Saturday, September 27, 2008

What is Growing Pains ?

Why this word is similar with the successful American drama in the 1990s, it’s interesting that I found it when searching in Google. I did not recognize it before that it has something to do with “organization symptoms” that usually happened in large organization. Why I need to learn this knowledge? Because I think this is related with psychological approach beside deeply understanding about entrepreneurship itself. However, it’s quite interesting knowledge, because I used to work in large company ( more than 300 employees) and I really feel about the situation that stated in the article. Thus, this article from entrepreneurial growth course is interesting to learn and I can learn from the mistake that I get from previous experience.

Now, What is Growing pains? According to Flamholtz, when an organization has not been fully successful in developing the internal systems it needs at a given stage of growth, it begins to experience “growing pains”. It can be categorize as symptoms that an organization needs to make a transition. Then, there are ten most common organizational growing pains: people feel that “there are not enough hours in the day”, people spend too much time “putting out fires”, people are not aware of what other people are doing, people lack understanding about where the firm is headed, there are too few good managers, people feel that “ I have to do it myself if I want to get it done correctly”, most people feel that meetings are a waste of time ; when plans are made, there is very little follow-up, so things just do not get done, some people feel insecure about their place in the firm, the firm continuous to grow in sales but not in profits.

Rumors also become an issue here, and I agree that the rumors can’t be a source information that the employee can rely on. It happened all the time and it will increase a significant amount of anxiety because it’s just only speculations from people who close with top management. Thus, providing information is needed, it would be better for the role of human resource manager to accomplish it.

Furthermore, recognizing growing pain since in the earlier stage would be the best thing that the manager in large organization do. The role of supervisor and manager is to penetrate the organizational culture to employee, so they do not confuse, stress, insecure in the workplace. Fortunately, there is some method that help to measure growing pains, such as using questionnaire and let employee to fill it, it’s a convenient way to survey because employee can be anonymous. After that, it needs to score, interpret the number into reliable analysis.

Before I read this article, the bigger the company and reach the highest stage of growth does not impact the internal social condition of employee. Before , I believe that the employee can get enough salary, personal reward/remuneration (income) and better social security because big company usually emphasis in employee satisfaction. Whenever them satisfied, it will boost initiative and creativity in daily activities . However, that is not only for one typical industry (homogeneous) that affected by growing pains, but every type of industries (for instance service, high-tech, low-tech, finance) will have experience in those symptoms within internal condition and will continuously increase until reach a significantly large size.

Thus, the role of good managers is needed in every level stage of growth for the purpose to reduce growing pains inside the company. Increasing sale is important, but gaining profitability should also be the main focus. Whenever the company reach high profit, the company will continuously grow and hopefully it will reduce growing pains. Why? Because the employee feel secure and feel that they are part and belong to this organization.
Source:

Flamholtz, E.G (1990). Growing pains: How to make the transition from an entrepreneurship to a professionally managed firm (pp.53 – 72). San Fransisco: Jossey – Bass Inc.

2 comments:

entreprenerd said...

I agree that Flamholtz's ideas are interesting, and that indeed many of these 'pains' can be found in many companies. Personally, I am not too convinced about the entire idea of stage models (which he takes as a starting point) though - that companies would move through certain stages, in one direction only (from small to big).
Regards,
Leona

ibc108alti said...

Thank you for your comment