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PATRI Framework
for Scaling Social Business
Rizwan Tayabali
Supported by Ashoka Globalizer
2
Adapted from
The PATRI Framework
for Scaling Social Impact
© Rizwan Tayabali, 2014
3
Pre-Conditions
1. You are a social business i.e. Your purpose is to create
impact, ideally through the use of business mod...
Caveats
1. There is no magic one-size-fits-all process that will
apply across the board. This framework covers the most
im...
Scaling vs. Growth
6
While scaling is often used as an
interchangeable term for growth, there is
in fact an important distinction ...
7
Growth refers to an incremental increase in
impact or revenue with a directly correlated
(incremental) increase in resourc...
Given the size of need related to many social
issues, combined with the fact that there are
limited resources for addressi...
Unless your model was designed for scaling
right from the start, separating the scale of
impact or revenue from being limi...
Growth therefore has primarily operational
implications, while scaling has both design
and operational implications.
11
Understanding This Guide
12
This guide adapts the PATRI Framework for
scaling social businesses in particular.
13
It will take you step by step through
a series of key questions that will help you
decide whether or not scaling is feasib...
The level of robustness with which you
review each question will strongly influence
your ability to scale without necessar...
The 5 major risks to successful scaling are
1. Unclear purpose
2. Inapplicable design
3. Non-transferable processes
4. Unp...
Each stage of the framework addresses these
different pitfalls in scaling, and is split into
a series of key factors that ...
At it’s core, the Framework asks 5 questions
18
1
Is your purpose clear and well defined?
19
2
Is your solution applicable at scale?
20
3
Is your model systematised and transferable?
21
4
Is your organisation ready to scale?
22
5
Is your implementation planning robust?
23
PATRI
Framework
I
Purpose
II
Applicability
(Viability)
III
Transferability
IV
Readiness
V
Implementation
24
I
Purpose
25
The 1st step of the Framework is to define
purpose and targets, without which you have
no sensible basis for planning or d...
Scaling social businesses can become a
highly operational and financially focused
activity that can cause focus to shift t...
To mitigate against mission drift, it is
critical to ensure that you have clarity of
purpose and direction before embarkin...
Key
Factors
Primary Goal
Problem
Definition
SelectionVision
Targets
29
Purpose
As a social business, is your primary goal to
increase impact or drive business growth?
Purpose
30
Primary Goal
Do you understand the true scale of
the problem you are trying to address?
Purpose
31
Problem
Definition
Do you have an initial selection of
areas or demographics for scaling
based on urgency of need?
Purpose
32
Selection
Do you have a clear vision of
what the problem will look like
when it’s fixed on a larger scale?
Purpose
33
Vision
Do you have outcome based targets for scaling?
Purpose
34
Targets
Clarifying your purpose will play a key role in
ensuring that you have a strong basis for
decision-making, not only when r...
If you need further help with addressing
purpose, more detail is provided in a
linked presentation called ...
“Defining Pu...
II
Applicability
37
The 2nd step of the Framework is to
understand whether or not your solution is
capable of achieving your chosen targets
i....
Operating practices and models that apply
on a local level do not necessarily apply on a
larger scale.
Depending on your m...
In the case of social businesses, whether or not
a solution will be applicable at scale hinges
primarily around whether or...
The main aim of assessing viability is thus to
check whether or not your model is likely to
1. Scale as is
2. Need some tw...
Key
Factors
Demand
Market
Variances
Cost
Effectiveness
Competition
Feasibility
of Organic
Growth
Efficiencies
& Scale
Econ...
Is there a demand for your impact-oriented
product or service?
Applicability
(Viability)
43
Demand
Are there significant variations in
market dynamics at scale?
Applicability
(Viability)
44
Market
Variances
Will your business model be
cost effective at scale?
Applicability
(Viability)
45
Cost
Effectiveness
Does your model have competitors in the
environments you have chosen for scaling?
1. Non-profit providers
2. Equivalent so...
Could you realistically grow your
business model organically to meet
the size of need or demand?
Applicability
(Viability)...
Will scaling generate economies
that could improve viability?
Applicability
(Viability)
48
Efficiencies
& Scale
Economies
Will you need significant external financing,
and will that finance be affordable?
Applicability
(Viability)
49
Financing
By this stage you should have a good sense of
whether or not your business model is likely to
be financially viable when s...
If your business model appears viable,
then it is worth testing the waters externally
to see if you can raise interest in ...
If it doesn’t seem to be viable, then you could
loop back through the process and reconsider
1. Your chosen areas or demog...
If you do however find that it isn’t feasible to
scale at all, then you could still consider
increasing the reach of your ...
If you need further help with addressing
applicability, more detail is provided in a
linked presentation called ...
“Appli...
III
Transferability
55
The 3rd step of the Framework is to
enable your model to be replicated
or delivered by others
i.e. to ensure that it is sy...
Transferability essentially refers to having
systematic ways of working that allow you to
grow, develop, evolve or replica...
It is a critical foundation for the replicability
needed in scaling, and for ensuring a
standardised quality of output and...
Finally, systematising your processes will also
improve efficiency and effectiveness in delivery.
Applicability
59
III
Tra...
Key
Factors
Core
Components
Critical
Programmes
Chronological
Priority
Impact
Monitoring
Quality
Control
60
III
Transferab...
Do you have a good understanding of how the
components of your model fit together in order
to create both impact and finan...
Do you have a good understanding of which
programs are critical for each component?
&
Do you have systematic guidelines, p...
Do you have a good understanding of the
chronological operational priority for setting up
the delivery of these programs i...
Do you have a systematic
impact monitoring methodology?
64
III
Transferability
Impact
Monitoring
Do you have a formal quality control
mechanism?
III
Transferability
65
Quality
Control
At this stage, you should ideally aim for a
practical level of documentation that is
enough to ensure that your model is a...
If and when you do get to the stage of
working with partners, you can then formalise
this documentation for external use.
...
If you need further help with addressing
transferability, more detail is provided in a
linked presentation called ...
“Tra...
IV
Readiness
69
The 4th step of the Framework is to establish
whether or not your organisation and people
are ready for scaling, and if no...
Once you know exactly what it is you plan
to scale, you can begin to evaluate if scaling
will in fact be something you can...
It is worth evaluating organisational readiness
prior to implementation because the costs
involved are typically significa...
Once you go past this stage, you will also begin
to commit significant resources to scaling,
and it will get harder and mo...
As the costs and implications aggregate, this
therefore is the final stage at which you can
safely decide whether or not t...
Key
Factors
Organisational
Design
Optimal Size
Decision
Making
Resistance to
Change
Knowledge
Technology
Infrastructure
IV...
Does your organisational design aid scaling?
IV
Readiness
76
Organisational
Design
Do you understand the optimal size
and structure needed for achieving your
chosen impact and scaling targets?
1. Skills
2....
Is your organisation dependent on a
single/primary decision maker for operations
and management?
&
If so, do they have spa...
Are you and your teams/staff aware of,
and bought into, the changes and challenges
that scaling will bring?
IV
Readiness
7...
Does your organisation have a strong
knowledge sharing and learning culture?
IV
Readiness
80
Knowledge
Do you have a capable and scalable
technology infrastructure?
IV
Readiness
81
Technology
Is your current physical infrastructure capable
of supporting the organisational growth that is
likely to result from scal...
If the costs of organisational readiness seem
too high, you could consider sharing and re-use
strategies, or limit your sc...
You could also adjust your design to increase
independence and autonomy of partners or
local units to reduce the load on y...
If you need further help with addressing
readiness, more detail is provided in a
linked presentation called ...
“Readiness...
V
Implementation
86
The 5th and final step of the Framework is to
plan the journey and manage implementation
when scaling.
V
Implementation
87
Everything up to this point falls under the
category of due diligence, not only to help you
adjust your design to work on ...
A robust scaling plan will be essential
if you are to be successful in raising
the support needed to scale.
It will also b...
For this you will need
an implementation roadmap
V
Implementation
90
A roadmap is an outline of all the different
activities that comprise implementation, laid
out in dependency order, over w...
The process of scaling can be broken into
five phases ...
V
Implementation
92
Key
Phases
1
Planning
2
Resourcing
3
Set-up
4
Execution
5
Impact
Monitoring
& Quality
Control
93
V
Implementation
While these phases have a chronological order
of dependency, in practice various aspects
can and do happen in parallel.
Fo...
This is the first stage of implementation,
primarily involving diligence around purpose,
applicability, transferability an...
Once you’ve got your planning done, the next
phase is to find the necessary resources
1. Financial
2. Human
3. Technologic...
Set-up is where you get your operations ready
and make them scalable.
V
Implementation
97
3
Set-up
Execution involves delivering and rolling out
impact and revenues on your chosen scale.
V
Implementation
98
4
Execution
Once you’ve scaled up, and your new operations
are reaching need and servicing demand, you
will reach the final stage, whi...
When planning implementation, you may
need to break your activities into a series of
work-streams that reflect different
o...
Core
Implementation
Streams
Strategy &
Planning
Finance and
Fund-raising
Human
Resources
Infrastructure
Technology
Interna...
You can then visualise the phases and
work-streams as a roadmap
to support both communication and
time planning ...
V
Impl...
Sample Implementation Roadmap
Implementation
Source – PATRI Framework for Scaling Social Impact © Rizwan Tayabali, 2014
Once you have the roadmap visualised,
you can convert it into a formal Gantt Chart for
managing implementation, and combin...
If you need further help with addressing
implementation, more detail is provided in a
linked presentation called ...
“Impl...
To summarise, many of the pitfalls in scaling
can be overcome simply by considering the
factors involved. However, it isn’...
©Rizwan Tayabali, 2014
107
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PATRI 00. Framework for Scaling Social Business - Rizwan Tayabali

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DIY Framework to help social enterprises and social businesses to scale their impact and operations.The PATRI Framework takes you through each step of the scaling process, from defining vision to rolling out your solution at scale.

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PATRI 00. Framework for Scaling Social Business - Rizwan Tayabali

  1. 1. PATRI Framework for Scaling Social Business Rizwan Tayabali Supported by Ashoka Globalizer
  2. 2. 2
  3. 3. Adapted from The PATRI Framework for Scaling Social Impact © Rizwan Tayabali, 2014 3
  4. 4. Pre-Conditions 1. You are a social business i.e. Your purpose is to create impact, ideally through the use of business models. 2. You are structured either commercially or as a non- profit with revenue streams. 3. You have a proven business model that creates impact on a localised level, and that impact is tested and proven. 4. You have grown the business model to some degree already and understand what it takes to replicate it. 5. You want to know if your social business model is scalable, and whether or not it makes sense to invest in scaling. 4
  5. 5. Caveats 1. There is no magic one-size-fits-all process that will apply across the board. This framework covers the most important considerations but you may have to pick and choose what applies to you. 2. Scaling is rarely a linear process. While the framework is necessarily laid out step-by-step, you can work through the different pieces in parallel or separately as needed. 3. This framework is focused on scaling rather than growth. If you are looking to incrementally set up operations in another location or enter another market, then this framework will still offer you value, but some aspects of it may only be applicable a bit further down the line. 5
  6. 6. Scaling vs. Growth 6
  7. 7. While scaling is often used as an interchangeable term for growth, there is in fact an important distinction ... 7
  8. 8. Growth refers to an incremental increase in impact or revenue with a directly correlated (incremental) increase in resources Scaling however, refers to an exponential increase in impact or revenue but with only an incremental increase in resources 8
  9. 9. Given the size of need related to many social issues, combined with the fact that there are limited resources for addressing those needs, it is often more practical to think in terms of scaling rather than growth. 9
  10. 10. Unless your model was designed for scaling right from the start, separating the scale of impact or revenue from being limited by the size of your operations typically requires a degree of redesign. 10
  11. 11. Growth therefore has primarily operational implications, while scaling has both design and operational implications. 11
  12. 12. Understanding This Guide 12
  13. 13. This guide adapts the PATRI Framework for scaling social businesses in particular. 13
  14. 14. It will take you step by step through a series of key questions that will help you decide whether or not scaling is feasible for you and if so, to produce an effective scaling plan that you can follow during implementation. 14
  15. 15. The level of robustness with which you review each question will strongly influence your ability to scale without necessarily suffering the growing pains, financial stresses and impact losses that organisations can experience when scaling. 15
  16. 16. The 5 major risks to successful scaling are 1. Unclear purpose 2. Inapplicable design 3. Non-transferable processes 4. Unprepared teams 5. Poor implementation planning 16
  17. 17. Each stage of the framework addresses these different pitfalls in scaling, and is split into a series of key factors that will help you manage both risks and outcomes. 17
  18. 18. At it’s core, the Framework asks 5 questions 18
  19. 19. 1 Is your purpose clear and well defined? 19
  20. 20. 2 Is your solution applicable at scale? 20
  21. 21. 3 Is your model systematised and transferable? 21
  22. 22. 4 Is your organisation ready to scale? 22
  23. 23. 5 Is your implementation planning robust? 23
  24. 24. PATRI Framework I Purpose II Applicability (Viability) III Transferability IV Readiness V Implementation 24
  25. 25. I Purpose 25
  26. 26. The 1st step of the Framework is to define purpose and targets, without which you have no sensible basis for planning or design. Purpose 26
  27. 27. Scaling social businesses can become a highly operational and financially focused activity that can cause focus to shift towards operational growth and away from outcomes when scaling. Purpose 27
  28. 28. To mitigate against mission drift, it is critical to ensure that you have clarity of purpose and direction before embarking on your scaling endeavour. Purpose 28
  29. 29. Key Factors Primary Goal Problem Definition SelectionVision Targets 29 Purpose
  30. 30. As a social business, is your primary goal to increase impact or drive business growth? Purpose 30 Primary Goal
  31. 31. Do you understand the true scale of the problem you are trying to address? Purpose 31 Problem Definition
  32. 32. Do you have an initial selection of areas or demographics for scaling based on urgency of need? Purpose 32 Selection
  33. 33. Do you have a clear vision of what the problem will look like when it’s fixed on a larger scale? Purpose 33 Vision
  34. 34. Do you have outcome based targets for scaling? Purpose 34 Targets
  35. 35. Clarifying your purpose will play a key role in ensuring that you have a strong basis for decision-making, not only when reviewing design but also in situations where financial survival threatens quality of impact. Purpose 35
  36. 36. If you need further help with addressing purpose, more detail is provided in a linked presentation called ... “Defining Purpose: A Guide To Scaling Social Business” Purpose 36
  37. 37. II Applicability 37
  38. 38. The 2nd step of the Framework is to understand whether or not your solution is capable of achieving your chosen targets i.e. if it will still be applicable and viable at the scale you are aiming for. Applicability (Viability) 38
  39. 39. Operating practices and models that apply on a local level do not necessarily apply on a larger scale. Depending on your model and how it is designed and delivered, scaling can either bring economies or a series of additional costs. Applicability (Viability) 39
  40. 40. In the case of social businesses, whether or not a solution will be applicable at scale hinges primarily around whether or not it will be financially viable at scale. Applicability (Viability) 40
  41. 41. The main aim of assessing viability is thus to check whether or not your model is likely to 1. Scale as is 2. Need some tweaking, 3. Require significant rework, or 4. Not be scalable at all Applicability (Viability) 41
  42. 42. Key Factors Demand Market Variances Cost Effectiveness Competition Feasibility of Organic Growth Efficiencies & Scale Economies Financing 42 Applicability (Viability)
  43. 43. Is there a demand for your impact-oriented product or service? Applicability (Viability) 43 Demand
  44. 44. Are there significant variations in market dynamics at scale? Applicability (Viability) 44 Market Variances
  45. 45. Will your business model be cost effective at scale? Applicability (Viability) 45 Cost Effectiveness
  46. 46. Does your model have competitors in the environments you have chosen for scaling? 1. Non-profit providers 2. Equivalent social businesses 3. Purely commercial competitors Applicability (Viability) 46 Competition
  47. 47. Could you realistically grow your business model organically to meet the size of need or demand? Applicability (Viability) 47 Feasibility of Organic Growth
  48. 48. Will scaling generate economies that could improve viability? Applicability (Viability) 48 Efficiencies & Scale Economies
  49. 49. Will you need significant external financing, and will that finance be affordable? Applicability (Viability) 49 Financing
  50. 50. By this stage you should have a good sense of whether or not your business model is likely to be financially viable when scaling. Applicability (Viability) 50
  51. 51. If your business model appears viable, then it is worth testing the waters externally to see if you can raise interest in terms of support or finance. For this you will need: 1. A high-level business plan 2. A summary pitch for raising money Applicability (Viability) 51
  52. 52. If it doesn’t seem to be viable, then you could loop back through the process and reconsider 1. Your chosen areas or demographics 2. The pathways you have chosen for scaling Applicability (Viability) 52
  53. 53. If you do however find that it isn’t feasible to scale at all, then you could still consider increasing the reach of your impact indirectly, by making your business model open and available for others to copy and improve upon. Applicability (Viability) 53
  54. 54. If you need further help with addressing applicability, more detail is provided in a linked presentation called ... “Applicability at Scale: A Guide To Scaling Social Business” Applicability (Viability) 54
  55. 55. III Transferability 55
  56. 56. The 3rd step of the Framework is to enable your model to be replicated or delivered by others i.e. to ensure that it is systematic and transferable for use in scaling, either by your own teams or by external partners. 56 III Transferability
  57. 57. Transferability essentially refers to having systematic ways of working that allow you to grow, develop, evolve or replicate methodologies and processes in a quality controlled fashion. Applicability 57 III Transferability
  58. 58. It is a critical foundation for the replicability needed in scaling, and for ensuring a standardised quality of output and impact.. Applicability 58 III Transferability
  59. 59. Finally, systematising your processes will also improve efficiency and effectiveness in delivery. Applicability 59 III Transferability
  60. 60. Key Factors Core Components Critical Programmes Chronological Priority Impact Monitoring Quality Control 60 III Transferability
  61. 61. Do you have a good understanding of how the components of your model fit together in order to create both impact and financial viability? Applicability 61 III Transferability Core Components
  62. 62. Do you have a good understanding of which programs are critical for each component? & Do you have systematic guidelines, processes and operating standards for each of these critical programs? 62 III Transferability Critical Programmes
  63. 63. Do you have a good understanding of the chronological operational priority for setting up the delivery of these programs in the order needed to ensure impact and financial viability? Applicability 63 III Transferability Chronological Priority
  64. 64. Do you have a systematic impact monitoring methodology? 64 III Transferability Impact Monitoring
  65. 65. Do you have a formal quality control mechanism? III Transferability 65 Quality Control
  66. 66. At this stage, you should ideally aim for a practical level of documentation that is enough to ensure that your model is at least consistently replicable by within the boundaries of your own organisation. Applicability III Transferability 66
  67. 67. If and when you do get to the stage of working with partners, you can then formalise this documentation for external use. Applicability III Transferability 67
  68. 68. If you need further help with addressing transferability, more detail is provided in a linked presentation called ... “Transferability for Scale: A Guide To Scaling Social Business” III Transferability 68
  69. 69. IV Readiness 69
  70. 70. The 4th step of the Framework is to establish whether or not your organisation and people are ready for scaling, and if not, what you can do about it. IV Readiness 70
  71. 71. Once you know exactly what it is you plan to scale, you can begin to evaluate if scaling will in fact be something you can feasibly follow through without putting your impact or organisation at serious risk. IV Readiness 71
  72. 72. It is worth evaluating organisational readiness prior to implementation because the costs involved are typically significant, not just in terms of hardware, but also in terms of time and effort required to embed new working practices. IV Readiness 72
  73. 73. Once you go past this stage, you will also begin to commit significant resources to scaling, and it will get harder and more painful to back out or change direction if things don’t work out as planned. IV Readiness 73
  74. 74. As the costs and implications aggregate, this therefore is the final stage at which you can safely decide whether or not to proceed with scaling in the way you expect. IV Readiness 74
  75. 75. Key Factors Organisational Design Optimal Size Decision Making Resistance to Change Knowledge Technology Infrastructure IV Readiness 75
  76. 76. Does your organisational design aid scaling? IV Readiness 76 Organisational Design
  77. 77. Do you understand the optimal size and structure needed for achieving your chosen impact and scaling targets? 1. Skills 2. Capacity 3. Teams IV Readiness 77 Optimal Size
  78. 78. Is your organisation dependent on a single/primary decision maker for operations and management? & If so, do they have spare capacity to manage the design and implementation needed for scaling? IV Readiness 78 Decision Making
  79. 79. Are you and your teams/staff aware of, and bought into, the changes and challenges that scaling will bring? IV Readiness 79 Resistance to Change
  80. 80. Does your organisation have a strong knowledge sharing and learning culture? IV Readiness 80 Knowledge
  81. 81. Do you have a capable and scalable technology infrastructure? IV Readiness 81 Technology
  82. 82. Is your current physical infrastructure capable of supporting the organisational growth that is likely to result from scaling? IV Readiness 82 Infrastructure
  83. 83. If the costs of organisational readiness seem too high, you could consider sharing and re-use strategies, or limit your scale ambitions to prevent overloading your physical and logistical resources. IV Readiness 83
  84. 84. You could also adjust your design to increase independence and autonomy of partners or local units to reduce the load on your organisation, or simply decide to let others scale your impact for you by making your model replicable and openly available for them to independently use and apply. IV Readiness 84
  85. 85. If you need further help with addressing readiness, more detail is provided in a linked presentation called ... “Readiness to Scale: A Guide To Scaling Social Business” IV Readiness 85
  86. 86. V Implementation 86
  87. 87. The 5th and final step of the Framework is to plan the journey and manage implementation when scaling. V Implementation 87
  88. 88. Everything up to this point falls under the category of due diligence, not only to help you adjust your design to work on a larger scale, but also to decide whether or not to scale at all. From here on however, your primary challenges will relate to the practicalities of execution (implementation). V Implementation 88
  89. 89. A robust scaling plan will be essential if you are to be successful in raising the support needed to scale. It will also be critical in helping you scale without all the usual growing pains that organisations typically suffer from. V Implementation 89
  90. 90. For this you will need an implementation roadmap V Implementation 90
  91. 91. A roadmap is an outline of all the different activities that comprise implementation, laid out in dependency order, over whatever timeframe you believe is sensible for execution. It is a useful visual aid for planning, and if converted into a Gantt chart, should become your primary implementation management tool. V Implementation 91
  92. 92. The process of scaling can be broken into five phases ... V Implementation 92
  93. 93. Key Phases 1 Planning 2 Resourcing 3 Set-up 4 Execution 5 Impact Monitoring & Quality Control 93 V Implementation
  94. 94. While these phases have a chronological order of dependency, in practice various aspects can and do happen in parallel. For clarity however, it is worth starting with a plan that clearly shows dependencies and delineates between the phases. V Implementation 94
  95. 95. This is the first stage of implementation, primarily involving diligence around purpose, applicability, transferability and organisational readiness. If you've worked your way through the previous sections of this framework, you should already have most of the planning phase covered. V Implementation 95 1 Planning
  96. 96. Once you’ve got your planning done, the next phase is to find the necessary resources 1. Financial 2. Human 3. Technological 4. Infrastructural V Implementation 96 2 Resourcing
  97. 97. Set-up is where you get your operations ready and make them scalable. V Implementation 97 3 Set-up
  98. 98. Execution involves delivering and rolling out impact and revenues on your chosen scale. V Implementation 98 4 Execution
  99. 99. Once you’ve scaled up, and your new operations are reaching need and servicing demand, you will reach the final stage, which essentially involves maintaining quality and supporting your planned rate of expansion. V Implementation 99 5 Impact Monitoring & Quality Control
  100. 100. When planning implementation, you may need to break your activities into a series of work-streams that reflect different operational aspects ... V Implementation 100
  101. 101. Core Implementation Streams Strategy & Planning Finance and Fund-raising Human Resources Infrastructure Technology Internal & External Communications Partner Management Handover Materials (as necessary) Training / Advisory (as necessary) Impact Monitoring & Quality Control V Implementation 101
  102. 102. You can then visualise the phases and work-streams as a roadmap to support both communication and time planning ... V Implementation 102
  103. 103. Sample Implementation Roadmap Implementation Source – PATRI Framework for Scaling Social Impact © Rizwan Tayabali, 2014
  104. 104. Once you have the roadmap visualised, you can convert it into a formal Gantt Chart for managing implementation, and combine it with your business plans or funding proposals for added robustness. V Implementation 104
  105. 105. If you need further help with addressing implementation, more detail is provided in a linked presentation called ... “Implementation at Scale: A Guide To Scaling Social Business” V Implementation 105
  106. 106. To summarise, many of the pitfalls in scaling can be overcome simply by considering the factors involved. However, it isn’t necessary to address them all to prohibitive levels of detail. If done reasonably well, in combination with a good roadmap, you should be able to inspire confidence both within your organisation and also amongst the supporters that you need to back your scaling endeavours. 106 PATRI Framework
  107. 107. ©Rizwan Tayabali, 2014 107

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