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small-sized company

 
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A small fun company that everyone loves to work for. When is the right time to go Enterprise ? Probably when the employees start worrying about their pensions, for one.
 
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Hi Helen,

Please elaborate.

Are you talking about when it's a good time for a small start up to
become more organized or.. ?

/Svend Rost
 
Helen Thomas
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Yes, that's what I am asking.

Take for example a company that's been going for 5 years opening new pastures in green fields.

Or a subsidiary of a large Enterprise that was let off the leash and did
surprisingly well that the parent thinks it's time to bring it in because it's starting to be uncontrollable.
 
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There is no one answer, and not even general guidelines. Some of the many factors that go into the decision include:

- Current product line/maturity
- Capability of developing/delivering additional products
- Financial resources
- Legal obligations/constraints
- Corporate culture
- Mission of each company
- Marketshare
- Competition
- Five Forces Analysis
- Other risks


And then of course there are a wide range of options, from indepenedence to a merger and everything in between.

--Mark
 
Helen Thomas
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- Current product line/maturity - mature enough to be very competitive
- Capability of developing/delivering additional products - will need to grow
- Financial resources - sub of a bank
- Legal obligations/constraints - not fully fledged obligations as parent
- Corporate culture - small culture that won't fit well into parent culture
- Mission of each company - happy shareholders
- Marketshare - could dwindle in next few years
- Competition - increasing
- Five Forces Analysis - whats this ?
- Other risks - could sink if left on it's own
[ October 15, 2004: Message edited by: Helen Thomas ]
 
Svend Rost
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Hi,

When is the right time to go Enterprise ?



It depends.

As a compagny grows it moves through a nummber of stages.
One has to observe what's happening in the organization - is everything
running "smooth"? or, for instance, are the (potential) growing number
of employees causing problems. A typical problem could be, that the
leader(s) are having problems managing both management issues and making/selling their products. Another "crisis" could be, that the top
management don't wan't to give up responsibility to the lower-level
managers.

Mark also mentiones a number of importent factors.

Five Forces is also known as Poters 5 forces. You can find more information
about them at: http://www.quickmba.com/strategy/porter.shtml

/Svend Rost
 
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