Here's how to avoid growing pains: HR strategies for scale-ups

Running a scale-up often feels like running a fast-growing city. New buildings shoot up, streets get congested, and without infrastructure, growth turns into chaos. The same goes for your business: when you grow from 10 to 50 people without structure, every decision becomes a struggle.

But growth doesn't have to be a stumbling block. With the right HR strategies, you turn chaos into control and build an organization that not only grows, but continues to perform.

In this blog, you'll discover how to:

• Turn growing pains into opportunities,
• Attract and retain the right people,
• And build scalable structures that work regardless of your team size.

1. Growing pains: Why chaos is a sign of success

Growth always brings challenges. Your team complains about unclear processes, roles overlap, and what once worked now seems like a source of frustration. But this chaos is actually a sign that your company is ready for the next step.

Symptoms of poorly managed growth:

• Everyone does everything, but no one knows who is responsible.
• Quick hires that don't fit the culture.
• Teams become overworked and burnout lurks.

What can you do?
Use chaos as a signal to invest in structure, processes and culture. This is the key not only to survival, but to thriving as a scale-up.

Practical example:
A fintech scale-up with 40 employees was struggling with high turnover. They introduced leadership training and clear KPIs for team goals. Result? Within 6 months, the outflow halved.

Source: Harvard Business Review, The Overlooked Key to a Successful Scale-Up..

2. Attract the right people: Find stars, not just players

Attracting the right people during rapid growth is like assembling a championship team. You need not only hard-working players, but people who understand strategy, are flexible and can excel at multiple positions.

Tips for successful hiring:

• Scorecards: Use a structured approach to objectively assess candidates for skills and culture fit.
• Think scalability: Hire people who add value not just today, but tomorrow.
• Make your employer branding ironclad: Show why your scale-up is unique through socials, videos and blogs.

People& Tip:
Use your core values as a compass in your recruiting. During interviews, ask how candidates identify with those values.

Source: LinkedIn Talent Solutions, Growing your employer brand.

3. Culture: The foundation that supports growth

Culture is the DNA of your organization. But during growth, that DNA is under pressure. How do you keep your culture from being diluted as your team doubles in size?

Actions to strengthen culture:

• Core values as a compass: Make sure everyone in your organization knows and applies these values.
• Onboarding as culture transfer: Make onboarding more than a checklist. Let new employees really experience your culture.
• Celebrate successes: From monthly shoutouts to a simple thank you. Recognition strengthens the connection to your culture.

Case in point:
Netflix defines their culture as "freedom & responsibility" and uses this to keep teams flexible and leaders making autonomous decisions.

Source: Netflix Culture Deck.

4. Building structures: from chaos to scalability

A scale-up without structure is like a soccer team without a goalie. Everyone runs after the ball, but no goals are scored anywhere.

How do you build in scalability?

1. Squad-based teams: Multidisciplinary teams that remain agile as projects grow.
2. Leadership Training: Prepare managers to lead larger, diverse teams.
3. Automation: Use HR tools such as Workday or Personio to streamline processes and free up time for strategic work.

People& Tip:
Start small. Introduce one new process or tool first and then expand. Too many changes at once can overwhelm teams.

Source: McKinsey, From start-up to centaur: Leadership lessons on scaling.

5. Conservation: no revolving door, but a home base

Attracting candidates is step one. But retaining your best people? That's the real challenge. Especially in a tight labor market, retention is crucial.

Conservation strategies:

• Development paths: Show how employees can grow within your organization.
• Mentoring programs: Pair senior staff with young talent for knowledge sharing and bonding.
• Focus on well-being: Flexible work models and a focus on mental health make your organization more attractive.

Figures that make a difference:
Companies with strong development programs have a 72% higher retention rate than those without.

Source: Gallup, How Millennials Want to Work and Live.

6. HR and metrics: Let data be your co-pilot

HR strategies without data are like driving without navigation. You may know where you want to go, but the chances of getting lost are high.

KPIs not to be missed:

• Time-to-hire: How efficiently do you fill vacancies?
• Retention rate: How many employees stay longer than 12 months?
• eNPS (Employee Net Promoter Score): How satisfied and engaged are your employees?

People& Tip:
Analyze your data quarterly. Trends tell you where to adjust before problems become big.

Source: SHRM, How do I determine which HR metrics to measure and report?

Conclusion: Grow smart, not chaotic

Growing as a scale-up requires more than ambition. It requires smart HR strategies that turn chaos into control. Focus on the right people, a strong culture and scalable structures to build a future-proof organization.

Are you facing growing pains? Let's explore together how People& can support your scale-up with the right strategies. Schedule a free strategy call and find out what we can do for your organization.

‍