The Lean Startup method

The lean start-up is a new way of looking at the development of innovative new products that emphasizes fast iteration and customer insights, a huge vision, and great ambition all at the same time.

 

Terms

    • Entrepreneurship is Management, Discipline, and handling the chaos and uncertainty that startups must face. 
    • Validated learning: test our assumptions and learn very early what is working and what is not.
  • Learning milestone: Build cross-functional teams and hold them accountable
  • The engine of growth:
  • Every setback is an opportunity for learning how to get where they want to go.

 

🔺

Product: Optimisation

Strategy: Pivot

Vision

 

  • Build-measure-feedback loop: Instead of making complex plans that are based on assumptions you can make constant adjustments with the steering wheel.
  • Tuning the engine:

Vision

 

The Lean Startup is about learning the Business as Early as Possible (less than 30 days)

Which of our efforts are value-creating and which are wasteful?

This question is heart of lean manufacturing.

 

Value-Creating: Services ,feature, Products Providing benefits to the customer or anythingelse  is waster.

We must learn the truth about which element of our strategy are working to realize our vision and which are just crazy.We must discover what customers really want , not what they say they want or that we think they should want.We must discover whether we are on a path that will lead to growing a sustainable Business.

Validated learning :

Validated learning is the process of demonstrating empirically that a team has discovered valuable truths about a startup’s present and future business prospects.

 

It’s easy to learn things that are completely irrelevant.

 

Where do you find validation?

The validated learning is backed up by empirical data collected from, real customers.

 

Experiment

Which customer opinions should we listen to,if any?

How should we prioritize across the many features we could build?

What features are essential to the product’s success and which are ancillary?

What can be change safely and what can might anger customers?

What should we work on next?

 

The goal of every start up is to build a sustainable Business.

Think Big , Start small

Launch of Zappos,Amazon.

Smoke test.

 

Strategic planning takes months to complete; these experiments could begin immediately by starting small, we could prevent a tremendous amount of waste of time and resources without compromising overall vision.

 

Value Hypothesis:  Test whether a product or service really delivers values to customers once they are using it.What’s good indicator that employees find donating their time valuable.

Growth Hypothesis: How new customers will discover a product or service.How will it spread among the employees, from initial adopters to mass adopters through the company. S-Curve

The point is not to find the average customers but to find Early adopters. We build Conierge minimum Viable Product.

 

First answer these questions

1: Do consumers recognize that they have the problem you are trying to solve?

2: IF there was a solution, would they Buy it?

3 Would they Buy it from us?

4: Can we build a solution for that problem?

 

The common tendency is to skip to the  fourth question and build a solution before confirming that customers have the problem.

 

MVP:

If there is complaints it confirm there is need of that product.

If there is missing features..these suggest those hypothetic features where really important, they are on right track.

 

What about feature that ware on the roadmap but that customers did not complain about? Maybe those features weren”t as impostant as they initially seemed.

 

Steer

The Products a startup builds are really experiments;the learning about how to build a sustainable business is the outcome of those experiments.

Build measure learn feedback loop

 

Ideas – Build – Product – Measure- Data – learn

We need to focus our energies on minimizing the time through the feedback loop.