Running a startup is difficult but in a sense freeing. While it may be hard winning your first contract or two, from an operational stand point your business focus is simply on executing client solutions. When that startup becomes and small business, and that small business begins to grow, the issue of sustainability and effective growth is a huge challenge for all companies. According to Fortune Magazine, a few suggestions that can help growing businesses include maintaining company culture, openness, and a focus on hiring and day to day management.
A survey was released highlighting Great Places to Work by Fortune Magazine showed the need for a focus on employees, innovation, and revenue, and the best ways to operate effectively. Below is a quick summary of the survey results
- Surveyed companies in the top quartile for executive effectiveness experienced median year-over-year revenue growth of 26%, three times faster than peers.
- Businesses in the top quartile for innovative behaviors—another area where scores tend to drop with increased size—reported 23% median revenue growth. That’s also three times faster than peer companies.
- On an index gauging whether organizations offer a great place to work for all employees, regardless of who they are or what they do, the top quartile for fairness grew revenue 3.6 times faster than companies at the bottom.
In the end, when it comes to growing a company, creating an open and inclusive culture is the key to success. Turnover is expensive and, for small and medium enterprises, can be the deciding factor for revenue growth if not handled properly. “Employees at businesses with fewer than 100 co-workers were 63 times more likely to plan a long-term future at their companies if they described them as a great place to work.” Keeping employees included in decisions can do wonders in keeping talent and growing the way you need to.