The Sigmoid Curve, Part 2

Luke Kuepfer • Dec 30, 2022

[Last week we introduced the sigmoid curve and how it relates to an organization from beginning to end. Today we're introducing a preventative solution to the ERODING stage]

 

At the ENTREPRENEURIAL stage, there’s a lot of excitement and energy; the company attempts and succeeds at establishing viability through sweat, tears, and sacrifice. Commitment pays off!

 

At the EMERGING stage, some credibility has been established and now the organization seeks greater respect in a broader market.

 

At the ESTABLISHED stage, the organization focuses on maintaining stability and tweaks and anchors systems around what has worked so well in the past.

 

Unfortunately, the drive toward maturity and stability that resulted in momentum for a period of time cannot be sustained. Systems, procedures, and checks and balances bring about stability that also militates against new ideas. The noose tightens around new entrepreneurial ideas, choking out creativity and future vision leading to the ERODING stage.

 

Eventually, many organizations and businesses plateau, taking the path of least resistance and vulnerability leading down a pathway to death. They unwittingly and ironically become victims of their greatest vulnerability. 

 

So is there a solution preventing the ERODING stage? Yes—the ENTERPRISING stage. However, this must be launched while an organization is experiencing momentum; waiting too long can result in the loss of key players and those with the energy to begin something new. We'll talk more about this in the future, but first, another case study from my childhood and youth in next week's post.

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