Navigating Change

“The only constant in life is change” ~ Heraclitus

As companies continue to evolve, priorities change and so do people who are leading. In this blog, I will layout how change is triggered and how it impacts based on our role in our organization

Why does change happen ?

It is a loaded question.The straight forward answer is when the current team is not delivering on its goals or the company wants to change the direction/approach. Common analogy can be related to how professional American football teams operate.

Let’s start with companies and their stages

1. Angel: Trying to find the right product market. The stage is dynamic. Based on the product pivots new founding team members can be added. The change cycle can range from weeks to months during the formative period. The attributes that will make success pivot in short notice. Love to work with no or little structure. The idea of a mad scientist can fit the bill very much. The size of the team might be single to lower double digits. Change is the name of the game. There is zero red tape and either one individuals or at most few can steer the direct
2. Early stage: In the early stages, the problem area is identified. The solution space and customers & segments are evolving. The change transpires on a quarterly basis. The team needs lead time for developing the product concepts and ideas. Establish a feedback loop with potential customers. Analyzing and evaluation of the feedback takes time. After the analysis, develop the ideas for next steps or pivot as needed.The changes could be triggered to be able to meet customer commitments or for closing deals. Compared to Angel, the frequency of change is less. The impact of the change is limited and localized.
3. Private companies: The companies operate in the private mode anywhere from Series A to the duration, the company becomes public. The duration can be many years depending on the goals of the founders and investors.
4. The companies run by private equity is another category.The goals for private equity run or managed firms are different and the focus is on operational efficiency. After the achieving the goals, mostly they are EBITDA related, either the company exits in a resale or going through IPO
5. Public companies: For public companies, based on the maturity of the company, pace of change could vary. In new segments like the Saas category, private companies take the IP route to fund their growth and expansion strategy. Growing needs developing new products and services. The company continues to hire leaders and resources to develop innovative products. Growth could lead to change, but desirable. As part of the growth if the right leadership is not brought in, it could take a nosedive.

Irrespective of the cause of the change, it is advised to be always ready for the unexpected. As employees become more tenured with the company, they become more immune to change and there is a sense of expectation and entitlement. However, the relationship of the employee and the employer is at will. Being pragmatic and prepared is the best plan of action.

Always be on the lookout for change indicators As projects get deprioritized and reorganizations happen, it is a good signal either the company is changing it’s strategy or changing the direction. The better prepared you are, the easier it will be navigating the change.

By understanding some of the drivers of the change, you can rely on your assessment of the environment around you and self answer of the questions surrounding the change. The leaders of the organization have the responsibility to communicate change, but there is no obligation to inform employees why the change is happening.

Given the widespread change that is happening in the tech sector, articulating these factors can help navigate the process and deal with change easier.