When deciding on which businesses to invest in, a diligent investor will use a holistic approach in their assessment. An investor shouldn’t only be interested in the product or service but also in the entrepreneur and the team behind the business. Additionally, a healthy company culture could give the business a great competitive advantage.
That is why at Capitis, we are drawn to organizations that have clearly embedded a Growth Mindset in their company’s DNA.
The term ‘Growth Mindset’ was coined by psychologist Carol Dweck in the book Mindset: A New Psychology for Success. She describes having a Growth Mindset as when “…people believe that their most basic abilities can be developed through dedication and hard work—brains and talent are just the starting point. This view creates a love of learning and a resilience that is essential for great accomplishment.”
More and more companies are realizing the massive growth potential they can unlock if they expand their focus beyond just the numbers. According to the Harvard Business Review, a Growth Mindset encourages exactly that! It “…focuses on deeper issues connected to how people feel, and how they behave as a result.” The Growth Leaders Network describes this approach as an environment in which “…each interaction and every moment is seen as an opportunity for presence, learning, contribution and excellence.”
So how would such a company culture benefit your business? We have found that encouraging a Growth Mindset within an organization can yield the following results:
It builds trust between employees and the leadership team
It encourages curiosity
It encourages out of the box thinking and innovation
It enables a culture of communication based on transparency, honesty and respect
It creates a high energy environment conducive to productivity
All the above will create a healthy space for each individual, business unit and the entire organization to strive to be the best versions of themselves. This approach certainly puts the human back into the resources and ensures the entire team is working together towards the set business goals.
Firstly, hire for growth
When recruiting, aim to identify individuals who not only have the technical skills and knowledge required for the role, but who also have a hunger to learn and grow. These are the kinds of individuals who will take your business forward and will fit into an environment of innovation. Additionally, once you have set your company values, identify individuals who already embody them.
If your team is growing, so is your business
Build a culture of learning within your business. Set up mechanisms to support your staff’s growth journey by providing them with opportunities to up skill. By investing in your team you are investing in your business. Having a developmental career path is an incentive for an employee to remain within a business.
Reinforce your company values
Ensure that that your entire team fully grasps the company values. Find creative ways to reinforce them e.g. internal marketing campaigns, rebranding your workspace etc.
Take your team with you
Instead of a purely prescriptive approach, include your employees in a few strategy sessions. Providing them with the platform to give meaningful input will encourage a truly inclusive environment and facilitate creativity and innovation.
Keep re-evaluating your team’s goals and align it with the big picture
It’s easy to lose sight of where the business is going. Aim to keep the big-hairy-audacious-goal front of mind and keep adjusting the shorter-term goals and strategies to align with it. Do not be afraid to chuck-out what isn’t working and to try new methods.
Celebrate every achievement
Whether big or small, celebrate the individual and group successes. This once again creates an incentive for your team to strive for excellence. And have fun with it!
Ultimately, the environment within which you operate really matters! A business can unlock true potential if they intentionally create an environment for the team to flourish in.