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Scaling Smart: How to Build a High-Performance Team for Growth

by | May 22, 2025 | Board & Governance, Business - General, BusinessFitness, Coaching, Culture, Excellence, Growth, HR & Personnel, Leadership, Motivation, Non-Executive Directors, Strategy, Success | 1 comment

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“Great vision without great people is irrelevant.” – Jim Collins

 

Introduction: The Hidden Limiter of Scale

Here’s a truth few business owners are prepared for: it’s rarely your strategy, product, or even the market that limits your ability to scale. It’s your team.

The truth? A weak team will break under pressure, while a strong one will accelerate growth.

Growth doesn’t break a business – people issues do. If your team isn’t capable, aligned, and built for the next stage, no strategy will get you where you want to go. Scaling your team deliberately is one of the most overlooked aspects of scaling your business as a whole. You simply can’t scale with the wrong people – or even the right people in the wrong roles.

This week, in the third article of our Scaling Your Business for Growth series, we tackle one of the most critical – and challenging – aspects of scaling smart: how to build a high-performance team to scale your business successfully. We explore how to:

  • Hire strategically – Not just for skills, but for culture & scalability
  • Leverage outsourcing & partnerships – When external expertise makes sense
  • Structure leadership effectively – Avoiding bottlenecks in decision-making
  • Retain top talent – Keeping the right people engaged and motivated

And, if you missed the previous articles in the series, you can catch up here:

Let’s take a look at how the best business leaders build teams not just for today, but for the company they want to become.

 

Build for the Business You Want to Have – Not the One You Have Now

Most SMEs build their teams based on current pain points – the immediate fires that need putting out. It’s understandable. But when you’re scaling, this reactive approach can quickly become a trap.

Ask yourself: What will break first if my business doubles in size in the next 18 months? Whether it’s more clients, complexity, or accountability, scaling up exposes all the cracks.

To scale successfully, you must hire and plan for the business you want to have 12–24 months from now – not just the one you’re running today – because failing to anticipate capability needs leads to operational bottlenecks. It also often results in short-term, reactive hiring decisions which can lead to skills gaps down the line.

Recognise that scaling brings complexity: more clients, more products, more pressure. This means you’ll need more structure, clearer accountability, better systems – and people who can grow into bigger roles.

Timing-wise there’s risk on both ends of the spectrum:

  • Hire too late and your existing team gets overwhelmed. You lose clients, delay projects, and morale nosedives.
  • Hire too early and you risk cash flow issues, idle capacity, or creating roles that don’t align with your growth path.

The most common trap? Hiring too junior to save money, rather than investing in the capability needed to unlock scale. The right team member may cost more upfront but can dramatically accelerate progress, so giving you a much better overall return on investment.

If you haven’t already defined your longer-term goals, now is the time. See:

Building the right team isn’t just about plugging gaps – it’s about building capacity for your next level of growth.

 

Defining the Capabilities You Need to Scale

Before you can hire or outsource, you need to understand what capabilities your future business will require – and where you’re currently falling short.

Start with your vision and your BHAGs. What does your business look like in 2–3 years? What will it take – in skills, experience, leadership and execution – to get there?

Conduct a capability audit using a simple framework. For each function, ask:

  • What capabilities do we have today?
  • What capabilities will we need at scale?
  • What’s the gap – and how urgent is it?

Key areas to assess:

  • Leadership – Strategic thinking, execution, delegation, vision-setting.
  • Operations – Efficiency, repeatability, process documentation.
  • Finance – Forecasting, scenario planning, working capital management.
  • Sales & Marketing – Digital capability, lead generation, account-based sales.
  • Technology – Scalable systems, automation, analytics.
  • HR / People – Recruitment, onboarding, culture, performance management.

Once you’ve identified the gaps, determine how to fill them. The outsourcing vs in-house question becomes critical at this stage – not every role needs to be full-time or permanent.

  • Hire internally for roles that are core to your differentiation, culture and daily performance.
  • Outsource non-core functions or areas requiring specialised expertise that don’t justify a full-time person in the company.
  • Partner strategically where collaboration brings speed or reach.
  • Fractional Talent is increasingly popular, especially for SMEs – bringing in experienced leaders (such as CFOs or Marketing Directors) on a part-time, high-impact basis.

Use a decision matrix to evaluate the best approach based on:

  • Cash flow impact
  • Time to competency
  • Cultural alignment
  • Strategic importance

For example, outsourcing IT or payroll might make sense early on; bringing in a fractional CFO or experienced marketing advisor could provide short-term leverage without the long-term commitment of a full-time hire.

Further reading:

Mapping your capabilities is how you move from reacting to preparing – and that’s where scaling begins.

 

Hiring the Right People: Attitude, Fit, and Capability

When it comes to building a team that can scale, talent alone isn’t enough. You need the right attitude, the right cultural fit, and the ability to grow with the business.

Many businesses fall into the trap of hiring for urgent tasks, not strategic alignment. But the wrong hire – even if technically competent – can drain energy, misalign the culture, and slow progress.

Instead, define your “ideal employee” in terms of:

  • Mindset – Are they adaptable, growth-minded, coachable, comfortable with change?
  • Values – Do they align with your business culture?
  • Scalability – Can they take on more responsibility as you grow?

See:

Hire scalers – not maintainers. People who can lead projects, not just execute them. People who think ahead, not just follow instructions. If you’re unsure how to hire for culture fit, start by clarifying the behaviours and values that truly matter in your business. Remember: short-term cost concerns often lead to poor hiring decisions – investing in the right people pays off exponentially.

And don’t overlook onboarding. The best hiring process in the world won’t deliver value if new team members aren’t welcomed properly, integrated quickly, and given clarity from day one.

For more on this, see:

Steve Jobs famously said: “It doesn’t make sense to hire smart people and then tell them what to do; we hire smart people so they can tell us what to do.”

Exactly.

 

Culture is the Glue – and the Growth Engine

Culture is often underestimated in scaling businesses – until it starts to fray.

When your team doubles in size, adds new layers of management, or begins operating in new geographies, your culture will be tested. If it hasn’t been defined and reinforced, it will splinter.

Research from organisations like Deloitte and Great Place to Work consistently shows that companies with strong cultures significantly outperform their peers in profitability, retention, and customer satisfaction. Underscoring this, a landmark study showed that companies with strong corporate cultures achieved over four times the revenue growth and twelve times the stock price growth of those without.

But culture isn’t created by writing down values. It’s created by how people behave when no one’s looking, and whether your systems reward that behaviour consistently.

At its heart, great culture is built on:

  • Trust – People must trust leadership and each other.
  • Accountability – Roles must be clear, and people held to outcomes.
  • Embedded Values – Values must be actionable, not room posters – reflected in hiring, reviews, and daily behaviour.
  • Shared Purpose – Everyone should know how their work contributes to the bigger goal.

Simon Sinek put it well: “Company culture matters. How management chooses to treat its people impacts everything for better or for worse.”

Want to protect and scale your culture?

  • Regularly articulate your values through stories, not slogans.
  • Hire and promote based on values and behaviours, not just performance.
  • Build rituals and recognition that reinforce what matters.

Resources:

Culture can be your superpower – but only if it’s built deliberately and reinforced consistently.

 

Knowing When to Let Go

One of the hardest truths for any business owner scaling up is this: not everyone who got you here is the right person to take you forward. It’s easy to hold on to long-serving team members out of loyalty or fear of disruption, but the needs of a scaling business are different – and demanding.

As your company grows, roles change. A top-performing salesperson in a small, flat organisation might struggle when faced with reporting lines and shared targets. A manager who thrived when the business was agile and informal may resist the structure and accountability that scale demands.

The key is to recognise when someone is no longer a fit for the next stage – and act. It’s not about being harsh; it’s about being honest. With them, and with yourself.

  • Ask yourself: is this person thriving in the current setup?
  • Are they coachable – open to growth, feedback, and new expectations?
  • If they left tomorrow, would you rehire them into their current role?

Sometimes the kindest and most strategic decision is to part ways – ideally with respect, clarity, and support. It will allow them to thrive in a more suitable environment, and won’t hold your business back, either.

Do not shy away from honest conversations. Regular feedback, clear expectations, and transparent assessments allow people to see where they stand—and either adapt or move on with dignity.

And it’s not just employees that need to fit a new style of business. Many founding CEOs find that while they thrive in a small, nimble organisation, they’re not well suited to a more formal multi-layer scaling business. The wise ones step back, whether into a non-executive, shareholder role, or an executive one focused on their strengths – for example, sales director or technical director. They bring in a professional CEO, recognising that by doing so the growth in the value of the business and their share of this will far outweigh any losses in status or short-term income they might experience.

Read more in:

Growth requires evolution – and your team must evolve with you.

 

Accountability, Leadership, and Delegation

Scaling magnifies the cracks in your leadership model – and in many SMEs, those cracks start with the founder. Too often, entrepreneurs hang on to too much for too long, becoming bottlenecks. Not because they don’t trust others, but because they’ve always been the centre of the business.

That’s not leadership. That’s a bottleneck.

To scale, the CEO’s role must evolve from operator to architect.

To build a business that scales, you must develop leaders who can take responsibility, make decisions, and drive outcomes. That starts with delegation – real delegation – not just tasks, but ownership.

Introducing or expanding middle management is one natural step in this process. But do it thoughtfully – your team structure for business growth should enable decision-making, not add unnecessary bureaucracy., complexity and slow communication. The goal is clarity and support – not confusion.

Here’s what works:

  • Clear accountability structures: who owns what?
  • Leadership development plans: training your next tier of leaders.
  • Embedding decision rights: giving managers the autonomy to act.

Accountability isn’t just a tool for managing performance – it’s the engine of trust and results.

Useful reads:

Leadership that scales is leadership that lets go – with structure.

 

Advisory Boards, Strategic Input & Professionalisation

There comes a point in every scaling business when internal talent and energy need the sharp edge of external perspective. Building a strong leadership team is essential – but it’s just as important to supplement it with outside insight at the right moments.

Why Advisory Boards Matter – At Any Size

Contrary to popular belief, boards aren’t just for corporates. An effective advisory or statutory board injects experience, objectivity, and accountability. They help you challenge assumptions, scrutinise strategy, and professionalise governance – essential safeguards against the “echo chamber” effect.

Boards also act as sounding boards, support complex decisions (fundraising, exits, pivots), and offer risk management and succession oversight. The right non-executive director or advisor brings skills and networks your business could never afford full-time.

Coaches and Peer Groups: Learning Beyond Yourself

Consider a business coach or peer advisory group. These aren’t indulgences, but crucial support networks that help you see blind spots, learn from others’ journeys, and avoid costly mistakes.

So, reflect carefully: What outside expertise would fundamentally raise your company’s game, and what’s stopping you bringing it in?

As the African proverb says, “If you want to go fast, go alone. If you want to go far, go together.” 

💡 Remember: the right guidance at the right time can save years of costly missteps.

Explore further:

Scaling is not a solo sport.

 

Succession & Growth Planning: Don’t Let One Exit Derail You

Imagine your Head of Sales walks out tomorrow. Or your COO decides to emigrate. What happens to the business?

If the answer is chaos, you don’t have a scaling-ready team.

Succession planning isn’t just about the CEO – it applies across your leadership bench, and beyond, though all key roles in the business. It’s about resilience. Ensuring that your business doesn’t skip a beat when someone moves on, retires, or needs time out.

It’s also a strategic growth tool. By developing your team with succession in mind, you ensure a pipeline of leaders who are ready to step up as the business expands.

Here’s how to start:

  • Identify key roles that carry risk if vacated
  • Cross-train team members to build bench strength
  • Mentor future leaders early
  • Make knowledge transfer part of your culture

Great companies don’t just react – they prepare.

Related articles:

 

Retaining the Right Talent

Recruiting A-players is only the first step. Keeping them is where the real challenge lies.

Your best people won’t stay for the pay cheque alone. They want growth, purpose, and recognition. As you scale, your retention strategy must scale with you.

What works?

  • Growth pathways: personal and professional development
  • Autonomy and ownership: trusted employees perform better
  • Accountability with support: structure that recognises and empowers
  • A strong culture with values-aligned leadership: culture matters

Richard Branson put it best: “Train people well enough so they can leave. Treat them well enough so they don’t want to.”

If your company becomes the kind of place where great people thrive, they won’t just stay – they’ll accelerate your growth.

Explore these insights:

People don’t leave companies – they leave cultures. Build one worth staying for.

 

Conclusion: Build the Team for Tomorrow’s Business

Scaling is not just about hiring more people – it’s about building the right team for the business you want to have, not just the one you have today.

From cultural alignment and capability planning to succession and leadership development, every decision you make about your team shapes the business you’re building.

Done well, your team becomes your growth engine. Done poorly, they become your brake.

So ask yourself: is your team fit for the future?

 

It’s your turn now:

We’ve explored the vital importance of building a strong A-Team if your scaling ambitions are to be successful.

So, What’s been your biggest challenge in building the right team to support your business growth – and what would make it easier?

Let’s discuss in the comments, or feel free to drop me an email directly.

 

Next week, we’ll explore how to measure your scaling success – the tools, metrics, and frameworks that show whether you’re building a business that’s truly ready for what’s next.

 

FAQs from this Article: Building the Right Team for Business Growth

These questions come up frequently when working with business owners scaling their companies. I’ve included them here in case they’re on your mind, too.

 

1. How do I know if my current team is capable of scaling with the business?

Start by reviewing performance under pressure. Are they proactive, adaptable, and growth-minded? Look for signs of ownership, resilience, and ability to operate with increasing complexity. If your team still needs direction at every turn, or struggles with accountability, they may not yet be ready for the next stage.

2. What’s the biggest hiring mistake CEOs make when scaling?

Hiring for short-term cost savings instead of long-term fit. Many leaders prioritise skills over attitude, or fill a seat quickly rather than strategically. The right hire is one who aligns with your culture, is scalable in mindset, and adds future value – not just short-term capacity.

3. Should I build in-house capabilities or outsource them?

It depends on your growth strategy, available capital, and internal bandwidth. Core strategic functions (e.g. leadership, culture, customer experience) should stay in-house. Specialist or support functions (like design, IT, or compliance) can often be outsourced – provided the quality and cultural alignment are there.

4. How do I protect company culture while adding new layers of management?

Codify your culture – don’t leave it to chance. Define your values in action, communicate them constantly, and hire and promote accordingly. As you grow, ensure leaders at every level are both culture carriers and accountability champions.

5. When is the right time to build a leadership team or add management layers?

When execution starts slowing down due to over-reliance on the founder or a small core team, it’s time. But avoid layering for the sake of hierarchy. Introduce leadership roles with clear accountability and ensure each layer adds clarity, not complexity.

6. Do I really need a board if I’m running an SME?

Yes – though it doesn’t need to be formal or statutory at first. An advisory board, coach, or peer group can give you perspective, challenge your thinking, and hold you accountable. The best scale-ups build strong external input into their decision-making.

7. What do I do if a loyal team member is no longer fit for the business?

Have an honest, respectful conversation. Can they grow into a new role with support? If not, help them move on with dignity. Scaling isn’t about personal loyalty – it’s about building the right team for the next stage of the journey.

8. How can I keep top talent engaged and motivated during scale?

Give them purpose, autonomy, and opportunities to grow. Create development paths, involve them in strategic decisions, and reward outcomes, not just activity. Recognition and meaning matter more than perks.

9. What does a succession plan really involve for SMEs?

Succession planning means identifying potential future leaders, documenting processes, cross-training roles, and building redundancy into your operations. Don’t wait for someone to leave before you prepare. It’s risk management – and smart scaling.

10. Should I promote internally or hire externally when scaling?

Ideally, both. Promoting from within builds loyalty and preserves culture. But bringing in external talent can add new perspectives and fill experience gaps. Just be clear on what the business needs – and ensure new hires align with your strategic direction.

 

If you’ve found these answers helpful and want to dive deeper into the subject of scaling your business, you can explore the full article and more resources in the previous sections. And as always, feel free to share your thoughts in the comments below or reach out to me directly for further insights.

 

Want more tailored advice on how to scale your business? Book a free 30-minute strategy session today and get personalised advice.

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This month, we’re exploring the topic of Scaling Your Business for Growth, with this being the third article in the series. The two previous ones, in case you’d like to review them, can be found here:

> How to Scale Your Business Successfully: A CEO’s Guide to Sustainable Growth and Profit  

> Strategic Growth vs Opportunistic Expansion: Choosing the Right Path to Scale Your Business Successfully  

 

Stay tuned for further articles to help you take your business to the next level – or better yet, subscribe to my blog and receive the latest insights straight to your inbox. Click here to sign up or send me a note here and I’ll add you to the list.

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Let’s Take Your Business to the Next Level

With over 50 years in the technology industry across three continents – including three decades in CxO roles driving exponential revenue and profitability growth – I now coach business owners and leaders to achieve even greater success.

💡 Need help with your strategy, culture, leadership, board dynamics, or scaling your business? Let’s talk. Book a complimentary 30-minute strategy call today and unlock new opportunities for growth. Schedule your session here.

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Related Posts

If you’d like to learn more about business strategy, risk, leadership and the areas we’ve covered here, the following articles and posts might be of interest:

 Backgrounders

HBR – 6 Rules for Building and Scaling Company Culture

Fast Company – When scaling your business, don’t underestimate the power of building connections and trust

Forbes – How To Build A Startup Team That’s Equipped To Scale

McKinsey – High-performing teams: A timeless leadership topic

Inc. – Building and Leading High Performance Teams

#BusinessFitness #Accountability #ArtOfScale #Board #BusinessGrowth #BusinessStrategy #CEO #Coaching #CompetitiveAdvantage #Culture #Growth #HighPerformance #Leadership #Planning #ScalingYourBusiness #Strategy #StrategicPartnerships #SuccessionPlanning #Teams #QOTW

 

 

1 Comment

  1. Guy
    Guy on 30/05/2025 at 07:54

    Came across a couple of great quotes that underscore the importance of building an A-Team – both by Steve Jobs:

    “A small team of A+ players can run circles around a giant team of B and C players.” – emphasises the power of a well-selected team of high performers.

    “A players attract A players. B players attract C players.” – underscores the importance of hiring the best talent and being a desirable employer.

    Reply

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