Thread by @dunkhippo33

I was talking with a founder today who recently pivoted his company.

The ups and downs of the conversation brought back so many memories of my own startup days.

Today's tweet storm is about the "human aspects" of pivoting a startup.

Read on >>

1) For ppl who have never been through a pivot, it's pretty brutal. A lot of ppl nonchalantly talk about a pivot like it's NBD. But it's a HUGE deal.

Specifically, changing a biz direction is sorta challenging but dealing w PEOPLE is the REALLY hard part!

2) Let's define what a pivot is.

It's when you change your biz direction in some way. It could be a change in target customer. A change in core product / service offering. Or many things at once.

3) Pivots are hard, because, if you're the CEO, you've been thinking for weeks about all the changes you want to make to your biz. But you've probably kept that to yourself until you've gotten clarity on what you want to do.

So when you tell your team, it's shocking to them.

4) What makes a pivot hard is the whiplash that you create with everyone around you.

But it's not shocking to you as the CEO, because you've had a chance to digest all info and options for a while now.

5) But let's take this a step further. You're not just suggesting going in a new direction with a pivot.

You're also saying you want to throw out most / all of the work your team has been doing. Think about it -- you are going to abandon all their efforts to do something new.

6) That is demoralizing to hear! Right?

This is where it's really important to acknowledge your team's work. They have done a FANTASTIC JOB.

And it is from their work, you were able to learn of a better direction to go in. This is tough to swallow.

7) It's also impt to remind your team - as you're searching for product-market fit - that your goal is to validate hypotheses at this stage. If you're unable to do that, you need to create new hypotheses & learn about those.

As such, there may be a lot of shifts in direction.

8) Morale is one of the toughest things to keep up in a startup if you haven't found PMfit.

Ppl can easily get lost in meandering directions. And their work is being thrown out constantly!

9) In fact, the flip side is if you have PMfit, ppl can weather just about anything -- bad management, poor culture, lack of salary, etc.

When you have PMfit, ppl know they're on a rocket & are excited by building something big & impactful.

10) Lots of ppl think that startups die because of lack of $$. That's just not true. They die because of lack of morale.

Think about it - when you're first starting, you have no $$. But morale is highest then because you have so many hopes that haven't been shattered yet.

11) So it's impt to keep your team's morale up high.

You also often won't know how low morale is, because ppl don't often tell the boss. It's easier for them to just leave the company.

So when you're going through a pivot, be particularly attune to your teammates.

12) It's also really impt to understand not only how your employees are feeling but also how their families and significant others are too.

They need to be just as supportive of your co, because ultimately, they will be the ones advocating at home either for or against your co.

13) Take those ppl out to dinner. Sell them on your vision.

Make sure they're happy too. Address their concerns directly. It can be too easy for family members or SOs to get the wrong opinion about your company when hearing about it second or third hand.

14) Pivots are HARD! If you're going through a pivot, I'd bet 95% of the time, you'll have a morale issue to go w it.

Get in front of it. Be attuned to your ppl & their families. Be appreciative & sing their praises. Send a small gift. Take them to dinner.

You'll pull through.