Always keep a backup of your backup plan.
I’ll start with a motivating phrase that is practically incorrect:
“The minute you have a back-up plan, you’ve admitted you’re not going to succeed.” — Elizabeth Holmes, CEO and Founder, Theranos
What if you choose to follow this philosophy?
How realistic is it to operate without a backup plan for your company, goals, or objectives?
At first glance, such comments appear to inspire entrepreneurs’ zeal and excitement. However, if you look about them realistically, they may just be another prescription for disaster. A company, by nature, is a commercial activity that involves the regular and ongoing exchange of goods and services for one another or for money. Is it feasible to write a business strategy without contingencies?
More than a few enterprises, mostly startups, have closed their doors in 2021. The lack of a sound business plan may have played a role in these closures to some extent. When their fundamental company idea started to crumble, their “burn the boat” and “keep focused” strategies didn’t help them much.
Whatever your goal is, you are aware that it is likely to fail. Your idea might be turned down, or your company pitch could fall flat. In such situations, having a backup plan acts as an antidote, giving the bearer of all risks a sense of security.
If you were unable to satisfy your investors, for example, your backup plan may be to work as a consultant for another company or to seek for a position in a multinational corporation that meets your requirements. Most individuals will join a friend’s startup and assist them in building a lucrative firm.
A contingency plan serves as a psychological safety net. It makes you feel better, but it also puts you one step closer to disaster. This is when the ambiguity begins! The process of making a backup plan improve your risk of failing to achieve your primary aim. The real question is whether you should have a company backup plan or not. Here are some things to think about:
Examine your performance
Some actions, such as relocating, arranging a vacation overseas, or taking a new position within your current organisation, may need having a contingency plan. On the other hand, things like establishing a new business necessitate going all-in. Your job is to assess the current situation. Do you believe your next objective can tolerate to be distracted, or will it need a strong commitment? You’ll know if you’re ready to put all your chips on the table once you’ve made your decision.
Motivation and concentration
The second factor to examine is whether or not you have the drive and concentration to carry out Plan A. Plan A should be well-thought-out, and each step should be carefully considered. If you get off to a terrible start with Plan A, you’ll always be looking for other methods to achieve your goal, which is an indication that you weren’t truly prepared to execute Plan A in the first place. It is critical to have a backup plan, but once you have one that works, it is preferable to put it out of your mind. As soon as the plan starts to blow up in your face, your only concentration should be on carrying out the initial intention without considering about choosing a different path.
In the end, I believe that having a backup plan is a good idea, but it’s also essential not to use it as an easy way out of the challenges and eventualities that the original plan will throw at you from time to time. The next stage is to feel confident in your backup strategy. It may entail settling for a mundane 9-to-5 job following a failed business endeavour. That should be plenty. Isn’t that the whole idea of having a backup plan?
If you’re a startup that genuinely wants to succeed, make sure you have backup plans in place and be honest with yourself.
I’m Saurabh Mani, and I’d like to thank you for taking the time to read my blog. I am the CEO of Serverlt.com. Please feel free to post any queries here or send me an email at saurabh@serverLT.com.
