Beyond Code and Design

Hey Entrepreneurs,

Let's delve into an often-overlooked yet critical part of your journey: your startup's true north, its mission. Your startup's mission ideally answers these 4 key questions: What do we do? Whom do we serve? How do we do it? And most importantly, Why do we do it? It's common to regard this mission as an unchangeable beacon, permanently etched in stone. While it underpins everything your startup engages in — from fundraising to recruiting, from your codebase to design mockups, and from user experience to business model — don't presume your mission is set in concrete. Approaching it as a rigid foundation will restrict your potential, just as how a building's foundation constrains its footprint and height.

Consider this: many businesses either box themselves into a narrowly defined mission ("to make x the most popular digital currency") or cast too wide and vague a net ("to revolutionize banking"). Rarely does a startup hit the mark with a specific formulation of their mission from the start. Even industry giants like Tesla and Google, often cited as having almost prophetic missions, have evolved theirs over time (illustrated here and here).

Kodak: The Poster Child for Dangers of a Static Mission

Kodak's traditional mission, particularly in its early years and during much of its existence, was centered around the democratization of photography. The company aimed to make photography accessible, affordable, and easy for the general public. This mission was encapsulated in their famous slogan, "You press the button, we do the rest," coined by George Eastman, Kodak's founder. This original mission, while impactful and successful for its time, exhibited rigidity in several ways that ultimately hindered Kodak's adaptation to the disruptive wave of digital photography:

1. Technological focus: The mission heavily emphasized film-based technologies and capturing memories through physical prints.

2. Business model dependence: The mission was intricately tied to their profitable film-based business model, rendering any shift towards digital a perceived threat to this lucrative foundation.

3. Cultural inertia: The mission fostered a company culture deeply ingrained in film-based workflows, manufacturing, and marketing. Embracing digital would entail massive organizational overhaul.

4. Limited scope: While the mission emphasized capturing memories, it didn't readily encompass the new possibilities digital offered, such as instant sharing, editing, and broader accessibility. This limited perspective made it difficult to fully grasp the potential of digital technology and its appeal to consumers.

5. Fenced innovation: Though Kodak had a history of innovation, it primarily remained within the boundaries of film technologies and enhancing existing products. The mission didn't actively encourage venturing beyond these boundaries, hindering their ability to embrace radical innovations.

Therefore, while the original mission served Kodak well for decades, its inflexibility and the way it was implemented became a major obstacle when the landscape of photography shifted towards digital.

Evolving Mission

A growth mindset, the key attribute of high-performing organizations, necessitates the flexibility to adapt and evolve your business, including its mission. A truly powerful mission is dynamic; it naturally emerges from your startup's culture and the continuous conversations with market participants. Your startup's mission should evolve to best align the goals and aspirations of your team and your customers. As such, your startup's mission is less a predetermined destination and more an adaptive compass.

The only way to win is to learn faster than anyone else. - Eric Ries

It's important to note that rigidity is not inherent to missions themselves, but rather how they are interpreted, implemented and become part of an organization's DNA. A mission can be adaptable and responsive if it:

1. incorporates a broader vision,
2. encourages diverse perspectives, and
3. values a dynamic approach to challenges and opportunities.

In Kodak's case, the mission proved too entrenched in their existing success, ultimately hindering their ability to adapt to a rapidly changing environment.

Famous Pivots

Take Slack as one example. It first started as a game called Glitch. But through continuous user feedback, they realized the real gem was their internal communication tool. That pivot wasn’t based on just a hunch; it was born from listening to their team and users. Their mission evolved through these interactions. And similarly it did for many other startups (see 14 examples by Jason Nazar and a larger set of 30 examples by Alexander Jarvis ).

Strategic Takeaways

1. Cultivate Your Culture: It’s your DNA. Make sure your culture is actively shaping your mission and vice versa.
2. Listen to the Market: Let user feedback guide your iterations and pivots.
3. Stay Flexible: Your initial idea will likely change, and that’s okay. Stay open to where your journey leads you. Actively question whether your mission is serving your team and customers' needs.
4. Disrupt Yourself: If you see a wave of disrputive innovation coming your way, decide whether you prefer to disrupt yourself or let the market do it to you.
5. Minimize External Funding: One of the biggest dangers of raising too much money early is that investor expectations will exert tremendous pressure for you to stay the course. The larger a check an investor writes, the smaller their appetite for strategic pivots becomes.

If your mission doesn’t evolve from your first idea, you’re not listening enough. Your startup's true mission is a blend of your team's culture and market feedback. Embrace it, and keep iterating!

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