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Lean Startup Circle San Francisco: 'B2B Hacks - Getting from Consulting to Scalable Products'

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This is a talk I did for the Lean Startup Circle in San Francisco. For the footage, please see: www.alexandercowan.com/speaking.

This is a talk I did for the Lean Startup Circle in San Francisco. For the footage, please see: www.alexandercowan.com/speaking.

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  • 1. Copyright 2012 Cowan PublishingB2B HacksGetting fromConsulting toScalable Products
  • 2. Copyright 2012 Cowan Publishing
  • 3. Copyright 2012 Cowan Publishing
  • 4. Copyright 2012 Cowan PublishingCUSTOMERSALEX COWANAlexanderCowan.com@cowanSF
  • 5. Copyright 2012 Cowan PublishingA LEAN PROGRESSIONIt paysIt’s easy to scaleConsultants naturally do customer discoveryCONSULTINGALEX COWANAlexanderCowan.com@cowanSF
  • 6. Copyright 2012 Cowan PublishingA LEAN PROGRESSIONIt’s easier to sellIt’s easier to staffIt’s easier to manageCONSULTING‘PRODUCTIZED’CONSULTINGCustomer empathy-more scope, detail onproblem scenariosALEX COWANAlexanderCowan.com@cowanSF
  • 7. Copyright 2012 Cowan PublishingA LEAN PROGRESSION‘PRODUCTIZED’CONSULTINGCONSULTINGCustomer empathy-more scope, detail onproblem scenariosPRODUCTSValidated problemscenarios withsubstantial detail
  • 8. Copyright 2012 Cowan PublishingUNDERSTANDING THE MARKET50-70% ofEnterpriseSoftwareImplementationsFail ALEX COWANAlexanderCowan.com@cowanSF
  • 9. Copyright 2012 Cowan PublishingCASE 1Help me integrate andstandardize theinfrastructure. And showmy people how to use it.ALEX COWANAlexanderCowan.com@cowanSF
  • 10. Copyright 2012 Cowan PublishingPROBLEM SCENARIO: VOIP NETWORKSALEX COWANAlexanderCowan.com@cowanSF
  • 11. Copyright 2012 Cowan PublishingCASE 1Help me integrate andstandardize theinfrastructure. And showmy people how to use it.ALEX COWANAlexanderCowan.com@cowanSF
  • 12. Copyright 2012 Cowan PublishingCASE 1NETWORKPRINCIPALSOF OPERATIONALEX COWANAlexanderCowan.com@cowanSF
  • 13. Copyright 2012 Cowan PublishingCASE 2Creating accounts istaking a lot of time/money. And there are alot of mistakes.NETWORKPRINCIPALSOF OPERATIONALEX COWANAlexanderCowan.com@cowanSF
  • 14. Copyright 2012 Cowan PublishingSHIFTS IN SERVICES PROVISIONINGTransportNumber of LinesBit RateHostedApplicationsuserIDpasswordpasscodemessagingemail messagingusernamemessagingpasswordSIP URIBLF URIFirst NameLast NameCLID FirstNameCLID LastNamepasscodephone numberextensionemaildepartmenttrunk groupservicepacks(s)service(s)device namedevice MACdeviceusernamedevicepassword
  • 15. Copyright 2012 Cowan PublishingSOLUTIONS IN SERVICES PROVISIONINGPERSONA PROBLEM SCENARIO IMPLEMENTATIONOscar theOperationsExecutive‘Services provisioning is laborintensive and error prone’TextprocessingscriptsPaolatheProvisioner‘We need more guard rails forless experienced staff’MVP GUIItzhaktheIT Developer‘IT doesnt like it because itdoesnt integrate well’API +Integration Client
  • 16. How do we improveservice quality? Howdo we verify that?Copyright 2012 Cowan PublishingSERVICESTANDARDIZATION& WORKFLOWNETWORKPRINCIPALSOF OPERATIONCASE 3ALEX COWANAlexanderCowan.com@cowanSF
  • 17. Copyright 2012 Cowan PublishingDESIGN THINKING- WHAT ISDESIGNTHINKINGCUSTOMERDISCOVERYCUSTOMERVALIDATIONALEX COWANAlexanderCowan.com@cowanSF
  • 18. Copyright 2012 Cowan PublishingEmpathyDESIGN THINKING- WHAT ISCreativity
  • 19. Copyright 2012 Cowan PublishingDESIGN THINKING- WHAT ISGOOGLE TRENDS:DESIGN THINKINGALEX COWANAlexanderCowan.com@cowanSF
  • 20. Copyright 2012 Cowan PublishingSelf-LoveAnd ThenDesignThinkingAnd NowSurvivalBack ThenDESIGN THINKING- WHAT ISALEX COWANAlexanderCowan.com@cowanSF
  • 21. Copyright 2012 Cowan PublishingIDEATIONPersonasUserStoriesProblemScenarios?
  • 22. Copyright 2012 Cowan PublishingIDEATION
  • 23. Copyright 2012 Cowan Publishing[First name]the[Role]ex: MarytheMom ALEX COWANAlexanderCowan.com@cowanSF
  • 24. Copyright 2012 Cowan Publishing[First name]the[Role]ex: MarytheMom(write down 3 personas)
  • 25. How do we improveservice quality? Howdo we verify that?Copyright 2012 Cowan PublishingSERVICESTANDARDIZATION& WORKFLOWNETWORKPRINCIPALSOF OPERATIONCASE 3ALEX COWANAlexanderCowan.com@cowanSF
  • 26. Copyright 2012 Cowan PublishingEND USER PERSONASRitathe ResellerOrsonthe Office Mgr.Ignatiusthe IT GuyRhondathe ReceptionistSusan theSmall Bus. OwnerKeiththe Key System UserAmythe AssistantSimonethe Standard UserChuckthe Call Center AgentEstebanthe ExecutiveMikukothe Mobile UserCindythe Call Center Manager
  • 27. Copyright 2012 Cowan PublishingENTERPRISE PERSONASNietzschethe Network Eng.Paolathe ProvisionerSidneythe Sys. Admin.Percival theProduct ManagerSventhe SalespersonAnthonythe Applications Eng.Itzhakthe IT DeveloperFrankthe Field Eng.Samthe Support Eng.Saulthe Site DeveloperFritzthe Field Eng. ManagerBrucethe Business Owner
  • 28. X: No description X: Generic set up X: Wrong checklist X: Trouble ticketsX: Wronghardware orderedCopyright 2012 Cowan PublishingWeak Product >> Broken ProcessesCustomer Sales Project Mgr./Systems DesignerField Service SupportCustomer“Looks good.I’ll take 10.”“They’ll take 10.” “I’ve provisioned10. Time toinstall them.”“Here you are- 10phones a-ringing.”“This isn’t whatI want!”ALEX COWANAlexanderCowan.com@cowanSF
  • 29. Descriptiveinputs Directed set up Right checklists Few ticketsRight hardwareorderedCopyright 2012 Cowan PublishingWeak Product >> Broken ProcessesCustomer Sales Project Mgr./Systems DesignerField Service SupportCustomer“I’ll take [1 admin,1 mobile. . .].”“They’ll take[1 admin, 1mobile. . .].”“I’ve provisioned ...Time to installthem.”“Here you are- 10phones configured.”“Works good,looks good.”ALEX COWANAlexanderCowan.com@cowanSF
  • 30. How do we improveservice quality? Howdo we verify that?Copyright 2012 Cowan PublishingCASE 3SERVICESTANDARDIZATION& WORKFLOWNETWORKPRINCIPALSOF OPERATIONALEX COWANAlexanderCowan.com@cowanSF
  • 31. Copyright 2012 Cowan PublishingCASE 3SERVICESTANDARDIZATION& WORKFLOWSERVICEDESIGNNETWORKPRINCIPALSOF OPERATIONALEX COWANAlexanderCowan.com@cowanSF
  • 32. Copyright 2012 Cowan PublishingONLINE SELF-CAREPERSONA PROBLEM SCENARIO‘We our own scope, look andfeel. And we need an easy wayto do that. And SSO’Template DrivenHTML-CSS-JS LayerSAML SSOPercivaltheProduct Mgr.SaultheSite Developer&‘This thing should increasesatisfaction & involvement;and reduce support calls.’BrucetheBusiness OwnerPercivaltheProduct Mgr.&IMPLEMENTATIONALEX COWANAlexanderCowan.com@cowanSF
  • 33. Copyright 2012 Cowan PublishingPriority Key Assumption Needs Proving? Experimentation1End users want to log inand do self-careYes!Instrument adequate reporting,create awareness,see if they nibble1Reducing the portalsclicks to destinationfrom 4-6 to 2-3 is goodenoughYes- Log and analyze navigation- Do support calls go down?ASSUMPTIONS ON SELF-CAREALEX COWANAlexanderCowan.com@cowanSF
  • 34. Copyright 2012 Cowan PublishingPriority Key Assumption Needs Proving? Experimentation1End users want to log inand do self-careYes!Instrument adequate reporting,create awareness,see if they nibble1Reducing the portalsclicks to destinationfrom 4-6 to 2-3 is goodenoughYes- Log and analyze navigation- Do support calls go down?ASSUMPTIONS ON SELF-CAREALEX COWANAlexanderCowan.com@cowanSF
  • 35. Copyright 2012 Cowan PublishingPERSONA PROBLEM SCENARIO‘We our own scope, look andfeel. And we need an easy wayto do that. And SSO’PercivaltheProduct Mgr.SaultheSite Developer&‘This thing should increasesatisfaction & involvement;and reduce support calls.’Focus oncustomer adminexperienceBrucetheBusiness OwnerPercivaltheProduct Mgr.&ONLINE SELF-CARETemplate DrivenHTML-CSS-JS LayerSAML SSOIMPLEMENTATIONALEX COWANAlexanderCowan.com@cowanSF
  • 36. Copyright 2012 Cowan PublishingTake II- DASHBOARDSALEX COWANAlexanderCowan.com@cowanSF
  • 37. Copyright 2012 Cowan PublishingPERSONA PROBLEM SCENARIO‘We our own scope, look andfeel. And we need an easy wayto do that. And SSO’PercivaltheProduct Mgr.SaultheSite Developer&Orson theOffice Manager‘I still don’t get it.’‘This thing should increasesatisfaction & involvement;and reduce support calls.’BrucetheBusiness OwnerPercivaltheProduct Mgr.&ONLINE SELF-CAREFocus oncustomer adminexperienceTemplate DrivenHTML-CSS-JS LayerSAML SSOIMPLEMENTATIONALEX COWANAlexanderCowan.com@cowanSF
  • 38. Copyright 2012 Cowan PublishingPriority Key Assumption Needs Proving? Experimentation1Customer admin’s willdo self-care with trainingand awarenessYes!Focus on training customeradmin’s,see if they nibble1Presenting all the usersof interest on the 1stpage will engage theseadmin’sYes- Log and analyze navigation- Do support calls go down?ASSUMPTIONS ON SELF-CAREALEX COWANAlexanderCowan.com@cowanSF
  • 39. Copyright 2012 Cowan PublishingDASHBOARDALEX COWANAlexanderCowan.com@cowanSF
  • 40. Copyright 2012 Cowan PublishingPERSONA PROBLEM SCENARIOPercivaltheProduct Mgr.‘We our own scope, look andfeel. And we need an easy wayto do that. And SSO’Orson theOffice ManagerRhondatheReceptionist‘I want a good out-of-the-boxexperience.And to change the display onmy phone.’Visual DeviceManagementSaultheSite Developer&‘I still don’t get it.’‘This thing should increasesatisfaction & involvement;and reduce support calls.’BrucetheBusiness OwnerPercivaltheProduct Mgr.&ONLINE SELF-CAREOne click accessvia ‘Dashboard’Focus oncustomer adminexperienceTemplate DrivenHTML-CSS-JS LayerSAML SSOIMPLEMENTATION
  • 41. Copyright 2012 Cowan PublishingUSER STORIES“As a receptionist, I want to receive an outof the box set up that’s created againstbest practices so I don’t have to set it allup by myself.”“As a receptionist, I want to change thebuttons on my phone so they do what Iwant.”PROBLEM SCENARIO‘I want a good out-of-the-box experience.And to change the display on my phone.’PERSONARhonda the ReceptionistSOLUTIONS IN ONLINE SELF-CAREALEX COWANAlexanderCowan.com@cowanSF
  • 42. Copyright 2012 Cowan PublishingPLANNINGPRIORITY KEY ASSUMPTIONSNEEDSPROVING?EXPERIMENTATION1End users at large want a visualtool to manage their phonesNo- Already proven by prototypes frompartner1Giving the capability to end useradmin’s will do more good thanharmYes - Beta testing with customers1The design and architecture aresupportable in current customerenvironmentsYes- Lab testing with customers...butreally...- Field testing at scale1The target price point isbearable by the marketYes- Initial sales negotiations- Mainline (post beta) sales2The capability makes sense withend users (vs. admin’s)Yes- Some proxy data on overall activityby user type- Customer interviews- Beta testing2 (Various makes and models ofphones are worth investing in)Yes - Advanced orders
  • 43. Copyright 2012 Cowan PublishingVISUAL DEVICE MANAGEMENTALEX COWANAlexanderCowan.com@cowanSF
  • 44. Copyright 2012 Cowan PublishingPriority Key Assumption Needs Proving? Experimentation1[A key assumptionabout the business][Whether it needsproving[Experiment toprove or disprove]1End users want to log inand do self-careYes!Instrument adequate reporting,create awareness,see if they nibble1Reducing the portalsclicks to destinationfrom 4-6 to 2-3 is goodenoughYes- Log and analyze navigation- Do support calls go down?EXERCISE: LIST YOUR ASSUMPTIONSALEX COWANAlexanderCowan.com@cowanSF
  • 45. How do we do thismore efficiently? Arewe implementing bestpractices?Copyright 2012 Cowan PublishingSERVICESTANDARDIZATION& WORKFLOWSERVICEDESIGNNETWORKPRINCIPALSOF OPERATIONCASE 4ALEX COWANAlexanderCowan.com@cowanSF
  • 46. Copyright 2012 Cowan PublishingPROCESS AUDIT & DESIGN0.0050.00100.00150.00200.00250.00Consolidated  Hours1.  Process  11.1.  sub-­‐process  1.11.2.  sub-­‐process  1.21.3.  sub-­‐process  1.32.  Process  22.1.  sub-­‐process  2.12.1.1.  sub-­‐process  2.1.12.1.2.  sub-­‐process  2.1.22.2.  sub-­‐process  2.23.  Process  33.1.  sub-­‐process  3.13.2.  sub-­‐process  3.23.3.  sub-­‐process  3.33.4.  sub-­‐process  3.43.5.  sub-­‐process  3.53.5.1.sub-­‐process  3.5.13.5.2.sub-­‐process  3.5.24.  Process  44.1  sub-­‐process  4.14.2    sub-­‐process  4.24.3.  sub-­‐process  4.34.4.sub-­‐process  4.44.5.  sub-­‐process  4.54.6.  5.  …5.1.  …5.2.  …6.  ..6.1.  post-­‐sale  issue  resolutionAUDIT DESIGNProcess(1)BEGINNING/INPUTDoc orDataEND/OUTPUTProcess(2b)Process(2a)DecisionUSER STORIESALEX COWANAlexanderCowan.com@cowanSF
  • 47. How do we do thismore efficiently? Arewe implementing bestpractices?Copyright 2012 Cowan PublishingSERVICESTANDARDIZATION& WORKFLOWSERVICEDESIGNNETWORKPRINCIPALSOF OPERATIONCASE 4ALEX COWANAlexanderCowan.com@cowanSF
  • 48. Copyright 2012 Cowan PublishingSERVICESTANDARDIZATION& WORKFLOWSERVICEDESIGNPROCESSAUDIT,DESIGNNETWORKPRINCIPALSOF OPERATIONCASE 4ALEX COWANAlexanderCowan.com@cowanSF
  • 49. Copyright 2012 Cowan PublishingPERSONA PROBLEM SCENARIOBruce theBusinessOwner‘We have many customermanagement systemsdepending on product,channel.’Centralize onCRMPercivalthe ProductManager‘It’s hard to spin upe-Commerce.’Ties to billingand focus onorder capture.Bruce theBusinessOwner‘We can’t implement yourrecommendations because ofour systems.’PROCESS MANAGEMENTIMPLEMENTATION
  • 50. Copyright 2012 Cowan PublishingSELL SIMILARCUSTOMERSBalance to appeal of easynew business.TARGETDRIVE TOWARDSSTANDARDIZATIONFind what’s important;drive there.STANDARDIZESKILLS PAY BILLSDrive to product/market fit byfinding work$B2B CONCIERGE MODEL: 6 TIPSALEX COWANAlexanderCowan.com@cowanSF
  • 51. Copyright 2012 Cowan PublishingIDEATIONProfitDriversRevenueDriversTighter Proposition (website, pres., etc.)Finite CostFinite DeliverablesIncreased Use of ChannelsEase of EntryEasy to See Whats on MenuUpsellIntellectual Property MultipliersTighter Talent DefinitionSimpler Training, Eval., PromotionCost of DeliveryCostDriversLess Consultative SellingSimplified ContractingCost of SalesStandard Project ManagementComparable Post MortemsEngagementManagement
  • 52. Copyright 2012 Cowan PublishingSELL SIMILARCUSTOMERSBalance to appeal of easynew business.TARGETDRIVE TOWARDSSTANDARDIZATIONFind what’s important;drive there.STANDARDIZESKILLS PAY BILLSDrive to product/market fit byfinding work$CREATE ANEXTENDED FAMILYMake yourself bigger than youare.EXTERNALIZEB2B CONCIERGE MODEL: 6 TIPSBUILD ONCE YOUSEE THE OPENINGIf you’re not sure, keeplearning.PRODUCTIZEBECOME A DOMAINEXPERTBe a pro concierge beforebuilding product.MASTER
  • 53. Copyright 2012 Cowan PublishingMaking ProgressIDEA!PositioningStatement?Field Work & AnalyticsIdeation & DesignProduct DevelopmentGeneral ManagementPivotalAssumptions?CustomerDefinitionPersonas?Problem Scenarios?FieldDiscoveryStill Learning?FieldValidationDraftPrototypeQuickyPrototype?Yes?Confident?No?CreateUserStoriesDone?New Learning?DefineMVPCUSTOMERVALIDATIONALEX COWANAlexanderCowan.com@cowanSF
  • 54. Copyright 2012 Cowan PublishingBUY THE BOOKA practical primer for anyonewanting to actually implementtoday’s best practices in productdevelopment (available online orat any major retailer)VISIT THE SITEFree talks, tutorials, andresources for productdevelopment and new ventures.MORE?ALEX COWANAlexanderCowan.com@cowanSF
  • 55. Copyright 2012 Cowan Publishingwww.alexandercowan.com/speaking(THE REST?)@cowanSFalexandercowan.com/blogacowan@alexandercowan.comalexandercowan.com/speaking