Starting a company and seeing it flourish and grow can be a liberating experience. However, every company is set to face some adversity. With every new challenge they face, business owners find themselves trying to find an optimized solution that can help run their company profitably. Understanding the challenges you may face as you scale up your company can help you better prepare your resources and strategies for the best possible results.
Here are the top 7 challenges a growing company will face and guidance on how to deal with them.
1. Keeping track of employees
In a small company, it’s not a conscious effort to track employees. But as your team grows in size and you start to manage a decent number of employees, tracking all of them and their status will be difficult. You will have a growing workforce of different skill sets with everyone expecting a good work-life balance.
You need to set up the required work policies and ensure your employees are well managed. Employee management starts with an efficient recruitment process to provide training and knowledge, flexible work options, etc.
Productivity management is another aspect of employee tracking, which, if not done properly, could cost you a lot of money. Here is an insightful guide to efficient employee time tracking that you can check out.
A good way to ensure efficient employee tracking is to use a modularized all-in-one business tool that comprises of features such as HR management, recruitment and onboarding, productivity management, and so on.
2. Complicated budgeting
Many growing businesses have to be careful about their spending. A good number of successful entrepreneurs have reinvested a large part of their profit back into the company to keep it growing. Small businesses need to be extremely vigilant about their expenses and maintain a healthy cash flow in order to scale up successfully. Using efficient financial management solutions that can integrate with your operations can help you manage your complex budgeting needs.
3. Overwhelming project management
Project management is often the most complex part of managing a business. You need to be tracking your project’s progress efficiently to ensure none of your resources are underutilized. Project management can become quite complex when multiple teams are involved. It can also be challenging to integrate day-to-day operations with project management activities. A good project management tool can alleviate most of your project management worries. With productivity tracking tools like Gantt charts, project dashboards, time tracking, schedule, and task management, you can simplify your project management and ensure there are optimized workflows. Read our Ultimate Guide to Project Management for an in-depth guide on how project management works.
4. Outgrowing software solutions
When running a small company, you might have found good software solutions that did just the job you wanted. But when you scale up, these solutions may not suffice as they won’t be able to support all the complex operations you require, or it could become a headache trying to integrate the various solutions to work together. Standalone software solutions can give rise to information silos, result in inefficient workflows, and could require manual intervention. This can all be prevented when you use all-in-one ERP solution.
All-in-one ERP tool
All-in-one business tools provide far more benefits than standalone software solutions. They help you maintain a uniform database and access accurate information across your teams. They can also help you reduce your costs that would otherwise be accumulated by paying for each software solution.
An ERP tool with modularized implementation helps you efficiently organize your business operations. This helps you pick and choose the modules you want and save costs whilst leaving the option open to use additional modules whenever you need them.
5. Managing cash flow
Understanding and managing cash flow within your company is crucial to ensuring it successfully scales up. You need accurate expense tracking tools and data-backed insights to help you track your expenses, forecast market conditions, and plan your budgets accordingly. With powerful sales management and finance management reporting tools, you can track your spending and find better ways to plan your future expenses.
6. Maintaining the company culture
With the desire to keep growing and expanding, some companies tend to forget what made them unique in the first place. Preserving the company culture can be a challenging task for a company as your teams grow and you start interacting with various clients and vendors. You can foster a nurturing company culture with the right tools. Efficient workplace policies and the right use of technology can help you alleviate many of the possible communication gaps.
7. Complicated asset management
As your company grows, so will your inventory. The right inventory management tool can help manage all your complicated assets. It’s important to remember that assets aren’t always physical inventory. As your company grows you will acquire more digital assets such as software tools, licenses, confidential data, knowledge repositories, research data, intellectual property, business intelligence insights, etc.
A modular tool can help you
An all-in-one modular business tool could be the best option in tackling these challenges. An all-in-one ERP tool can serve as a unified platform to carry out all your crucial business tasks and help you streamline your workflows in an optimized manner. Opting for a modular tool also means you have the flexibility to only pay for the modules you use. This is an excellent option for businesses that are just starting to scale up and looking for ways to reduce their costs.