Effectuation: Affordable Loss
Effectuation: Affordable Loss

Effectuation: Affordable Loss

Typically, any startup or Product Manager looks at how to maximise profits in a short time. This is a common human tendency and definitely not wrong.

But an expert product manager or company looks at what they can loose and what is their threshold to loose.

Let me take an example of HAPLO itself. When we started, the segment is very new. Even though there are many companies doing what we do, the approach we have taken is very different. By conversing with few people, I realised that going down the path of fund raising or investments is not only going to take time but it is also an emotional drain.

I did speak with few investment companies and also few angel investors and everyone had the same question, where is the money in Real Estate? Correct. However, we believed in creating value and this would definitely take time to be demonstrated in the market.

So, we decided we will not spend time trying to raise investments, but rather focus on building the platform in our own way. We hire developers when required, get the job done and we sell and implement ourselves. This is a painful process, but we are the long play.

I am not saying I am an expert product manager, but what I have learned is to look at what we can loose, which is both time and money. This is the reason we do consulting works to ensure our livelihoods don’t get hit and when the time is right, we get on the path quickly.

All I am trying to explain is that as Product Managers or Entrepreneurs, what you need to understand is not everything is a hit or a miss on day one. If you can visualise and chart out what you can loose, it will help you focus better on planning the output of your product.

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