CREATE PREDICTABLE AND CONTROLLED PERFORMANCE
Perceived value of a company is directly proportional to the expected growth of the business, revenue and profit, and the consistency of the business performance. The stronger the infrastructure of the company, the better its function and capability to control and create predictable performance.
At some point in the growth process, the company outgrows the ability to manage the company and begins to inhibit further growth. When companies are in a growth mode, it’s common for one or more divisions to become overwhelmed and under-supported. This creates stress on finances, productivity, quality control, sales and marketing, and employees. Management is often overwhelmed and focused on putting out fires instead of proactively building the infrastructure to support the growth. These growing pains are a good sign but must be addressed to keep the company’s growth accelerating and not collapsing. With improved infrastructure, management control, and strong financial management, growth becomes stable and predictable.
For the companies that have designed a corporate strategy and aligned their executive team and resources on the game plan, where could it possibly fail to deliver the value proposition envisioned? It depends on effective deployment and implementation of that strategy which is totally reliant on the infrastructure and communication capability of the organization. Once you know where the company should go, it is up to management to use the organizational infrastructure to take it there in a team effort, and not on the backs of a few management stars.
A company is a big investment in money, time, and talent and often holds the heart and soul of the people who work within it. Without strong management, a workable infrastructure, and a competent team, that investment is at risk. Operational programs must align to the corporate strategy and be actionable and measurable. Top and bottom line performance, free-cash flow, and company valuation dependent upon the operational and financial procedures and policies set and carried out by management.
Interliance Capital can quickly assess your company’s operational and performance issues and provide the insight and support to help the organization build systems needed for the company to get through the growing pains, increase top and bottom line performance, and proactively build a strong foundation to predict and control future growth.