Just about every entrepreneur has heard the phrase “business as usual” at one time or another. This common term is often used to indicate that operations or activities are continuing as they normally do, regardless of internal difficulties or external circumstances.
While a business as usual mindset could be viewed as an indicator of resilience, all too often it becomes a recipe for stagnation — one that keeps your business from achieving its full potential. And considering that 65.6% of businesses fail within their first 10 years, it’s clear that you can never rest easy and hope that everything proceeds “as usual.”
1. Business As Usual Is A Recipe For Complacency
One of the most basic reasons why you should avoid the business as usual mindset is because it fosters a sense of complacency — especially in companies or individuals who have previously achieved some measure of success.
Writing for Insigniam, Bruce Zimmer describes business as usual as a formula of “High level of past experience or success + Low level of generating possibility.” Glorying in the past and a previously established formula for success can make leadership extremely resistant to change. This is often accompanied by a fear of failure and the potential repercussions of any setback (even a temporary one).
As Zimmer elaborates, this creates an environment where “Business leaders do what they’ve always done. The company produces what it’s always produced in the same manner and with the same results. The chances of developing new revenue streams or cost-saving practices and other efficiencies are as low as worker enthusiasm and their inclination for innovation.”
This business as usual mindset stifles innovation. As companies become complacent and stagnant, this opens up opportunities for their competitors to pass them by. One need only look at examples like how Blockbuster passed on the chance to buy Netflix back in 2000 because they felt it was too niche of a business. We all know how that desire to maintain business as usual turned out.
2. Customer Attitudes Are Always Changing
One of the most important reasons why business leaders must avoid the complacency that comes with a business as usual mindset is the simple fact that customer desires and needs are always changing. What appeals to your target audience today isn’t necessarily going to work for them tomorrow.
A good example of this came from a recent conversation with Vito Sanzone, CEO of Promino. As Sanzone explained, “Consistent market research has helped us identify when we’ve needed to make changes to our products, such as updating packaging and improving flavor profiles. At the same time, we also have to pay close attention to growth in the market verticals that overlap with our protein supplement drinks.”
He continues, “In our case, understanding what is driving the search for alternative beverages is essential for learning what our target audience wants today. Adapting to customer interests affects everything from how we produce and market our products to the channels where we sell them.”
Beverages are just one thing, though.
For further evidence, consider the fact that the rate at which consumer attitudes can change is easily seen with technology, as well. According to Pew Research, only 35% of Americans had a smartphone in 2011, despite overall cell phone penetration of 83%. By late 2023, those numbers had skyrocketed — 90% of Americans have a smartphone, while 97% have a cell phone of any kind.
Such changes can drive other behavioral shifts, and businesses should always be prepared to adapt their processes, products and more accordingly.
3. Businesses Must Respond To Trends And Setbacks
A key benefit of going beyond the business as usual mindset is that it encourages leaders to develop a more proactive approach in addressing any of the possible challenges that a business could face.
As I’ve written about previously, Huy Fong (the famous sriracha sauce maker) has experienced significant challenges in finding a reliable supplier of red jalapeño chilis since it cut ties with its longtime partner Underwood Ranches. This feels like a situation where Huy Fong has been hoping a business as usual mindset would work with new suppliers, when in reality, they’ve dealt with a variety of challenges as they’ve struggled to adapt.
Clearly, a more proactive approach is needed in terms of vetting suppliers and managing these crucial business relationships if Huy Fong wants to turn things around.
Of course, a proactive approach can also make a difference in more positive areas as well. We’ve seen companies and their strategic partners proactively engage in ways to improve customer experiences or lessen their impact on the environment. These companies aren’t content with a business as usual approach that sticks with the status quo. Instead, they are looking for ways to innovate and improve by creating more value for their internal teams, partners and customers.
Such efforts put businesses on the cutting edge of changing trends, while also helping them develop the skills to respond to potential challenges in a more agile and effective manner.
Going Beyond Business As Usual
Business as usual can be a dangerous mindset for your business — one that ultimately undermines your growth efforts and allows your competitors to pass you by. As you develop a proactive approach that is never complacent and always looking for opportunities to change and improve, you will be better positioned to achieve lasting success in your niche.
This post was originally published on here
