Every entrepreneur dreams of landing a spot on the popular TV show Shark Tank. The exposure, the investment, the professional guidance, the bragging rights – it can take you from struggling to a millionaire in minutes. What most people don’t realize is that appearing on Shark Tank could actually have a jarring impact on their business. Rapid growth often leads to an operational nightmare, enough to derail a business if it’s not ready to handle it. We’re going to unpack the “Shark Tank Effect” and explain why operational preparedness is vital for business success.
The harsh realities of stardom
Let’s say you land a space on the Shark Tank stage. What happens after the cameras stop rolling? For many applicants, the flood of orders and the influx of new customers can unexpectedly upend their business. Suddenly, they’re working non-stop, their internal and external supply chain falls apart, and their team simply can’t keep up with the demand.
To prevent this, business leaders must have a robust operational infrastructure in place.
Preparing for the Shark Tank effect
The first step is to understand your current capabilities. How quickly can you manufacture products? How fast can you ship them out? And how much demand can your current team handle? You need to have a realistic understanding of your capacity before you can even think about taking on new business. By doing so, you can identify bottlenecks and plan ahead before you get overwhelmed with orders and end up with unhappy customers or team members.
You’ll also want to build scalability, or expand your business without significantly altering its operational structure. This can include hiring additional staff, streamlining processes and investing in new technologies. The goal is to build a business that can grow without disrupting its internal operations. Ideally, you can scale up or down with little disruption from day to day.
Where should you start?
Try this right now. If you don’t have any, establish standard operating procedures that your employees can follow. This ensures consistent operations and minimizes the margin for human error. You can also use technology like automation software to speed up processes and reduce manual work for your team. Remember: the more efficient you are, the easier it is to scale your business.
It’s also critical to assemble a team that can handle growth. This means hiring the right people, providing them with the training they need, delegating tasks effectively and giving them the autonomy to make decisions. You want to build a team that can function independently and without constant supervision. A solid team is essential for success during an influx of business.
Preparing your business for the “Shark Tank Effect” requires more than just a good idea. It demands a robust operational infrastructure to handle increased demand, streamline processes and maintain consistency. When you’re in the early stages of your business, it’s easy to get caught up in the excitement of growth. But without operational preparedness, that growth can quickly become a trap that leads to stress, burnout and eventual failure. Invest in your operational infrastructure now and be prepared for success when the “Shark Tank Effect” comes into play.
Hungry for more Shark Tank content? Read our interview with Bettina Hein, one of the ‘lions’ on the Swiss adaption of the show.
About the author
Amanda A. Russo of Cornerstone Paradigm Consulting, LLC is a results-oriented COO and business process improvement specialist with expertise in delivering analytical, data-driven solutions that effectively propel organizational success. Through a collaborative approach and extensive experience spanning various industries, she possesses comprehensive knowledge of end-to-end process improvement, process engineering, systems migration and cost reduction.
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