Page 21 - BUILDING BETTER BUSINESSES, FOR A BETTER ECONOMY -( David White - DRG )

expectations and requirements. As an example, if payroll management
was not core in a business (as it is not in most businesses), it can be
outsourced to a professional payroll service provider - but it is still the
organisation’s responsibility to ensure correctness and timeliness of payments to
staff, and contributions to Receivers of Revenue and Social Security Bodies.

Looking at how the Functional Areas Evolve in S-Curve 2

S-Curve 2 Foundation is critical for the organisation’s growth and sustainability, as it now has more
customers and responsibilities, and the entrepreneur is not able to do everything himelf or herself.
The entrepreneur or business leader’s role changes to being more of an overseer, coordinator and
mentor of the business, and each functional area starts maturing into a responsive and responsible
contributor to the organisation’s success.
Often when I am mentoring entrepreneurs, I say to them that it is necessary to start developing
their businesses S-Curve 2 Foundation, while they are still in S-Curve 1. I explain using an analogy
of buying a size bigger shoes, so that as their business (their feet) grow, there is a natural and
comfortable fit. Getting that extra client without a suitable business Foundation, can result in too
much complexity, resulting in failed service delivery, and a failed organisation.

The S-Curve 2 diagram shows that each Functional Area in the business needs to mature from
the basic Foundation created for the business in S-Curve 1. In particular the diagram shows the
maturing HR environment. As can be seen, workflow activities are identified and allocated to
Functional Area individuals and teams, who become responsible for ensuring their aspects of the
combined requirement to meet the organisational intention are suitably met and passed onto the
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next Functional Area focus and activity. As an example, Operations develop suitable products
based on market intelligence and internal Quality Assurance processes, and hands onto Marketing
and Sales to service existing clients.