Standardize Processes
October 2017. I needed to review the financial projections for one of our six portfolio companies. Simple task, right? Find the file, check the numbers, move on.
Forty minutes later, I was still searching.
The file was in Dropbox… or was it Google Drive? The founder thought maybe it was in the shared Slack channel. Or possibly emailed as an attachment three weeks ago. We eventually found it in a folder called “Misc Docs (Old)” nested four levels deep in someone’s personal directory.
By the time I opened the spreadsheet, I’d forgotten why I needed it.
Later that week, I tried to help a different founder fix a bug in their customer dashboard. “Just pull up your repository,” I said. They used BitBucket. We used GitHub for everyone else. Different login, different interface, different deployment pipeline. I spent more time figuring out their unique setup than actually helping them.
That’s when I realized: every deviation from standard costs time. When you’re managing six companies simultaneously, those costs compound into paralysis. The freedom to “choose your own tools” wasn’t empowering our entrepreneurs: it was drowning them (and us) in unnecessary complexity.
Standardization isn’t about control or rigidity. It’s about removing friction so we can focus on the work that actually matters.
Why Standardize?
Standardization within venture builder startups offers clear benefits. It facilitates management and collaboration, making the startups more efficient and agile.
Advantages of Standardization
- Synergy Creation: When a builder’s companies standardize their processes, tools, and systems, synergies are created, enhancing overall efficiency and collaboration.
- Ease of Management: Standardization simplifies management for the promoters. With a unified approach, overseeing and directing multiple startups becomes more streamlined.
- External Assistance: It becomes easier for external agents, such as investors or advisors, to assist when there is a standard framework in place.
The Technological Stack
The choice of a standardized technological stack is more than a convenience; it’s a strategic move that benefits all parties involved.
Benefits of a Standardized Tech Stack
- Time and Resource Efficiency: Startups save time and resources as they don’t need to individually research, test, and select tools.
- Management Support: A common tech stack allows management to offer more effective and quicker assistance to each company.
- Inter-Company Collaboration: It eases collaboration among different companies under the builder’s umbrella.
- Onboarding and Operational Speed: Standardizing tools accelerates the onboarding process for new entrepreneurs and hastens the operational readiness of a startup.
Importance of Commonality Over Specifics
The existence of a common technological stack is more significant than the specific applications and tools selected. The market is replete with options varying in cost, features, and user-friendliness. Furthermore, these options are continually evolving, making flexibility and adaptability key.
Examples of Different Venture Builders’ Tech Stacks
The following table illustrates the technological stacks chosen by two different venture builders, showcasing the diversity in preference and strategy.
| TABLE 2-7 | ||
|---|---|---|
| Example of technological stack of two venture builders | ||
| Function | Roger Builders | Buggy Ventures |
| Manage sales opportunities (CRM) | HubSpot | Salesforce |
| Store files | Google Drive | Dropbox |
| Send and receive emails | Google Mail | Outlook |
| Task management | Trello | Jira |
| Knowledge repository | Trello | Confluence |
| Hosting and domains | Gandi.net | 1&1 |
| Code repository | GitHub | BitBucket |
| Communicate between team members | Slack | |
Citation: Example of technological stack of two venture builders. Builder's Handbook: Builder's Guide by Taig Mac Carthy.
The Selection of Appropriate Technology Stacks
While selecting tools for a technology stack in a venture builder environment, the choice is influenced by both objective and subjective factors.
The Objective vs. Subjective Factors in Tool Selection
- Objective Factors: These involve analyzing the current market offerings, functionalities, pricing, and how these tools align with the company’s needs.
- Subjective Factors: Personal preferences and team’s familiarity with certain tools play a significant role. This is particularly relevant in venture builders, where decisions are often influenced by management’s know-how and existing practices.
The Tool as a Means, Not an End
It’s crucial to remember that tools are facilitators, not goals in themselves. The emphasis should be on achieving objectives rather than the perfection of tool usage.
Example: Choosing File Storage and Task Management Tools
File Storage
- For companies reliant on text documents and spreadsheets, Google Drive offers advantages with its suite of Google Sheets, Slides, and Docs.
- For companies dealing with large video files or 3D plans, Dropbox, combined with Microsoft Office, might be more suitable.
Task Management
- Options like Jira (part of the Atlassian suite) offer comprehensive solutions for task, knowledge, and code management.
- Simpler and more cost-effective alternatives like Trello, or more progressive platforms like Monday, cater to different needs.
However, the efficiency in task management and file storage hinges more on how these functions are executed than on the specific tools used.
Methodology Over Tools
The builder’s methodology for various operational aspects should be tool-agnostic. The focus should be on the methodology’s effectiveness, regardless of the specific tools employed.
Folder Organization: A Key Pillar in Organizational Methodology
Effective folder organization is essential for managing multiple companies simultaneously. A standard organization system ensures necessary documents are easily accessible and not lost in a maze of inconsistent personal schemes.
Standard Folder Organization Example
The proposed organization is designed to meet any company’s organizational needs, irrespective of its business activity. Importantly, it remains neutral regarding the tool used for implementation.
- This standard omits folders related to specific operational areas like software development or logistics, focusing instead on universal activities like financial management and human resources.
By implementing a standardized folder organization, the builder ensures that all startups under its umbrella maintain a consistent and efficient document management system, crucial for streamlined operations and management.
| TABLE 2-8 | ||
|---|---|---|
| Common folders for all companies | ||
| Parent Folder | Purpose | Subfolders |
| Finance | Management, documentation and financial and accounting planning of the company. | Treasury, Accounting, Grants, Taxation |
| Legal | Documentation of administrative, commercial and judicial processes. | Contracts & Agreements, Brands and IP, MI SOCIEDAD SL |
| HR | Management, documentation and financial and accounting planning of the company. | Hiring, People, Career & Compensation Plan, PRL (Occupational Risk Prevention) |
| Communications | Creation, management and evaluation of marketing and communication processes. | Design, Media, Social, Events |
| Shows | Preparation and documentation of presentations. | YYYY_MM Event |
Citation: Common folders for all companies. Builder's Handbook: Builder's Guide by Taig Mac Carthy.
Enhancing Navigation with Icons and Identifiers
For venture builders managing multiple startups, incorporating distinct icons or specific identifiers for each startup significantly enhances the efficiency of navigating through company directories.
Benefits of Using Icons and Identifiers
- Quick Recognition: By assigning a unique icon or identifier to each startup, management can swiftly recognize and access the relevant directories.
- Streamlined Management: This approach simplifies the oversight process, allowing for quicker transitions between different startups’ files and data.
- Organizational Efficiency: With clear visual or textual cues, the overall organization of files becomes more intuitive, reducing time spent searching for specific folders or documents.
Example: Builder Management’s View of Folder Directory
| TABLE 2-9 | |
|---|---|
| Management folder directory | |
| Folders | Explanation |
| FINANCE | Management FINANCE root folder |
| └ FINANCE (Going Merry) | FINANCE folder of the company Going Merry SL |
| └ FINANCE (Thou Sunny) | FINANCE folder of the company Thou Sunny SL |
| └ FINANCE (Oro Jackson) | FINANCE folder of the company Oro Jackson SL |
| LEGAL | LEGAL root folder of management |
| └ LEGAL (Going Merry) | LEGAL folder of the company Going Merry SL |
| └ LEGAL (Thou Sunny) | LEGAL folder of the company Thou Sunny SL |
| └ LEGAL (Oro Jackson) | LEGAL folder of the company Oro Jackson SL |
Citation: Management folder directory. Builder's Handbook: Builder's Guide by Taig Mac Carthy.
Emojis in Folder Organization
The use of emojis in folder organization within a venture builder’s system plays a significant role in differentiating between various companies’ folders. This visual distinction is particularly crucial in environments where multiple startups are managed simultaneously.
Why are emojis useful?
If you are hesitant to use emojis, please keep consider the following factors before dispensing with the idea:
- Visual Distinction: Emojis provide a quick visual cue that helps in distinguishing one company’s folders from another, especially when dealing with commonly named folders across different startups (like “FINANCE”).
- Ease of Navigation: Without emojis, navigating through files can become cumbersome as multiple folders might share the same name. Emojis alleviate this issue by offering a unique identifier for each company’s set of folders.
- Enhanced Efficiency: The incorporation of emojis into folder names streamlines the process of finding and accessing specific documents, thereby increasing overall efficiency in document management.
By integrating emojis into the folder naming convention, a venture builder ensures smoother and more effective file management across its diverse portfolio of startups.