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Is Your Team Secretly Rowing in Different Directions? The Shocking Truth About Startup Alignment!

  • gandhinath0
  • 3 days ago
  • 5 min read

Ever feel like your SaaS startup is working hard but not gaining the traction you expected? It's a common challenge. You’ve got great ideas and a committed team, but something doesn't quite add up. The missing piece might be this: how many of your team members actually know your company's top three priorities?


This isn't just a vague notion - it's a measurable metric we call the "% of team aligned on top three priorities." Think of it like your startup's compass. If everyone's compass points somewhere different, you're simply going in circles.


So, how do you find out where your team stands? Measuring this alignment is simpler than you might think. Let's explore what this metric means and how to calculate it for your startup.

Setting Your Compass: Uncovering Alignment Score

Curious about how aligned your team really is? It's easier to find out than you might expect. Here's a straightforward way to calculate your "% of team aligned on top three priorities."


Definition:

The "% of team aligned on top three priorities" measures the share of employees in a SaaS B2C or B2B2C startup who can clearly identify and articulate the organization's three most important strategic goals.

This alignment is typically assessed through structured methods—such as surveys or interviews - where team members are asked to list the company's top priorities without any prompts.

Formula:

% of team aligned on top 3 priorities = [ 
      Number of team members who correctly list all 3 priorities
          ÷ 
      Total number of teams members surveyed ] X 100

Example Calculation

For instance, if 14 out of 50 employees in your B2B2C SaaS startup list all three priorities correctly, your alignment score is (14 ÷ 50) * 100 = 28%


Let's take a real-world example: Peloton's 4% year-over-year subscriber decline from 2023 to 2024 was partly linked to internal misalignment (The Street). In contrast, their 2025 strategy offers a clear example of how setting and communicating top three priorities can drive alignment and results. According to Peloton's Q1 2025 earnings report, the company has publicly identified three key priorities:

  • Streamline pricing and reduce costs, aiming for $200 million in savings.

  • Strengthen member loyalty by launching new community features.

  • Expand B2B partnerships with a focus on corporate wellness programs.


Peloton's experience shows how clearly defining and communicating top priorities can help a company regain focus and drive results. It's a reminder that alignment isn't just theory - it directly impacts performance.


The Moment We Lost Our Way: How Misalignment Nearly Sank Us

I've witnessed firsthand the fallout when a startup loses focus on its top three priorities. After a CEO and leadership shakeup, our team became a mix of founders and new hires, each pulling in different directions. We invested millions in a five-day "alignment" summit, flying everyone to headquarters, but it didn't solve the problem. The real issue was that we never clearly set or shared our top priorities - so managers ended up creating their own. Without clear direction from the top, even the best intentions led to confusion, chaos, and stalled progress.


Is Your Startup Silently Screaming for Alignment?

If your startup shows any of these signs, poor alignment on priorities could be the underlying issue:

  • Duplicate Work and Wasted Effort: Teams may unknowingly build similar features or tackle the same problems twice, wasting 22-35% of engineering resources(Inside Trends).

  • Muddled Marketing Messages: When sales and marketing aren't aligned, they send mixed messages, leading to sales cycles that can be up to 40% longer (Eubrics).

  • Frustrated Team Members: Unclear priorities cause 25% of employees to report a drop in productivity, and can increase employee turnover by over twice the usual rate (Outset).

  • Unhappy Customers: If customer success isn't aligned with core product goals, customer churn can increase by as much as 19% (Vitally).


Common Mistakes to Watch for When Measuring Alignment

  • Assuming Everyone Knows: It's important to ask team members directly - through surveys or interviews - rather than assuming they're aware of the priorities.

  • Listing Too Many Priorities: When too many items are labeled as top priorities, focus can get lost. Sticking to three helps maintain clarity.

  • Including Partial Matches: For an accurate measure, count only those who can clearly state all three priorities. Partial answers may not reflect true alignment.


Aim High: What's a "Good" Alignment Score for SaaS Superstars?

Sources: Data synthesized from Orb Benchmarks: Orb Blog, Eubrics Benchmarks: Eubrics Blog, InnerTrends: InnerTrends Blog

SaaS companies rated "average" have around 28% alignment whereas top-performing companies hit around 45%. To give you a better sense of what a strong alignment score looks like, here's a breakdown based on your startup's Annual Recurring Revenue (ARR) stage.

Growth

 Stage

Target

Key Focus for Alignment

Validation Seekers ($1M-$2M ARR)

18-22%

Founder-led clear communication

Traction Builders ($2M-$4M ARR)

25-28%

Department-level OKR implementation

Scale Preparers ($4M-$7M ARR)

30-33%

Cross-functional alignment systems

Growth Accelerators ($7M-$10M ARR)

35-38%

Automated alignment tracking tools

Ignite Your Team's Focus: Practical Steps to Improve Alignment

If your alignment score isn’t where you want it to be, there are clear actions you can take to get back on track:

  • Communicate Your Priorities Clearly and Often: Consistently share your top three priorities through emails, meetings, and team chats. Repeating them in different ways helps ensure everyone understands and remembers.

  • Explain the "Why" Behind Tasks: When assigning work, connect tasks back to the top priorities. This helps team members see how their efforts contribute to the bigger picture.

  • Use the "Keep, Cut, Combine" Framework: Limit yourself to three top priorities. If you have more, use this approach to decide which to keep, which to cut, and which can be combined. Research shows having more than five priorities can reduce alignment to just 14% (Columbia Business School).

  • Hold Regular Check-ins: Teams that review their goals weekly experience 58% higher alignment (BetterWorks). Use these meetings to focus specifically on progress toward the top priorities.

Key Takeaways

  • Know Your Number: Regularly measure the "% of team aligned on top three priorities" to understand how focused your team really is.

  • Aim for Clarity: Only 28% of executives and middle managers can list three strategic priorities. Strive to exceed this benchmark (MIT Sloan Management Review).

  • Three is Magic: Limiting your focus to three priorities helps maximize alignment and effectiveness (Columbia Business School).

  • Communicate Constantly: Consistently and clearly repeat your priorities to ensure they stay top of mind.

  • Impact on Your Bottom Line: Strong alignment leads to lower costs, happier customers, and faster growth.


Ready to Point Your Whole Team True North?




Feeling like you need a navigator to help chart a clearer course for your team?




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