Promotions Are Outdated

So how do you create a System for Self-Led Role Advancement in Startups?

The more I work in startups, the more I realise that traditional promotion ladders are irrelevant. The best team members don’t wait to be promoted—they grow and evolve with the business, spotting opportunities and stepping up where they're needed most.

They become more valuable as they expand their knowledge of the company and its trajectory. But how can you cultivate this environment for your entire team?

I'd split this framework into several posts, here it is in one

Agile Roles: A Dynamic Approach to Growth

When people thrive in their role, they lead Their own growth. Agile roles, agile growth. Startups are agile by nature, and so should the team structure be. An effective environments allow roles to evolve based on both business needs and individual strengths so that team members can take ownership of their growth while supporting the business.

It looks like:

• Dynamic Responsibilities based on team needs and personal growth.
• Independent Decision-Making with access to the information they need.
• Fluid Teams that form and disband based on the skills needed for each project.

Benefits to the Business:

• Increased Agility: Pivot quickly with team members ready to adapt to new challenges.
• Enhanced Collaboration: Fluid role definitions break down silos, fostering creativity.

Continuous Learning & Growth: The Key to Retention

The most successful startups I work with develop their talent from within. This means that their team is always growing and evolving with and for the business. Instead of hiring above existing team members, give them opportunities for continuous development

It looks like:

• Stretch Projects that push employees to grow.
• Mentorship Programs pairing less experienced team members with seasoned guides.
• Empower Decisions by asking, “What would you do?”

Benefits to the Business:

• Higher Retention: Employees who experience personal growth are more likely to stay.
• Innovation: A learning culture fosters creativity and keeps your business ahead.

Empowered Decision-Making: Ownership Over Growth

Let your team thrive by shifting responsibility to them and empowering their decisions.

One of the most powerful shifts in a startup is allowing those closest to the work to make decisions. Provide them with clarity on their role and the responsibility to grow it and get out of the way.

It looks like:

• Setting clear expectations and boundaries, so the team understands their responsibilities.
• Decentralize Decision-Making and push authority to the edges.
• Use OKRs to keep accountability aligned with business needs.

Benefits to the Business:

• Faster Decisions: Innovation accelerates when decisions don’t need to climb a hierarchy.
• Ownership: Empowered employees take greater accountability, leading to improved performance

Alternative Rewards & Recognition: It’s More Than Just Promotions

There are alternative ways to rewards & recognise contribution. Instead of relying solely on promotions, offer alternative rewards that recognise and compensate employees for growing in ways that benefit the business.

It looks like:

• Skill-Based Raises that reward employees for acquiring new, valuable skills.
• Peer Recognition Programs to celebrate contributions beyond the job description.
• Flexible Work to let people work when they are most effective.

Benefits to the Business:

• Motivated Teams: Employees feel valued and recognized for their unique contributions.
• Healthier Work Culture: Team members who are trusted to deliver results work smarter, not harder.

Regular Feedback & Reflection: A Culture of Continuous Improvement

In an environment where continuous improvement is the goal, feedback and reflection are critical. Make these conversations regular, actionable, and growth-focused to support growth as part of daily work.

It looks like this:

• Frequent 1:1s centered on development and growth, not just performance.
• Self-Reflection for team members to assess their progress and challenges.
• Group Reflection for teams to learn from projects and each other.

Benefits to the Business:

• Continuous Improvement: Regular reflection keeps growth aligned with business goals>
• Scalability: Learning from experience accelerates the scaling process.
• Continuous innovation: As team members develop, they bring more to the business

Conclusion: Fostering Self-Led Role Advancement

Traditional promotions don’t fit the ever-evolving nature of startups. By creating a framework where team members can grow and transform their roles independently, you empower them to take ownership of their development, which in turn drives the success of your business.

By embracing agile roles, encouraging continuous learning, empowering decision-making, offering alternative rewards, and giving regular feedback, you create a culture where everyone is aligned with the business’s goals—and has the autonomy to help it grow.