Blue Monarch Management

Author: Jeff Peterson

  • Performance at Speed: The New Rules of Measurement 

    Performance at Speed: The New Rules of Measurement 

    In the first article of this series, we explored how to design operating models built for momentum. In the second, we focused on how progressive leadership practices accelerate results and reduce friction. But once you start moving fast, a new challenge emerges: how do you know it’s working? And how do you monitor performance without slowing the system down? 

    This is where most organizations trip. Traditional performance models were built for stability, not speed. They rely on backward-looking metrics, long feedback cycles, and static dashboards. But in a velocity-oriented organization, lagging indicators aren’t enough. You need real-time insight, proactive sensing, and continuous calibration. You need measurement that moves with you. 

    This article makes the case for rethinking how we measure performance in high-speed, high-change environments—and outlines the new rules leaders must adopt to stay ahead of the curve. 

    Where Traditional Measurement Breaks Down 

    Most legacy measurement systems were built for predictability. They track output, efficiency, and compliance. But when the pace picks up, these metrics lag behind reality. 

    Despite the abundance of modern tools, many organizations still operate with outdated practices. Teams spend hours producing reports instead of consuming insights. Dashboards are built manually. Data lives in silos. The systems intended to speed up decisions often bury signals in noise—slowing everything down. 

    Even with cloud ERPs, integrated platforms, and collaboration tools like Teams, reporting is often built around storytelling rather than signal-reading. Leaders spend time constructing the narrative instead of reacting to it. That’s where drag creeps in. 

    Years ago, while working in the rail sector, I saw how delayed analytics held back decision-making. Trains moved fast. Our data didn’t. We needed real-time signal intelligence, but the systems weren’t integrated enough to provide it. Many companies today still face that same gap—now not from a lack of tools, but from the way they’re used. 

    A recent Deloitte study found that organizations using real-time data can improve decision-making speed by up to 30%. That gap between sensing and acting is the new performance frontier. 

    You can see this shift across industries. Deliveroo is helping restaurants modernize by integrating management tools and live data to boost speed and precision. Fashion retailers are overhauling how they forecast demand, moving toward systems that surface inventory trends in real time—not post-season. In both cases, the lesson is the same: responsiveness is the new reliability. 

    Visual: Traditional vs. Velocity-Based Measurement 

    What Modern Measurement Looks Like 

    It’s no longer about choosing between quality and speed. The new frontier is achieving both—and doing so consistently. 

    Modern measurement systems are not separate from the work. They’re embedded into it. They act more like radar than rearview mirrors—constantly scanning, sensing, and feeding decisions in real time. 

    These systems prioritize: 

    – Signals over snapshots – They detect movement, deviation, and emerging issues as they happen, not after. 

    – Integration over layers – They’re connected across tools, functions, and workflows, not stacked in silos. 

    – Consumption over production – Insight is delivered in context, ready to act on, not packaged for show. 

    – Learning over policing – Measurement becomes a feedback engine, not a compliance tool. 

    This shift enables teams to move with greater confidence and agility. It reduces noise, shortens response time, and raises overall quality—because decision-makers are no longer reacting to the past, they’re responding to the present. 

    In high-speed organizations, measurement isn’t a system. It’s a sense. 

    A Final Word 

    If your measurement system can’t keep up with your ambition, it’s time to change it. Velocity isn’t just about moving fast—it’s about sensing fast, learning fast, and adapting with precision. 

    In a world that’s not slowing down, the real edge isn’t speed alone. It’s what you do with it. 

    (According to 6sigma.us, velocity in agile environments is already being measured to track a team’s ability to deliver value predictably and sustainably—reinforcing how critical it is to align metrics with motion.) 

    About Jeff Peterson 

    Jeff Peterson is the founder of Blue Monarch Management, a boutique firm that helps organizations grow, scale, and transform. He is a Doctor of Business Administration student, a trusted management consultant, and a board-level advisor with a strong interest in accelerating entrepreneurship and building community-led growth. Jeff brings grounded, real-world insights from complex transformation projects—and a strong bias for clarity, speed, and execution. 

  • Leading At Speed: Progressive Management Practices That Accelerate Results 

    Leading At Speed: Progressive Management Practices That Accelerate Results 

    In our last article, we explored how a well-designed operating model turns strategy into momentum. If you missed it, you can read it here: Raising the Velocity of Your Operating Model – Blue Monarch Management. 

    But design alone isn’t enough. Speed comes from execution—and that depends on how leaders run the day-to-day. Progressive management practices aren’t just a buzzword. They’re the real drivers behind organizations that scale quickly, stay adaptive, and outperform competitors. These practices don’t just live in theory—they show up in how we meet, make decisions, and move work forward. 

    Speed Doesn’t Come From Working Harder 

    Many organizations are busy—but not fast. Leaders often confuse full calendars with forward motion. But real velocity comes from reducing decision lag, streamlining coordination, and aligning people around outcomes, not just activity. 

    One of the biggest drags on speed is complexity. Layers of sign-offs, unclear roles, or legacy workflows create friction that slows everyone down. Progressive leaders challenge that by simplifying how work flows—cutting down steps, removing blockers, and pushing clarity out to the edges. 

    Decision Rights and Delegation 

    Companies that move fast don’t wait for permission. They design decision rights deliberately. This doesn’t mean chaos—it means the right people make the right calls at the right time. 

    A trend we’re seeing across industries is the rise of micro-delegation. Instead of one giant org chart, leading companies break work into modular pieces with empowered leads. When teams know where their autonomy begins and ends, they act faster—and own the results. 

    In my own work, I’ve seen how slow decision cycles can quietly kill momentum. I remember one project where a mid-level team had the insight and capacity to pivot, but approval had to go three levels up. By the time they got the green light, the opportunity had passed. It reinforced something I build into every engagement: tighten the feedback loop and make sure authority lines are crystal clear. 

    Removing Friction: Trends and Best Practices 

    High-performing companies are taking a hard look at operational drag. They’re shifting away from rigid hierarchies and outdated workflows and instead are investing in tools and practices that enable speed and clarity. 

    One trend is the use of real-time data to streamline decision-making. Companies using advanced analytics are twice as likely to exceed performance targets, according to McKinsey. Paired with this is a growing focus on automation—not just in manufacturing or IT, but across HR, finance, and customer service. Low-code platforms and AI-powered tools are simplifying tasks that used to take days. 

    Another practice gaining ground is role clarity. Teams move faster when responsibilities are clear. Leading firms are rethinking org structures, breaking silos, and embedding cross-functional pods with clear mandates and short feedback loops. 

    Culturally, there’s a shift toward psychological safety and ownership. When employees feel safe to speak up and are trusted to act, momentum builds. Friction isn’t just a process problem—it’s often a trust problem. 

    The throughline in all of this: velocity rises when friction falls. The challenge is knowing where to cut, where to invest, and when to get out of your own way. 

    The Manager’s Role is Shifting 

    Old-school management leaned on control and predictability. Today’s leadership is about creating clarity, enabling autonomy, and shaping a culture of ownership. 

    That doesn’t mean stepping back entirely. It means being deliberate about where to step in—and where to step out. I’ve found that when I take a moment to map out a team’s natural bottlenecks—not their org chart, but the actual places where decisions slow down—it becomes obvious where I need to intervene and where I need to trust the system. 

    What Happens Next 

    For companies aiming to raise their velocity, it’s not about chasing speed for its own sake. It’s about becoming fit for scale. That means building systems and leadership habits that are light, clear, and built for momentum. 

    In the next article, we’ll focus on measurement—how to track what really matters when speed is the goal. 

    About the Author 

    Jeff Peterson is the founder of Blue Monarch Management, a full-service management firm that helps organizations grow, scale, and transform. He is a Doctor of Business Administration student, a trusted management consultant, and a board-level advisor with a strong interest in accelerating entrepreneurship and building community-led growth. Jeff brings grounded, real-world insights from complex transformation projects—and a strong bias for clarity, speed, and execution. 

  • Raising the Velocity of Your Operating Model

    Raising the Velocity of Your Operating Model

    In November 2024, I wrote about modern growth drivers for small and medium-sized enterprises. Here is the link to that article: Modern SME Growth Drivers – Blue Monarch Management. Blue Monarch Management builds companies – and a critical element that must be designed correctly in every company is the operating model.

    An operating model is the blueprint for how an organization delivers value to its customers or stakeholders. It defines the way a company organizes and aligns its resources, processes, people, and technology to execute its business strategy and achieve its goals.

    Key components of an operating model typically include:

    Processes: The workflows and systems that ensure consistent and efficient delivery of products or services.

    People and Roles: The structure of teams, roles, and responsibilities that drive execution.

    Technology: The tools and platforms that support operations and enable scalability or innovation.

    Governance and Decision-Making: The framework for how decisions are made, who has authority, and how accountability is ensured.

    Culture and Mindset: The behaviors, values, and norms that shape how work gets done within the organization.

    In short, an operating model transforms a company’s strategic vision into daily actions and outcomes. It is like the “how” to the strategy’s “what.”

    So why is velocity important?

    Designing an operating model for high velocity means structuring a company’s processes, people, and technology to enable rapid decision-making, faster time-to-market, and swift responses to changes in the market or customer needs. It is about building agility and speed into the very DNA of the organization while maintaining consistency and quality.

    To prioritize agility and flexibility, it is essential to streamline processes to cut down bureaucratic delays, create cross-functional teams that can collaborate swiftly without siloed communication, and empower employees to make decisions at the appropriate levels without waiting for top-down approvals. To foster speed, organizations should integrate technology that automates routine tasks and boosts productivity through AI, machine learning, and robotic process automation. Leveraging cloud-based platforms enables seamless data sharing and collaboration across teams and locations, while real-time analytics provide the necessary insights for swift, data-driven decision-making. To maintain a customer-centric focus, organizations should shape their operating models around customer needs by rapidly collecting and integrating feedback. This includes delivering iterative improvements, such as Minimum Viable Products, to meet evolving customer demands. Nurturing a high-velocity culture can be one of the more impactful elements of a high-velocity operating model, but also one of the most challenging to get right. Driving this kind of culture requires difficult and deep personal changes in staff to rid themselves of perfectionist behaviours in favour of encouraging experimentation and learning from failures, aligning organizational incentives with speed and innovation, and building leadership that supports quick adaptation and fosters trust among teams. To optimize resource deployment, organizations should implement dynamic resource allocation, allowing teams to adjust their focus based on priorities and market signals. Additionally, employing flexible workforce models, such as gig workers or strategic partnerships, can enable quick scaling during demand surges. Simplifying governance and decision-making involves establishing clear frameworks to ensure swift decisions with minimal friction, removing hierarchical layers, and creating a flatter organization to enhance communication and action speed.

    Why does this matter?

    Companies that operate at high velocity can outmaneuver competitors, meet customer expectations more effectively, and seize opportunities faster. This is especially critical for SMEs, as their smaller size often gives them an inherent advantage in pivoting and adapting compared to larger organizations, though I also believe that an operating model that has been designed to be nimble inside a large organization can create some nice advantages. This is, in part, why many large enterprises are investing heavily in enterprise resource planning systems that can automate work and upgrade the power of decision support systems.

    Raising the velocity of an operating model involves redesigning systems, structures, and behaviors to enable quicker decision-making, faster execution, and adaptability. Streamlining processes involves automating repetitive tasks with tools like robotic process automation (RPA), eliminating workflow redundancies, and standardizing key procedures to create clear, repeatable processes for common tasks, saving time and enhancing efficiency. We can empower teams by decentralizing decision-making, encouraging cross-functional collaboration, and investing in training. This approach enables individuals and teams to make quick decisions without multiple levels of approval, breaks down silos by combining diverse expertise to solve problems faster, and equips employees with the necessary skills and tools to operate effectively in a high-velocity environment. I have lived through these kinds of changes – with the authority to make decisions and the power of information to support great decision-making – pushed out to the front lines of a business. Knowledge and empowerment drive speed.

    To embed technology effectively, businesses might adopt agile tools like Trello, Asana, or Jira for enhanced agility and transparency, implement real-time data analytics using business intelligence platforms for faster decision-making, and leverage cloud-based solutions to enable seamless collaboration across locations and devices. Our firm has explored several solutions to help us speed up our work management and project management, finally landing on Clickup as a feature-rich, economical, and user-friendly solution that fully enables Agile consulting practices.

    We can also foster a speed-oriented culture by rewarding quick, effective execution, encouraging experimentation with a “fail fast, learn faster” mindset, and focusing on continuous improvement through regular reviews and refinements based on feedback and performance metrics. Perhaps one of the most interesting design choices for a high-velocity operating model (interesting to me anyway!) is to optimize an organizational structure by flattening hierarchies, thereby speeding up communication and decision-making, dynamically allocating resources to the most needed areas, and introducing agile frameworks like Scrum or Kanban to enhance responsiveness. To boost organizational speed, we focus on both external and internal feedback loops. We listen to customers to quickly adjust products and services, monitor market trends to stay ahead of changes, and gather employee feedback to ensure internal processes align with team capabilities and challenges.

    By implementing these strategies, companies can transform their operating models into systems capable of operating at high velocity. Over the next two articles, I will walk through some common barriers to raising the velocity of an operating model with some solutions and then will discuss the design and role of progressive management practices to power a high-velocity operating model.

    About 

    Jeff Peterson is the Founder and CEO of Blue Monarch Management and is a professional Management Consultant specializing in Strategy, Governance, and Organizational Development for companies designing and driving transformational investments. 

  • Degrees of Freedom, Velocity, and Growth in Business

    Degrees of Freedom, Velocity, and Growth in Business

    The Game

    Have you ever played FreeCell?

    I play it during my idle moments because it’s fun, the rules are simple, and there is a chance for me to beat my score – measured in both time and number of moves. It is a version of Solitaire where a full deck of cards is spread randomly over eight columns with a goal to move all cards in suited sequence to their respective piles. There are four ‘free cells’ available to temporarily hold a card each to enable movement of other cards around the tableau. Playing the game for a few minutes sharpens my focus and provides some sign as to whether I need coffee.

    There is also a tremendous mathematical lesson hidden in the game that ties back to growth and business – Degrees of Freedom. I worked through railroad problems related to degrees of freedom when managing a fleet of trains. And many of our growth-oriented clients often navigate some significant constraints (i.e.: few degrees of freedom) – which we are learning can severely suppress growth rates – and partially explain the value that venture capitalists can have on accelerating the development of promising new ventures.

    In my article from November 3, 2024 about Modern SME Growth Drivers, I wrote about the importance of financial resilience as a critical strategy for navigating tough times and being able to take full advantage of emergent opportunities. Having adequate financial capacity adds degrees of freedom to a company, which can change its rate of growth.

    Degrees of Freedom and the Relationship with Velocity

    Degrees of Freedom

    In physics, particularly in the study of motion, degrees of freedom and velocity are closely related concepts. Degrees of freedom in this context refers to the number of independent ways in which a system can move. For instance, a particle moving in three-dimensional space has three degrees of freedom: it can move along the x, y, and z axes. Each degree of freedom corresponds to an independent variable that can change without affecting the others.

    Velocity

    Velocity is the rate at which an object changes its position with respect to time. It is a vector quantity, meaning it has both magnitude (speed) and direction. I am a recovering railroader, and so many concepts that I apply as a management consultant were learned from studying the physical and operating principles of complex transportation networks. In railroading, we might think of network velocity as being affected by how much traffic occupies a limited amount of track, and when many parked trains fill up sidings, overall velocity goes down. Why? In part, because there are fewer degrees of freedom – fewer options available to unblock a congested network.

    Relationship

    The relationship between degrees of freedom and velocity lies in how motion is described. For each degree of freedom, there is a corresponding component of velocity. The degrees of freedom of a system determine the number of independent velocity components that describe the system’s motion. When there are fewer degrees of freedom – fewer options available – velocity goes down.

    The Relationship between the Theory of Constraints and Degrees of Freedom

    The concept of degrees of freedom and the Theory of Constraints (TOC) both deal with the limitations within a system, but they approach these limitations from different angles. In a system, degrees of freedom are essentially about the flexibility of the system to change and adapt. The Theory of Constraints is a management philosophy that focuses on finding and alleviating the bottleneck or constraint within a process. The idea is to recognize the most limiting factor and optimize it to improve the overall system performance. Both concepts involve understanding and managing constraints. Degrees of freedom are concerned with the available options within the constraints, while TOC focuses on optimizing the most critical constraint. In practical applications, knowing the degrees of freedom can help identify potential areas for improvement, which aligns with TOC’s goal of enhancing overall system performance by optimizing constraints. Our management consultants often help our clients to understand where those bottlenecks are and how to add the right capacity to improve growth rates.

    Back to the Cards

    In FreeCell, I’ve learned that the degrees of freedom go down as more cards fill up the free cells. In the game, when the free cells are full, my time to complete the game is always dramatically slower because the tableau is constrained, and I have fewer movement options.

    Applied to Growth in Business

    Working inside a business, can you think of what resources you need to accelerate your growth? You need time, funds, and skills. You might think of having lots of time as the same as having more degrees of freedom. Extra free time affords you the capacity to pursue different kinds of growth investments, take advantage of emergent opportunities, and likely more time can reduce stress and improve personal health and wellness – essential for sustaining a high productivity rate. A well funded organization can add value-generating assets and programs into the business, can hire more people who can do more work, and can avoid operational consequences by being able to pay bills on time. Having the right skills available when needed can accelerate the completion of complex work.

    Now consider those businesses that are heavily constrained for time, funds, or skills – all representative of fewer degrees of freedom? A business with few options can face exponentially compounded growth problems resulting from missed opportunities, financial and operational penalties, weak productivity, and a slow completion rate.

    In railroading, an eloquent strategy to improving an operating ratio is to remove traffic from the network, thereby increasing the degrees of freedom and allowing the network to speed up. In growing businesses, clear goals and priorities (which is often as much about defining what a company won’t do as what it will do), adequate funding, and the right skills and experience collectively add degrees of freedom that in turn can accelerate growth.

    About

    Jeff Peterson is the Founder and CEO of Blue Monarch Management and is a professional Management Consultant specializing in Strategy, Governance, and Organizational Development for companies designing and driving transformational investments. He is pursuing a Doctor of Business Administration degree at the University of Calgary, with planned research studies in adaptive change, organizational design, and entrepreneurship.

  • Modern SME Growth Drivers

    Modern SME Growth Drivers

    Recently, I’ve been researching and writing about growth drivers and challenges for small and medium-sized businesses. We are nothing if not a good case study of our own advisory work in the growth of businesses, as Blue Monarch has experienced significant highs and lows over the last several years around growth and maturation – within the highly competitive management consulting industry. As consultants, we work hard to increase our level of ‘lived experience’ so that strategies that we present to clients are generally field-tested and proven. But I wanted to research modern trends in the growth of small- and medium-sized businesses, globally and particularly in North America to help us build out our advisory competency in a fast-moving and highly competitive landscape. My colleague, Rick Bennett, has been working in growth strategy for years and wrote a related post in January 2024 here.

    These trends were consolidated from research and articles written by: McKinsey, Boston Consulting Group, Bain & Company, Strategy&, Researchgate, Fast Company, Forbes, Innovation, Science, and Economic Development (Canadian Government), Business Development Canada, Federal Ministry for Economic Affairs and Energy (Germany), the Association of Chartered Certified Accountants (Global body), Dr. Simon Raby, the International Labor Organization, and the World Economic Forum – all very reputable sources with some rigor behind their work.

    According to McKinsey, micro, small, and medium enterprises (MSMEs) form the backbone of economies, accounting for two-thirds of business employment in advanced economies and almost four-fifths in emerging economies. They also power dynamism and will play an important role in preserving competitiveness in an era of shifting global production. Boosting MSME productivity relative to large companies could yield significant value, as small business productivity is only half that of large companies. Capturing this value requires a fine-grained view, as the relative productivity of MSMEs and large companies varies widely across subsectors and countries.

    According to the World Bank, small and medium-sized enterprises (SMEs) account for about 90% of businesses and more than 50% of employment worldwide. In emerging economies, formal SMEs contribute up to 40% of national income (GDP).

    Digital Transformation

    SMEs are embracing digital transformation at an unprecedented rate. The fallout from Covid-19 has significantly accelerated trends like digitization and remote working. By adopting digital tools and technologies, such as e-commerce platforms, cloud computing, and digital marketing, SMEs can dramatically improve their productivity and efficiency. This digital shift not only enhances business agility but also strengthens data security, ensuring that businesses are well-equipped to handle future challenges. The move towards digital-first approaches has become crucial for staying competitive and achieving long-term growth. SMEs that leverage these technologies can reach broader audiences and streamline their operations, paving the way for a more resilient and adaptive business model. Digital transformation is no longer just an option; it’s a necessity for thriving in the modern business landscape.

    Sustainability: The New Business Imperative

    Sustainability is no longer a buzzword—it’s a necessity. With a growing focus on reducing greenhouse gas emissions, SMEs are under pressure to adopt greener practices. However, many face hurdles due to limited resources and expertise. The good news? Embracing sustainability can open doors to innovation and growth. From integrating eco-friendly technologies to revamping business models, SMEs are finding creative ways to meet regulatory demands and consumer expectations. This shift is not only about compliance but also about staying competitive in a market that values environmental responsibility. By leveraging their agility, SMEs can turn sustainability challenges into opportunities, driving both environmental and business success.

    Remote Work: A New Era for SMEs

    The COVID-19 pandemic drastically transformed the work landscape, making remote work a significant trend that’s here to stay. For small and medium-sized enterprises (SMEs), this shift is a game-changer. By adopting remote work practices, SMEs can tap into a diverse and global talent pool, breaking free from geographical constraints. This flexibility not only helps in cutting down operational costs but also in boosting employee satisfaction and productivity. Digital tools and technologies are at the forefront of this transformation, enabling seamless communication and collaboration across distances. As SMEs continue to embrace these flexible work arrangements, they are positioned to thrive in an increasingly digital and interconnected world, leveraging the benefits of remote work to drive innovation and growth.

    Reinventing Business Models

    Sticking to old rules is no longer an option and businesses are getting creative to cater to both existing and new customers. This innovation is driving new revenue streams and helping companies stay competitive. I can personally attest that owners of SMEs need to rethink what we’re offering and develop solutions that address real-world problems. By stepping outside traditional business models, we can meet the changing needs of the market and ensure our business remains relevant and profitable. Embracing flexibility and innovation isn’t just smart—it’s essential for growth and sustainability in these dynamic times. A particular focus is on “scale-ups,” which are SMEs with proven business models undergoing rapid growth phases. These scale-ups represent about 5 percent of SMEs and can significantly impact the ecosystem they operate within if provided with the right support. From research developed by Strategy&, successful scale-ups in the region generate on average 3.4 times more revenues and 8 times more jobs than other SMEs.

    Cross-Border E-commerce: A Game Changer for SMEs

    The rise of cross-border e-commerce is revolutionizing the way SMEs operate, offering unprecedented opportunities to reach global markets. This trend is especially prominent in regions like Asia Pacific, where online platforms are bridging the gap between local sellers and international buyers. By leveraging digital tools, SMEs can now connect with potential customers worldwide and expand their market reach beyond traditional boundaries. This shift not only boosts sales but also enhances brand visibility on a global scale. As SMEs navigate this digital landscape, they are discovering new revenue streams and competitive advantages, making cross-border e-commerce an essential strategy for growth and sustainability in today’s interconnected world.

    Financial Resilience

    Financial resilience has become a top priority for SMEs in today’s unpredictable market. With the right strategies, SMEs have been able to set themselves up for long-term success. Key tactics include enhancing cash flow management—a crucial step to maintaining steady operations despite market fluctuations. Additionally, securing external financing provides the necessary capital to navigate tough times and seize new opportunities and with any luck, the recently announced and forecasted changes to the Canadian interest rates by the Bank of Canada will improve access to capital for growing businesses. Diversifying revenue streams is another effective approach, reducing reliance on a single source of income and spreading risk across various channels. By focusing on these areas, SMEs not only strengthen their financial foundations but also build resilience against future economic disruptions. This multi-faceted approach ensures they remain agile and ready to adapt to whatever challenges come their way. The road to financial resilience may be complex, but it’s vital for the sustained growth and stability of SMEs.

    Productivity Boost

    Boosting productivity has also been a game-changer for SMEs striving to keep pace with larger companies. By embracing advanced technologies and refining operational efficiencies, nimble enterprises have been able to unlock significant value. Small business productivity lags that of their larger counterparts; however, by aiming for top-quartile performance, SMEs can drive substantial GDP growth. Operational excellence is key here—capturing new markets, raising capital for investments, and nurturing talent are all part of the equation. Furthermore, launching innovative products or services can propel growth. Ultimately, focusing on productivity enhancement isn’t just about closing the gap; it’s about setting SMEs on a path to sustainable success and economic contribution. With the right strategies, the productivity boost can be the catalyst for remarkable transformations in the SME sector.

    Economic Contribution

    In the bustling landscape of today’s economy, SMEs are the unsung heroes driving job creation and fostering economic stability. These dynamic enterprises make up a significant slice of the business sector, playing a pivotal role in overall economic growth. It’s impressive to note that SMEs contribute a substantial portion of total corporate turnover and GDP. As both advanced and emerging economies recognize, boosting SME productivity isn’t just beneficial – it’s essential. By enhancing efficiencies and aiming for top-quartile performance, these businesses have been able to generate immense economic value. In regions like the Middle East and North Africa, tailored programs and policies are catalyzing SME growth, helping diversify economies and spur job creation. The message is clear: SMEs are vital to a thriving economic future.

    Leadership Development

    Investing in leadership development is also critically important for SMEs. When leaders are ambitious and capable of driving strategic and innovative change, the results can be transformative. Enhanced performance outcomes like revenue growth, cost reduction, and boosted employee morale are just the beginning. When leaders develop, they can steer their teams towards greater heights, fostering an environment where strategic changes become the norm. The entrepreneurial spirit and the attitude of leadership are also crucial. A leader’s vision and determination can set the tone for the entire organization, driving growth and inspiring innovation. Furthermore, networking with other business owners can provide valuable insights and opportunities, enhancing the strategic approach of the firm. In a nutshell, leadership development isn’t just beneficial – it’s essential for any SME aiming for sustainable growth and long-term success.

    Strategic Partnerships

    Building strategic partnerships and alliances is a game-changer for SMEs looking to expand and thrive. These partnerships can open doors to new markets, enhance program development, and accumulate valuable assets. By collaborating with other businesses, SMEs can leverage shared resources and expertise, ultimately boosting market influence and driving growth. Additionally, enhancing relationships with customers and suppliers can strengthen the value chain, creating a more resilient and efficient business ecosystem. Forming these strategic alliances allows SMEs to pool knowledge, innovate together, and navigate market challenges more effectively. Don’t underestimate the power of networking; it can provide invaluable insights and opportunities that might otherwise be out of reach. In today’s fast-paced market, strategic partnerships are not just beneficial—they’re essential for sustainable growth and long-term success.

    Talent Management

    In the competitive landscape of SMEs, attracting and retaining top talent is more crucial than ever. The challenge lies not just in finding skilled professionals but in offering them something unique. Digital expertise is in high demand, and SMEs must prioritize upskilling their workforce to stay ahead. Employment trends are on the rise, with more jobs tied to social security contributions than ever before. This growth underscores the importance of knowledge sharing and continuous learning. SMEs thrive when they create environments that foster collective improvement. Moreover, emotional intelligence and empathy are becoming pivotal. Transparent communication and emotional leadership can differentiate a SME in a crowded market.

    Conclusion

    It’s clear that SMEs are at the forefront of embracing digital transformation, sustainability, remote work, and financial resilience. By leveraging digital tools, these businesses are enhancing productivity and efficiency, while sustainable practices are becoming essential to meet regulatory and consumer demands. The shift to remote work has opened new avenues for talent acquisition and operational flexibility. Financial resilience, through effective cash flow management and diversified revenue streams, is crucial for navigating market fluctuations. Embracing these trends will empower SMEs to thrive in a competitive and rapidly evolving business landscape.

    About

    Jeff Peterson is the Founder and CEO of Blue Monarch Management and is a professional Management Consultant specializing in Strategy, Governance, and Organizational Development for companies designing and driving transformational investments.

  • Sustainability in Mining and Natural Resources: Corruption

    Sustainability in Mining and Natural Resources: Corruption

    Good governance adds sustainable value to global supply chains. Last week we published a short interview with Giuliana Fonseca, an international mining professional who shared her experience with governance and operating procedure design that progressive companies use to prevent and detect instances of fraud, corruption, and bribery in mining, processing, and supply chain operations. Here is the link to the interview.

    This week, I expand the discussion to take a brief look at some of the causes and effects from corruption in the mining industry.

    Corruption in the International Mining Industry

    Corruption is a pervasive and systemic problem in the international mining industry, affecting both developing and developed countries. Corruption can occur at any stage of the mining value chain, from exploration and licensing to extraction and revenue management. It can undermine the social, economic, and environmental benefits of mining, while exposing companies and host governments to legal and reputational risks. Some of the main drivers and forms of corruption in the mining sector can be distilled to three broad categories.

    • Weak governance and regulation. In many resource-rich countries, the mining sector is characterized by weak institutions, lack of transparency, accountability, and inadequate enforcement of laws and standards. Weak regulatory oversight creates opportunities for rent-seeking, bribery, patronage, and political interference in decision-making processes. For example, mining companies may pay bribes to obtain or renew licenses, evade taxes and royalties, or bypass environmental and social safeguards. Alternatively, government officials may abuse their authority to award contracts or licenses to favored companies, manipulate bidding processes, or divert public funds for personal gain.
    • Complex and opaque transactions. The mining sector involves multiple actors and transactions across different jurisdictions and levels of government. These include exploration and production companies, contractors and suppliers, intermediaries and brokers, regulators and tax authorities, state-owned enterprises, sovereign wealth funds, local communities, civil society groups, international financial institutions and donors. The complexity and opacity of these transactions make it difficult to track and monitor the flows of money, goods, or services complicating efforts  to detect and prevent illicit practices such as money laundering, transfer pricing, tax evasion, and fraud.
    • High stakes and competition: The mining sector is characterized by high stakes and fierce competition, both within and between countries. The potential for large profits and rents attracts investors and operators, but also creates incentives for corruption and conflict. Mining projects often involve large upfront investments, long-term contracts, and uncertain returns, which increase the risks and uncertainties for both companies and governments. Global demand and supply of minerals are influenced by geopolitical and market factors, which can create volatility and pressure on prices and revenues. These factors can affect the bargaining power and behavior of the parties involved, and lead to disputes and renegotiations.

    Negative Impacts from Corruption

    There can be negative impacts from corruption in the mining sector.

    • Reduced public revenues and benefits. Corruption can reduce the amount and quality of public revenues and benefits generated by the mining sector and affect their distribution and allocation. It can also distort the allocation of public resources and spending, favoring certain groups or regions over others, or diverting funds from priority sectors such as health, education, and infrastructure.
    • Increased social and environmental costs. Corruption can increase the social and environmental costs and risks associated with mining activities and undermine the protection and fulfillment of human rights obligations. It can also fuel social conflicts and grievances, by eroding trust and legitimacy, exacerbating inequality, contributing to  marginalization, and violating the rights and interests of local communities.
    • Diminished investment attractiveness and competitiveness. Corruption can diminish the investment attractiveness and competitiveness of the mining sector and affect the long-term sustainability  of the industry. It can also damage the reputation and credibility of mining companies and their host governments,  expose them to legal and regulatory sanctions, civil litigation, and public scrutiny.

    Conclusions

    The interview with Giuliana highlighted that there are incremental gains to be had from introducing strong governance and effective controls in the mining, processing, and global supply chain industries. While global market dynamics have always driven robust, high stakes competition across the industries and that the presence or absence of effective regulations and oversight can influence the potential for corruption, it’s interesting to note that the complexity and transparency of transactions as a function of advancements in data and technology increase the level of risk to global resource industries. The direct impacts from corruption to companies and communities trying to promote investment and grow diverse benefits streams can be extensive.

    In the next and final article of this short series, I build on the insights from the interview with Giuliana Fonseca to look at industry governance solutions that drive new benefits, reduce cost, and manage risks – all in support of the case for strong governance.

    About

    Jeff Peterson is the Founder and CEO of Blue Monarch Management and is a professional Management Consultant specializing in Strategy, Governance, and Organizational Development for companies designing and driving transformational investments.

  • Sustainability in Mining and Natural Resources: An Interview with Giuliana Fonseca

    Sustainability in Mining and Natural Resources: An Interview with Giuliana Fonseca

    Governance is the foundation of sustainability, as it determines how the company defines its purpose, sets its strategy, and implements its actions. Governance also reflects the company’s values and principles, which guide its decisions and behaviors. We were fortunate to have met Giuliana Fonseca, a young, international mining professional,  who recently completed her MBA at the Ivey School of Business at Western University. As Giuliana is evaluating her next career opportunities, she agreed to participate in an interview with us to explore an interesting sustainability topic related to her past work experience in international mining and the transportation of high-value commodities. The discussion builds awareness around the topics of anticorruption and antibribery illustrating how well-designed operating procedures and technologies can enhance trust across a global supply chain. Giuliana witnessed first hand how successfully executing the strategy  leads to real economic benefits and long-term viability for a company. We have included her LinkedIn profile here.

    The interview has been edited, paraphrasing for flow without compromising content.

    Blue Monarch: Can you describe your educational background and work experience  in the context of sustainability?

    Giuliana: I hold a Bachelor’s degree in Business Management from the Pontifical Catholic University of Peru and I just finished my MBA at Ivey Business School, Western University. My professional experience has been heavily oriented towards governance, risk management, and compliance, particularly in industries where sustainability is a critical concern. For example, at one of the last companies I worked for, I developed and implemented AML/CFT processes and standardized mineral traceability processes, directly addressing environmental and ethical sustainability in the mining sector. My roles have consistently involved creating systems and strategies that promote sustainable practices and compliance with regulatory standards.

    Blue Monarch: What have you studied and why?

    I chose to study Business Management to gain a comprehensive understanding of organizational dynamics and strategic decision-making. One key elective I selected was Development and Social Responsibility, taught by Dr. Gerardo Castillo. He demonstrated that sustainability is not just about avoiding harm to the environment, but about actively taking care of it and considering all stakeholders. This foundation has been crucial in my roles that require balancing business objectives with ethical considerations. My recent MBA studies at Ivey Business School are focused on enhancing my leadership and strategic management skills, with a particular interest in sustainability and its integration into business practices. I believe that combining business acumen with sustainability principles is essential for driving long-term organizational success and societal impact.

    Blue Monarch: Can you describe your international work experience?

    I have gained international work experience through various roles that required collaboration with global teams and adherence to international standards. For instance, in my previous job, I worked on the registration process of a processing plant with Swiss refineries, ensuring compliance with global standards. Additionally, my time at EY in Lima, Peru allowed me to become familiar with good corporate governance practices. These experiences have equipped me with a global perspective and the ability to navigate diverse regulatory environments.

    Blue Monarch: How do corruption and bribery happen in the mining industry?

    Giuliana: Corruption and bribery in the mining industry can occur at various stages, from obtaining permits and licenses to operational activities and export processes. It often involves illicit payments to government officials or manipulation of regulatory requirements to gain favorable treatment or expedite processes. Such practices undermine legal and ethical standards, leading to environmental degradation, loss of revenue, and social injustices. Corruption can also happen inside different levels in a company. There is a lot of risk and so preventative measures can be taken, including training, security procedures aligned with specific levels of employees in the organization, and background checks that might identify high risk individuals with personal circumstances that might make them susceptible to corruption and bribery. When evaluating potential suppliers, sustainable companies follow due diligence processes, evaluate available blacklists, and conduct web searches. I have observed instances that would warrant not continuing with a particular supplier relationship.

    Blue Monarch: Can you provide me with an overview of what anti-corruption and anti-bribery initiatives are and how they add value to the global mining industry?

    Giuliana: Anti-corruption and anti-bribery initiatives include stringent regulatory frameworks, transparency requirements, third-party audits, and the implementation of compliance programs. These initiatives add value to the global mining industry by promoting fair competition, attracting ethical investments, and ensuring sustainable resource management. By reducing corruption, these initiatives enhance the industry’s reputation, increase investor confidence, and contribute to social and economic development.

    Blue Monarch: Why might these initiatives be considered sustainable business practices and who do they benefit?

    Giuliana: These initiatives are considered sustainable business practices because they promote long-term economic stability, social equity, and environmental protection. They benefit a wide range of stakeholders, including companies, investors, governments, local communities, and the environment. By fostering a culture of integrity and accountability, these practices ensure that the benefits of mining activities are distributed fairly and sustainably. A sustainable company might build up its focus on community relations by developing an understanding of what the community needs and what it expects. It is very interesting how companies from different parts of the world handle this role. Mines might enhance social equity by working with local communities to help build infrastructure, provide jobs, and improve local and regional conditions.

    Blue Monarch: How have technologies and standard operating procedures been applied to these initiatives?

    Giuliana: Technologies such as blockchain for traceability, automated compliance monitoring systems, and data analytics for risk assessment have been applied to anti-corruption and anti-bribery initiatives. Standard operating procedures (SOPs) included regular audits, employee training programs, and clear reporting mechanisms. These technologies and SOPs enhance transparency, streamline processes, and reduce the risk of unethical practices. We have used advanced data analytics to flag changes in patterns for stakeholder behaviors.

    Blue Monarch: Did you see an impact?

    Giuliana: Yes, I observed a significant impact from these initiatives. For example, at one company, the implementation of AML/CFT processes and mineral traceability standards not only reduced associated risks by 35% but also, once the traceability process is fully accredited, it would allow the company to charge a premium price per ounce of semi-processed gold. These outcomes demonstrate that rigorous compliance and ethical practices can lead to both improved operational efficiency and financial performance.

    Blue Monarch: What were your top learnings from your work on these initiatives?

    Giuliana: My top learnings include the importance of integrating compliance and sustainability into core business strategies, the effectiveness of technology in enhancing transparency and accountability, and the value of fostering a culture of integrity within organizations. Additionally, I learned that stakeholder engagement and collaboration are crucial for the successful implementation of anti-corruption and anti-bribery initiatives.

    Blue Monarch: What do you think needs to happen next? Where should companies explore further investment in these kinds of initiatives?

    Giuliana: Next, companies should focus on enhancing their technological capabilities to improve transparency and compliance monitoring. Investment in advanced data analytics, blockchain for supply chain traceability, and continuous employee training programs are essential. Companies should also strengthen their partnerships with governments, NGOs, and other stakeholders to create a unified approach to combating corruption and promoting sustainability in the mining industry.’

    Our engagement with Giuliana was rich and very rewarding. This interview introduces some of the complexities of designing systems and procedures in natural resource industries with an eye to ethics, technologies and data, standards, and value in the end-to-end global supply chain. Next week, we will share part two of the article, which unpacks some of the analysis and governance related to the interview.

    About

    Jeff Peterson is the Founder and CEO of Blue Monarch Management and is a professional Management Consultant specializing in Strategy, Governance, and Organizational Development for companies designing and driving transformational investments.

  • Sustainable Companies: Retention & Productivity

    Sustainable Companies: Retention & Productivity

    Building a sustainable business in 2024 is challenging. Late in 2021, we started a pivot towards becoming a more responsible company which I shared in a recent article, Our Direction in Sustainability – Blue Monarch Management. Our company is cycling through its fourth iteration and is about to engage in a period of sustainable high growth – a fifth iteration.  Despite being a knowledge company staffed with uber-bright, ambitious, and creative management consultants, building an operating model that could meet the needs of today’s modern professional consultant has been one of the more complex challenges we have faced to date. This complexity to meet the needs of our professional staff (and more broadly, workers in general across most industries) has shifted significantly over the last decade, particularly in response to disruptive global events. Well-researched trends and trajectories have emerged, and businesses have invested heavily in trying to understand them – one foot in the past pining for a return to the ‘good ole’ days we understand’ and one foot in the future that we don’t yet understand while simultaneously trying to anticipate where to go next to create some advantage. It is hard to criticize the modern executive, inundated by the exponential volatility and uncertainty of managing not one but several ambiguous and highly complex shifts in the competitive landscape. Go ahead, pick a few favourites:

    1. The War for Talent.
    2. Hybrid work environment.
    3. The ‘Gig Economy’.
    4. The ‘Sharing Economy’.
    5. The Great Resignation.
    6. Generative AI.
    7. Robotization.
    8. Increasing awareness of mental health issues and the need for better supports.
    9. Diversity, Equity, and Inclusiveness.

    I have worked for many years with the professional bodies representing Canadian (and now global) Certified Management Consultants. I review industry reports. I shape policy and professional development initiatives, and I am watching the industry shift rapidly with the disruptive introduction of many new forms of consultants – some take on the flavour of traditional management consulting, but many others are displacing traditional management consulting through technology, automation, changes to how information is sourced or accessed. There has also been an infusion of new consultants drawn from a many different career backgrounds (science, health, engineering, the arts, etc.) because businesses demand specialized knowledge outside of the realm of traditional business, strategy, and leadership. At an industry level, this is cause for great celebration as consulting, particularly management consulting, is an excellent career path for people seeking challenge, empowerment, income, and insulation to the whims of company business cycles. The industry changes also afford modern businesses greater access to portable knowledge, the ability to grow and shrink their workforce with more flexibility, and an increased level of disruption that can improve the resiliency of a company. Management consulting, as a global industry, is valued into the hundreds of billions of dollars with strong growth projections and fundamentals, so I feel secure in the knowledge our company will remain relevant, albeit awash in competition requiring focus on adaptability and agility as a permanent state to remain relevant.

    What do these trends have to do with building and operating a sustainable business and why is management consulting important here?

    It’s still about the People.

    People inspire, operate, and sustain businesses. And businesses don’t always understand the needs of their people or how to unlock the full potential from their workforce. Josh Bersin’s recent  HR Predictions for 2024: The Global Search For Productivity – JOSH BERSIN article is very insightful, and his annual trends and predictions are always an excellent read. He cites a stark rise in employee burnout from 2019 to 2023 and highlights key trends such as (younger) employees taking back their power to ‘act as they wish’ and quietly leave for another company. His key message in this report was that companies are hunting for productivity gains – and this is critically important – the speed to reinvent faster than the competition.

    Bersin’s team recommends that  companies focus on building a high-retention model (playfully named ‘labour-hoarding’) to allow for career growth. They emphasize that it is essential for top leadership to better understand the ‘needs, desires, and demands’ of their workers with better focus on listening and delegation (read: empowerment). Some compelling supporting evidence identifies that the top needs of the workers are the desire for career advancement, personal empowerment, and to have a societal impact.

    To a professional advisory firm like Blue Monarch, the implications are twofold. First, we need to be in tune with who we hire and what our team members need. Our organizational structure, career development, culture, learning and mentorship practices, operating model, values, and leadership must absolutely acknowledge these needs and trends. Our organizational culture needs to be tailored whenever possible to the unique requirements of each person in our firm. The task is exhausting and complex and is absolutely essential to get right.  The imperative is critical when you consider that as professional management consultants operating as trusted advisors and working on strategy and tactics with business leaders, our people can have tremendous impact on a great many companies and communities. Long-term relationships built on trust and knowledge transfer matter – so retention and productivity matter. Quality matters. Additionally, we work with clients to help them better understand and develop their own people. This implies that businesses we work with also need to pay attention to the needs of their people and make smart, well-timed investments that address the evolving needs of today’s modern workforce. That is sustainability.

    About

    Jeff Peterson is the Founder and CEO of Blue Monarch Management and is a professional Management Consultant specializing in Strategy, Governance, and Organizational Development for companies designing and driving transformational investments.

  • Our Direction in Sustainability

    Our Direction in Sustainability

    July 27, 2024 marked the sixth anniversary of Blue Monarch Management. When I first launched Blue Monarch Management in 2018, my inspiration came initially from wanting to surround myself with smarter, principled management consultants who were driven by something larger than power and profit, with purpose that could grow beyond themselves and frankly, who could help me to step up my own game into a larger world of building companies and communities. I also saw the opportunity to move beyond simple project delivery with clients – many of whom did not want to work with consultants – to one where the work would be pulled to us by clients aspiring to change, thrive, and be different – to lead. Over the last couple of years, we started to shed the textbook management consulting practices in favour of introducing new language and values around building sustainable companies and communities while we walk alongside our clients, helping them to navigate their own development journeys.  In a world where 20% of new businesses fail in their first year and a mere 50% survive to celebrate their fifth birthday, I am incredibly proud  to arrive at this milestone anniversary with a team who possesses the courage to  be different.

    Sustainability is a complex concept that has implications and applications for businesses and society. Sustainability can be understood as the ability to meet the needs of the present without compromising the ability of future generations to meet their own needs, and as a balance and integration of the environmental, social, and economic dimensions of human activities and outcomes. As a former colleague rightly described it, we are future-proofing ourselves and developing the experience to guide our clients towards long-term viability through sustainable business practices that start today.

    I believe sustainability can also be seen as a strategic advantage and a moral obligation for businesses that want to create value and impact for themselves and their stakeholders, and who want to contribute to the global goals and challenges. We often work with our clients early in our engagements to help them connect their purpose to more globally-recognized needs and priorities, such as “solving world hunger”. Sustainability has both costs and benefits, which can be direct or indirect, tangible or intangible, short-term or long-term, and which require a holistic and long-term perspective and assessment.

    The research is certainly mixed around whether “sustainable companies” are more profitable – though that is only one dimension of long-term viability, and in my opinion, no longer the most important way to measure the impact companies have on the world around them.

    We have begun to shift our recruitment practices to bring on management consultants with high acumen, training, and experience around the dimensions of governance, social impact, and the environment – while still knowing how to interpret the construct, health, and performance of a company. I am pleased to see a selfless culture building in our organization centered around how to do right in the world, and demonstrated repeatedly by small acts of kindness, a sense of fun and play, and a natural curiosity around the work of our clients and partners. We are intentionally upgrading our language to align with the needs of our community, clients, and network stakeholders, and  we are learning from each other.

    Sustainability for Blue Monarch Management will intentionally encompass the dimensions of ESG (environment, social, governance), corporate social responsibility, and long-term viability for us, and importantly also as part of our core playbook working with clients who are trying to grow and compete in world markets. We have embarked on a journey to create awesome career pathways for those who work closely with us. Careers of significance, learning, empowerment, autonomy, wealth, and impact. With all the ego I can muster, we must be leaders in authentically applying high moral and ethical standards to the growth and transformation of competitive businesses and communities. We will advance our development around tightening our ecological footprint; improving our human development and our happiness indices; and building our social capital – all core measures of sustainability. Continuing to shape Blue Monarch Management around these dimensions will award us the street credit to advise in today’s increasingly disruptive and competitive world.

    The first six years introduced powerful learnings about the growth and development of Blue Monarch Management. We have learned some important lessons from our own successes and failures, and as a firm staffed with assertive, quiet, thoughtful leaders who read, engage, ask tough questions, and work closely to understand our clients, we have learned much that will help to shape the growth and navigate complex change with inspiring companies and communities in the next leg of our journey.

    About

    Jeff Peterson is the Founder and CEO of Blue Monarch Management and is a professional Management Consultant specializing in Strategy, Governance, and Organizational Development for companies designing and driving transformational investments.

  • Everybody Is Talking About Scaling. Should We Be Talking About It?

    Everybody Is Talking About Scaling. Should We Be Talking About It?

    Growth and scaling are two terms that are often used interchangeably in the context of business development, but they have different meanings and implications. Both may be important objectives for companies of any size, but they require different strategies and techniques, and those practices will certainly drive different outcomes, benefits, and risks.

    The (Traditional Slow) Growth Operating Model

    Growth, defined for this discussion, refers to increasing the revenue or market share of a business while ramping up assets and resources that help to build revenue streams. Companies that are built around a ‘growth’ operating model can add much cost to generate greater revenue. Some business model examples you might recognize as slow growth include medical practices, traditional post-secondary education models, consulting and other professional firms that operate through a trade-time-for-money model, many resource-intensive industries, and business models that have manual efforts by staff and contractors and/or high knowledge elements. Many traditional bricks-and-mortar operations that require optimization of time and space with people are also tied to this form of a traditional growth model.

    The Scaling Model

    Scaling refers to increasing the efficiency or profitability of a business that can lead to rapid growth. Companies that invest in scaling practices may invest smartly in leadership, systems, and culture development to avoid introducing ongoing costs while still driving revenue growth. Operating profits in a scaling company may have potential to generate higher free cash for reinvestment and accelerated growth. Scaling is the process of growing a business to meet increasing demand, reach new markets, and achieve greater impact. It’s not just about growing bigger, but also about growing smarter, faster, and more efficiently. Scaling requires a strategic vision, a flexible mindset, and a willingness to innovate and experiment. Scaling also involves overcoming various challenges and risks, such as managing complexity, maintaining quality, ensuring alignment, and fostering culture.

    True scalability involves adding revenue at a much greater rate than costs, ensuring efficient expansion without compromising quality or profitability.

    Scaling within medium or large-sized enterprise has been an area of professional interest since my days working within the  railroad industry. Following the 2008/2009 global financial crisis and further ongoing disruption in global commodity markets,  the ability to grow profit has depended increasingly on international market selection, cost management, productivity, demand, and capacity. These optimization investment trends are pervasive in resource and asset intensive industries such as transportation, energy, mining, and manufacturing.

    We have also been working with a more entrepreneurial client base whose primary aspirations are to transform their companies repeatedly and iteratively through innovation, great positioning, and relationship management, while either entering or creating new markets facing incredible pressures and disruptive forces. These companies consistently aspire to chase high growth through relentless innovation in what they perceive as untapped opportunities to solve well-known business problems.

    Scaling a business is not a one-size-fits-all process. It depends on various factors, such as the type, stage, and industry of your business, the size and nature of your market, the preferences and expectations of your customers, and the availability and suitability of your resources and capabilities.

    Should you Scale?

    The strategy and business cases to scale an organization should ask and attempt to answer these and other questions first – all focused on answering ‘why’ first, before getting to ‘how’ and ‘when’.

    Strategic Thoughts

    • Do you think your  products, services  and operating model can create a sustainable competitive advantage for you? What is your revenue and profit potential? What problems can you solve?
    • What market(s) should you select and is there a strong trend that will help you to quickly build momentum for profitable and fast growth?
    • Why do you want to grow? Are you (perhaps naively) chasing the “Unicorn” dream to be “the next…”?
    • Have others paved the way before you or do you have potential to be a market leader?
    • Do your plans follow rigorous business fundamentals or are you pursuing some ‘implied growth imperative’?
    • What happens if you fail and where are your potential failure points? How can you manage those risks?

    Practical Matters

    • How will you resource your rapid growth with people, funds, and time and what value are you potentially negotiating away?
    • Can you establish sufficient working capital to build control and stability into your growth?
    • What investments in projects and initiatives should you make and when?
    • Will you create ongoing dependencies on investors for revenue and funds to continue your operations?
    • How will you establish and build the right relationships with banks and other financial institutions to power your growth and manage sustainable operations and risk?
    • What leadership structures and cultures will  you need to develop…and when…to power your growth?

    Ethics and Morality: Sustainability Considerations

    • What ethics and morality principles should you follow around staffing and labour practices, particularly in higher risk / higher rewards growth scenarios?
    • What are your obligations to your people as your growth potentially outpaces your systems, infrastructure, and culture development?
    • What are your obligations to your communities as you develop and position your products and services in untapped markets?

    Conclusion

    The nature of growth, positioning, and scaling companies will be the topic of a series of posts by Blue Monarch Management over the coming weeks. We will continue to develop narratives around investment in systems, people, leadership, culture, and strategic analysis.

    Jeff Peterson is the Founder and CEO of Blue Monarch Management and is a professional Management Consultant specializing in Strategy, Governance, and Organizational Development for companies designing and driving transformational investments.