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Scaling Up: Invest in Leadership Development Programs

By March 14, 2018February 26th, 2020Strategy

In the group-practice space, there are now many conferences, programs, and articles focused on “scaling up.” In fact, most of these events present the same basic stuff — systems, structures, financing, and hiring, all of which require you to scale. The intention is that managers can replicate these systems, structures, accountabilities and job descriptions across the board.

Scaling Up

The primary driver in scaling is to establish standardized processes. The assertion is that flexibility can be the enemy of growth. Managing the operations with the hands-on involvement of founders eventually limits growth — so if a start-up is going to scale, managers need to implement standardized and repeatable processes, with the proper delegation. These processes require investments in support systems, including IT, and training personnel accordingly, as well as clear assignments from the founder and senior management.

But after scaling up systems, structures, and processes, leadership often falls by the wayside. It becomes apparent, at a certain point, that greater depth and volume of leadership is necessary. Yet few, if any, small-group practices of ten to 20 offices have a leadership-development program in place.

Duplicatable systems, structures, and processes will only get you so far, and without a rising tide of leadership, your growth can’t progress.

Focus on Systems, Structures, and Leadership Development

If you have around five practices and are ready to scale, focusing on reproducible systems, structures, and processes is not enough. If you don’t match tighter structures, systems, and efficiencies with a commensurate enhancement of leadership in each location, you will not scale nearly as well or as quickly — and maybe not at all.

I recommend that you not only focus on solidifying your systems, structures, and processes, but you focus equally on developing scalable leadership. Making a car more efficient and robust doesn’t mean anything if you don’t allow the driver to take advantage of the improvements.

I suggest that you generate a “leadership development” program for your enterprise and make it a primary focus of your business development. Improving the depth and power of leadership throughout your organization will speed the progress and reliability of structural, systemic, and procedural improvements.

In the DEO program, we ask clients with more than five practices to select leaders in their organizations and bring them to the program and use the program as the curriculum for their leadership development. With our guidance, clients mentor these future leaders and give them the same exercises, assignments and reading, all aimed at improving leadership.

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