Francis Wade | The downsides to ‘pivoteering’

Some companies which survived the pandemic have come to believe that being extremely agile is their new superpower. But, is this true in the long run? According to Jeff Bezos of Amazon, and contrary to conventional wisdom, perhaps nothing fundamental has changed.

One of the age-old arguments against long-term strategic thinking is the notion that it limits flexibility. Instead, leaders think it’s paramount they become expert ‘pivoteers’ to survive.

Believers in this theory also tend to busy themselves chasing short-term opportunities and fixes. Concurrently, they set aside questions which require thoughtful responses. They don’t have time.

But, is this short-sighted?

While nothing can compete with a real emergency, somewhere inside you suspect that the baby is being thrown out with the bath water. Is there a downside to your leaders becoming addicted to adrenaline?

Here’s an answer from Jeff Bezos: “I very frequently get the question: ‘What’s going to change in the next 10 years?’ And that is a very interesting question; it’s a very common one. I almost never get the question: ‘What’s not going to change in the next 10 years?’ And I submit to you that that second question is actually the more important of the two.”

While this may be cryptic, step back to consider his further comment. “You can build a business strategy around the things that are stable in time.”

What ‘things’ is he talking about? And how can his advice be followed in a volatile, uncertain, complex and ambiguous world?

Customer needs

Tony Ulwick explains that unmet needs drive human beings to launch personal campaigns to fill them. He dubs these practical efforts JTBD or ‘Jobs to Be Done’.

For example, until fried chicken appeared in Jamaica at scale, patties were probably the No. 1 option. Now, there is a range of choices, but the underlying need is the same. The job instigated involves satisfying immediate hunger with a cheap, fast meal.

As industry insiders say: ‘People will always have to eat’.

But Bezos goes a step further. These jobs or JTBDs are an example of those things which don’t change much over time. Even a fancy menu from a hot new restaurant must also rely on the same unmet needs and JTBDs.

However, in the average organisation, leaders respond to crises with zigs and zags. Case in point: A café owner faced with a sudden drop in sales decides that people need to wear clothes as well. Therefore, he tries to sell branded apparel from behind the lunch counter.

When faced with a disruption, here’s a better alternative.

Step 1: Recognise that unmet needs and JTBDs remain unchanged.

Step 2: Uncover customers’ new frustrations and struggles to engage their JTBDs.

Step 3: Diagnose fresh opportunities in this difficulty. Identify ways to remove customers’ novel points of friction.

Step 4: Implement. Move faster than competitors.

Take the case of a lack of working ATMs in Jamaica: In an effort to secure greater profits, local financial institutions have closed branches. This has helped their bottom lines, but now customers face a daily disaster. Remarkably, not a single bank has taken noticeable advantage of this opportunity.

Now, as we enter the Christmas season, even the Bank of Jamaica is upset.

If a local financial institution were to focus on underlying JTBDs, it could innovate. Why don’t they? Perhaps they lack a critical skill.

Missing emotional link

Individuals within my public sector client organisations have demonstrated a mixed bag of commitments. Some are dispirited. However, many retain their original enthusiasm for serving the people of Jamaica.

For the most part, they love what they do.

As such, they develop a deep understanding of citizens’ needs. They have effectively fallen in love with the challenge. Focused on their niche, they have empathy for stakeholders’ JTBDs.

In the private sector, such inspired workers are harder to find. Why?

CEOs and their colleagues are often encouraged to be transactional. Told to focus on profits, they respond in kind. Their customers’ needs become a means to an end.

Unfortunately, more is required.

If your leaders could also fall in love with stakeholders’ problems, they may discover a surprise: fresh competitive advantage. In fact, this even applies to non-profits. While their bottom lines aren’t paramount, they must stay relevant to retain funding. Even in government.

Ironically, the latest disruption – like COVID – can force a deeper dive which anchors your company to customers’ JTBDs.

As such, when your leaders seize these opportunities, your organisation stands out in ways that matter. You discover depth, not desperation. As a result, your customers reward you.

But first, like Bezos, you must stay true to those things which won’t change. These always win.

Francis Wade is a management consultant and author of Perfect Time-Based Productivity. To search past columns on productivity, strategy and business processes, or give feedback, email: columns@fwconsulting.com