Business expansion is always a company prerogative. Businesses are meant to be improved and one of the ways of improvement is through expansion. Expansion could be in a form of physical expansion wherein they open a new branch or expand the office for more employees to cater to more customers.



Expansion could even be product or service based wherein they aggressively expand not exactly through a new branch but to a new product or service. These expansions could be done for the purpose of attracting more customers. As companies attract more customers, they post higher profits which will also help to expand even more.

Expansion is also good for the employees. This will mean better opportunities as the chance for a career growth could be easily realized if the company rapidly expands. On the other hand, expansion could also place the employees in disarray.

Companies should ensure that their leaders such as managers and supervisors know how to handle this type of changes. Aggressive expansion of a company could only become successful if the employees ensure that the expansion will work well. Without proper leadership and guidance, it would be very easy for the employees to get confused in their new task or in a new location.

Action Before Expansion

Before the company would consider actual expansion, managers and other business leaders should develop an action plan for their employees. This action plan will be a detailed movement of employees. It will determine who gets to move where and even determining if a new leader or a supervisor is needed because of the recent expansion.

This action plan doesn’t have to be a five year forecast. This plan has to be quickly drafted if expansion is coming to fruition fast. That would mean that the action could be a three-month plan or a six month plan. This should be more than enough to get the expansion started with the help of the employee. As expansion progresses, new plans are drafted, adapting to the turnout of expansion.

But aside from a detailed action plan, it is also important for the company to monitor the development of the action plan. Without monitoring, the develop action plan which only covers a few months will just be for nothing. Monitoring will eventually help the business leaders provide additional, and this time, longer action plans for the company to significantly improve.

Dealing with Service Expansion

When a company goes through expansion by offering new services, managers have to consider their current employees first rather than hiring new employees for expansion purposes. Not only will this be a financially sound move but tapping the employee’s additional skills will ensure loyalty as the company rewards those who have skills that could help the company become increasingly productive.

For this reason, managers should always be on a lookout for talent within the group instead of looking at the group as a collective talent. Although it is recommended to fairly treat everyone, there will always be someone who will stand out. The person who stands out is not necessarily rewarded financially immediately, but their additional skills are well noted which could be used by the company in the future.

During service based expansion, managers should also ensure that certain changes in the workforce will be as smooth as possible. This again goes back to the action plan that was created which should be efficiently implemented. 

Physical Expansion

When the company is undergoing physical expansion, there is no need to look out for additional talent in terms of additional skills for the company to use. What is sought after though is to identify a new leader for the new group.



As a leader, you have to realize that sometimes, it is better to find someone to work with you than to hog all the responsibilities and failing to establish productivity. With a new leader in the group, you will become a guide which will be a lot easier as you do your other tasks. Companies always recognize the need for new leaders whenever expansion happens.

Expansion is a sign that a company improves. But expansion has to be carefully guided by its leaders and employees so that this specific type of change will only for the improvement of the company and not its downfall.