Where a new company is being established and created, we often have the problem of "too little bodies in the shop". We not only have too little staff to handle the workload, but we also have too little paying customers to afford expansion.
This is the real reason why so many new or small businesses fail. It isn't anything else but really, the lack or organising these few staff efficiently enough so the organisation can expand past this critical point in its evolution.
So where a company has less than 5 staff do the following, regardless is the company is performing well or failing.
Appoint at least 3 staff members including yourself. Below 3 and you are not an organisation yet and you cannot get the benefits the group can provide. Here are the 3 positions your need first:
Now you can start with your Public Manager. This person is responsible to bring new and interested people to your organisation, and then most importantly this person must make your public realise that your company is the right company to help them.
Hereafter the Public Manager sends the interested public, to the Establishment Manager. This person is responsible to make new sales from these new and interested publics and get the money in the bank. This person is usually the founder of the company and has is responsible for establishing the organisation and making it expand as well.
Lastly the Production Manager now produces & delivers what was promised to the customer. Yes, one has to have the money, before you can spend money on production.
A good rule is to always expand using a ratio 2 to 1:
2 people in establishment of your organisation, to 1 person producing in your organisation.
Using this strategy you will be able to expand past the critical point of 5 staff, and even up to thousands of staff.
This article is based in part on the Business Administration works of L. Ron Hubbard. Specifically the Executive Directives titled ORGANISATION PROGRAM NO. 1. Contact us to learn more about how these policies and strategies can benefit you, and how we use them to consult companies owners to expand.