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Lean
Entrepreneurship

     Andreas Kwiatkowski
        www.kwiat.org @kwiat
Andreas Kwiatkowski




B264: Consulting, EISENHOWER and more
simfy: Head of Product, Product Manager
IBM: Solution Executive




www.kwiat.org
@kwiat
Eric Ries          Steve Blank                  Alex Osterwalder
The Lean Startup   The Startup Owner's Manual   Business Model Generation
A startup is a temporary organization searching for
a scalable and repeatable business model
under conditions of extreme uncertainty.
More startups fail from a lack of customers than
from a failure of product development.
The Lean Startup movement isn't about spending
less money or just failing fast. It is a methodology
around the development of a product.
I. Experiments
Validate your assumptions and mitigate risks
in your startup through constant learning.
Start with the riskiest assumptions
for your first experiment.
Validation through testing hypotheses




         Customer     Problem     Solution
Build
Build



Minimum Viable Product
Build




Measure
Build



Innovation Accounting




      Measure
Learn             Build




        Measure
Learn                  Build



    Continuous Improvement
            & Pivot




           Measure
Learn             Build




        Measure
Learn                   Build



        Minimize Loop Time




             Measure
II. Action
Talk to customers, get something out the door now
and accept failing as a positive outcome
of your experiments.
Don‘t plan years ahead,
don‘t choose stealth mode and
don‘t just bet on a big launch.
From idea to growth




        Problem       Product   Leverage
        Solution      Market    Engine of
           Fit          Fit      Growth
III. Experience
EISENHOWER helps you to
manage your to-dos using the
urgency-importance matrix
by former US president
Dwight D. Eisenhower.
Growing EISENHOWER




      Minimum   Web App &   iPhone
       Viable    Platform    App &
      Product    Relaunch     PR
Growing EISENHOWER




      Minimum    Web App &   iPhone
       Viable     Platform    App &
      Product     Relaunch     PR




      6 months
        150
Growing EISENHOWER




      Minimum    Web App &   iPhone
       Viable     Platform    App &
      Product     Relaunch     PR




      6 months   2 months
        150        250
Growing EISENHOWER




      Minimum    Web App &   iPhone
       Viable     Platform    App &
      Product     Relaunch     PR




                             2 weeks
      6 months   2 months
                              3000
        150        250
Request for proposal on oDesk
I am looking for an experienced PHP developer to build                                                    Use case

a tiny to-do management web application in the style of                                                   1. Guest visits page

an Eisenhower 2×2 matrix, allowing users to manage                                                        2. Guest enters first to-do in form

their to-dos by importance and urgency. I will be                                                         3. Guest hits save button

providing a HTML5 template with different header                                                          4. Overlay appears, requesting sign up to save

states and overlays, CSS and graphics (please see                                                         5. Guest enters e-mail address (must not be in database already) and chooses a password

preview attached).                                                                                        6. Overlay says, that e-mail address needs to be confirmed to enable save button

                                                                                                          7. Guest confirms his e-mail address by clicking a link in a confirmation request e-mail

Background                                                                                                8. User account is created, the user is logged in with the ability to save to-do list

Using oDesk, I wish to create a minimum viable product to collect early adopter feedback and              9. User enters to-dos and saves them

further develop this concept towards market needs. Nevertheless, I prefer a clean and smart               10. User leaves page by navigating away or logging out

technical solution, because I would like to have the code maintained as the product scales.

                                                                                                          Technical solution

Scope                                                                                                     I wish to get a deployment-ready PHP solution with database configuration file. When running, I

The site itself consists of a navigation header, a form which stores all to-dos in a MySQL database       expect a user’s save operations to be performed using Ajax without the need to refresh the page.

any time a save button is clicked, and a static footer. On page reload or login, a user’s saved data      The same is true for the sign up overlay. Using proven frameworks for PHP (f.e. CakePHP) or

will be retrieved from the database. Users are able to use, sign up for the service, log in and log out   JavaScript (f.e. jQuery) to speed up development time is appreciated.

on a single page.

                                                                                                          Deployment scenario

Sign-up                                                                                                   Linux server, running Ubuntu, Apache and MySQL

Following sign-up with e-mail address and password, an e-mail confirmation request is sent to the

new user. The e-mail address needs to be confirmed before the corresponding user account is

finally set-up and the ability to save the to-do list gets enabled.
Refined specification and e-mail conversations




            http://de.slideshare.net/kwiat/todos-specification
Minimum viable product and measurement
IV. References
Further Read
http://venturevillage.eu/stop-looking-for-a-technical-co-founder
http://venturevillage.eu/how-to-build-an-iphone-app


Starters
http://theleanstartup.com/
http://en.wikipedia.org/wiki/Lean_Startup and http://en.wikipedia.org/wiki/Minimum_viable_product


Key Influencer
Eric Ries: http://www.startuplessonslearned.com/
Steve Blank: http://www.steveblank.com
Alexander Osterwalder: http://www.businessmodelalchemist.com/


Followers
Ash Muarya: http://www.ashmaurya.com/ and http://spark59.com/blog
Ben Yoskovitz: http://www.instigatorblog.com/
Patrick Vlaskovits: http://vlaskovits.com/blog/
Brant Cooper: http://market-by-numbers.com/


Other
Lean Startup Circle: http://www.leanstartupcircle.com/


Notes
All trademarks are property of their respective owners
Many thanks to Bob Jansen for the slide template
Day     Month   Year




                                                                                                                                                                                                                                                                                                                                                                                                          No.




    Who are our Key Partners?                                           What Key Activities do our Value Propositions require?   What value do we deliver to the customer?                                             What type of relationship does each of our Customer                                                        For whom are we creating value?
    Who are our key suppliers?                                          Our Distribution Channels?                               Which one of our customer’s problems are we helping to solve?                         Segments expect us to establish and maintain with them?                                                    Who are our most important customers?
    Which Key Resources are we acquiring from partners?                 Customer Relationships?                                  What bundles of products and services are we offering to each Customer Segment?       Which ones have we established?
    Which Key Activities do partners perform?                           Revenue streams?                                         Which customer needs are we satisfying?                                               How are they integrated with the rest of our business model?
                                                                                                                                                                                                                       How costly are they?




                                                                        What Key Resources do our Value Propositions require?                                                                                          Through which Channels do our Customer Segments
                                                                        Our Distribution Channels? Customer Relationships?                                                                                             want to be reached?
                                                                        Revenue Streams?                                                                                                                               How are we reaching them now?
                                                                                                                                                                                                                       How are our Channels integrated?
                                                                                                                                                                                                                       Which ones work best?
                                                                                                                                                                                                                       Which ones are most cost-efficient?
                                                                                                                                                                                                                       How are we integrating them with customer routines?




    What are the most important costs inherent in our business model?                                                                                                       For what value are our customers really willing to pay?
    Which Key Resources are most expensive?                                                                                                                                 For what do they currently pay?
    Which Key Activities are most expensive?                                                                                                                                How are they currently paying?
                                                                                                                                                                            How would they prefer to pay?
                                                                                                                                                                            How much does each Revenue Stream contribute to overall revenues?




                                                                                                                                                                                                                                                                                               This work is licensed under the Creative Commons Attribution-Share Alike 3.0 Unported License.
                                                                                                                                                                                                                                                                                                             To view a copy of this license, visit http://creativecommons.org/licenses/by-sa/3.0/
                                                                                                                                                                                                                                                                                      or send a letter to Creative Commons, 171 Second Street, Suite 300, San Francisco, California, 94105, USA.




Business Model Canvas
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Lean Entrepreneurship

  • 1. Lean Entrepreneurship Andreas Kwiatkowski www.kwiat.org @kwiat
  • 2. Andreas Kwiatkowski B264: Consulting, EISENHOWER and more simfy: Head of Product, Product Manager IBM: Solution Executive www.kwiat.org @kwiat
  • 3. Eric Ries Steve Blank Alex Osterwalder The Lean Startup The Startup Owner's Manual Business Model Generation
  • 4. A startup is a temporary organization searching for a scalable and repeatable business model under conditions of extreme uncertainty.
  • 5. More startups fail from a lack of customers than from a failure of product development.
  • 6. The Lean Startup movement isn't about spending less money or just failing fast. It is a methodology around the development of a product.
  • 8. Validate your assumptions and mitigate risks in your startup through constant learning.
  • 9. Start with the riskiest assumptions for your first experiment.
  • 10. Validation through testing hypotheses Customer Problem Solution
  • 11. Build
  • 15. Learn Build Measure
  • 16. Learn Build Continuous Improvement & Pivot Measure
  • 17. Learn Build Measure
  • 18. Learn Build Minimize Loop Time Measure
  • 19.
  • 21. Talk to customers, get something out the door now and accept failing as a positive outcome of your experiments.
  • 22. Don‘t plan years ahead, don‘t choose stealth mode and don‘t just bet on a big launch.
  • 23. From idea to growth Problem Product Leverage Solution Market Engine of Fit Fit Growth
  • 25. EISENHOWER helps you to manage your to-dos using the urgency-importance matrix by former US president Dwight D. Eisenhower.
  • 26.
  • 27. Growing EISENHOWER Minimum Web App & iPhone Viable Platform App & Product Relaunch PR
  • 28. Growing EISENHOWER Minimum Web App & iPhone Viable Platform App & Product Relaunch PR 6 months 150
  • 29. Growing EISENHOWER Minimum Web App & iPhone Viable Platform App & Product Relaunch PR 6 months 2 months 150 250
  • 30. Growing EISENHOWER Minimum Web App & iPhone Viable Platform App & Product Relaunch PR 2 weeks 6 months 2 months 3000 150 250
  • 31. Request for proposal on oDesk I am looking for an experienced PHP developer to build Use case a tiny to-do management web application in the style of 1. Guest visits page an Eisenhower 2×2 matrix, allowing users to manage 2. Guest enters first to-do in form their to-dos by importance and urgency. I will be 3. Guest hits save button providing a HTML5 template with different header 4. Overlay appears, requesting sign up to save states and overlays, CSS and graphics (please see 5. Guest enters e-mail address (must not be in database already) and chooses a password preview attached). 6. Overlay says, that e-mail address needs to be confirmed to enable save button 7. Guest confirms his e-mail address by clicking a link in a confirmation request e-mail Background 8. User account is created, the user is logged in with the ability to save to-do list Using oDesk, I wish to create a minimum viable product to collect early adopter feedback and 9. User enters to-dos and saves them further develop this concept towards market needs. Nevertheless, I prefer a clean and smart 10. User leaves page by navigating away or logging out technical solution, because I would like to have the code maintained as the product scales. Technical solution Scope I wish to get a deployment-ready PHP solution with database configuration file. When running, I The site itself consists of a navigation header, a form which stores all to-dos in a MySQL database expect a user’s save operations to be performed using Ajax without the need to refresh the page. any time a save button is clicked, and a static footer. On page reload or login, a user’s saved data The same is true for the sign up overlay. Using proven frameworks for PHP (f.e. CakePHP) or will be retrieved from the database. Users are able to use, sign up for the service, log in and log out JavaScript (f.e. jQuery) to speed up development time is appreciated. on a single page. Deployment scenario Sign-up Linux server, running Ubuntu, Apache and MySQL Following sign-up with e-mail address and password, an e-mail confirmation request is sent to the new user. The e-mail address needs to be confirmed before the corresponding user account is finally set-up and the ability to save the to-do list gets enabled.
  • 32. Refined specification and e-mail conversations http://de.slideshare.net/kwiat/todos-specification
  • 33. Minimum viable product and measurement
  • 35. Further Read http://venturevillage.eu/stop-looking-for-a-technical-co-founder http://venturevillage.eu/how-to-build-an-iphone-app Starters http://theleanstartup.com/ http://en.wikipedia.org/wiki/Lean_Startup and http://en.wikipedia.org/wiki/Minimum_viable_product Key Influencer Eric Ries: http://www.startuplessonslearned.com/ Steve Blank: http://www.steveblank.com Alexander Osterwalder: http://www.businessmodelalchemist.com/ Followers Ash Muarya: http://www.ashmaurya.com/ and http://spark59.com/blog Ben Yoskovitz: http://www.instigatorblog.com/ Patrick Vlaskovits: http://vlaskovits.com/blog/ Brant Cooper: http://market-by-numbers.com/ Other Lean Startup Circle: http://www.leanstartupcircle.com/ Notes All trademarks are property of their respective owners Many thanks to Bob Jansen for the slide template
  • 36. Day Month Year No. Who are our Key Partners? What Key Activities do our Value Propositions require? What value do we deliver to the customer? What type of relationship does each of our Customer For whom are we creating value? Who are our key suppliers? Our Distribution Channels? Which one of our customer’s problems are we helping to solve? Segments expect us to establish and maintain with them? Who are our most important customers? Which Key Resources are we acquiring from partners? Customer Relationships? What bundles of products and services are we offering to each Customer Segment? Which ones have we established? Which Key Activities do partners perform? Revenue streams? Which customer needs are we satisfying? How are they integrated with the rest of our business model? How costly are they? What Key Resources do our Value Propositions require? Through which Channels do our Customer Segments Our Distribution Channels? Customer Relationships? want to be reached? Revenue Streams? How are we reaching them now? How are our Channels integrated? Which ones work best? Which ones are most cost-efficient? How are we integrating them with customer routines? What are the most important costs inherent in our business model? For what value are our customers really willing to pay? Which Key Resources are most expensive? For what do they currently pay? Which Key Activities are most expensive? How are they currently paying? How would they prefer to pay? How much does each Revenue Stream contribute to overall revenues? This work is licensed under the Creative Commons Attribution-Share Alike 3.0 Unported License. To view a copy of this license, visit http://creativecommons.org/licenses/by-sa/3.0/ or send a letter to Creative Commons, 171 Second Street, Suite 300, San Francisco, California, 94105, USA. Business Model Canvas

Notes de l'éditeur

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  3. The Lean Startup method teaches you how to drive a startup-how to steer, when to turn, and when to persevere-and grow a business with maximum acceleration.”\n
  4. A startup is an institution, not just a product, so it requires management, a new kind of management specifically geared to its context. A startup IS NOT a small version of an established company!!!\n
  5. Too many startups begin with an idea for a product that they think people want. They then spend months, sometimes years, perfecting that product without ever showing the product, even in a very rudimentary form, to the prospective customer. When they fail to reach broad uptake from customers, it is often because they never spoke to prospective customers and determined whether or not the product was interesting. When customers ultimately communicate, through their indifference, that they don't care about the idea, the startup fails.\n
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  7. The Lean Startup methodology has as a premise that every startup is a grand experiment that attempts to answer a question. The question is not "Can this product be built?" Instead, the questions are "Should this product be built?" and "Can we build a sustainable business around this set of products and services?"\nThis experiment is more than just theoretical inquiry; it is a first product. If it is successful, it allows a manager to get started with his or her campaign: enlisting early adopters, adding employees to each further experiment or iteration, and eventually starting to build a product.\n\n\n
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  9. The riskiest assumptions are those extremely important pieces of your business model that will fail your startup\n
  10. - Customer\n - Problem\n - Solution\n Write hypothesis for all of the areas above.\n \n \n \n
  11. Startup success can be engineered by following the process, which means it can be learned, which means it can be taught.” Eric Ries\nUsing the Lean Startup approach, companies can create order not chaos by providing tools to test a vision continuously.”\n\n\n
  12. Actionable Over Vanity Metrics\nInnovation accounting - measure your way to success\n\n
  13. Once the MVP is established, a startup can work on tuning the engine. This will involve measurement and learning and must include actionable metrics that can demonstrate cause and effect question.\nContinuous improvement (techies call it deployment)\nThe startup will also utilize an investigative development method called the "Five Whys"-asking simple questions to study and solve problems along the way. When this process of measuring and learning is done correctly, it will be clear that a company is either moving the drivers of the business model or not. If not, it is a sign that it is time to pivot or make a structural course correction to test a new fundamental hypothesis about the product, strategy and engine of growth. Pivot - Change of direction (strategy, product of growth)\n\n
  14. Overall product development philosophy\n
  15. In software engineering, continuous integration (CI) implements continuous processes of applying quality control — small pieces of effort, applied frequently. Continuous integration aims to improve the quality of software, and to reduce the time taken to deliver it, by replacing the traditional practice of applying quality control after completing all development.\n
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  18. By the time that product is ready to be distributed widely, it will already have established customers.” It will have solved real problems and offer detailed specifications for what needs to be built.\n
  19. - Customer\n - Problem\n - Solution\n Write hypothesis for all of the areas above.\n \n \n \n
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  23. - Customer\n - Problem\n - Solution\n Write hypothesis for all of the areas above.\n \n \n \n
  24. - Customer\n - Problem\n - Solution\n Write hypothesis for all of the areas above.\n \n \n \n
  25. - Customer\n - Problem\n - Solution\n Write hypothesis for all of the areas above.\n \n \n \n
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  31. http://leancanvas.com/\n
  32. Lean Startup Machine is a for-profit social enterprise with the mission of advancing the science of entrepreneurship to better utilize human potential. We aim to bolster jobs through innovation and prevent the world’s smartest people from wasting time building things nobody wants. We run an intensive three-day workshop, which teaches Lean Startup methodologies and their applications for product, customer, and business model development.\nother tools: https://www.leanlaunchlab.com/ or http://leancanvas.com/\n