Be careful about uncontrolled growth.

It is dangerous for a business to experience too much growth too quickly. Uncontrolled growth can lead to failure of what started out as a booming success.

Symptoms of uncontrolled growth might be:
  •  Excessive increase in staff numbers
  •  Development of a large number of departments
  •  An increasing backlog of work
  •  Runaway costs
  •  Lack of overall coordination
  •  Improperly trained or experienced department/section heads
  •  Climbing turnover rate
  •  General dissatisfaction or even dissension amongst staff

An organization is ready to expand when the following situations are occurring:

  • Products or services are being produced at competitive prices.
  • The business is taking pride in its work.
  • Lines of communication within the business are good.
  • Management is flexible thinking, innovative and growth oriented.
  • Sales are gradually increasing.
  • Costs are being controlled closely
  • Employee morale is high.
  • There is a lot of talent within the existing staff.
  • The business is oriented towards marketing.
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