Lean Startups Demystified - ALM Summit 3
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This document discusses lean startups and key ideas from thought leaders in the field. It introduces Alfred Sloan and William Durant, founders of modern corporations like GM. It contrasts waterfall and agile development models and highlights the work of Steve Blank and Eric Ries. Blank's big idea was that startups fail because no one wants their products, so companies should "get out of the building." Ries introduced the concept of a structured approach using customer development and agile principles in a build-measure-learn loop. His key ideas were to minimize time in the learning loop and measure success through validated learning rather than time or money spent. The foundation of lean startups is to avoid building things no one wants and get through the
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Lean Startups Demystified - ALM Summit 3
- 1. Lean Startups, Cheezburger and You scottporad.com
- 2. Lean Startups, Cheezburger and You scottporad.com
- 3. Lean Startups, Demystified scottporad.com
- 5. Alfred P. Sloan • MIT-trained engineer • Head of GM for 30 years • Father of Modern Corporation • Hospitals and Colleges
- 6. William “Billy” Durant • High School Dropout • Horse-drawn carraiges • Founded GM • Founded Chevrolet • Sold Chevy to GM
- 8. Me
- 10. Waterfall
- 11. Agile
- 12. Sidebar #1: Market vs Execution
- 13. Steve Blank BIG OBSERVATION: Startups fail because because nobody wants to buy the products or services. BIG IDEA: “Get out of the building!”
- 16. Eric Ries BIG OBSERVATION: Customer Development plus Agile makes a big Build-Measure-Learn Loop BIG IDEA #1: Structured approach to addressing “startups”
- 17. Lean Startup
- 18. Sidebar #2: OODA Loop
- 19. Eric Ries BIG OBSERVATION: Runway is not time, it’s iterations BIG IDEAS #2 and #3: “Minimize the total time through the loop” Unit of Measure is “Validated Learning”
- 23. Let’s Take a Step Back™ • Startups are situations of extreme uncertainty • Different skills for those situations • Big Ideas from Blank and Ries: – Avoid building stuff that nobody wants – Structured approach to addressing “startups” – Get through the loop faster – Unit of Measure is Validated Learning Ya got that??
- 24. If you only learn one thing… Foundation of the Lean Startup Avoid building stuff nobody wants and get through the loop faster Everything else is just commentary.
- 25. Where to start?
- 26. Lean is not cheap.
- 27. Free Your Mind (and the rest will follow) Start with with a shift of mindset from thinking about delivering code as an achievement to thinking about a measurable learning as an achievement.
- 29. Good Luck! I live on the Interwebs at http://scottporad.com
Hinweis der Redaktion
- “Startup” is a situation which requires a certain set of management skillsBest illustrated by a story
- Billy Durant vs. Alfred SloanDurant had the genius for product-market fit (even when the customer doesn’t know, like Ford and faster horses)Sloan had the genius for administrationNot a value judgment – different needs at different stages
- 7 early stage companiesSite at scottporad.comBest known for Cheezburger: 1 site to top 100 propertyDuring my time at Cheezburger that we really started to put words to some of the things we’ve been learning for the last decade
- [Slide with stages]Started my career with thisBased on manufacturingStage-basedMeasure of progress was meeting milestonesSpec complete, code complete, etc.Works well for understood problems with known solutions
- Agile’s BIG OBSERVATION: this isn’t working because we can’t define the solutionAgile’s BIG IDEA: shorter feedback loopsTook a lot from Lean Manufacturing and eliminating wasteMeasure of progress was working codeWorks well for understood problems with unknown solutions
- Steve Blank, serial entrepreneurExplain the four steps of Customer Development
- Eric RiesCD + Agile = Giant BML good or “early stage” [together slide]
- John Boyd, USAF ColonelObserve – take in some inputsOrient – make a judgment Decide – form a plan of actionAct – do it (which generates more inputs)Pilots who could do this faster would win because they were a step ahead of their enemyOpposite of Gretsky – playing to where the puck wasOld vs. New PlanesChess: 2 or 3 moves to 1
- In two ways:Often misconstruedit’s hard and takes time and effort
- For example, it might be better for us to measure the number of A/B test results we have, than to measure the number of story points of code we deliver.Software development practices – agile, tdd, ci/cdCustomer development practices – split tests, mvps, interviewsMindset
- identify a customer segment, establish a hypothesis about that segment, make a change to product or marketing, run an A/B test, and measure the impact of the change. With that new learning, then repeat the process again.