--- title: THE ART OF THE PIVOT description: Discover why pivoting is a strategic strength. Learn how successful leaders and organisations adapt to change for resilience and growth. --- [Skip to the main content.](https://corestate.consulting/industry-intelligence/the-art-of-the-pivot#main-content) [![CoreState\_Primary\_Colour\_RGB](https://corestate.consulting/hubfs/CoreState_Primary_Colour_RGB.svg "CoreState_Primary_Colour_RGB")](https://corestate.consulting/) [![CoreState\_Primary\_Colour\_RGB](https://corestate.consulting/hubfs/CoreState_Primary_Colour_RGB.svg "CoreState_Primary_Colour_RGB")](https://corestate.consulting/) - Solutions - [The What](https://corestate.consulting/solutions/the-what) - [The How](https://corestate.consulting/solutions/the-how) - [The Proof](https://corestate.consulting/solutions/the-proof) - Knowledge Core - [Mastery](https://corestate.consulting/mastery) - [Industry Intelligence](https://corestate.consulting/industry-intelligence) - [Open Source Resources](https://corestate.consulting/open-source-resources) - [Lexicon](https://corestate.consulting/lexicon) - [About](https://corestate.consulting/about-us) - [Contact](https://corestate.consulting/contact) Toggle Menu Toggle Menu - Solutions - [The What](https://corestate.consulting/solutions/the-what) - [The How](https://corestate.consulting/solutions/the-how) - [The Proof](https://corestate.consulting/solutions/the-proof) - Knowledge Core - [Mastery](https://corestate.consulting/mastery) - [Industry Intelligence](https://corestate.consulting/industry-intelligence) - [Open Source Resources](https://corestate.consulting/open-source-resources) - [Lexicon](https://corestate.consulting/lexicon) - [About](https://corestate.consulting/about-us) - [Contact](https://corestate.consulting/contact) 3 min read # THE ART OF THE PIVOT [![Picture of Core State Consulting](https://corestate.consulting/hubfs/CoreState_Icon_Colour_RGB.svg) Core State Consulting](https://corestate.consulting/industry-intelligence/author/core-state-consulting) : Published April 10, 2025 Updated September 29, 2025 [Optimisation](https://corestate.consulting/industry-intelligence/tag/optimisation) [Leadership](https://corestate.consulting/industry-intelligence/tag/leadership) [Problem-Solving](https://corestate.consulting/industry-intelligence/tag/problem-solving) [Critical Thinking](https://corestate.consulting/industry-intelligence/tag/critical-thinking) [Business Resiliency](https://corestate.consulting/industry-intelligence/tag/business-resiliency) [Improvement](https://corestate.consulting/industry-intelligence/tag/improvement) [Crisis Preparation](https://corestate.consulting/industry-intelligence/tag/crisis-preparation) We've all seen that Friends episode - you know the one: "Pivot...PIVOT.....PIVOT!" as they try and manoeuvre the couch up the narrow stairs. In a single moment, "pivot" became a bad word! But should we run our futures based on a Friends episode? Why Changing Direction is a Strength, Not a Weakness The ability to pivot—to strategically change direction—is becoming an essential skill for modern leaders. Instead of viewing a change in course as a sign of failure, senior leaders should see it as a powerful tool for growth and optimisation. In an environment where rapid disruption is the norm, being prepared to adjust your plans is a vital part of effective leadership. ![motion-agility-flexbility](https://corestate.consulting/hs-fs/hubfs/motion-agility-flexbility.png?width=1232&height=928&name=motion-agility-flexbility.png) Top 5 Reasons Why Pivoting Should Be Part of Your Strategic Thinking 1. Adapt to Market Changes: Pivoting allows organisations to remain relevant and competitive by responding to new technologies, evolving customer preferences, and shifting economic conditions. 2. Unlock New Opportunities: A pivot can reveal new markets, products, or services that were previously unforeseen, encouraging exploration and innovation. 3. Mitigate Risks: By being willing to change course, companies can avoid over-investing in ventures that are not working, minimising potential losses. 4. Enhance Innovation: A culture that embraces pivoting encourages creativity and experimentation, motivating employees to think outside the box. 5. Build Resilience: Organisations that are skilled at pivoting are better equipped to handle unexpected challenges, which is crucial for long-term success. Understanding the Neuroscience of Pivoting Our brains are naturally adaptable, a trait known as neuroplasticity. This is the brain's ability to reorganise itself by forming new neural connections throughout life. For leaders, understanding this concept can help demystify the fear of change. When a pivot is needed, neuroplasticity allows leaders and their teams to rewire their thinking, learn new strategies, and adopt new behaviours. By framing pivots as opportunities for growth, leaders can leverage the brain's positive response to novelty and challenge, leading to increased engagement and motivation. Key Concepts to Embrace Pivoting Embracing the pivot requires understanding and applying several key concepts: - **Fail Fast:** This principle encourages rapid experimentation. It’s better to identify what’s not working early on and adjust course than to heavily invest in a failing strategy. - **Sunk Cost Fallacy:** This refers to the tendency to continue investing in something simply because of the resources already put into it. Leaders must be willing to cut losses to pursue more promising avenues. - **Strategic Abandonment:** This is the conscious decision to stop a project or strategy to reallocate resources to areas with higher potential. - **Sunset Clause:** A provision that sets a specific end date for a project, preventing resources from being perpetually used on an initiative that has outlived its usefulness. - **Innovation Culture:** An organisational culture that encourages employees to test new ideas and sees failure as a stepping stone to success. - **Design Thinking:** A human-centred approach to innovation that involves understanding user needs, generating ideas, prototyping, and testing solutions. - **Kaizen:** A Japanese philosophy of continuous improvement, involving small, incremental changes over time. - **Antifragility:** A concept where a system not only withstands shocks but actually improves and grows stronger as a result of them. - **Scenario Planning:** A strategic technique that involves creating multiple possible future scenarios to better prepare for and react to unexpected events. - **Organisational Learning:** The process by which an organisation acquires new knowledge and adapts its behaviour in response to changing circumstances. Business Models That Support Pivoting Certain business models are inherently more adaptable and can be applied in almost any industry: - **Lean Startup:** This approach, popularised by Eric Ries, focuses on minimising waste and maximising learning. It involves building a minimum viable product (MVP), testing it with customers, and iterating based on feedback. - **Agile Methodologies:** Originally developed in software development, Agile principles emphasise flexibility, collaboration, and iterative progress. These methodologies can be applied to various business contexts, enabling teams to respond quickly to changing circumstances and customer feedback. - **Blue Ocean Strategy:** This strategy, outlined by W. Chan Kim and Renée Mauborgne, encourages businesses to create new markets rather than competing in existing ones. This often requires a willingness to pivot away from traditional industry norms. The Power of the Pivot: Examples Pivoting can take many forms, from entering new markets to refining a product based on user feedback. The common thread is a willingness to adapt and embrace change as an opportunity. Here are some notable examples of successful pivots: - Netflix: Pivoted from a DVD rental service to video streaming and then to producing original content. - Amazon: Started as an online bookstore and pivoted into e-commerce, cloud computing, and digital streaming. - Starbucks: Changed from selling coffee beans to creating a café experience. - Nintendo: Evolved from a playing card company to a leader in video games. - Samsung: Pivoted from a trading company to a global leader in electronics. - IBM: Shifted from a focus on hardware to software, services, and cloud computing. - Instagram: Originally a location-based app, it pivoted to focus solely on photo sharing. - Slack: Started as a gaming company before pivoting to become a widely used internal communication tool. Conversely, many companies have suffered the consequences of failing to adapt, getting stuck in a strategic "mud." ![stuck-inflexible-rigid-unable-to-move-brittle](https://corestate.consulting/hs-fs/hubfs/stuck-inflexible-rigid-unable-to-move-brittle.png?width=1232&height=928&name=stuck-inflexible-rigid-unable-to-move-brittle.png) These organisations did not address risks of complacency and the importance of continuous adaptation: - **Fairfax Media:** Struggled to adapt to the digital disruption of the news industry. - **Retravision & Dick Smith:** Australian electronics retailers that failed to adapt to competition from larger and online sellers. - **Blockbuster:** Failed to adapt to the rise of streaming services. - **Kodak:** Was slow to embrace digital photography, clinging to its traditional film business. - **Nokia:** Failed to keep pace with the smartphone revolution. Pivoting is not a weakness but a strategic imperative. By understanding the mindset of adaptability, embracing key concepts, and learning from both successful and unsuccessful examples, you can cultivate a culture that thrives on change. [![Your Portfolio is Bloated. Here’s How to Trim the Fat.](https://corestate.consulting/hubfs/The%20Percentage%20Trap%20(1).png)](https://corestate.consulting/industry-intelligence/your-portfolio-is-bloated.-heres-how-to-trim-the-fat) #### [Your Portfolio is Bloated. Here’s How to Trim the Fat.](https://corestate.consulting/industry-intelligence/your-portfolio-is-bloated.-heres-how-to-trim-the-fat) [![Picture of Core State Consulting](https://corestate.consulting/hubfs/CoreState_Icon_Colour_RGB.svg) Core State Consulting](https://corestate.consulting/industry-intelligence/author/core-state-consulting) : Apr 27, 2026, 5:00:00 AM Stop letting "zombie projects" strangle your strategy. Learn how to identify portfolio bloat, cut the friction, and reclaim your Q2 momentum with the... 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Learn a 5-step process to identify, analyse, and implement solutions for modern leadership challenges. [Leadership](https://corestate.consulting/industry-intelligence/tag/leadership) [Problem-Solving](https://corestate.consulting/industry-intelligence/tag/problem-solving) [Critical Thinking](https://corestate.consulting/industry-intelligence/tag/critical-thinking) [Read More](https://corestate.consulting/industry-intelligence/problem-solving-with-critical-thinking) #### [IS YOUR LEADERSHIP TEAM READY FOR THE 2026 POLYCRISIS?](https://corestate.consulting/industry-intelligence/is-your-leadership-team-ready-for-the-2026-polycrisis) [![Picture of Core State Consulting](https://corestate.consulting/hubfs/CoreState_Icon_Colour_RGB.svg) Core State Consulting](https://corestate.consulting/industry-intelligence/author/core-state-consulting) : Jan 27, 2026, 9:00:00 AM Why 2026 demands geopolitical fire drills. 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