How business Goliaths can take on David…

…by learning to be David.
It’s fairly obvious why startups can win over large corporations. The dynamics of a small corporate entity can adjust and flow with the market and be a lot more up front with their customers. Yet, startups lack one thing that the behemoths of the corporate world have: money.
So where do the large corporations go wrong?

They get caught up in hiring management and eventually dilute their flexibility with their own internal red tape and management. Google has attempted to keep the smaller corporate culture and is a lot more successful based on the five tiered management system instead of the usual ten plus to twenty tiers in most corporations (this is between the lowest rank individual in the company to the CEO). This culture is one of the reasons the Internet search giant is more successful than most. The question is if it can keep up with this type of corporate culture without introducing the problem that plagues many companies with fifty thousand plus employees.
What’s interesting is that if you track the culture of corporations, the teams that are more profitable than others usually have less management control. Those managers let their teams do what needs to be done to get the project done and they always seem to be more successful. And why is this important?
It’s important because the dynamic flux of these teams are the same as what is seen in a startup.
It’s interesting that corporate behavior could harness this by downsizing their management teams and giving a lot more accountability to their working staff. Thus harnessing the power of dynamics and adjustability along with monetary backing. The best of both worlds. Unfortunately, the bureacracy of corporate politics usually prevents such things from happening. There is no saving of the bloat. Terribly unfortunate for the corporate giants not to see such an obvious truth, but it gives those people with better and brighter ideas a chance to pull a David versus Goliath every single time. Perhaps it’s time that some upper management types start redefining how their operations are structured. And start being like David.