The Successor Problem...and Solution
Small- and medium-size corporate companies always depend on a few employees to manage and run their business. Whether it's an IT, engineering, construction or service contractor, it's usually the same.
Taking a small construction company as an example, due to business size we find that most of these companies run on a linear track (i.e., one project at a time), hence a projectized organization structure is developed to run such projects—and usually depends on one to three key personnel at most.
Such personnel shall be involved in initiating, planning, executing and closing out the project, including financial tasks, logistics, etc., and on a small scale at first. Business owners are usually comfortable with this model and satisfied with the results, since such duties are not a headache; they don’t need control tools to improve project performance.
Most small companies concentrate more on business development and profit maximization with business expansion and increasing the number of employees. At some point, the organization finds its performance and quality of work is negatively affected with the increase of business.
Such a negative effect is always blamed on an inadequate organization structure, which has never been upgraded to cope with the new challenges and the expanded business. Unfortunately,
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