Can We Build This?”

The question today isn’t:

"Can we build this?”

but, "Should we build this?"

Frederik Vannieuwenhuyse Outline @vfrederik

1. Examples of failure 2. Building the right product: Who’s responsible? 3. Lean startup thinking 4. Tool: Minimum Viable Product 5. How to facilitate? Outline @vfrederik

1. Examples of failure 2. Building the right product: Who’s responsible? 3. Lean startup thinking 4. Tool: Minimum Viable Product 5. How to facilitate? Example (1/3) @vfrederik Example (2/3) @vfrederik

Iridium (satellite phones) 1987 - 1998

https://steveblank.com/2010/11/01/no-business-plan-survives-ﬁrst-contact-with-a-customer-–-the-5-2-billion-dollar-mistake/ Example (3/3) @vfrederik

Meerkat mid 2015 - sept 2016

http://www.recode.net/2016/3/4/11586696/meerkat-is-ditching-the-livestream-and-chasing-a-video-social-network

http://memeburn.com/2016/10/meerkat-houseparty-app/ 93 of the Biggest, Costliest Startup Failures of All Time

https://www.cbinsights.com/blog/biggest-startup-failures/ The BOOTSTART Manifesto @vfrederik

https://blog.leanstack.com/the-bootstart-manifesto-65b41da6216 The BOOTSTART Manifesto @vfrederik

https://blog.leanstack.com/the-bootstart-manifesto-65b41da6216 Top reasons startups fail @vfrederik

http://fortune.com/2014/09/25/why-startups-fail-according-to-their-founders/ Top reasons startups fail @vfrederik

No Market Need 42%

http://fortune.com/2014/09/25/why-startups-fail-according-to-their-founders/ @vfrederik

“We built the website first and asked our customers about it later.” “Get to your customers as fast as possible & learn from them to build your product.”

- Robin Chase, Co-Founder of Zipcar

http://www.businessinsider.com/startup-failures-learning-2013-9 Outline @vfrederik

1. Examples of failure 2. Building the right product: Who’s responsible? 3. Lean startup thinking 4. Tool: Minimum Viable Product 5. How to facilitate? Scrum: The Product Owner @vfrederik Scrum: The Product Owner @vfrederik Scrum: Building the right product @vfrederik

“Value can be measured with velocity.”

- Anonymous Scrum: Building the right product @vfrederik

“Value can be measured with velocity.” WRONG! - Anonymous Outline @vfrederik

1. Examples of failure 2. Building the right product: Who’s responsible? 3. Lean startup thinking 4. Tool: Minimum Viable Product 5. How to facilitate?

1. Entrepreneurs are everywhere @vfrederik 2. Entrepreneurship is management @vfrederik 3. Validated learning @vfrederik 4. Innovation accounting @vfrederik 5. Build - Measure - Learn @vfrederik

Build

Learn Measure Plan - Do - Check - Act @vfrederik

Plan Check

Act Plan - Do - Check - Act @vfrederik

http://docs.ilean.be/Sessions/20141127_XPDays2014/20141127_XPDays2014_MultiLevelFeedbackCycles.pdf Learn from your customer @vfrederik

“We must learn what customers really want, not what they say they want or what we think they should want.”

- Eric Ries, The Lean Startup Steve Blank

https://i.ytimg.com/vi/a-J_SwmMJyo/maxresdefault.jpg @vfrederik

Hypothesis-Driven Thinking Consider everything as a hypothesis @vfrederik

requirement

noun re·quire·ment \-ˈkwī(-ə)r-mənt\

: something required: a : something wanted or needed b : something essential to the existence or occurrence of something else Consider everything as a hypothesis @vfrederik

requirement

noun re·quire·ment \-ˈkwī(-ə)r-mənt\

: something required: a : something wanted or needed b : something essential to the existence or occurrence of something else Consider everything as a hypothesis @vfrederik

assumption

noun as·sump·tion \ə-ˈsəm(p)-shən\ a : an assuming that something is true b : a fact or statement (as a proposition, axiom, postulate, or notion) taken for granted Consider everything as a hypothesis @vfrederik

assumption

hypothesis

noun hy·poth·e·sis \hī-ˈpä-thə-səs\

: an idea or theory that is not proven but that leads to further study or discussion Consider everything as a hypothesis @vfrederik

RIGHT hypothesis WRONG noun hy·poth·e·sis \hī-ˈpä-thə-səs\

: an idea or theory that is not proven but that leads to further study or discussion Hypothesis statement @vfrederik

We believe that [FEATURE] for [PERSONAS] will achieve [OUTCOME] validated by [MEASUREMENTS / FEEDBACK]. Example: problem statement @vfrederik Example: hypothesis statement @vfrederik

We believe that adding hotel room images on ] the pricing page [FEATURE ] for a potential guest ] [PERSONA will achieve more customer conversions [OUTCOME validated by a 10% increase in customers who booking a hotel room ]

(compared to a previous period). [MEASURE Build - Measure - Learn @vfrederik

“Although we write the feedback loop as Build-Measure-Learn because the activities happen in that order, our planning really works in the reverse order”

(The Lean Startup, pages 77-78) Build - Measure - Learn @vfrederik

https://steveblank.ﬁles.wordpress.com/2015/05/hypotheses-experiment.jpg Testing the right things @vfrederik

uncertainty

https://medium.com/@toma_dan/5-steps-to-prioritization-that-actually-works-22b700d34b5e#.hnw5kz8ll Testing the right things @vfrederik

uncertainty

https://medium.com/@toma_dan/5-steps-to-prioritization-that-actually-works-22b700d34b5e#.hnw5kz8ll Outline @vfrederik

1. Examples of failure 2. Building the right product: Who’s responsible? 3. Lean startup thinking 4. Tool: Minimum Viable Product 5. How to facilitate? Minimum Viable Product @vfrederik

http://www.stefangolling.de/wp-content/uploads/2014/07/BDUF_vs_MVP-1170x716.png Minimum Viable Product @vfrederik

“The minimum amount of effort you have to do to complete exactly one turn of the Build-Measure-Learn feedback loop.”

- Eric Ries, The Lean Startup Minimum Viable Experiment @vfrederik

“The lesson of the MVP is that any additional work beyond what was required to start learning is waste, no matter how important it might have seemed at the time.”

- Eric Ries, The Lean Startup Story map @vfrederik

Functionalities

MVP Product increments @vfrederik

Some MVP examples Example 1/3: Explainer video @vfrederik

https://www.youtube.com/watch?v=xy9nSnalvPc Example 2/3: Fake door @vfrederik

http://image.slidesharecdn.com/jessleefakedoorshustlecon2013-130710180524-phpapp01/95/fake-doors-how-to-test-product-ideas-quickly-hustlecon-2013-16-638.jpg?cb=1373479714 53 Example 2/3: Fake door @vfrederik

https://ioneglobalgrind.ﬁles.wordpress.com/2014/02/mcspaghetti.jpg 54 Example 3/3: Mechanical Turk @vfrederik

https://upload.wikimedia.org/wikipedia/commons/2/27/Kempelen_chess1.jpg Example 3/3: Mechanical Turk @vfrederik

http://scalemybusiness.com/wp-content/uploads/2013/04/zappos.jpg Outline @vfrederik

1. Examples of failure 2. Building the right product: Who’s responsible? 3. Lean startup thinking 4. Tool: Minimum Viable Product 5. How to facilitate? Think - Make - Check @vfrederik

@vfrederik Collect user feedback @vfrederik

https://n0lcqtmqb8-ﬂywheel.netdna-ssl.com/wp-content/uploads/2016/01/Surveys.jpg Validation loop @vfrederik Backlog with hypothesis statements @vfrederik Experiment Kanban @vfrederik

Backlog Build Measure Learn 2 1 2

Validated Metrics learning

Experiments

Hypotheses Experiment Kanban @vfrederik

Request Assumptio Hypothesis Ready to- Backlog Ready to- Build Measure Learn ns do try

5 3 2 4 5 3 2 2 2 Experiment Kanban @vfrederik

Request Concept/ Analyse/ Backlog Ready to-do Elaborate Develop Validate Assumptions hypothesis 5 3 2 2 2 5 3 2

Ready to- Build Measure Learn try 2 2 2 3

User story Hypothesis

http://www.discovery-kanban.com @okaloa Experiment Kanban @vfrederik

Assumptions

“Backlog”

Requests Hypothesis Experiment Kanban @vfrederik

User story

“Backlog”

Development flow

Validated learning Experiment flow

Experiment Evolution of the Agile Manifesto @vfrederik

Team vision and discipline over

individuals and interactions (or processes and tools) Validated learning over

working software (or comprehensive documentation) Customer discovery over

customer collaboration (or contract negotiation) Initiating change over

responding to change (or following a plan)

http://jchyip.blogspot.de/2010/06/kent-becks-evolution-of-agile-manifesto.html Recap @vfrederik

Learn from your customer

Consider everything a hypothesis

To o l : Minimum Viable Product

To o l : Experiment kanban Consider everything as a hypothesis @vfrederik

“Understanding is emergent.

We don’t start out knowing the solution.”

- Jim Benson Resources (1/2) @vfrederik

• Books • Boo Hoo: A Dot.com Story from Concept to Catastrophe • The Lean Startup, Eric Ries • Running Lean, Ash Maurya • Lean UX, Jeff Gothelf • The Mom Test, Rob Fitzpatrick Resources (2/2) @vfrederik

• Standish Group 2015 Chaos Report • Why startups fail, according to their founders • 93 of the Biggest, Costliest Startup Failures of All Time • The 13 Biggest Failures From Famous Entrepreneurs And What They've Learned From Them • Product Owners Maximizing Value • The BOOTSTART Manifesto • Multi-level feedback cycles in Scrum • Why Build, Measure, Learn – isn’t just throwing things against the wall to see if they work – the Minimal Viable Product • 5-Steps to Prioritization That Actually Works • 7 New Ways to Test Your Minimum Viable Product • 15 ways to test your minimum viable product • Lean UX blog posts • Not all kanban is alike • Keep Calm and Test the Hypothesis. 2 Minutes to See Why

Let’s connect!

Frederik Vannieuwenhuyse