Pivoting Directions in the workplace
Pivoting Directions in the workplace
Although pivoting in startup is about shifting to a new strategy and reorganising potentials within the company, it can often be interpreted as radically changing the entire company. This is not always true. Sometimes, there is only one problem that a company needs to address and it only takes one thing to change.
Here are some examples of pivoting you might not know are considered a “pivot”.
- A product feature can be transformed into a product, creating a more simplified and streamlined product. A pivot is the opposite of the above. It is when one product becomes a part of a larger set of features in another product. A company can position itself in a new market or vertical by focusing on a different set customers.
- Changes in a platform from an app to a software version or vice versa. To increase monetisation, you might use a new revenue model. A company may find an ad-based revenue model more lucrative than freemium. Different technology is used to create a product. This can be done to reduce manufacturing costs and to make the product more reliable.
Workplace pivoting directions make sense
1. Your company is always playing catch-up. If your company is not progressing quickly despite all the work you put into it, pivoting may be necessary. While the company may not be required to pivot, you might need to pivot your revenue model, product or market.
2. There is too much competition Your startup doesn’t have much choice, so it is better to do something entirely different.
3. Your company may have hit a plateau. If your company is experiencing slow or insignificant development, it could be due to a lack of progress. It could be boredom, unmotivated employees, or inefficient strategies. Whatever the reason, it is worth considering a pivot. You don’t have to make a big pivot. However, it is important to take a hard look at your company and find areas that could be improved.
4. The One Thing that Gets the Most Traction is the one that is successful. If the others are not succeeding, or moving slowly, it could mean your company should concentrate on the positive aspects of your business and make changes, if necessary, to eliminate what isn’t working. Your company’s productivity, efficiency, or revenue can be increased by focusing your attention on the things that work.
5. Limited Response from Your Market. It’s not uncommon for a product to receive a lukewarm response upon its initial release. Marketing and PR can only go so far in convincing the world of its value.
6. Your perspective has changed after you have launched your company and been in business for a while. You may discover that researching a niche is very different to experiencing it in person.
You must consider all factors when pivoting your company.
These are some tips that will help you to reduce the risk associated with pivoting and increase your chances for a profitable outcome.
1. It’s important to do it as soon and as often as possible. Many companies pivot multiple times. Don’t lose heart if you feel that you might need to change your course several times in order to get your startup on track. It doesn’t matter if you pivot once, twice or more times, it is important to do so as soon as you can. This will help you avoid spending time, effort and money.
2. You should set new goals that align with the vision. Entrepreneurship can be hard. It requires you to be brutally honest with your self. Launching and managing multiple companies or one company is a long process. You need to take a step back to evaluate the direction you are on in your life.
3. Don’t throw away the work you have already done. Pivots don’t always require a complete overhaul of your entire company. Once you have decided on the direction you want to go, identify which aspects of your company you can keep, reuse, and recycle. It’s likely that you have already invested so much effort, money, and time in building a sustainable company, that it is now possible to redirect your resources towards your new goal.
4. Listen to your customers. The feedback that you get from customers can help you decide whether or not you should pivot. Although you should expect some negative feedback, it is possible to pivot if you are constantly receiving criticisms such as “too costly”, “not enough features”, or “the buying process is too complicated”, etc.
5. Your pivot should present growth opportunities. Yes, pivoting is a good decision for startups that have hit a roadblock. If you try to pivot your company without thinking about where it’s going, you might hit another roadblock. This can be prevented by making sure you don’t just consider changing your path but also take into consideration the potential for growth and expansion. It’s worth not risking your business by starting another one if the market is small, the customer base isn’t as diverse, or there is too much competition.
There are many risks involved in starting and managing a startup. When it comes to planning for success remember that the more you plan, the less you will need to. Planning without thinking is a recipe to disaster. So before you make any decisions about moving your company in a different direction, be sure to plan. Many companies have pivoted and enjoyed great success. It’s easy to mistakenly believe that pivoting can solve all problems. However, pivoting should only ever be considered when absolutely necessary and after all other options have been exhausted. Learn more by calling our team for a tailored training session.