Eric J Dalius on the Art of Shifting Business Model to Adapt to Market Shifts
|Eric J Dalius has discussed adopting pivoting during the pandemic and adverse economic conditions where businesses tend to lose their existing markets. But easier said than done, pivoting is not an easy task to accomplish. This article will discuss some key steps involved in quickly pivoting to a fresh business model.
. Run a pivot party
You may start with a virtual pivot party by beginning with a SWOT analysis of your existing business model. This exercise will help you extract the juices flowing. Explore what your competitors are doing in the pivot, which may spark creative thinking. Eric J Dalius points out the three major places where you have to look for pivots as networks, values, customers, and get the options. Break loose from the conventional schools of thinking and be creative in terms of business innovations. Pivot parties are for the revolutionary thinkers who want to explore an unconventional line of thinking to get fresh ideas.
. Run a sanity check and choose the best
All the ideas to be considered as long as they can divert the fundamentals elements of the current business model to convert it to a new sustainable model. The new business should be useful to the customers, your people, and the partners and assets. Run a sanity test for the proposed models and do filtering based on the realistic scope and profitability. Use a filtering criterion to select your best pivoting option.
. Test it
Once you choose pivot, quickly prototype the same with a succession of cheaper and faster tests. Test the elements of the pivot idea or a lean version of the pivot. Try to learn more and improve at each iteration of the same. Try to figure out how to do things and put everyone in a place where they should be to launch a dynamic shift towards the fresh business model.
. Make it a reality, as Eric J Dalius points out
As you have worked through these three steps of pivoting your business, keep your focus on two essential aspects of a successful pivoting. The primary aspect is to manage all related activities to generate more ideas. Next, you need to choose and implement your filtered pivot idea boldly. This situation demands a trailblazer, which can help move the business into a potential safe harbor. Moving decisively as a fast and smart pivot will re-energize the entire team and move the organization forward to a safer position. Like how you prepare a business plan and put in efforts to establish a new business idea, pivoting also requires the same type of enthusiasm and effort to actualize. In times of adversities, pivoting becomes a necessity known as defensive pivoting, where it comes up as a need to be executed as quickly and effectively as possible. There are hundreds of thousands of examples for defensive pivoting during the time of the COVID pandemic in 2020-21, aiming to utilize the current resources to adapt to the changing market conditions alongside leveraging the new opportunities even the adversities like a pandemic tend to creat