Lean Startup

Start-Up: A temporary organization designed to search for a repeatable & scalable business model under conditions of extreme uncertainty Goal: To figure out the right thing to build, the thing customers want & will pay for, as quickly as possible before running out of resources. !

1. START-UP 2. BIG BUSINESS

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Looking for a Executing a business model business model

“Planning comes before the plan�

A week in the life of an entrepreneur

It may seem counterintuitive to think that something as disruptive, innovative & chaotic as a startup can be managed, or to be accurate, must be managed.

Most start-ups than from a failure of product development.

They simply did not find enough customers to pay them enough $.

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Asmaa

Lean Canvas

Day 1

Untested Hypotheses

1. Organise our thinking

3. Turn hypotheses into facts

2. Get out of the building

4. Update canvas & becomes scorecard

The Different Worldviews of a Startup:

Entrepreneurs

Customers

Investors

Advisors

Minimize TOTAL time through the loop

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Example of an Experiment Report

B U I L D

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HereĘźs what we thought

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HereĘźs what we did !!

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HereĘźs what we found

MEASURE

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LEARN

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HereĘźs what we are going to do next

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TIMELINE & EXPECTATIONS

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START FROM: Validating Problem / Customer Hypothesis

GET OUT OF THE BUILDING

YES

NO

Create Solutions & Unique Value Proposition

Talk to more customers or another customer segment

MINIMUM VIABLE PRODUCT

PIVOT

PERSEVERE SHARE:

EACH WEEK: Build – Measure – Learn

• • • • •

Hypothesis: Hereʼs what we thought Experiments: So hereʼs what we did Results: So hereʼs what we found Iterate: So hereʼs what we are going to do next Update Lean Canvas

2nd – 8th Mar 2014

8th – 15th Feb 2014 • • •

• Prepare updated Lean Canvas Send invitations to mentor & PwC on LeanStack Identify potential Problem & Customer Segment •

16th – 22nd Feb 2014 • •

Talk to 10 potential customers Validate Problem & Customer hypotheses

23rd – 1st Mar 2014 • • • 1! !

Identify potential UVP / Solution based on validated Problem / Customer hypotheses Talk to another 10 – 15 potential customers Validate UVP / Solution hypotheses (incl. features for MVP)

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Based on customer insight, decide to pivot / persevere Talk to another 10 potential customers and/or channel partners Identify basic revenue model strategy & how to reach customers

9th – 15th Mar 2014

• •

Understand basic fixed & variable costs involved List key activities that need to be tracked

16th – 23rd Mar 2014

• Understand an unfair advantage that cannot be easily copied or bought by potential competitors

1. Lean Startup doesn't guarantee success of your otherwise risky venture.

3. The biggest thing I would add is dealing with failure. Both on the fear of failing end (to begin with) & on the shit it's all failing end (I’m a failure).

2. When things are NOT working & NOT getting traction, is this because you’re doing it wrong or just not working at it hard enough? Are you quitting because you don't like a bit of pain or are you quitting because this is the right time to quit?

4. When certain key things haven’t worked out, I started to withdraw & stopped talking to advisers & meeting people & getting as much support, right when I really should have gotten more.

5. My advice is Lean Startup tried to take a scientific type approach. Keep treating yourself as a scientist testing the idea. Your learning journey is the core asset.