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“A business is only as good as the people who run it.”
In 2021, the ‘hire to fire cycle’ has almost become the norm for recruiting and managing talents in the general startup sphere – especially in the tech space. Formalities with recruitment have declined a lot in the past decade since founders can now pluck employees off proposal charts on freelancing markets – quick interviews, a glance over their past work or samples, rate negotiations, and if the tides are in favor, a “welcome onboard” message.
While this easy process certainly has many advantages, it opens up deep craters for founders to be less intentional about the human resource affairs within their startups. Essentially, most upcoming startups would create HR divisions last, if at all, and it usually turns out to be a penny-wise-pound-foolish decision., an American entrepreneur, and online business growth expert, attributes a good chunk of the problem to over-delegation. Bottlenecked employees always perform the worst – in and out of office hours.“One of the top mistakes businesspersons make when implementing systems for their startups is hiring too cheaply,” says Cheng, a Bali-based business scaling and rapid skills acquisition expert.“It’s okay to hire affordably, but requiring one person to do several things above their skill level becomes a problem too quickly. For example, a founder running a company with sales, marketing, accounting, and administrative departments would hire one virtual assistant and expect them to do everything from outreach and customer correspondence to set up personal appointments. While each of these departments should be managed by different people with distinct roles, a lot of founders just hire the first person out of desperation and assign them everything.”Delegation sounds quite simple and straightforward, but when things go south, many business owners would prefer to run point themselves – total inefficient use of a founder’s time. Over-delegation leaves the unfortunate employees unable to exert authority properly in the founder’s stead, dredges up confusion regarding responsibilities, and eventually, accountability becomes a facade within the operation.Cheng is an expert in building workable systems for businesses. To ensure efficiency and reduce bottlenecking within an organization, he specializes in dividing every brand’s operations into smaller, well-defined, and more manageable processes. These processes are then automated as far as possible before being assigned to human managers. Cheng recommends that startup founders identify the “big domino” in their businesses and sort it before anything else.
“What you want to do is to take note of the most time-consuming activity in your schedule as the founder,” says Cheng “We call this the “Big Domino”. What is that one thing that moves the needle the most, so much that when you knock it over, it would affect change in as many other aspects of your operations as possible? Everyone’s big domino is different and you must learn which one creates the highest ripple effect and have it handled at the start.”
“Scaling a company can be difficult, primarily because it requires an acute sense of foresight. It’s crucial you invest heart, time and effort in the initial structure of your company, precisely when the differences between “passable” and “perfect” seem meaningless. Any minor flaws in the initial setup of your system will be exponentially compounded when trying to scale. Hindsight is always 20/20, and in order to thrive in a competitive market, planning ahead and focussing on the details makes all the difference”.