Expanding to other countries requires leadership and understanding of new cultures. In this organization dedicated to software services, headquartered in Argentina with more than 600 employees, after uninterruptedly growing in the market during the last decade, the top management decided to expand the business to the north. Started almost from scratch however quickly obtained deals with significant customers in the new market and the company moved three times in the first two years so the increasing staff have a comfortable place to work.
When the first issues appeared, they were underestimated stating growing pains that could be solved remotely from HQ. However, the expansion generated leadership challenges regarding structure changes, self management, coordination of remote teams and commitment of the new employees that were being hired.
Problems were multiplying as the business did and the first approach to solve them in the beginning was establishing frequent directors’ trips to support the people at the new office. However, like in the tale of the short blanket, while one country was attended the other one was neglected, impacting on the profits of the business entirely. Additionally, cultural barriers and conflicts between the offices complicated the situation even more. Top management began tasking itself how the cultural gaps could be closed and align all organizational objectives. Then began a process of development and strengthening of local leadership in other countries in order to overcome the gaps identified in the operation and achieve profitability in the business.