What it takes for a growth-stage startup to grow?
Kovid Batra
Posted on August 7, 2024
Growing a startup is like building a plane while flying it; the trick is to not lose your cool at 30,000 feet.
At groCTO, we spoke to Nitesh Chandel, Head of Engineering at Typo AI, about the challenges faced by startups transitioning from the initial phase to the growth stage and here’s what he shared :
“As startups transition from their initial phase to growth stage, they encounter a unique set of challenges. Navigating these hurdles successfully defines the difference between scaling up and dying. While being a part of many such stories in my engineering career, I figured there are certain tough decisions that need to be made by the engineering leaders at a daily level to ensure they are cruising at the speed they want to” - Nitesh
Velocity vs Quality
The Challenge:
In the competitive startup environment, the pressure to deliver new features and products quickly is immense. However, this rush can lead to technical debt and compromised quality, which might not be sustainable in the long run.
How to navigate?
Adopt agile methodologies: Implementing agile practices allows for iterative development, where teams can deliver small, incremental updates. This helps in balancing speed with quality by providing regular opportunities for testing and feedback.
Invest in automated testing: Automation can significantly reduce the time required for regression testing, ensuring that new changes do not break existing functionality. This speeds up the development process while maintaining high-quality standards.
Foster a culture of code reviews: Regular peer code reviews can help catch potential issues early, ensure coding standards are maintained, and promote knowledge sharing within the team.
Manage tech debt proactively : Allocate time in each sprint for addressing technical debt. This ensures that it does not accumulate to a point where it hampers future development velocity.
Big vs Small Projects
The Challenge:
Deciding whether to focus on large, transformative projects or smaller, incremental ones is a common dilemma. Large projects can drive significant growth but come with higher risks, while smaller projects are easier to manage but might not have the same impact.
How to navigate?
Maintain a balanced portfolio: Diversify your project portfolio by balancing big and small projects. This helps in managing risk while ensuring steady progress and innovation.
Start with an MVP: For large projects, begin with a Minimum Viable Product (MVP) to test the waters. This approach allows you to validate ideas with minimal investment and iteratively improve based on feedback.
Break down big projects: Decompose large projects into smaller, manageable phases. This not only makes them more manageable but also allows for regular assessment and adaptation.
Leverage customer feedback: Regularly gather and incorporate customer feedback. This ensures that both big and small projects are aligned with market needs and deliver real value to users.
People vs Processes
The Challenge:
As startups grow, the need for more formalized processes becomes apparent. However, too much bureaucracy can kill creativity and slow down decision-making.
How to navigate?
Implement scalable processes: Create processes that are lightweight and scalable. They should provide structure but remain flexible enough to adapt as the organisation grows.
Empower teams: Encourage a culture of autonomy where teams are empowered to make decisions within a defined framework. This promotes ownership and accelerates decision-making.
Invest in continuous learning: Provide opportunities for continuous learning and development. This keeps the team’s skills updated and fosters a culture of growth and improvement.
Hire for cultural fit: Beyond technical skills, hiring individuals who align with the company’s culture ensures that the team remains cohesive and motivated, even as it expands.
Last words
Navigating the growth stage successfully requires a delicate balance between speed and quality, people and processes, and the scale of projects. By implementing agile practices, fostering a culture of continuous improvement, and maintaining a balanced project portfolio, engineering leaders can steer their startups through these challenges. Remember, the key is to remain adaptable, continuously iterate, and always keep the end goal in sight.
Would love to hear what challenges have you encountered during your startup’s growth stage -share your experiences and strategies in the comments below. Let’s grow together!
Posted on August 7, 2024
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