.
00:36:29.792 --> 00:36:31.359
Uh, how do you like.
00:36:31.359 --> 00:36:33.025
This is a much better question for you.
00:36:33.025 --> 00:36:37.659
How do you keep it fun when you're when you're in the grind of a growth spurt?
00:36:37.659 --> 00:36:40.092
Hey, guys, we're working seventy hours this week.
00:36:40.092 --> 00:36:41.525
Isn't this fun?
00:36:43.259 --> 00:36:44.059
Let them cry.
00:36:44.059 --> 00:36:49.125
Um, so I would say fun during growth.
00:36:49.125 --> 00:36:50.959
Looks like noticing wins.
00:36:50.959 --> 00:36:52.759
So acknowledging what they're saying.
00:36:52.759 --> 00:36:53.892
Thank you.
00:36:53.892 --> 00:36:57.825
Letting people feel proud of what they're building, even when it's hard.
00:36:57.825 --> 00:36:59.925
So, I mean, fun is not ping pong.
00:36:59.925 --> 00:37:02.659
No. I love that when they're like, hey, you're working seven days a week.
00:37:02.659 --> 00:37:03.692
Here's a ping pong table.
00:37:03.692 --> 00:37:04.425
No. What the hell?
00:37:04.425 --> 00:37:05.359
Am I gonna use this thing?
00:37:05.359 --> 00:37:07.092
No. It's progress with purpose.
00:37:07.092 --> 00:37:09.225
So acknowledge their wins.
00:37:09.225 --> 00:37:11.125
Cheer them on.
00:37:11.125 --> 00:37:12.225
Work together.
00:37:14.925 --> 00:37:19.125
It's funny, because for me, we talked about how I have a difficult time celebrating wins.
00:37:19.125 --> 00:37:23.959
So I've had to be very intentional about, like, oh, hey, we've made a step.
00:37:23.959 --> 00:37:27.459
I have to put a note in, like, tell the people, yeah.
00:37:27.459 --> 00:37:27.959
Good job.
00:37:27.959 --> 00:37:28.725
Right, right.
00:37:28.725 --> 00:37:29.525
Thank you.
00:37:29.525 --> 00:37:30.225
Yeah.
00:37:30.225 --> 00:37:30.859
Thanks, guys.
00:37:30.859 --> 00:37:32.092
This is really good.
00:37:32.092 --> 00:37:34.459
Um. And I wholeheartedly mean it.
00:37:34.459 --> 00:37:35.125
Appreciation.
00:37:35.125 --> 00:37:37.525
But it's not one of those things that I typically think about.
00:37:37.525 --> 00:37:39.725
So I got to put notes in there like, hey, dummy.
00:37:39.725 --> 00:37:41.025
Yeah, your people need to hear this.
00:37:41.025 --> 00:37:42.459
Give them appreciation.
00:37:43.559 --> 00:37:47.925
If you if you think there's something that we need to hear, there could be a lot of things that we need to hear.
00:37:47.925 --> 00:37:50.025
What about do you think there's a lot of always.
00:37:50.025 --> 00:37:50.359
Yeah.
00:37:50.359 --> 00:37:52.592
Especially what topics you would like us to cover.
00:37:52.592 --> 00:37:53.592
Uh, business.
00:37:53.592 --> 00:37:54.959
Podcast.com.
00:37:54.959 --> 00:38:02.525
Uh, next episode, when to coach, when to correct, and when to cut.
00:38:02.525 --> 00:38:05.092
Oh, no. Boy, no evil laugh needed.
00:38:05.092 --> 00:38:07.959
Uh, do us a favor.
00:38:07.959 --> 00:38:08.892
Take care of yourself.
00:38:08.892 --> 00:38:13.592
If you can take care of someone else, too, we will see you very, very soon.