The Hidden Cost of Complexity: Why Growing Businesses Get Harder to Run by Adam Kene and Kate Waterfall Hill

As a business grows, complexity grows even faster.

In Episode 2 of Season 2 of Behind the SME, Adam Kene and leadership coach Kate Waterfall Hill explore the hidden cost of complexity and why growing businesses can so easily “sleepwalk” into unnecessary processes, meetings, systems and layers of communication.

A 12-person organisation has 66 potential lines of communication. At 40 people, that rises to 780. At 120 people, it reaches 7,140.

As Adam puts it: “Business growth is linear, but the complexity is exponential, unless you're on top of it.”

So how do you stop complexity taking over?

In this conversation, Adam and Kate explore how leaders can deliberately simplify the way their businesses operate, from creating a shared goal and cutting distractions to improving communication and questioning whether work genuinely moves the business forward.

You will learn:

Why complexity can increase exponentially as a business growsHow businesses can “sleepwalk” into unnecessary processes and structuresWhy having a simple, shared ambition helps teams pull in the same directionHow to use “Will it make the boat go faster?” as a filter for decisionsWhy leaders should cut distractions and focus on what they can controlHow to measure progress without making performance management more complicatedWhy communication channels and meetings should be designed intentionallyHow to create a culture where simplifying work becomes everyone’s responsibility

This episode is for SME founders, business owners and leadership teams dealing with the growing pains that come with scale. If your business feels busier, more complicated or harder to navigate than it used to, Adam and Kate offer practical ways to strip things back and focus on what actually matters.

🎙️ Behind the SME is hosted by Adam Kene, CEO of Kene. In Season 2, Adam is joined by leadership coach and author Kate Waterfall Hill to explore the leadership challenges behind growing businesses.

Like what you hear? We’d love to know!

📩 Contact us: hello@behindthesme.co.uk