The 5 Stages Of The Value Maturity Index

According to Verne Harnish, author of Mastering the Rockefeller Habits, complexity increases12x when a business doubles in size.

Why Growth Increases Complexity

• More people: Adding staff creates a massive jump in individual communication links and potential misunderstandings.
• More products: Offering new services adds layers to operations, billing, and customer support.
• More decisions: Founders can no longer oversee every detail, causing bottlenecks if structure is missing.

The key to manage and excel is to build an infrastructure within your organization that will encourage ideas and innovations to flow up and reviewed, identify and resolve problems effectively, measure efforts and results accurately and regularly.

Here are the 5 stages of the value maturity index for both your personal and business wealth:

1. Identify your current value, goals and objectives, and gaps
   1. Identify your wealth, value, and profit gaps
2. Protect what you already have:
   1. Develop and strengthen your team for growth
   2. Apply adequate risk management regime
   3. Solidify existing client relations and may need to let go of the unfit
   4. Systematize your operations
   5. Establish and protect your brand
3. Build it out – after stage 2 and 3
   1. You are now ready to implement your growth plan
   2. Doing it too early will very likely magnify your existing gaps and issues. When additional business comes, quality of your product and services may suffer and potentially cause loss of existing valued clients
4. Harvest
5. Manage