Overcoming Unsustainable Business Practices

Overcoming Unsustainable Business Practices

loyb podcast Jul 15, 2024

How can businesses ensure they are scaling the right aspects of their operations rather than just amplifying existing problems?

Why is it crucial to reduce uncertainty before scaling a product or service? And what are some effective ways to create and implement systems and processes before scaling?

In this episode on the Lean Out Your Business podcast, I explore an important topic: business scalability and what doesn't scale. I start by highlighting the need to simplify and streamline business processes before scaling to avoid making existing problems worse. I cover the different stages of a business, from starting out to growing, and how not addressing uncertainty at any stage can be harmful.

I also talk about the disadvantages of relying too much on certain individuals to fix problems, as this can stop the business from growing sustainably. Through real-world examples and proven strategies, I show why having clear systems and processes is crucial for smooth operations. I emphasize the importance of focusing on strategic vision instead of getting stuck on everyday tasks.

Listen in to get practical tips and learn how to use AI to streamline and automate your operations.

In this episode, you’ll discover:

  • The 3 things most businesses do that don't scale
  • Why you're stuck on the hustle hamster wheel
  • What's needed for sustainable scaling
  • Which stages of business support scaling & which don't
  • What's needed for sustainable scaling

Tune into Episode 185 of the Lean Out Your Business Podcast or keep reading below.


Why Scaling Doesn’t Always Work

Not everything in your business will benefit or is meant to be ramped up. In fact, scaling can often amplify existing problems if they are not resolved. Simplifying and streamlining processes before scaling is essential to ensure efficiency and effectiveness.

Essentially, scaling amplifies what is already present. If you're dealing with unresolved problems, scaling will only make them worse. Simplification should be the first step—eliminate unnecessary elements, streamline your processes, and then consider scaling. The key is to ensure everything functions smoothly before expanding.

Stages Every Business Goes Through

Imagine your business journey as four stages: Emerge, Grow, Scale, and Influence. During the Emerge stage, it's all about experimenting and discovering what works. If you find yourself stuck at this stage, be sure to read this article where I share the process I used to streamline my offers and move forward with confidence.
Once you have the right product and market fit, this allows you to transition to the stages of Grow, Scale, and Influence. However, it is all too often that businesses skip through stages. For example, they may try to scale before they secure market fit. Only after confident footing in these stages should you consider scaling. Skipping stages often results in more troubleshooting and wasted time, energy, and resources. 

The Trap of Heroics

Small businesses often depend on last-minute heroics, such as staying up late to meet deadlines or personally handling every issue. The reality is that heroics are not scalable. If your business relies on you constantly swooping in to fix problems, it's not set up for sustainable growth.

When starting out, business owners often wear many hats—sales, marketing, tech, you name it. As your business grows, you bring team members on board, but you might still find yourself as the main problem-solver. The key is to change this mindset. Develop systems and processes that enable your team to handle issues on their own. Effective planning and comprehensive training for your team are essential to get you out of this hero role. This article will help you understand and assess what needs to change in your business ecosystem in order to be able to really scale sustainably. 


Strategy Over Tactics

One crucial takeaway is to avoid getting bogged down in tactics. While tactics involve managing daily tasks and details, they often don't scale effectively. Instead, concentrate on your overarching strategy and vision. Effective strategies drive growth and help align all efforts toward meaningful goals.

If you’re struggling with uncertainty, constant heroics, or getting lost in tactical details, the solution is straightforward: streamline. Simplify your processes by removing non-essential elements, and focus on what truly matters. 

The Impact of AI

Embracing AI has been transformative for many businesses. It’s not just a passing trend but a valuable tool that enhances efficiency. Integrating AI into your operations can save significant time and resources, potentially even eliminating the need for additional hires. There are so many incredible ways to leverage AI,  that this is definitely a tool worth learning more about and investing in. 

One of the best ways to work smarter not harder is to learn how to strategically use AI to simplify and scale your business.

If you're ready to go all in on simplifying and scaling your business leveraging AI, click here to learn more about my new program.

For access to the workbook that accompanies this episode and all recent solo podcast episodes, sign up for our weekly newsletter at leanoutmethod.com/insider.

 

by Crista Grasso

Crista Grasso is the go-to strategic planning expert for leading global businesses and online entrepreneurs when they want to scale.  Known as the "Business Optimizer", Crista has the ability to quickly cut through noise and focus on optimizing the core things that will make the biggest impact to scale a business simply and sustainably. She specializes in helping businesses gain clarity on the most important things that will drive maximum value for their clients and maximum profits for their business.  She is the creator of the Lean Out Method, 90 Day Lean Out Planner, and host of the Lean Out Your Business Podcast

WORK WITH CRISTA

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