It is always hard to let go of an investment before it is too late; this applies to all investments, be it a business, a product line, a personal investment of time, anything. There is a side of us that always thinks our bad investment could still turn around. However, that reasoning is more of a gambling mentality and not an investing one. But, even for good investors, why can it be so hard to let go?

Before we look closer at why we can’t let go, I would like to give you a simple tool to evaluate any investment and determine if it is time to let it go. First you need to know your mission (why your organization exists) and your values (what is important to your organization). Now just ask your self, does or will this investment achieve our mission and or contribute to what we value? Your gut answer to this question is probably right. As we look closer at why investments are hard to give up, I will give you examples of how this test can assist you.

In my experience there are many reason people find it hard to give up on an investment. The first two reasons are time and money invested. We find it tough to see hard costs lost when there is still some hope of return. If your organization exists to make money and you only value money, these are the only two items you need to concern yourself with. But most organization and situations are more complex then that.

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Well you have launched a new company… or a new product. You made your big splash and made some money. But, your competitors are already mimicking your big idea. And you are frustrated that you cannot find another innovation that will appeal to your market share. What are you supposed to do now? Simply put, you need to look at things from another perspective; you need supporting innovations.

If your mission is to sell great shoes and you focus all your time and money developing the perfect shoe, then you will fall short! Consider the things that your company values and look to innovate in those areas as a way of supporting your overall products. If your company values customer service, look to innovate in customer service.

Supportive innovations accomplish three key things for your main product:

1. Draw in new customers
2. Generate repeat customers
3. Lengthen the product life cycle
4. Increase product effectiveness
5. Broaden the audience of your product

Supporting innovations are a simple but powerful concept. Too often we get bogged down with our “bread and butter” innovations and neglect the areas that make such innovations possible and effective.

A quick word of caution, do not spread yourself too thin with supporting innovations which distract from your overall purpose.