Latest / The Start, Scale & Succeed Podcast / Why Your Managers Stopped Managing with Mike Krupit (stage 4) - Ep. 426
Transcript
- 0:00Scott Ritzheimer: Hello, hello, and welcome, welcome once again
- 0:03to the Start, Scale, and Succeed podcast-the only podcast that
- 0:06grows with you through all seven levels of your journey as a
- 0:09founder. I'm your host Scott Ritzheimer, and today we're
- 0:12going to talk about managers and why it seems that sometimes they
- 0:17stop managing. There's this story that I tell all the time
- 0:20when I'm teaching, it was actually a client of mine. I was
- 0:23asking him about his team, and I was expecting him to say, you
- 0:26know, this person's great or that person the other. And he
- 0:28just paused for a moment. He looked up at me and he said, you
- 0:31know, if you had asked me about my team six months ago, I'd have
- 0:34told you I have the best team in the world. But some point in the
- 0:38last six months, we just got dumb. It's like we're tripping
- 0:42over our feet. I don't know what happened, but we can't seem to
- 0:44get anything right. How is it that great teams stop producing
- 0:50great results, and what can you do about it? Well, if I had the
- 0:53answer, no, I'm just kidding. We've got with us today a
- 0:56gentleman who who has done this a time or two. He knows his way
- 1:00around it. With us today is Mike Croupett, who is founder and CEO
- 1:04of Trajectify, where he helps growth stage technology,
- 1:07manufacturing, and professional services companies to bridge the
- 1:10gap between early success and scalable leadership. With more
- 1:14than 30 years of experience as a CTO, COO, and CEO, Mike has led
- 1:21organizations through rapid growth, IPOs, M&As, and even
- 1:24bankruptcies, giving him rare real-world insight into what
- 1:28actually works when the stakes are so high. Known for his
- 1:31practical and candid approach, he helps founders and CEOs build
- 1:35courage, align their organizations, and unlock
- 1:38momentum from the inside out. Mike, what's happening? here?
- 1:44How do we just get dumb, and and what can we do about it? So, a
- 1:48lot of founders will find themselves in this place where
- 1:52they've been through a season of success, and I think that's
- 1:55important to articulate. Is this isn't necessarily like the
- 1:58startup problem, although that's a very real thing, these are
- 2:02folks who beat the startup problem and are bumping into
- 2:05something else. What is that?
- 2:09Mike Krupit: Well, Scott, one thing I'll say first and
- 2:11foremost is people don't often change, and so if the the
- 2:17outcomes right getting dumb if things aren't going as well as
- 2:21they used to. Something changed other than the people, and
- 2:26that's always where I start to my my exploration, where I get
- 2:29curious, where I start to ask questions about what's
- 2:34different, and and that we can go in a in a dozen different
- 2:39directions because it's always, it's often something else.
- 2:43Because one of the things we know about getting through these
- 2:45stages is you you hit some plateau, and then you've got to
- 2:48figure out you know what gets me to the next one.
- 2:53Scott Ritzheimer: So particularly for those that are
- 2:56in that have had the success, but they're trying to scale, and
- 3:01they find themselves kind of two steps forward, two steps back.
- 3:04They have a year of success and a year of frustration. What what
- 3:08do you find to be the primary drivers of that kind of cycle?
- 3:11What's changing outside the team for that pattern to hold?
- 3:16Mike Krupit: Well, often we're a victim of our own successes.
- 3:19It's growth, right? So, you know what works for a $1 million
- 3:24company won't work for a 2 million or two to five or five
- 3:27to 10 to sort of you know grossly estimate them. the The
- 3:31fact is that we have to constantly be evolving our
- 3:36people, making sure we have the right people in the right seats,
- 3:39our processes, our systems, our perspectives, our you know
- 3:45perspectives meaning expectations, accountabilities,
- 3:48outcomes, and so there's every time we hit a new level, things
- 3:56need to change, right? You know, and the people aren't going to
- 3:59change, right? So we need we need we need the either the the
- 4:04organization to change and bring the people with it, or we need
- 4:08to change the people.
- 4:09Scott Ritzheimer: Yeah, what is that? Because it feels like the
- 4:14role is to to like help lead this thing forward. It's to help
- 4:18me as the CEO and to manage these other people that I don't
- 4:21have to manage, and so it can feel like a distinction without
- 4:25a difference. What are some of the markers that there is a new
- 4:28level, and and how does that change who we need as the
- 4:32leaders around us?
- 4:33Mike Krupit: Sure. Well, the markers are often I can
- 4:37characterize them as a feeling of being stuck. Right, I'm not
- 4:42meeting my goals. It's it's profits are decreasing. It's
- 4:47taking more effort to generate the same revenue. I'm losing
- 4:52confidence, right? In a more emotional take on it. I used to
- 4:56I used to be sure how to how to get this these things
- 4:59accomplished and. I don't know, so so the markers could be
- 5:03financial, they could be emotional, or it could just be
- 5:08that nothing is moving. I'm watching my dashboard, and
- 5:11nothing is moving. And what happens often is our people or
- 5:16our processes just don't keep up with the business. The business
- 5:21grows, and we're expected to grow with it. Our systems are
- 5:25expected to scale with it, and something's, you know, it's very
- 5:30often that something won't. And we've got to we've got to get
- 5:34and do our root cause analysis and go figure out where what is
- 5:38keeping us stuck. What is is creating these elements of of
- 5:46that that I'm of uncertainty?
- 5:50Scott Ritzheimer: When I've coached with founders that are
- 5:52going through this this period, and and they learn what it takes
- 5:56to scale. So it's not this like I just don't know how to do it
- 5:59anymore, but they know. Okay, this is what it's going to take.
- 6:03There seems to be one reason that rises above all the rest
- 6:06that they still decline to do so. And the number one reason
- 6:10that someone who knows at least what direction to go to scale
- 6:13chooses another direction, in my experience, has been their we'll
- 6:18call it their trusty right hand man or woman. It's not always
- 6:20their second in command, but it's some meaningful leader on
- 6:24their team, and they've got a personal and professional
- 6:27relationship. They've got you know years of sweat equity, you
- 6:30know the blood, sweat, and tears, the shared experience,
- 6:32all of that. But they recognize, like you said, people don't
- 6:37change, and to in this context, they're not the same. They're
- 6:42not the leader that they need moving forward. Yeah. How do you
- 6:45help folks navigate? Like, should you scale anyway? Should
- 6:49you not scale? How do you help folks walk that decision?
- 6:53Mike Krupit: Yeah. It's it's difficult conversations are very
- 6:58hard to get good at. Maybe maybe I'll say that we never really
- 7:03get good at difficult conversations, but we may get
- 7:06skilled at having them. So that's a skill I tend to work
- 7:09with, work with founders on is is being comfortable with the
- 7:15uncomfortable elements of what it is that we're doing. So so
- 7:19often conflict avoidance, we not wanting to have authentic,
- 7:23vulnerable conversations with some of these key players in our
- 7:27organization. People who maybe we feel a commitment to because
- 7:30they've been with us since the beginning, or or people or or
- 7:35other things are moving, and it's like you know what I don't
- 7:37want to deal with it. It's too disruptive. I've worked with
- 7:40founders who have punted decisions, people decisions for
- 7:43two years because they kept finding other distractions that
- 7:47they thought were more important, and then of course
- 7:49they make the decision about the person two years later and
- 7:52realize, hmm, I should have done this sooner. Everything's better
- 7:55now, or everything's easier now, and so it's it's it's a matter
- 8:02of for me building the skill and having difficult in in mastering
- 8:09difficult conversations.
- 8:11Scott Ritzheimer: Yeah, I was it Marshall Goldsmith is famous for
- 8:15what got you here won't get you there. There's also the who
- 8:19version of that. Who got you here won't get you there. Right.
- 8:22I just had this conversation with a gentleman last week. He's
- 8:25he's leading a business. He's not quite at this point yet, but
- 8:28he could see it coming. You know, and and and through the
- 8:30course of the the content we were sharing together, he he saw
- 8:34like this pattern is playing out, and he asked me, "Well,
- 8:36what can I do so that my my people can make the leap? Like,
- 8:40how can I train them now so that they can evolve with me? I'd be
- 8:45interested to have your take on that. Is that something that's
- 8:48possible? Is that something that we should do? Can we develop our
- 8:51team all the way through?
- 8:52Mike Krupit: We all have the capacity to grow, and so if our
- 8:57leadership or our organization invests in growth, we're all
- 9:02given that chance to grow with the organization. Now, a
- 9:05fast-growing organization might require fast-growing people, and
- 9:08that's not all of us. I remind a lot of founders as they're in
- 9:14their evolution towards being a full-fledged call a CEO that
- 9:20they're responsible to coach their team members, you know.
- 9:24And so, what I find often, I had this conversation with a with a
- 9:28founder a lot recently about rescuing the team. The team is
- 9:32on the verge of making a mistake or isn't getting it. So I'll
- 9:35come in, I'll do it for you, I'll do it with you. It's like,
- 9:38why not let them fail? Why not let them learn from that
- 9:41failure, and why not invest in giving them space to grow?
- 9:46Because these rescues are very expensive in your time, but also
- 9:50in in in a sense putting boundaries around their own
- 9:54their growth. So it's it's so part of this. To to improve the
- 10:01outcomes, we want to get the founders and the leadership team
- 10:05to think like coaches to bring their organization forward with
- 10:10the with the company as as the company grows.
- 10:15Scott Ritzheimer: Yeah, sometimes the more heart forward
- 10:18founders have a tendency to do that, maybe better than others,
- 10:22but can they run the risk of trying to get somebody to turn
- 10:26into something that that person doesn't want to be? Have you
- 10:29seen that happen?
- 10:30Mike Krupit: Yeah, it happens very frequently. You know,
- 10:33especially in the startup world at the early stages, it is
- 10:39because in the early stages, things are changing so rapidly.
- 10:43The not everyone can grow at the rate that the organization is is
- 10:51needing that additional capability. That doesn't mean
- 10:55there's still not room in the organization for them, right? So
- 10:58we're constantly evaluating accountabilities and positions
- 11:02and and relationships with an organization. So, for example, a
- 11:07an organization I work with who had one of the co-founders doing
- 11:10sales was more of an evangelist. He was an introvert, sat behind
- 11:15the computer, did Zoom calls, loved doing demos. There was a
- 11:20lot of inbound opportunity, but when that inbound opport when
- 11:25when all the low hanging fruit had been picked, so to speak, we
- 11:28needed a different type of salesperson. We brought in
- 11:31someone who was more of a hunter, more outgoing, who
- 11:34definitely broke company culture because they were very
- 11:37extroverted. You know, the kind person who walks into the office
- 11:41at 8o'clock in the morning and high fives everyone, which which
- 11:45takes a technology company of of a bunch of of reserve people and
- 11:49makes them really uncomfortable and and within a couple months,
- 11:54the new salesperson was out producing the old salesperson,
- 11:57the original, the co-founder, and eventually they both grew
- 12:01together. They they both you know they both grew. But
- 12:04sometimes you introduce something that's ahead of where
- 12:08you need to be, or ahead of where you thought you where you
- 12:11had planned to be, and and the rest of the organization follows
- 12:16along or provides a complementary role for that for
- 12:20that new individual,
- 12:22Scott Ritzheimer: That's so good. So, Mike, there's this
- 12:25question that I have that I ask him. I guess I'm interested to
- 12:28see what you'd have to say, and the question is this: What would
- 12:31you say is the biggest secret that you wish wasn't a secret at
- 12:35all? What's that one thing you wish every founder watching or
- 12:37listening today knew?
- 12:41Mike Krupit: Invest in relationships before you think
- 12:44you need them, right? And so often we may call that just
- 12:48building rapport. But you know, one day you're going to have to
- 12:53have a difficult conversation. You have some conflict. You
- 12:57maybe have an ask, a favor to ask, or or problem to solve. It
- 13:02was Teddy Roosevelt who said, "People don't care what you
- 13:06think until they think that you care. It's building that
- 13:11relationship with people first gives you the influence when you
- 13:16need to cash in on it.
- 13:17Scott Ritzheimer: Yeah, so good, so good. Invest in people before
- 13:20you need it, yeah. There's a whole bunch of different ways I
- 13:23can go with that. However, I want to try and keep this nice
- 13:25and short and sweet for our our audience here. Before I do,
- 13:28though, I got one more question for you, and that is: there's
- 13:31folks who are going through this right now and would love help,
- 13:34you know, just navigating all of these changes. Where can they
- 13:37connect with you? Where can they find out more about the work
- 13:40that you do?
- 13:41Mike Krupit: Sure. trajectify.com, t r a j e c t i
- 13:43f y, or or Mike Krupit on LinkedIn. Happy to accept
- 13:47connection requests and direct message me about about where
- 13:50you're feeling stuck.
- 13:53Scott Ritzheimer: Brilliant, brilliant, Mike. Thank you so
- 13:54much for being on. Really was a privilege and honor having you
- 13:58here. Great conversation, and for those of you watching and
- 14:00listening, you know your time and attention mean the world to
- 14:03us. I hope you got as much out of this conversation as I know I
- 14:06did, and I cannot wait to see you next time. Take care.
- 14:15Hey everyone, Scott Ritzer here. Thank you so much for listening
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