Why you need to pivot to save your company?
Let’s be honest; the world around us is moving at a fast pace and if we want to survive, we need to evolve. We need to pivot according to the changing trends and adapt to the requirements of the modern time. At the turn of the century, there were some big companies that were basically ruling the world. However, today, you won’t find them around anymore. Why? They refused or failed to adapt to the changing trends or improve their policies. They did not think it was necessary to pivot in the right direction.
Toys ‘R’ US Files for Bankruptcy
Let’s take an example of Toys R US, a major company that recently filed for bankruptcy. A major reason was the absence of innovation in the company’s policies. Too much risk taking, without proper risk management meant that the debts kept piling up with no real innovation to improve profits. Ultimately, the failing business succumbed to the heavy debts and losses, and then were forced to call it quits. They now look to reinvent their business design and launch again. Why wait for the worst? Prepare while you still have time! How? Let me give you a few pointers.
Build a Culture of Innovation
Your employees must know that innovation is an important part of their jobs. It should be the very thread from which you create your business culture. Innovation must be imperative for performance evaluations, job descriptions and everything else. Suggestions from employees should be of key importance.
Introduce Product Development Programs to Inspire Innovation
Many companies have product development programs, in which, the employees are tasked to innovate. If they come up with something good, it is forwarded to the top professionals and if approved, it moves to the development phase. This is how companies come up with groundbreaking products, services or ideas. Employing this strategy will take your business a long way ahead of your competition.
Kodak famously kept its Digital Camera invention a secret, in order to save its film business. They were thinking of current profits and success. The market soon became obsolete and other competitors gained profits from the same invention (Digital Camera). Lack of forward thinking caused Kodak a fortune. If you have a product that has great potential, don’t be shy to obsolete your current product. Take a step forward, rather than staying where you are.
Don’t Just Innovate When You HAVE To
Top companies like Apple, at one point, had no option but to innovate in order to survive. Don’t try to pull something like that yourself. Innovate ahead of time. Time is a friend of no one. Innovation should be a continuous process, not a technique used when in absolute necessity.
No Such Thing as Failure
With innovation, there is no such thing as failure. Don’t be afraid to experiment due to the fear of failure. Nothing good was ever achieved in the first attempt. Devote proper resources and wait patiently for the right thing to come by.
If you own a company, now is the best time to introduce innovation to your business. If you do it right, your business will reap its benefits for a long term. Pivot in the right direction, before it is too late!