Why startups fail: The overlooked role of people processes
- 12 startups shut down in Africa in 2024, with 25% due to people and operations-related challenges.
- 18 startups failed in the previous year due to lack of operational licenses and poor HR processes.
- Founders often hire high-profile talent without local context, impacting their business's runway.
The text highlights a critical oversight in the startup ecosystem where HR processes are undervalued. Founders must recognize that sustainable growth hinges on effective people management and transparent practices. Addressing these issues can significantly reduce the failure rate of startups and foster a healthier work environment.
