As part of your definition of product development, one of the things which every manager has to do is develop a business plan for their item. In this plan, we lay out a plan for what potential customers we’d like to target, what issues we’d like to resolve and what products we’d like to provide to customers. But, what do we have to take if we’re not right? What are you required to do if you’ve created your business’s plan in the wrong way?
The Problem
What can happen to the business plan you’ve created to promote your business? It appears that a number of things could fail. For starters, you aren’t in control of your market, and an enormous disruption could happen. There may be a new rule from the government that is implemented, or a new diet trend comes out that warns everyone not to consume your product, or the issue you set out to address by offering your product is no longer viewed as a challenge that has to be resolved. Whatever the reason, its effect on your product will be identical.
There’s also a bright aspect to this kind of change. It is possible that you are executing your business plan, but suddenly, an opportunity to make a profit could arise. The consequence of not taking advantage of this opportunity will affect your product, resulting in lost revenue. If you’re looking to include this kind of problem-solving skill in your resume for a product manager and you want to add this skill, then you’re likely to need to find an answer to this issue.
How to solve this problem: How To Pivot
If the business plan for your product you’re pursuing suddenly does not seem to be the plan you’re supposed to be following, The answer is for you and your team members to pivot. “Pivot” is an expression in business that was invented in the book of Eric Ries in his book “The Lean Startup.” Eric defines the term pivot as “structured course correction that is designed to test a fundamental idea regarding the strategy, product, and growth engine.”
Great. You’ve realized that your current product’s business plan isn’t working, and you’ve decided to implement the pivot. How exactly do you do this? There are three steps you will have to follow to make your pivot successful:
The Rally The Troops: You always must remember that every pivot requires the need for change. In the end, your team of product developers will not like the idea of change. You must be patient and make efforts to convince them to join from the beginning of the process. This involves telling them the reasons these changes are necessary, as well as the implications of the change and how your life will be improved due to the changes.
Focus, Focus, Focus The biggest issue for any product manager who is trying to implement a pivot faces is keeping their team’s attention on the new business strategy. If you let a portion of the previous business plan persist and influence a team member’s actions, you’re losing the focus of your team, and things are likely to take longer than they should.
Keep the Money Coming in To succeed, and it has to constantly generate funds for the company. That means that should you choose to implement the pivot, you must be sure that while you’re rolling out your new business plan, your product has to generate cash for your company. If you don’t, the business could choose to end your product if you’re only halfway done on the pivot.
What Does This All Mean for What Does This Mean For
Even the most experienced product manager could create an effective business plan, only to turn into a faulty plan. The plan that was believed to be right when the plan was developed might not be the same now. If this occurs, you will execute pivots, a process that should be a component of any product manager’s job description.
If you’re considering a change to your product’s business plan, there are a few aspects you must be aware of. First, you must spend the time to convince all of your team members on board with this new strategy. Then, you must ensure that the team is focused on the business plan that you have created, and finally, you have to make sure that the funds continue to flow in despite your pivot.
Knowing that you don’t need to make an enterprise plan right the first time around can relieve a significant burden off the shoulder of any producer. But the actual value of a pivot comes in knowing how to implement it correctly. Learn these three steps, and you’ll be ready for the next time you need to create an entirely new strategy for the business of your business.
