Senior Managers: Build or Buy?

Latest posts by Andrew Field (see all)

At PFL, we focus hard on developing leaders from within. A number of our senior people were originally hired into entry-level positions, and worked their way into positions with progressively greater responsibility.

Nonetheless, I think a company needs to bring in some amount of outside talent in order to get fresh approaches and diverse experiences. Also, in a high-growth environment you sometimes don’t have the time to grow your own – you need certain skills, and you need them yesterday.

For a high-growth company, what is the right ratio of grown-from-within to “hired gun” managers? How do you decide which positions are served best by which strategy? I posed this question to a panel of experienced business leaders recently. Venture capitalist Paul Matteucci said he likes to see 80% home-grown and 20% hired, and the others mostly concurred. They also pointed out that hiring high-level talent is expensive, and there are significant integration risks. With home-grown talent, you generally have a very good idea of what you are working with, in terms of both skills and values.

We have only about a 50% success rate hiring in senior managers. Anyone care to share your experiences?

.

Andrew Field is President of PrintingForLess.com, known by its thousands of happy customers as "America‘s Print Shop." He works and lives along the Yellowstone River in southwest Montana.

Total
0
Shares
Previous Article

Home Biz Entrepreneurs Unite!

Next Article

Say What? Words That Never Pass a Home Bizzers’ Lips

Related Posts
virtual assistant
Read More

How Virtual Assistants Can Benefit Startup Leaders

According to venture capitalist Bill Trenchard of First Round Capital, the average startup founder "works about 300 days a year, 14 hours a day." He should know. Trenchard cofounded and led three companies and, as a VC, advises hundreds of startups. "Looking at the schedule of a typical CEO, a full 70 percent of that...
succession planning
Read More

Your Business Legacy: Why Succession Planning Is a Crucial Step in Estate Planning

Running your own business is a mammoth task and a considerable investment. Statistics have consistently shown that small business owners have to work longer and harder than the average employee. So, after dedicating so much time and energy to building up a company, it’s crucial to protect it should the worst happen. Almost all of...
supply chain
Read More

How to Keep Vendors and Clients Happy During Supply Chain Hiccups

Supply chain breakdowns are happening due to global disruptions, rising costs and increased consumer expectations. Businesses can't always stop supply chain hiccups, but they can learn from them and limit their impact on vendors and clients. How a business responds to a supply chain issue can have far-flung effects. A company that is proactive and...
implementing new systems
Read More

9 Mistakes to Avoid When Implementing New Systems

If your systems aren’t lean, efficient and precise, you’re wasting time and money while putting your business at unnecessary risk. If you’re going to build out new systems, you need to do it right. Avoid these nine mistakes when building new systems to transform how work gets done in your business. 1. Ignoring human nature...