You’ve worked tirelessly to build a vibrant, close-knit team where everyone feels valued. But as your headcount doubles, and then triples, that unique cultural fabric starts to feel stretched thin. Communication becomes less fluid, shared values feel less visible, and the culture that once felt organic now needs intentional care.
Many leaders accept this as an unavoidable casualty of growth. They believe that the shift from a tight knit ‘work family’ to a more corporate, impersonal environment is simply the price of success. I believe this is a false narrative. Losing your culture isn't a symptom of growth; it's a symptom of unintentional leadership.
Scaling a business without an intentional strategy for scaling its culture is like building a skyscraper on the foundations of a bungalow. The structure might hold for a while, but eventually, cracks will appear.
Common cultural challenges for SMEs
As small and medium-sized enterprises (SMEs) expand, they face a predictable set of cultural hurdles. Recognising these is the first step toward overcoming them.
Scaling values with intention: In a small team, values are often lived rather than written. But as you grow, relying on informal transmission no longer works. Without a deliberate approach, different departments may interpret values differently, leading to fragmentation and misalignment.
Communication breakdowns: What once felt like effortless collaboration can become strained as teams grow and structures formalise. Information gets stuck in silos, and the sense of transparency and shared purpose starts to erode.
Onboarding without cultural context: New hires often join without the benefit of shared history or informal cues. If your culture isn’t clearly defined and embedded into onboarding, they’re left to guess what ‘good’ looks like, risking inconsistency and disengagement.
Evolving leadership styles: Founders and early leaders often operate as hands-on decision-makers. But as the business scales, this approach can create bottlenecks. Leaders must shift from doing to enabling - developing trust, delegation skills, and systems that support autonomy.
The blueprint for scaling culture intentionally
Culture doesn’t have to be a casualty of expansion. It can, and should, be your most powerful asset for sustainable growth. Here’s how to build a framework that protects it:
1. Codify your culture: From implicit to explicit
What was once an unspoken understanding must now be written down. If you can’t articulate your culture, you can’t scale it.
Firstly, define your non-negotiables.Gather your founding team and ask: "What are the three to five core values that define who we are and how we operate?" These shouldn't be aspirational buzzwords like ‘family’ or ‘empowered’. They should be actionable principles. For example, instead of ‘collaboration’, try ‘We share problems and own solutions together’. This is a tangible behaviour you can observe.
It’s important to document your values, mission, and the specific behaviours that bring them to life. Include stories of how your team has embodied these values. This handbook becomes a foundational text for new hires during onboarding and a reference point for existing employees.
2. Hire guardians of culture, not just employees
Your recruitment process is the gateway to your culture. As you scale, you must systematise how you screen for cultural alignment without sacrificing diversity of thought. Be mindful of hiring for ‘cultural fit’ as this can lead to homogeneous teams and a lack of diversity, instead hire for culture contribution and focus on alignment of core values.
Introduce value-based interviewing: Ask behavioural questions designed to uncover whether an applicants’ natural inclinations align with your core values. For example, if ‘integrity and ownership’ are your values, ask: "Describe a time you made a mistake at work. How did you handle it?”
Train your hiring managers: Your hiring managers are now your cultural gatekeepers. Don’t assume they know how to hire for values. Provide them with a scorecard and training on how to conduct these interviews. This ensures consistency and reduces the risk of personal bias, making the process fair and effective.
3. Weave culture into every employee touchpoint
For culture to thrive, it needs to be more than just posters on a wall. It must be embedded into the daily experience of every employee.
Your onboarding process is your first and best chance to immerse new hires in your culture. Don’t just focus on tools and processes; dedicate significant time to your company's history, mission, and values. Assign a ‘culture buddy’ to each new starter to help them navigate the social and cultural nuances of the organisation.
Additionally, link your performance reviews and recognition programmes directly to your values. When you celebrate a win, don't just celebrate the what, celebrate the how. For example, "We want to recognise Sarah not just for winning the biggest client this month, but for how she embodied our value of ‘long-term partnership’ throughout the process." This sends a powerful message about what truly matters.
4. Over-communicate to stay connected
As your organisation grows, communication must become more intentional and multi-layered. You can no longer rely on informal chats to keep everyone in the loop.
Use tools like Slack, Teams Viva Engage, or company-wide newsletters to share regular updates. Your company’s leadership team should maintain a visible presence, perhaps through weekly video messages or a transparent blog, to share strategic thinking and celebrate cultural wins.
It’s important to also facilitate cross-team interaction as the risk of silos is real. Be proactive in creating opportunities for employees from different teams and locations to connect. This could be through virtual coffee mornings, cross-departmental projects, or company-wide social events. These initiatives are essential investments in maintaining a cohesive, single-team identity.
Your culture is your competitive advantage
In a competitive market where SMEs are vying for talent against larger corporations, a strong and authentic culture is your ultimate differentiator. It’s the reason people will choose to join your team, the reason they will stay, and the reason they will go the extra mile.
Scaling your business is a monumental task, but the effort is wasted if you lose the heart and soul of your company along the way. By being deliberate and intentional, you can build a resilient culture that not only survives growth but is strengthened by it. You can build a company that people are proud to work for, no matter its size.
Ready to build a resilient and scalable team without losing your unique identity? Accessing the right talent is the first step. Get in touch with one of our specialist recruiters today.
