Getting Lean: Essential Tools for Running a Lean Startup
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The Idea Village entrepreneur in resident, J Miguez, presents all the essential tools you need to run a lean startup in our second IDEAinstitute.
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Getting Lean: Essential Tools for Running a Lean Startup
- 2. www.ideavillage.org • • • • •
- 5. 5 © LearningHacks 2014 Are you ready?
- 6. 6 © LearningHacks 2014 Getting Lean Essential Tools for Running a Lean Startup Lean 2 Win 3 to Make Your Startup a Huge Success Which session do you want?
- 7. 7 © LearningHacks 2014 What do you want from today? To learn everything you need to launch a wildly successful venture. or To learn: •What the business model canvas is •Why the canvas is important to me •What the scientific method is •How to think like a scientist •How to think about customers •What I can learn from customers
- 8. 8 © LearningHacks 2014 Who ( ) says I am J. Anthony Miguez Founder Advisor EIR Head of Strategy Talent Management Solution Architect General Partner Limited Partner Blogger
- 9. 9 © LearningHacks 2014 Who (I think) I Am
- 10. 10 © LearningHacks 2014 Question #1 Q: What is a startup?
- 11. 11 © LearningHacks 2014 Question #1 Q: What is a startup? A: Enterprise where… “unknowns” > “knowns”
- 12. 12 © LearningHacks 2014 Question #2 Q: What is a startup’s scarcest resource?
- 13. 13 © LearningHacks 2014 Question #2 Q: What is a startup’s scarcest resource? A: Time
- 14. 14 © LearningHacks 2014 Question #3 Q: What is “lean”?
- 15. 15 © LearningHacks 2014 Question #3 Q: What is “lean”? A: Resource efficient approach to turning “unknowns” into “knowns”
- 16. 16 © LearningHacks 2014 Lean Startup Build Measure Learn
- 17. 17 © LearningHacks 2014 Three Tools CUSTOMER DISCOVERY CUSTOMER VALIDATION SEARCH
- 18. 18 © LearningHacks 2014 Business Model Canvas I BMC
- 19. 19 © LearningHacks 2014 Why The BMC? •Flexible •Focusing •Visual language •Common language •System •Stakeholder alignment
- 20. 20 © LearningHacks 2014 BMC Overview Key Partners Customer Segments Value Proposition Cost Structure Revenue Streams Key Activities Key Resources Customer Relationship Channels
- 21. 21 © LearningHacks 2014 Operations Key Partners Customer Segments Value Proposition Cost Structure Revenue Streams Key Activities Key Resources Customer Relationship Channels
- 22. 22 © LearningHacks 2014 Finance Key Partners Customer Segments Value Proposition Cost Structure Revenue Streams Key Activities Key Resources Customer Relationship Channels
- 23. 23 © LearningHacks 2014 Product/Market Fit Key Partners Customer Segments Value Proposition Cost Structure Revenue Streams Key Activities Key Resources Customer Relationship Channels
- 24. 24 © LearningHacks 2014 The Evolving BMC Checklist Story Pattern
- 25. 25 © LearningHacks 2014 Canvas Stories Why stories matter: •They engage •They provide context •They build relationships •They illustrate success and failure •They allow for reflection •They slow things down •They show the how and whys •They show multiple perspectives •They help us unlearn •They spread! Borrowed and bastardized from Craig Wortmann’s awesome book, “What’s Your Story”
- 26. 26 © LearningHacks 2014 Canvas Stories [company name] [value proposition] to/for [customer segment]. We deliver our value via [channels] by [key activities/resources/partners]. Through our [customer relationship] we are sustainable because our [revenue streams] exceed our [cost structure].
- 27. 27 © LearningHacks 2014 Canvas Stories What does your canvas say?
- 28. 28 © LearningHacks 2014 Business Model Canvas Key Partners Customer Segments Value Proposition Cost Structure Revenue Streams Key Activities Key Resources Customer Relationship Channels Q: So you have done all this work on your BMC and what do you have?
- 29. 29 © LearningHacks 2014 Business Model Canvas Key Partners Customer Segments Value Proposition Cost Structure Revenue Streams Key Activities Key Resources Customer Relationship Channels A: A great set of guesses! ? ? ? ? ? ? ? ? ?
- 30. 30 © LearningHacks 2014 Scientific Thinking When you assume you…
- 31. 31 © LearningHacks 2014 Scientific Thinking PIVOT?
- 32. 32 © LearningHacks 2014 Experiment Design Successful Experiment Design Defines: •Assumptions (problem not feature focused) •Riskiest assumption •Learning objectives •Measurement plan •Minimal Viable Product (MVP) •Minimum Success Criteria
- 33. 33 © LearningHacks 2014 Experiment Design Types of experiments: •Interviews •Concierge service •“Wizard of Oz” •Landing page
- 34. 34 © LearningHacks 2014 Scientific Thinking So what are you going to test? 1.Describe your assumption 2.Define your experiment 3.State your hypothesis
- 35. 35 © LearningHacks 2014 Customer Development CUSTOMER DISCOVERY CUSTOMER VALIDATION SEARCH CUSTOMER CREATION CUSTOMER BUILDING EXECUTE
- 36. 36 © LearningHacks 2014 Customer Development CUSTOMER DISCOVERY CUSTOMER VALIDATION SEARCH Customer Discovery answers: •Who your customer segments are •What they value in your product/service Customer Validation answers: •Can the business scale •Is there a repeatable and scalable sales model •Is the sales funnel predictable
- 37. 37 © LearningHacks 2014 Customer Development CUSTOMER DISCOVERY Think and Feel •Major preoccupations •Worries and aspiration See •Environment •Friends •What else in the market Say and Do •Attitude in public •Appearance •Behavior towards others Hear •Friends say •Influencers •Boss/family Pain •Fear •Frustration •Obstacles Gain •Wants/needs •Measures of success Customer Definition
- 38. 38 © LearningHacks 2014 Customer Development
- 39. 39 © LearningHacks 2014 Customer Development Describe your proto-typical “early-adopter” customer to your neighbor.
- 40. 40 © LearningHacks 2014 How Did I Do? Objective: To teach you everything you need to launch a wildly successful social venture. Question 1: Would you recommend this session to other entrepreneurs?
- 41. 41 © LearningHacks 2014 How Did We Do? Question 1: Would you recommend this session to other entrepreneurs? Prediction: 80% (some of you are just being polite) Question 2: What is the highest price you would be willing to pay for this session? a)$25 b)$50 c)$100
- 42. 42 © LearningHacks 2014 How Did We Do? Question 1: Would you recommend this session to other entrepreneurs? Prediction: 80% (some of you are just being polite) Question 2: What is the highest price you would be willing to pay for this session? a)$0 (30%) b)$25 (40%) c)$50 (20%) d)$100 (10%)
- 43. 43 © LearningHacks 2014 Thank You All resources can be found here http://bit.ly/1qsCF78 I can be found here @janthonymez