SlideShare a Scribd company logo
1 of 73
Download to read offline
Lean
Startup
Workshop
Tathagat Varma
VP, Strategic Process Innovations
[24]7 Innovation Labs
So I have an idea…a BIG idea!!!
How should
I proceed?
http://blog.comsysto.com/2012/08/13/continuous-delivery-of-waste/
I could do…
OR
Dot-com-era style
“Stealth Mode”
Startup
Cowboy style
“Just Do It”
Startup
What do you need to create
successful products?
Lean Startup Workshop
90%Tech Startups
FAIL…!!!
Performance of Traditional Startups
http://www.statisticbrain.com/startup-failure-by-industry/
http://blog.amplifiedanalytics.com/wp-content/uploads/2011/07/New-product-failure-rate.png
http://inspiredmagz.com/infographic-why-startups-fail/
Guess what’s so special about this
beautiful city?
Picture: http://www.news.com.au/travel/holiday-ideas/inside-china8217s-ghost-cities/story-e6frfqd9-1226716277487
“Build and they will come” is not a strategy,
it’s a prayer. – Steve Blank
Isn’t execution
enough?
Necessary, but not
sufficient…
Meet the most ferocious lion in
Sweden…
...built
without
customer
feedback…?
Internet Hall of Shame…
http://themyndset.com/2013/05/catch-the-wave-right-mindset-digital-iq/ http://www.cnet.com/1990-11136_1-6278387-1.html
Google’s Hall of Shame
4.85yrs to pull out???
http://blog.priceonomics.com/post/46028291791/digging-around-in-the-google-graveyard
…and in ROTW
Of those who succeed, drastically
change their plans
along the way!
2/3rd
Remember…
Lean Startup Workshop
http://blog.comsysto.com/2012/08/13/continuous-delivery-of-waste/
Guess them?
So what works then?
“Not a better Plan A but a
path to a plan that works
before running out of
resources”
- Ash Maurya, Running Lean
http://www.capgemini.com/technology-blog/2011/06/paving-path-scrum-adoption-product-people/
http://www.emilianosoldipmp.info/wp-content/uploads/2012/08/Stacey.png
That’s the
problem we need
to solve!
And these are
the methods we
are using!!!
http://steveblank.files.wordpress.com/2010/11/two-assumptions.jpg
Problem with traditional model
From: Running Lean – Ash Maurya The Startup Owners Manual – Steve Blank
“In large companies, the mistakes just have
additional zeroes in them”. – Steve Blank
https://onlineashu.wordpress.com/2012/05/18/a-framework-for-waterfall-vs-agile-vs-lean-startup/
“So what is it that makes some startups successful and
leaves others selling off their furniture? Simply this:
startups that survive the first few tough years do not follow
the traditional product-centric launch model espoused by
product managers or the venture capital community.
Through trial and error, hiring and firing, successful startups
all invent a parallel process to Product Development. In
particular, the winners invent and live by a process of
customer learning and discovery.
I call this process "Customer Development,” a sibling to
"Product Development” and each and every startup that
succeeds recapitulates it, knowingly or not.”
– Steve Blank
Lean Startup Workshop
Customer Development
Lean Startup Workshop
Lean Startup Workshop
The Customer Development Insight
Cycle
“A startup is NOT a smaller version of a
large company” – Steve Blank
What’s a Startup?
“A startup is a human institution designed
to create a new product or service under
conditions of extreme uncertainty”
The products a startup builds are really
experiments; the learning about how to
build a sustainable business is the outcome of
those experiments.
Lean Startup Model
•  The Lean Startup provides a scientific approach to
creating and managing startups and get a desired product
to customers' hands faster. The Lean Startup method
teaches how to drive a startup-how to steer, when to
turn, and when to persevere-and grow a business with
maximum acceleration. It is a principled approach to new
product development.
•  Lean Startup favors
–  experimentation over elaborate planning,
–  customer feedback over intuition, and
–  iterative design over traditional ‘big design up front’
development
Lean Startup Principles
Entrepreneurs are everywhere
Entrepreneurship is management
Validated Learning
Build-Measure-Learn
Innovation Accounting
Are all Startups the same?
Lifestyle
Startups
Work to live
their passion
Small
business
Startup
Work to fee
the family
Funded from
savings
Barely
profitable
Not designed
for scale
Scalable
Startup
Born to be
big
Founders
have a vision
Require risk
capital
Buyable
startup
Acquisition
targets
Social
Startup
Driven to
make a
difference
Large-
company
Startup
Innovate or
Evaporate
3 Stages of a startup
“Do I have
a problem
worth
solving?”
“Have I built
something
people want?”
“How do I
accelerate
growth?”
From: Running Lean – Ash Maurya
Three Stages of a Startup
http://www.thesups.com/wp-content/uploads/2014/07/3-stages.jpg
http://newentrepreneurship.nl/business-model-canvas/
http://torgronsund.com/wordpress/wp-content/uploads/2011/04/Slide1.jpg
GET OUT OF THE BUILDING…
Lean Startup Workshop
A Pivot is a structural course correction to test a
new fundamental hypothesis about the product,
strategy and engine of growth. It is not a failure!
http://steveblank.files.wordpress.com/2010/11/pivot-the-model.jpg
So, what is your product?
From: Running Lean – Ash Maurya
Lean Startup Workshop
In reality…
Lean Startup Workshop
MVP
A strategy used for fast and quantitative market
testing of a product or product feature
 
A Minimum Viable Product has just those features
that allow the product to be deployed, and no more.
The product is typically deployed to a subset of
possible customers, such as early adopters that are
thought to be more forgiving, more likely to give
feedback, and able to grasp a product vision from an
early prototype or marketing information. It is a
strategy targeted at avoiding building products that
customers do not want, that seeks to maximize the
information learned about the customer per dollar
spent. "The minimum viable product is that version of a new
product which allows a team to collect the maximum amount of
validated learning about customers with the least effort." The
definition's use of the words maximum and
minimum means it is decidedly not formulaic. It
requires judgment to figure out, for any given
context, what MVP makes sense.
An MVP is not a minimal product,[3] it is a strategy
and process directed toward making and selling a
product to customers. It is an iterative process of
idea generation, prototyping, presentation, data
collection, analysis and learning. One seeks to
minimize the total time spent on an iteration. The
process is iterated until a desirable product-market fit
is obtained, or until the product is deemed to be non-
viable.
Lean Startup Workshop
MVP
http://startitup.co/guides/376/mvp-minimum-viable-product
http://custdevday.files.wordpress.com/2012/01/mvp_pareto1.png
Coffee Shop MVP
Good MVP: You have a menu with only a few selection of coffee, but all of them taste
great. Your shop is clean and tidy with white painted walls and decent looking coffee
tables with comfortable seats. Your cashier is polite and you take Visa and Mastercard.
No American Express though (we're cool with that).
Bad MVP: You have a menu with a few selection of coffee, but most of them taste
horrible. Your shop is below par and your seats are uncomfortable. Also, your store only
takes cash and your cashiers are flirting with each other.
Horrible MVP: You have 40 items on your menu - Coffee, frappuccino, espresso, cakes,
croissants, biscuits, tea, fried rise, chicken nuggets, etc (you get the idea). You gold plate
your store front and your store interior is pimped out with the most expensive furniture
and coffee mugs. You put Samsung LCD TVs at every table and the chairs are massage
chairs. You take Visa, Mastercard, American Express, and Home Depot gift cards.
http://startitup.co/guides/376/mvp-minimum-viable-product
If you’re not embarrassed by your first product release, you’ve
released too late – Reid Hoffman
Build-
Measure
-Learn
Loop
Pivot
Pivot now, Optimize later
From: Running Lean – Ash Maurya
Make the transition only after you have a
‘scalable startup’
How to optimize?
From: Running Lean – Ash Maurya
When to raise money?
From: Running Lean – Ash Maurya
A/B Testing
http://wp.streetwise.co/wp-content/uploads/2012/07/A-B-testing.jpg
Validated Learning
•  Validated learning about customers is the measure of progress in a Lean
Startup – not lines of working code or achieving product development
milestones.
•  Process in which one learns by trying out an initial idea and then measuring
it to validate the effect. Each test of an idea is single iteration in a larger
process of many iterations whereby something is learnt and the lessons
applied to the succeeding tests.[1]
•  Typical steps in validated learning:
–  Specify a goal
–  Specify a metric that represents the goal
–  Act to achieve the goal
–  Analyze the metric - did you get closer to the goal?
–  Improve and try again
Innovation Accounting
•  Enables startups to prove objectively that they are learning
how to grow a sustainable business
–  Use an MVP to establish real data on where the company is right
now
–  Startups must attempt to tune the engine from the baseline
toward the ideal. This could take many attempts.
–  Pivot or persevere
•  Actionable vs. Vanity Metrics
–  For a report to be considered actionable, it must demonstrate
clear cause and effect. Otherwise, it is a vanity metric.
–  Actionable metrics can lead to informed business decisions and
subsequent action.[24][1] These are in contrast to 'vanity metrics' -
measurements that give “the rosiest picture possible” but do not
accurately reflect the key drivers of a business.
Lean Startup Workshop
Innovation =
Ideate
+ Productize
+ Commercialize
+ Discover
Business Model
Running Lean
Case Study: Ash Maurya’s Running Lean
book
From: Running Lean – Ash Maurya
Pivot vs. Optimizations
•  Pivot is change in direction without change in strategy
•  Pivot before Product/Market Fit, Optimize After
•  Pivots are about finding a plan that works, while
optimizations are about accelerating that plan.
Some examples…
Recap
•  Don’t build
something no
one wants!
Discover
customers first
•  Search for the
business model
Validate your
assumptions •  Build, measure
and learn
iteratively
Build products
iteratively
•  Aggressively
execute business
plan and
optimize
Scale-up for
execution
“I never perfected an invention that I did not think about in
terms of the service it might give others... I find out what
the world needs, then I proceed to invent....”
- Thomas Edison
References
•  The Startup Owners Manual – Steve Blank
•  Four Steps to Ephphany – Steve Blank
•  The Lean Startup – Eric Ries
•  Running Lean – Ash Maurya
•  Business Model Generation – Alexander Osterwalder
•  www.steveblank.com
•  http://blog.startupcompass.co/
•  http://blogs.wsj.com/accelerators/2013/06/24/steve-blank-the-6-types-of-
startups-2/
•  www.ashmaurya.com
•  http://www.slideshare.net/torrg/10-scrappy-minimum-viable-products-that-
made-it-big-9397834
•  http://www.hackerchick.com/2013/02/5-mvp-examples.html
•  http://techcrunch.com/2011/10/19/dropbox-minimal-viable-product/

More Related Content

What's hot

Customer Development Template
Customer Development TemplateCustomer Development Template
Customer Development TemplateChristina Wodtke
 
The Lean Startup
The Lean StartupThe Lean Startup
The Lean StartupSean Si
 
Minimum Viable Product
Minimum Viable ProductMinimum Viable Product
Minimum Viable ProductEric Ries
 
Product Market Fit
Product Market FitProduct Market Fit
Product Market FitYenwen Feng
 
Introduction to Customer Development at the Lean Startup Intensive at Web 2.0...
Introduction to Customer Development at the Lean Startup Intensive at Web 2.0...Introduction to Customer Development at the Lean Startup Intensive at Web 2.0...
Introduction to Customer Development at the Lean Startup Intensive at Web 2.0...Eric Ries
 
How to find product market fit
How to find product market fitHow to find product market fit
How to find product market fitJustin Wilcox
 
Eric Ries - The lean startup
Eric Ries - The lean startupEric Ries - The lean startup
Eric Ries - The lean startupmomentummi
 
How To Sell To Non-Believers - Turning Doubt Into Trust
How To Sell To Non-Believers - Turning Doubt Into TrustHow To Sell To Non-Believers - Turning Doubt Into Trust
How To Sell To Non-Believers - Turning Doubt Into TrustClose.io
 
From Idea to Business with Lean Startup & the Progress Board
From Idea to Business with Lean Startup & the Progress Board From Idea to Business with Lean Startup & the Progress Board
From Idea to Business with Lean Startup & the Progress Board Strategyzer
 
Identifying Product Market Fit
Identifying Product Market FitIdentifying Product Market Fit
Identifying Product Market FitTathagat Varma
 
Finding Product Market Fit
Finding Product Market FitFinding Product Market Fit
Finding Product Market FitScott Bales
 
Product Market Fit - How to know your product is market fit
Product Market Fit - How to know your product is market fitProduct Market Fit - How to know your product is market fit
Product Market Fit - How to know your product is market fitSaif Hassan
 
Minimum Viable Product
Minimum Viable ProductMinimum Viable Product
Minimum Viable ProductBernard Leong
 

What's hot (20)

Customer Development Template
Customer Development TemplateCustomer Development Template
Customer Development Template
 
Lean startup 101
Lean startup 101Lean startup 101
Lean startup 101
 
The Lean Startup
The Lean StartupThe Lean Startup
The Lean Startup
 
Minimum Viable Product
Minimum Viable ProductMinimum Viable Product
Minimum Viable Product
 
Product Market Fit
Product Market FitProduct Market Fit
Product Market Fit
 
Introduction to Customer Development at the Lean Startup Intensive at Web 2.0...
Introduction to Customer Development at the Lean Startup Intensive at Web 2.0...Introduction to Customer Development at the Lean Startup Intensive at Web 2.0...
Introduction to Customer Development at the Lean Startup Intensive at Web 2.0...
 
How to find product market fit
How to find product market fitHow to find product market fit
How to find product market fit
 
Eric Ries - The lean startup
Eric Ries - The lean startupEric Ries - The lean startup
Eric Ries - The lean startup
 
Lean Startup
Lean StartupLean Startup
Lean Startup
 
Successful entrepreneurship 1
Successful entrepreneurship 1Successful entrepreneurship 1
Successful entrepreneurship 1
 
Workshop MVP
Workshop MVPWorkshop MVP
Workshop MVP
 
Building an MVP
Building an MVPBuilding an MVP
Building an MVP
 
How To Sell To Non-Believers - Turning Doubt Into Trust
How To Sell To Non-Believers - Turning Doubt Into TrustHow To Sell To Non-Believers - Turning Doubt Into Trust
How To Sell To Non-Believers - Turning Doubt Into Trust
 
From Idea to Business with Lean Startup & the Progress Board
From Idea to Business with Lean Startup & the Progress Board From Idea to Business with Lean Startup & the Progress Board
From Idea to Business with Lean Startup & the Progress Board
 
Lean Startup 301
Lean Startup 301Lean Startup 301
Lean Startup 301
 
Identifying Product Market Fit
Identifying Product Market FitIdentifying Product Market Fit
Identifying Product Market Fit
 
Finding Product Market Fit
Finding Product Market FitFinding Product Market Fit
Finding Product Market Fit
 
Product Market Fit - How to know your product is market fit
Product Market Fit - How to know your product is market fitProduct Market Fit - How to know your product is market fit
Product Market Fit - How to know your product is market fit
 
Minimum Viable Product
Minimum Viable ProductMinimum Viable Product
Minimum Viable Product
 
The Lean Startup
The Lean StartupThe Lean Startup
The Lean Startup
 

Similar to Lean Startup Workshop

How to Build a Startup
How to Build a StartupHow to Build a Startup
How to Build a StartupRaomal Perera
 
Making Sense of the Customer Development Model
Making Sense of the Customer Development ModelMaking Sense of the Customer Development Model
Making Sense of the Customer Development ModelTathagat Varma
 
BMI and VP Design Propel April 2016
BMI and VP Design Propel April 2016BMI and VP Design Propel April 2016
BMI and VP Design Propel April 2016Raomal Perera
 
How to Build a Startup - New Frontiers
How to Build a Startup - New FrontiersHow to Build a Startup - New Frontiers
How to Build a Startup - New FrontiersRaomal Perera
 
How to build a startup
How to build a startupHow to build a startup
How to build a startupRaomal Perera
 
Lean Startup - Marcus Whitney
Lean Startup - Marcus WhitneyLean Startup - Marcus Whitney
Lean Startup - Marcus WhitneyNathan King
 
(PROJEKTURA) lean startup
(PROJEKTURA) lean startup(PROJEKTURA) lean startup
(PROJEKTURA) lean startupRatko Mutavdzic
 
Build Winning Products
Build Winning ProductsBuild Winning Products
Build Winning ProductsTathagat Varma
 
2011 03 11 eric ries - the lean startup sxsw
2011 03 11 eric ries - the lean startup sxsw2011 03 11 eric ries - the lean startup sxsw
2011 03 11 eric ries - the lean startup sxswEric Ries
 
How to Build a Startup
How to Build a StartupHow to Build a Startup
How to Build a StartupRaomal Perera
 
Presentation to the New Frontiers Entrepreneurs - Nov 2015
Presentation to the New Frontiers Entrepreneurs - Nov 2015Presentation to the New Frontiers Entrepreneurs - Nov 2015
Presentation to the New Frontiers Entrepreneurs - Nov 2015Raomal Perera
 
12 Lean Startup Models
12 Lean Startup Models12 Lean Startup Models
12 Lean Startup ModelsDonncha Hughes
 
The end of the (startup) world as we know it
The end of the (startup) world as we know itThe end of the (startup) world as we know it
The end of the (startup) world as we know itBrant Cooper
 
How to make your corporate management think and act like a startup. (by @boar...
How to make your corporate management think and act like a startup. (by @boar...How to make your corporate management think and act like a startup. (by @boar...
How to make your corporate management think and act like a startup. (by @boar...Board of Innovation
 
2011 10 12 eric ries lean startup web 2.0 expo ny keynote
2011 10 12 eric ries lean startup web 2.0 expo ny keynote2011 10 12 eric ries lean startup web 2.0 expo ny keynote
2011 10 12 eric ries lean startup web 2.0 expo ny keynoteEric Ries
 
ENTREPRENEURSHIP_PRESENTATION[1].pdf
ENTREPRENEURSHIP_PRESENTATION[1].pdfENTREPRENEURSHIP_PRESENTATION[1].pdf
ENTREPRENEURSHIP_PRESENTATION[1].pdfMUHUMUZAONAN1
 
How to build a startup
How to build a startupHow to build a startup
How to build a startupRaomal Perera
 
"Lean" Product Management
"Lean" Product Management"Lean" Product Management
"Lean" Product ManagementShardul Mehta
 

Similar to Lean Startup Workshop (20)

How to Build a Startup
How to Build a StartupHow to Build a Startup
How to Build a Startup
 
Making Sense of the Customer Development Model
Making Sense of the Customer Development ModelMaking Sense of the Customer Development Model
Making Sense of the Customer Development Model
 
BMI and VP Design Propel April 2016
BMI and VP Design Propel April 2016BMI and VP Design Propel April 2016
BMI and VP Design Propel April 2016
 
Mc4 e growth_hacking_2hr_gsew_MVPDraft1
Mc4 e growth_hacking_2hr_gsew_MVPDraft1Mc4 e growth_hacking_2hr_gsew_MVPDraft1
Mc4 e growth_hacking_2hr_gsew_MVPDraft1
 
How to Build a Startup - New Frontiers
How to Build a Startup - New FrontiersHow to Build a Startup - New Frontiers
How to Build a Startup - New Frontiers
 
How to build a startup
How to build a startupHow to build a startup
How to build a startup
 
Lean Startup - Marcus Whitney
Lean Startup - Marcus WhitneyLean Startup - Marcus Whitney
Lean Startup - Marcus Whitney
 
(PROJEKTURA) lean startup
(PROJEKTURA) lean startup(PROJEKTURA) lean startup
(PROJEKTURA) lean startup
 
Build Winning Products
Build Winning ProductsBuild Winning Products
Build Winning Products
 
2011 03 11 eric ries - the lean startup sxsw
2011 03 11 eric ries - the lean startup sxsw2011 03 11 eric ries - the lean startup sxsw
2011 03 11 eric ries - the lean startup sxsw
 
How to Build a Startup
How to Build a StartupHow to Build a Startup
How to Build a Startup
 
Presentation to the New Frontiers Entrepreneurs - Nov 2015
Presentation to the New Frontiers Entrepreneurs - Nov 2015Presentation to the New Frontiers Entrepreneurs - Nov 2015
Presentation to the New Frontiers Entrepreneurs - Nov 2015
 
12 Lean Startup Models
12 Lean Startup Models12 Lean Startup Models
12 Lean Startup Models
 
Lean startup
Lean startup Lean startup
Lean startup
 
The end of the (startup) world as we know it
The end of the (startup) world as we know itThe end of the (startup) world as we know it
The end of the (startup) world as we know it
 
How to make your corporate management think and act like a startup. (by @boar...
How to make your corporate management think and act like a startup. (by @boar...How to make your corporate management think and act like a startup. (by @boar...
How to make your corporate management think and act like a startup. (by @boar...
 
2011 10 12 eric ries lean startup web 2.0 expo ny keynote
2011 10 12 eric ries lean startup web 2.0 expo ny keynote2011 10 12 eric ries lean startup web 2.0 expo ny keynote
2011 10 12 eric ries lean startup web 2.0 expo ny keynote
 
ENTREPRENEURSHIP_PRESENTATION[1].pdf
ENTREPRENEURSHIP_PRESENTATION[1].pdfENTREPRENEURSHIP_PRESENTATION[1].pdf
ENTREPRENEURSHIP_PRESENTATION[1].pdf
 
How to build a startup
How to build a startupHow to build a startup
How to build a startup
 
"Lean" Product Management
"Lean" Product Management"Lean" Product Management
"Lean" Product Management
 

More from Tathagat Varma

Can AI finally "cure" the Marketing Myopia?
Can AI finally "cure" the Marketing Myopia?Can AI finally "cure" the Marketing Myopia?
Can AI finally "cure" the Marketing Myopia?Tathagat Varma
 
AI in Manufacturing: Opportunities & Challenges
AI in Manufacturing: Opportunities & ChallengesAI in Manufacturing: Opportunities & Challenges
AI in Manufacturing: Opportunities & ChallengesTathagat Varma
 
Preparing for the next ________?
Preparing for the next ________?Preparing for the next ________?
Preparing for the next ________?Tathagat Varma
 
AI in Business: Opportunities & Challenges
AI in Business: Opportunities & ChallengesAI in Business: Opportunities & Challenges
AI in Business: Opportunities & ChallengesTathagat Varma
 
Leadership Agility Mindsets
Leadership Agility MindsetsLeadership Agility Mindsets
Leadership Agility MindsetsTathagat Varma
 
Building an AI Startup
Building an AI StartupBuilding an AI Startup
Building an AI StartupTathagat Varma
 
Agility in an AI / DS / ML Project
Agility in an AI / DS / ML ProjectAgility in an AI / DS / ML Project
Agility in an AI / DS / ML ProjectTathagat Varma
 
AI Technology Delivering Business Value
AI Technology Delivering Business Value AI Technology Delivering Business Value
AI Technology Delivering Business Value Tathagat Varma
 
Nurturing Innovation Mindset
Nurturing Innovation MindsetNurturing Innovation Mindset
Nurturing Innovation MindsetTathagat Varma
 
PMOs and Complexity Management
PMOs and Complexity ManagementPMOs and Complexity Management
PMOs and Complexity ManagementTathagat Varma
 
An Introduction to the Systematic Inventive Thinking (SIT) Method
An Introduction to the Systematic Inventive Thinking (SIT) MethodAn Introduction to the Systematic Inventive Thinking (SIT) Method
An Introduction to the Systematic Inventive Thinking (SIT) MethodTathagat Varma
 
I blog...therefore I am!
I blog...therefore I am!I blog...therefore I am!
I blog...therefore I am!Tathagat Varma
 
Bridging the gap between Education and Learning
Bridging the gap between Education and LearningBridging the gap between Education and Learning
Bridging the gap between Education and LearningTathagat Varma
 
Is my iceberg melting?
Is my iceberg melting?Is my iceberg melting?
Is my iceberg melting?Tathagat Varma
 
Digital Business Model Innovation
Digital Business Model InnovationDigital Business Model Innovation
Digital Business Model InnovationTathagat Varma
 
25 Years of Evolution of Software Product Management: A practitioner's perspe...
25 Years of Evolution of Software Product Management: A practitioner's perspe...25 Years of Evolution of Software Product Management: A practitioner's perspe...
25 Years of Evolution of Software Product Management: A practitioner's perspe...Tathagat Varma
 
Agility from First Principles
Agility from First PrinciplesAgility from First Principles
Agility from First PrinciplesTathagat Varma
 

More from Tathagat Varma (20)

Can AI finally "cure" the Marketing Myopia?
Can AI finally "cure" the Marketing Myopia?Can AI finally "cure" the Marketing Myopia?
Can AI finally "cure" the Marketing Myopia?
 
AI in Manufacturing: Opportunities & Challenges
AI in Manufacturing: Opportunities & ChallengesAI in Manufacturing: Opportunities & Challenges
AI in Manufacturing: Opportunities & Challenges
 
Preparing for the next ________?
Preparing for the next ________?Preparing for the next ________?
Preparing for the next ________?
 
AI in Business: Opportunities & Challenges
AI in Business: Opportunities & ChallengesAI in Business: Opportunities & Challenges
AI in Business: Opportunities & Challenges
 
Leadership Agility Mindsets
Leadership Agility MindsetsLeadership Agility Mindsets
Leadership Agility Mindsets
 
Building an AI Startup
Building an AI StartupBuilding an AI Startup
Building an AI Startup
 
Agility in an AI / DS / ML Project
Agility in an AI / DS / ML ProjectAgility in an AI / DS / ML Project
Agility in an AI / DS / ML Project
 
Cognitive Chasms
Cognitive ChasmsCognitive Chasms
Cognitive Chasms
 
AI Technology Delivering Business Value
AI Technology Delivering Business Value AI Technology Delivering Business Value
AI Technology Delivering Business Value
 
Nurturing Innovation Mindset
Nurturing Innovation MindsetNurturing Innovation Mindset
Nurturing Innovation Mindset
 
Thought Leadership
Thought LeadershipThought Leadership
Thought Leadership
 
PMOs and Complexity Management
PMOs and Complexity ManagementPMOs and Complexity Management
PMOs and Complexity Management
 
An Introduction to the Systematic Inventive Thinking (SIT) Method
An Introduction to the Systematic Inventive Thinking (SIT) MethodAn Introduction to the Systematic Inventive Thinking (SIT) Method
An Introduction to the Systematic Inventive Thinking (SIT) Method
 
Agile at Scale
Agile at ScaleAgile at Scale
Agile at Scale
 
I blog...therefore I am!
I blog...therefore I am!I blog...therefore I am!
I blog...therefore I am!
 
Bridging the gap between Education and Learning
Bridging the gap between Education and LearningBridging the gap between Education and Learning
Bridging the gap between Education and Learning
 
Is my iceberg melting?
Is my iceberg melting?Is my iceberg melting?
Is my iceberg melting?
 
Digital Business Model Innovation
Digital Business Model InnovationDigital Business Model Innovation
Digital Business Model Innovation
 
25 Years of Evolution of Software Product Management: A practitioner's perspe...
25 Years of Evolution of Software Product Management: A practitioner's perspe...25 Years of Evolution of Software Product Management: A practitioner's perspe...
25 Years of Evolution of Software Product Management: A practitioner's perspe...
 
Agility from First Principles
Agility from First PrinciplesAgility from First Principles
Agility from First Principles
 

Recently uploaded

Developing Coaching Skills: Mine, Yours, Ours
Developing Coaching Skills: Mine, Yours, OursDeveloping Coaching Skills: Mine, Yours, Ours
Developing Coaching Skills: Mine, Yours, OursKaiNexus
 
Chicago Medical Malpractice Lawyer Chicago Medical Malpractice Lawyer.pdf
Chicago Medical Malpractice Lawyer Chicago Medical Malpractice Lawyer.pdfChicago Medical Malpractice Lawyer Chicago Medical Malpractice Lawyer.pdf
Chicago Medical Malpractice Lawyer Chicago Medical Malpractice Lawyer.pdfSourav Sikder
 
Team B Mind Map for Organizational Chg..
Team B Mind Map for Organizational Chg..Team B Mind Map for Organizational Chg..
Team B Mind Map for Organizational Chg..dlewis191
 
Plano de marketing- inglês em formato ppt
Plano de marketing- inglês  em formato pptPlano de marketing- inglês  em formato ppt
Plano de marketing- inglês em formato pptElizangelaSoaresdaCo
 
HELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptx
HELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptxHELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptx
HELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptxHelene Heckrotte
 
A flour, rice and Suji company in Jhang.
A flour, rice and Suji company in Jhang.A flour, rice and Suji company in Jhang.
A flour, rice and Suji company in Jhang.mcshagufta46
 
MC Heights construction company in Jhang
MC Heights construction company in JhangMC Heights construction company in Jhang
MC Heights construction company in Jhangmcgroupjeya
 
Introduction to The overview of GAAP LO 1-5.pptx
Introduction to The overview of GAAP LO 1-5.pptxIntroduction to The overview of GAAP LO 1-5.pptx
Introduction to The overview of GAAP LO 1-5.pptxJemalSeid25
 
The End of Business as Usual: Rewire the Way You Work to Succeed in the Consu...
The End of Business as Usual: Rewire the Way You Work to Succeed in the Consu...The End of Business as Usual: Rewire the Way You Work to Succeed in the Consu...
The End of Business as Usual: Rewire the Way You Work to Succeed in the Consu...Brian Solis
 
MoneyBridge Pitch Deck - Investor Presentation
MoneyBridge Pitch Deck - Investor PresentationMoneyBridge Pitch Deck - Investor Presentation
MoneyBridge Pitch Deck - Investor Presentationbaron83
 
PDT 88 - 4 million seed - Seed - Protecto.pdf
PDT 88 - 4 million seed - Seed - Protecto.pdfPDT 88 - 4 million seed - Seed - Protecto.pdf
PDT 88 - 4 million seed - Seed - Protecto.pdfHajeJanKamps
 
Fabric RFID Wristbands in Ireland for Events and Festivals
Fabric RFID Wristbands in Ireland for Events and FestivalsFabric RFID Wristbands in Ireland for Events and Festivals
Fabric RFID Wristbands in Ireland for Events and FestivalsWristbands Ireland
 
Q2 2024 APCO Geopolitical Radar - The Global Operating Environment for Business
Q2 2024 APCO Geopolitical Radar - The Global Operating Environment for BusinessQ2 2024 APCO Geopolitical Radar - The Global Operating Environment for Business
Q2 2024 APCO Geopolitical Radar - The Global Operating Environment for BusinessAPCO
 
Slicing Work on Business Agility Meetup Berlin
Slicing Work on Business Agility Meetup BerlinSlicing Work on Business Agility Meetup Berlin
Slicing Work on Business Agility Meetup BerlinAnton Skornyakov
 
Upgrade Your Banking Experience with Advanced Core Banking Applications
Upgrade Your Banking Experience with Advanced Core Banking ApplicationsUpgrade Your Banking Experience with Advanced Core Banking Applications
Upgrade Your Banking Experience with Advanced Core Banking ApplicationsIntellect Design Arena Ltd
 
The Vietnam Believer Newsletter_MARCH 25, 2024_EN_Vol. 003
The Vietnam Believer Newsletter_MARCH 25, 2024_EN_Vol. 003The Vietnam Believer Newsletter_MARCH 25, 2024_EN_Vol. 003
The Vietnam Believer Newsletter_MARCH 25, 2024_EN_Vol. 003believeminhh
 
Talent Management research intelligence_13 paradigm shifts_20 March 2024.pdf
Talent Management research intelligence_13 paradigm shifts_20 March 2024.pdfTalent Management research intelligence_13 paradigm shifts_20 March 2024.pdf
Talent Management research intelligence_13 paradigm shifts_20 March 2024.pdfCharles Cotter, PhD
 
Lecture_6.pptx English speaking easyb to
Lecture_6.pptx English speaking easyb toLecture_6.pptx English speaking easyb to
Lecture_6.pptx English speaking easyb toumarfarooquejamali32
 
Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...
Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...
Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...IMARC Group
 

Recently uploaded (20)

Developing Coaching Skills: Mine, Yours, Ours
Developing Coaching Skills: Mine, Yours, OursDeveloping Coaching Skills: Mine, Yours, Ours
Developing Coaching Skills: Mine, Yours, Ours
 
Chicago Medical Malpractice Lawyer Chicago Medical Malpractice Lawyer.pdf
Chicago Medical Malpractice Lawyer Chicago Medical Malpractice Lawyer.pdfChicago Medical Malpractice Lawyer Chicago Medical Malpractice Lawyer.pdf
Chicago Medical Malpractice Lawyer Chicago Medical Malpractice Lawyer.pdf
 
Team B Mind Map for Organizational Chg..
Team B Mind Map for Organizational Chg..Team B Mind Map for Organizational Chg..
Team B Mind Map for Organizational Chg..
 
Plano de marketing- inglês em formato ppt
Plano de marketing- inglês  em formato pptPlano de marketing- inglês  em formato ppt
Plano de marketing- inglês em formato ppt
 
HELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptx
HELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptxHELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptx
HELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptx
 
Investment Opportunity for Thailand's Automotive & EV Industries
Investment Opportunity for Thailand's Automotive & EV IndustriesInvestment Opportunity for Thailand's Automotive & EV Industries
Investment Opportunity for Thailand's Automotive & EV Industries
 
A flour, rice and Suji company in Jhang.
A flour, rice and Suji company in Jhang.A flour, rice and Suji company in Jhang.
A flour, rice and Suji company in Jhang.
 
MC Heights construction company in Jhang
MC Heights construction company in JhangMC Heights construction company in Jhang
MC Heights construction company in Jhang
 
Introduction to The overview of GAAP LO 1-5.pptx
Introduction to The overview of GAAP LO 1-5.pptxIntroduction to The overview of GAAP LO 1-5.pptx
Introduction to The overview of GAAP LO 1-5.pptx
 
The End of Business as Usual: Rewire the Way You Work to Succeed in the Consu...
The End of Business as Usual: Rewire the Way You Work to Succeed in the Consu...The End of Business as Usual: Rewire the Way You Work to Succeed in the Consu...
The End of Business as Usual: Rewire the Way You Work to Succeed in the Consu...
 
MoneyBridge Pitch Deck - Investor Presentation
MoneyBridge Pitch Deck - Investor PresentationMoneyBridge Pitch Deck - Investor Presentation
MoneyBridge Pitch Deck - Investor Presentation
 
PDT 88 - 4 million seed - Seed - Protecto.pdf
PDT 88 - 4 million seed - Seed - Protecto.pdfPDT 88 - 4 million seed - Seed - Protecto.pdf
PDT 88 - 4 million seed - Seed - Protecto.pdf
 
Fabric RFID Wristbands in Ireland for Events and Festivals
Fabric RFID Wristbands in Ireland for Events and FestivalsFabric RFID Wristbands in Ireland for Events and Festivals
Fabric RFID Wristbands in Ireland for Events and Festivals
 
Q2 2024 APCO Geopolitical Radar - The Global Operating Environment for Business
Q2 2024 APCO Geopolitical Radar - The Global Operating Environment for BusinessQ2 2024 APCO Geopolitical Radar - The Global Operating Environment for Business
Q2 2024 APCO Geopolitical Radar - The Global Operating Environment for Business
 
Slicing Work on Business Agility Meetup Berlin
Slicing Work on Business Agility Meetup BerlinSlicing Work on Business Agility Meetup Berlin
Slicing Work on Business Agility Meetup Berlin
 
Upgrade Your Banking Experience with Advanced Core Banking Applications
Upgrade Your Banking Experience with Advanced Core Banking ApplicationsUpgrade Your Banking Experience with Advanced Core Banking Applications
Upgrade Your Banking Experience with Advanced Core Banking Applications
 
The Vietnam Believer Newsletter_MARCH 25, 2024_EN_Vol. 003
The Vietnam Believer Newsletter_MARCH 25, 2024_EN_Vol. 003The Vietnam Believer Newsletter_MARCH 25, 2024_EN_Vol. 003
The Vietnam Believer Newsletter_MARCH 25, 2024_EN_Vol. 003
 
Talent Management research intelligence_13 paradigm shifts_20 March 2024.pdf
Talent Management research intelligence_13 paradigm shifts_20 March 2024.pdfTalent Management research intelligence_13 paradigm shifts_20 March 2024.pdf
Talent Management research intelligence_13 paradigm shifts_20 March 2024.pdf
 
Lecture_6.pptx English speaking easyb to
Lecture_6.pptx English speaking easyb toLecture_6.pptx English speaking easyb to
Lecture_6.pptx English speaking easyb to
 
Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...
Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...
Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...
 

Lean Startup Workshop

  • 1. Lean Startup Workshop Tathagat Varma VP, Strategic Process Innovations [24]7 Innovation Labs
  • 2. So I have an idea…a BIG idea!!! How should I proceed?
  • 4. I could do… OR Dot-com-era style “Stealth Mode” Startup Cowboy style “Just Do It” Startup
  • 5. What do you need to create successful products?
  • 8. Performance of Traditional Startups http://www.statisticbrain.com/startup-failure-by-industry/
  • 11. Guess what’s so special about this beautiful city? Picture: http://www.news.com.au/travel/holiday-ideas/inside-china8217s-ghost-cities/story-e6frfqd9-1226716277487 “Build and they will come” is not a strategy, it’s a prayer. – Steve Blank
  • 13. Meet the most ferocious lion in Sweden… ...built without customer feedback…?
  • 14. Internet Hall of Shame… http://themyndset.com/2013/05/catch-the-wave-right-mindset-digital-iq/ http://www.cnet.com/1990-11136_1-6278387-1.html
  • 15. Google’s Hall of Shame 4.85yrs to pull out??? http://blog.priceonomics.com/post/46028291791/digging-around-in-the-google-graveyard
  • 17. Of those who succeed, drastically change their plans along the way! 2/3rd
  • 22. So what works then? “Not a better Plan A but a path to a plan that works before running out of resources” - Ash Maurya, Running Lean
  • 26. Problem with traditional model From: Running Lean – Ash Maurya The Startup Owners Manual – Steve Blank “In large companies, the mistakes just have additional zeroes in them”. – Steve Blank
  • 28. “So what is it that makes some startups successful and leaves others selling off their furniture? Simply this: startups that survive the first few tough years do not follow the traditional product-centric launch model espoused by product managers or the venture capital community. Through trial and error, hiring and firing, successful startups all invent a parallel process to Product Development. In particular, the winners invent and live by a process of customer learning and discovery. I call this process "Customer Development,” a sibling to "Product Development” and each and every startup that succeeds recapitulates it, knowingly or not.” – Steve Blank
  • 33. The Customer Development Insight Cycle
  • 34. “A startup is NOT a smaller version of a large company” – Steve Blank
  • 35. What’s a Startup? “A startup is a human institution designed to create a new product or service under conditions of extreme uncertainty” The products a startup builds are really experiments; the learning about how to build a sustainable business is the outcome of those experiments.
  • 36. Lean Startup Model •  The Lean Startup provides a scientific approach to creating and managing startups and get a desired product to customers' hands faster. The Lean Startup method teaches how to drive a startup-how to steer, when to turn, and when to persevere-and grow a business with maximum acceleration. It is a principled approach to new product development. •  Lean Startup favors –  experimentation over elaborate planning, –  customer feedback over intuition, and –  iterative design over traditional ‘big design up front’ development
  • 37. Lean Startup Principles Entrepreneurs are everywhere Entrepreneurship is management Validated Learning Build-Measure-Learn Innovation Accounting
  • 38. Are all Startups the same? Lifestyle Startups Work to live their passion Small business Startup Work to fee the family Funded from savings Barely profitable Not designed for scale Scalable Startup Born to be big Founders have a vision Require risk capital Buyable startup Acquisition targets Social Startup Driven to make a difference Large- company Startup Innovate or Evaporate
  • 39. 3 Stages of a startup “Do I have a problem worth solving?” “Have I built something people want?” “How do I accelerate growth?” From: Running Lean – Ash Maurya
  • 40. Three Stages of a Startup http://www.thesups.com/wp-content/uploads/2014/07/3-stages.jpg
  • 43. GET OUT OF THE BUILDING…
  • 45. A Pivot is a structural course correction to test a new fundamental hypothesis about the product, strategy and engine of growth. It is not a failure! http://steveblank.files.wordpress.com/2010/11/pivot-the-model.jpg
  • 46. So, what is your product? From: Running Lean – Ash Maurya
  • 50. MVP A strategy used for fast and quantitative market testing of a product or product feature   A Minimum Viable Product has just those features that allow the product to be deployed, and no more. The product is typically deployed to a subset of possible customers, such as early adopters that are thought to be more forgiving, more likely to give feedback, and able to grasp a product vision from an early prototype or marketing information. It is a strategy targeted at avoiding building products that customers do not want, that seeks to maximize the information learned about the customer per dollar spent. "The minimum viable product is that version of a new product which allows a team to collect the maximum amount of validated learning about customers with the least effort." The definition's use of the words maximum and minimum means it is decidedly not formulaic. It requires judgment to figure out, for any given context, what MVP makes sense. An MVP is not a minimal product,[3] it is a strategy and process directed toward making and selling a product to customers. It is an iterative process of idea generation, prototyping, presentation, data collection, analysis and learning. One seeks to minimize the total time spent on an iteration. The process is iterated until a desirable product-market fit is obtained, or until the product is deemed to be non- viable.
  • 54. Coffee Shop MVP Good MVP: You have a menu with only a few selection of coffee, but all of them taste great. Your shop is clean and tidy with white painted walls and decent looking coffee tables with comfortable seats. Your cashier is polite and you take Visa and Mastercard. No American Express though (we're cool with that). Bad MVP: You have a menu with a few selection of coffee, but most of them taste horrible. Your shop is below par and your seats are uncomfortable. Also, your store only takes cash and your cashiers are flirting with each other. Horrible MVP: You have 40 items on your menu - Coffee, frappuccino, espresso, cakes, croissants, biscuits, tea, fried rise, chicken nuggets, etc (you get the idea). You gold plate your store front and your store interior is pimped out with the most expensive furniture and coffee mugs. You put Samsung LCD TVs at every table and the chairs are massage chairs. You take Visa, Mastercard, American Express, and Home Depot gift cards. http://startitup.co/guides/376/mvp-minimum-viable-product
  • 55. If you’re not embarrassed by your first product release, you’ve released too late – Reid Hoffman
  • 57. Pivot
  • 58. Pivot now, Optimize later From: Running Lean – Ash Maurya
  • 59. Make the transition only after you have a ‘scalable startup’
  • 60. How to optimize? From: Running Lean – Ash Maurya
  • 61. When to raise money? From: Running Lean – Ash Maurya
  • 63. Validated Learning •  Validated learning about customers is the measure of progress in a Lean Startup – not lines of working code or achieving product development milestones. •  Process in which one learns by trying out an initial idea and then measuring it to validate the effect. Each test of an idea is single iteration in a larger process of many iterations whereby something is learnt and the lessons applied to the succeeding tests.[1] •  Typical steps in validated learning: –  Specify a goal –  Specify a metric that represents the goal –  Act to achieve the goal –  Analyze the metric - did you get closer to the goal? –  Improve and try again
  • 64. Innovation Accounting •  Enables startups to prove objectively that they are learning how to grow a sustainable business –  Use an MVP to establish real data on where the company is right now –  Startups must attempt to tune the engine from the baseline toward the ideal. This could take many attempts. –  Pivot or persevere •  Actionable vs. Vanity Metrics –  For a report to be considered actionable, it must demonstrate clear cause and effect. Otherwise, it is a vanity metric. –  Actionable metrics can lead to informed business decisions and subsequent action.[24][1] These are in contrast to 'vanity metrics' - measurements that give “the rosiest picture possible” but do not accurately reflect the key drivers of a business.
  • 66. Innovation = Ideate + Productize + Commercialize + Discover Business Model
  • 68. Case Study: Ash Maurya’s Running Lean book From: Running Lean – Ash Maurya
  • 69. Pivot vs. Optimizations •  Pivot is change in direction without change in strategy •  Pivot before Product/Market Fit, Optimize After •  Pivots are about finding a plan that works, while optimizations are about accelerating that plan.
  • 71. Recap •  Don’t build something no one wants! Discover customers first •  Search for the business model Validate your assumptions •  Build, measure and learn iteratively Build products iteratively •  Aggressively execute business plan and optimize Scale-up for execution
  • 72. “I never perfected an invention that I did not think about in terms of the service it might give others... I find out what the world needs, then I proceed to invent....” - Thomas Edison
  • 73. References •  The Startup Owners Manual – Steve Blank •  Four Steps to Ephphany – Steve Blank •  The Lean Startup – Eric Ries •  Running Lean – Ash Maurya •  Business Model Generation – Alexander Osterwalder •  www.steveblank.com •  http://blog.startupcompass.co/ •  http://blogs.wsj.com/accelerators/2013/06/24/steve-blank-the-6-types-of- startups-2/ •  www.ashmaurya.com •  http://www.slideshare.net/torrg/10-scrappy-minimum-viable-products-that- made-it-big-9397834 •  http://www.hackerchick.com/2013/02/5-mvp-examples.html •  http://techcrunch.com/2011/10/19/dropbox-minimal-viable-product/