Every leadership team has to decide how to balance “running the business” versus “building the business”.  

“Running the business” decisions respond to the sources of trouble that threaten your existing level of Revenue and Profits.  Threat analysis determines the probability a threat will be realized within a timeframe you can plan for.  Responding to Threats has the perception of having less uncertainty and less risk.

“Building the business” decisions respond to the sources of trouble that affect your capability to realize new opportunities for future revenue and profits.  Opportunity analysis determines the possibility that an opportunity will become real within an unspecified future timeframe.  Responding to Opportunities has the perception of having more uncertainty and higher risk.

The tension between decisions and activities to “run the business” versus “build the business” is the Threat / Opportunity Paradox.  Resolving the paradox as a dual factor solution, rather than a single factor decision, requires understanding the Market Life Cycle Stage to derisk the balancing decision.  The stage, characterized by the dominant Voice (Job, Customer, or Stakeholder), guides you to what kind of action will have the most impact.

The highest risk occurs when you get the balance between “Running the Business” and “Building the Business” wrong.  Investing in the right balance of Threat mitigation and Opportunity realization is essential to getting more innovation faster.