The 7 Pivot Principles
Most companies pivot by trial and error.
However, chances for success increase if you adhere to some principles:
1. Judge Fast: Is there any Chance at All to Save the Company?
Otherwise: Exit gracefully – consolidate learnings, and onwards and upwards.
2. Don’t Run Out of Money: Cut Early and Once.
The hard part; but most of the time necessary.
3. Increase Diversity: Enlarge your Team
More people know more than one person. Especially if they are experienced in new territories.
4. Overcome Blind Spots: Stick to a Process and Proven Tools
Tools and processes that have been proven in similar situations can massively increase speed and quality of decision making.
5. Be Data-Driven: Generate the Data to Judge Your Current Situation.
By generating many datapoints you can analyze your situation properly and mirror it against patterns of success.
6. Understand the Traits of your Personalities: And Embrace the Development Potential
The situation of your company is also a mirror of your personalities, and this is an opportunity: pivotal situation bear a big personal development potential for each person involved.
7. Start Early – Or Better: Make Pivot Risk Assessment a Yearly Process
The longer you wait, the more difficult it gets – until it gets impossible. No time to loose: start when first signs become visible!