lean startup in the enterprise

Lean Startupin the

Enterprise

© 2012 BigVisible Solutions

© 2012 BigVisible Solutions 2

David J BlandAgile / Lean / XP / KanbanStartups & EnterpriseseCommerce to Counter Terrorism


Eric RiesAlex Osterwalder

Steve Blank Dave McClure


S&P 500 companies now the shortest life span we’ve ever seen in recorded history.


The Lean Startup provides a scientific approach to creating and managing startups and get a desired product to customers’ hands faster.

-Eric Ries


A startup is a human institution designed to deliver a new product or service under conditions of extreme uncertainty.

-Eric Ries

Not Just 4 Startups


Problem Solution Process

Known Known Waterfall orAgile

Known Unknown Agile

Unknown Unknown Lean Startup


We are experiencing anevolutionary leadershipmismatch.




Leaders typically are not promoted if they’ve repeatedly stated that they do not know the problem or solution


most leadersneed moreleaders here

Source: Adapted from Cynefin & Leadership Agility

maybe even here

simple

complicatedcomplex

chaos(best practice)

(good practice)(guidelines)

(principles)

© 2012 BigVisible Solutions 11Source: Adapted from Cynefin & Leadership Agility

simple

complicatedcomplex

chaos(best practice)

(good practice)(guidelines)

(principles)

LeanStartup


We are experiencing anorganizational structuremismatch.


We’ve structured our organizations based on the Industrial Era:

- 1 Business Model- Scaling- Predictability- Execution- Organized by Function


Entrepreneursare everywhere.Intrapreneurs!are everywhere.


1982!!!1976!!!


… there is hope.


Experiment withproduct & process


Sustaining Innovation

Disruptive Innovation

(lean startup)(kanban) (scrum)

Source: Adapted from Clayton Christensen


Don’t release it to everyone all at once.


Target specific cohorts with a/b testing.


Decouple from your existing brand.


If you experiment in code, come back to:

a. clean it upb. iteratec. productized. refactor


Right Fidelityhere is my paper prototype!


Wrong Fidelityhere is my paper prototype…


Experiment to align business & product.


You cannot learn if your feedback loops are broken.


Just because you can measure it, does not mean you should measure it.


Which of these metrics provide the most insight into a product?

Source: Adapted from Dave McClure

a. 1,000,000 unregistered unique visitsb. 500,000 visitors who view 2+ pagesc. 250,000 visitors who engaged for 10+ secondsd. 20000 users with registered email addresse. 1000 monthly subscribers


AcquisitionActivationRetentionReferralRevenue

Source: Dave McClure Pirate Metrics

+15% +11% +8%

+5% +7% +10%

+1% +3% +5%

+0% +1% +3%

+0% +1% +5%


Great Product+ Wrong Business Model

Failed Organization


Business Models > Business Plans

Source: Adapted from Alexander Osterwalder

Business Models Canvas


Experiment to alignproduct & customer.


That’s all good in theory but…“Your version of Enterprise and my version of Enterprise are very different.”


That’s all good in theory but…“I need to apply this to an internal project with no external customers!”


That’s all good in theory but…“<insert your reason here>”



Known Known Waterfall orAgile

Known Unknown Agile



Do you have unknown / unknown’s in your enterprise?


Start small.


If you have internal users, then perform customer discovery & interview them.


They are users who impact business metrics.

Finance Manager

Source: Dave Gray “Empathy Map”


Start small.


If you have User Stories, add a Hypothesis that statesthe expected outcome on aspecific metric.


Feed the learning back into the product backlog…


Start small.


If you have a Kanban Board, add a Validate Column to

the very right of it.


Teams should have a healthy skepticism of the why of the work you are doing.


If you cannot articulate the expected outcome, then why should the team build it?


It’s working if you hear:

“How are we going to measure that?”


It’s working if you hear:

“We cannot wait that long to learn!”


Where are the unknown / unknown’s in your enterprise?


Questions?


Upcoming

Webinar!


David J BlandAgile Consultant

[ ]: +1 703 945 0700[ ]: [email protected][ ]: www.bigvisible.com[ ]: @davidjbland

meut

http://www.bigvisible.com/

lean startup in the enterprise

Business

cynefin amp

complex complicated

start small

lean startup

good practice

agile

practice

experiment