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Think Like an Agilist
   Denver Startup Week
Ryan Martens


               @RallyOn
Think Like an Agilist
Social	
  
MISSION
A	
  founda-on	
  for	
  the	
  mobilize	
  ci-zen	
  engineers	
  around	
  the	
  globe	
  with	
  our	
  
employees,	
  customers	
  and	
  partners	
  
Think Like an Agilist
Zach Nies


@zachnies
Why I care
about startups
Think Like an Agilist
Font Sampler




http://media.kelbymediagroup.com/layersmagazine/images/columns/artoftype/may06/glyph-set.jpg   http://en.wikipedia.org/wiki/File:Caslon-schriftmusterblatt.jpeg
Think Like an Agilist
2,500,000
         Customers

Revolutionized
 an industry
Think Like an Agilist
Amazing
team, culture,
 product, and
   process
One problem…
Bad business
Revolutionized
   nothing
Think Like an Agilist
Amazing
 team, culture,
product, process
I love to change
    industries
Apply new
  disciplines
to your startup
Become disciplined
   explorers…
who know how to
balance exploration
   and execution
Increase your
odds of success
Typical approach
h;p://www.flickr.com/photos/isaacmao/380257543	
  
Market research
               Product definition
            Product requirements
                    Detailed plan
                    Alpha release
                     Beta release
                     Final release
FIRST CONTACT WITH CUSTOMERS
Market research
               Product definition
            Product requirements
                    Detailed plan
                    Alpha release
                     Beta release
                     Final release
FIRST CONTACT WITH CUSTOMERS
Market research
               Product definition
            Product requirements
                    Detailed plan
                    Alpha release
                     Beta release
                     Final release
FIRST CONTACT WITH CUSTOMERS
Market research
               Product definition
            Product requirements
                    Detailed plan
                    Alpha release
                     Beta release
                     Final release
FIRST CONTACT WITH CUSTOMERS
Market research
               Product definition
            Product requirements
                    Detailed plan
                    Alpha release
                     Beta release
                     Final release
FIRST CONTACT WITH CUSTOMERS
Market research
               Product definition
            Product requirements
                    Detailed plan
                    Alpha release
                     Beta release
                     Final release
FIRST CONTACT WITH CUSTOMERS
Market research
               Product definition
            Product requirements
                    Detailed plan
                    Alpha release
                     Beta release
                     Final release
FIRST CONTACT WITH CUSTOMERS
HOW MANY GUESSES?
FIRST CONTACT WITH
POTENTIAL CUSTOMERS
Think Like an Agilist
Think Like an Agilist
h;p://www.flickr.com/photos/oregondot/4132135156	
  
Create a plan to
predict the future

              h;p://www.flickr.com/photos/isaacmao/380257543	
  
Why doesn’t
this work?
Think Like an Agilist
Need to create
   an environment
to discover the future
Increase your
odds of success
Discover the future
                  Vision	
  &	
  
                  Empathy	
                                                                           Culture
                                                          Business	
  Model	
  
            Frame                                    Frame                                   Frame                                   Frame
                          Build & Ship




                                                                  Build & Ship




                                                                                                          Build & Ship




                                                                                                                                                  Build & Ship
Learn




                                         Learn




                                                                                 Learn




                                                                                                                         Learn
        Test & Measure                           Test & Measure                          Test & Measure                          Test & Measure
Lean Startup
Customer Development
Explore     Execute
          h;p://www.slideshare.net/sblank/the-­‐startup-­‐owners-­‐manual-­‐sxsw-­‐11954724	
  
Think Like an Agilist
Frame                                        Frame




                                                                                             Build & Ship
                         Build & Ship


                                        Learn
Learn




        Test & Measure                          Test & Measure




                 Explore                          h;p://www.slideshare.net/sblank/the-­‐startup-­‐owners-­‐manual-­‐sxsw-­‐11954724	
  
Startups are NOT
 smaller versions
of big companies
Discover and solve
customer’s problem
Explore
          h;p://www.slideshare.net/sblank/the-­‐startup-­‐owners-­‐manual-­‐sxsw-­‐11954724	
  
Business Model
Think Like an Agilist
1  4 3 9 2
   8   5
  7     6
Think Like an Agilist
Example – iPod
+                     Margin & Profit

                                                         Walkman for
                                                        the digital age

                             Design, Manufacturing,
                              Marketing, Support




h;p://www.flickr.com/photos/mrmonochrome/93535053	
                        h;p://www.flickr.com/photos/75001512@N00/4683351383	
  
Now you have
a bunch of guesses
h;p://www.flickr.com/photos/isaacmao/380257543	
  
Obscure the guesses
    with details
Guesses
                          Frame & Empathize




          Learn & Share




                                              Build & Ship
                          Test & Measure




                                   Knowledge
Big Guess:

We understand the
problem a customer
   wants solved
Think Like an Agilist
Who is
feeling the pain?
What pain
are they feeling?
How do they make
that pain go away
      today?
“Customers don’t care
 about your solution.
 They care about their
 problems.
                  Dave McClure
h;p://www.flickr.com/photos/adac-o/2535502416	
  
Typical
market research:

   Customer
   attributes
h;p://www.flickr.com/photos/serpicolugnut/172616929	
  
Innovation
market research:

    Customer
 circumstances
h;p://www.flickr.com/photos/indigoprime/2481346616	
  
h;p://www.flickr.com/photos/twostoutmonks/664314897	
  
Milkshake Test



    What job is
your solution being
 hired to perform?
Problem Interview Overview
Problem Interview Overview
Think Like an Agilist
Example - Iridium
1987
1987            1999
       $5.2 B
1987            1999
       $5.2 B
   30,000 not 42M
1987                   1999
          $5.2 B
   30,000 not 42M

       Sold for $25M
Next big guess:

     Our product
solves the customer’s
    job to be done
Think Like an Agilist
Test your
low fidelity Minimum
   Viable Product
Limited access
to a rough prototype
Think Like an Agilist
Example - $40 MVP
Think Like an Agilist
Next big guess:

Our business model
 can be profitable
Think Like an Agilist
High level business model




                      h;p://www.forentrepreneurs.com/saas-­‐metrics/	
  
Think Like an Agilist
Pivot
    or
Persevere?
Explore
          h;p://www.slideshare.net/sblank/the-­‐startup-­‐owners-­‐manual-­‐sxsw-­‐11954724	
  
Explore
          h;p://www.slideshare.net/sblank/the-­‐startup-­‐owners-­‐manual-­‐sxsw-­‐11954724	
  
Next big guess:

We can sell our offer
        or
  We can acquire
 and retain users
Think Like an Agilist
Next guess:

We know how to sell
    our product
Product Positioning

For (target customers)
Who (have the following problem)
The (product name) is a (describe the
product or solution)
That provides (key benefit)
Unlike (reference competition),
The product/solution (describe the key
point of competitive differentiation)
Think Like an Agilist
You


      ?
You
Find
Earlyvangelists
Think Like an Agilist
Next guess:

Our draft sales plan
will close or activate
      customers
You
h;p://www.flickr.com/photos/-nfoilraccoon/5555060858	
  
Get out and sell*
      *as founders,
not by hiring sales people
Sales Funnel




h;p://www.flickr.com/photos/carlagates247/5524789016	
  
Activation Funnel




h;p://www.flickr.com/photos/500hats/577630547	
  
Product Roadmap

       8/31/10	
               10/30/10	
                  1/?/11	
                  3/?/11	
  


       Release 1                Release 2                 Release 3                 Release 4


Theme: UI                Theme: Reporting          Theme: Dashboards         Theme: Admin

For X, this UI release   For <who>, this release   For <who>, this release   For <who>, this release
provides <what value>    provides <what value>     provides <what value>     provides <what value>




Key Features:            Key Features:             Key Features:             Key Features:
    1. Feature A             4. Feature B’             7. Feature B’’            10. Feature F
    2. Feature B             5. Feature C’             8. Feature D’             11. Feature G
    3. Feature C             6. Feature D              9. Feature E
Think Like an Agilist
Next guess:

We can position our
 company brand
h;p://www.flickr.com/photos/bikracer/4571472032	
  
Think Like an Agilist
Pivot
    or
Persevere?
Pivot or Persevere checklist
Execute
h;p://www.slideshare.net/sblank/the-­‐startup-­‐owners-­‐manual-­‐sxsw-­‐11954724	
  
Explore     Execute
          h;p://www.slideshare.net/sblank/the-­‐startup-­‐owners-­‐manual-­‐sxsw-­‐11954724	
  
“Get out of
the building!”
Steve Blank
“Meaning
emerges through
  interaction”
        Dave Snowden
Empathy and insight
Build empathy for our
users and customers
h;p://www.flickr.com/photos/skillerphotos/7875656716	
  
Think Like an Agilist
Think Like an Agilist
Think Like an Agilist
Design Thinking




                  h;p://www.flickr.com/photos/rkeefer/164636147	
  
Think Like an Agilist
?
Think Like an Agilist
Think Like an Agilist
Uncertainty
Uncertainty
makes it difficult
Where does
uncertainty live?
Brown,	
  Tim	
  (2009-­‐09-­‐16).	
  Change	
  by	
  Design	
  (Kindle	
  Loca-on	
  1984).	
  Harper	
  Collins,	
  Inc..	
  Kindle	
  Edi-on.	
  	
  
Where are you?
Brown,	
  Tim	
  (2009-­‐09-­‐16).	
  Change	
  by	
  Design	
  (Kindle	
  Loca-on	
  1984).	
  Harper	
  Collins,	
  Inc..	
  Kindle	
  Edi-on.	
  	
  
Level of uncertainty




        Brown,	
  Tim	
  (2009-­‐09-­‐16).	
  Change	
  by	
  Design	
  (Kindle	
  Loca-on	
  1984).	
  Harper	
  Collins,	
  Inc..	
  Kindle	
  Edi-on.	
  	
  
When to
explore vs execute?
What to do




Execute




    Brown,	
  Tim	
  (2009-­‐09-­‐16).	
  Change	
  by	
  Design	
  (Kindle	
  Loca-on	
  1984).	
  Harper	
  Collins,	
  Inc..	
  Kindle	
  Edi-on.	
  	
  
What to do




   Brown,	
  Tim	
  (2009-­‐09-­‐16).	
  Change	
  by	
  Design	
  (Kindle	
  Loca-on	
  1984).	
  Harper	
  Collins,	
  Inc..	
  Kindle	
  Edi-on.	
  	
  
What to do




   Big
Companies




     Brown,	
  Tim	
  (2009-­‐09-­‐16).	
  Change	
  by	
  Design	
  (Kindle	
  Loca-on	
  1984).	
  Harper	
  Collins,	
  Inc..	
  Kindle	
  Edi-on.	
  	
  
Big
Companies
            h;p://www.flickr.com/photos/ironnickel/6076087519	
  
Startups

h;p://www.flickr.com/photos/elcapitan/2387917709	
  
30 years
of science
Unordered                    Ordered
   High                       Low
Uncertainty                Uncertainty




Chaotic   Complex   Complicated Simple
Unordered                     Ordered


          Complex   Complicated
Chaotic                           Simple
Unordered                Ordered

      Complex    Complicated


       Chaotic     Simple
Unordered       Ordered
        E   E
        x   x
        p   e
        l   c
        o   u
        r   t
        e   e
Unordered       Ordered
        E   D
        m   e
        e   l
        r   i
        g   b
            e
        e   r
            a
        n   t
        t   e
Unordered       Ordered
        P
        r   P
        e
        p   l
        a   a
        r   n
        e
Unordered           Ordered
        E
        n
        t   G   M
        r   e   a
        e   n   n
        p   e   a
        r   r   g
        e   a   e
        n   l   r
        e
        u
        r
Ideal team sizes

Complex                          Complicated
 < 30 People                < 150 People




 < 7 People                 > 150 People
Chaotic                               Simple
Example – Taxi Cabs
h;p://www.flickr.com/photos/emilyrides/5048843409	
  
Think Like an Agilist
Think Like an Agilist
Think Like an Agilist
Brown,	
  Tim	
  (2009-­‐09-­‐16).	
  Change	
  by	
  Design	
  (Kindle	
  Loca-on	
  1984).	
  Harper	
  Collins,	
  Inc..	
  Kindle	
  Edi-on.	
  	
  
Think Like an Agilist
Apply new
  disciplines
to your startup
Become disciplined
   explorers…
Don’t squander
  your time
building
the wrong business
Do what you love
Love what you do
Think Like an Agilist
Books that informed this talk
People who informed this talk




 David      Max        Ash       Clayton
Snowden    Boisot     Maurya   Christensen




           Frank H.    Eric
            Knight     Ries
Geoffrey                          Steve
 Moore                            Blank
h;p://www.flickr.com/photos/fla;op341/224597838	
  
@zachnies
     @RallyOn
#DenverStartupWeek

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