Leading a High-Growth Unit Within a Legacy Company

For seasoned business leaders, the opportunity to run a high-growth business unit inside a larger, established organization can be an exciting challenge. You get the benefits of a well-resourced corporate parent combined with the agility and pace of a startup environment. However, making this career move successfully requires carefully navigating the key differences between the two worlds.

As Mike Fouts, an experienced chief business officer, shared on the Some Goodness podcast, "It's harder than I expected. You have to make a fast pivot because a growth company is moving at a much more dynamic pace." Here are three of Mike's top insights for leaders transitioning into this role:

Embrace a New Mindset
A high-growth company operates with far less rigidity and more flexibility than a legacy business. This means actively encouraging your team to "test the limits" and think outside constraints. You have to be prepared to delegate more and accept a level of controlled chaos that may have been intolerable in your previous role.

As Mike puts it, "You have to really be aware of it. Growth companies are much less rigid and more flexible...what it means is I had to be much more aware of delegating, of being accepting of certain things, and encouraging people to test the limits."

Prioritize Collaboration
The level of cross-functional collaboration required is far greater in a high-growth company. Close partnership between teams like sales, marketing, and product is essential to maintaining a unified customer acquisition motion. Contrast this with a legacy company where the focus is more about maximizing an existing installed base through expansion, renewal, and efficient operations.

"The level of collaboration that is required was far greater in a positive way, far greater with the product organization, with the operational teams, with marketing, with everybody," Mike notes.

Accept Imperfection
In a high-growth environment, speed is paramount. You simply cannot optimize every process or implement every system you'd like before launching an offering or go-to-market motion. A key mindset shift is accepting certain limitations in the short-term, prioritizing what really matters, and systematically evolving the business over time.

Mike's advice: "You have to accept that there are some things that you would like to change. But you can't do it right now for various reasons...Yes, it needs to have some evolution and some maturity to it, but I got to run really fast. I got to take the corner fast. I'll worry about that when we do a pit stop."

For leaders who embrace this new way of operating, there are huge rewards in the form of hyper-growth, an exhilarating pace of innovation, and the opportunity to scale a company from an early stage. Mike captures it well: "They're looking for a particular pace. They're looking for a mission and charter, right? They're out to conquer the world."

At the same time, Mike emphasizes that you can't lose sight of fundamental business disciplines like pipeline management, sales methodology, and deal qualification. "The teams that win championships, they are always good at fundamentals. Whatever the sport is, they do the fundamentals really well."

His advice for prospective leaders considering this career path? "Know who you are and know what you want...If you want to live in a fast paced environment, great – live there. Our time on this marble is pretty short, so don't be miserable in that time."

For those who can marry consistent fundamentals with an insatiable appetite for growth, leading a high-velocity business unit inside a global corporation can be a coveted sweet spot. With the right mindset adjustments, it's a career opportunity that lets you "take the corners much faster" while still benefiting from the resources of an established brand.

Be sure to listen to the whole conversation from Episode 8 of the Some Goodness podcast.