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Lean Startup With Rob Kunz
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Lean Startup With Rob Kunz

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The Northfront Entrepreneur Alliance is a entreprenuer networking association in Northern Utah. This presentation was given on 04.06.11 to the group by Rob Kunz- a successfull entrepreneur, ...

The Northfront Entrepreneur Alliance is a entreprenuer networking association in Northern Utah. This presentation was given on 04.06.11 to the group by Rob Kunz- a successfull entrepreneur, investor., and co-founder of BoomStartup. He discusses the Lean Startup Business Model and how to apply it.

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Lean Startup With Rob Kunz Lean Startup With Rob Kunz Presentation Transcript

  • Lean Startup Practices and ApplicationMore startups fail from a lack of customersthan from a failure of productdevelopment... @robbkunz http://about.me/robbkunz
  • My Lean Startup Background Started Back in 1991: RAD / JAD / 4GL / CASE / LINCII Founded KnowledgeBlue in 2002: Open Source Systems Integrator and Software-as-a-Service / Cloud Services Company; 800 Clients, 25K Users; ---> 15 Lean Startup Companies / Projects Founded ventureblue Capital in 2007: High Tech, Early-stage Investment Firm applying Lean Startup to Investment Portfolio Companies ---> 7 out of 14 Investments are Lean Startups Founded BoomStartup in 2010; Mentorship-driven Seed Accelerator ---> 5 out of 10 Companies utilized Lean Startup
  • What Is Lean Startup? Lean, in sense low-burn...with much less waste Startup, a set of processes and tools used by entrepreneurs to develop products and markets An application of Lean Thinking...Toyota Active Evangelists Eric Ries and Steve Blank View slide
  • Latest Thinking....and Experiments Expand beyond Product Development into: - Lean Business Modeling (Bus. Model Validation) - Lean Marketing - Lean Support (Crowd Sourcing) Expand into other industry segments; Consumer Products and Light Manufacturing Developing Community-based lean artifacts, best practices, tools and techniques View slide
  • Trends & Drivers of Lean Startup Open Source and Free Software  Development: LAMP, Testing, Widgets  Business Applications: CRM, ERP, BI, VOIP Development Processes and Tools  Agile / Scrum / Customer Development  Minimal Viable Product (MVP) Cloud Services and Virtualization  IaaS, PaaS and SaaS
  • Leverage Cloud Solutions
  • Idea The “Old Way” Business Plan Func. Spec Some Learning Design Build More Learning Test Market Sell Most Learning
  • Idea? The “New” Way Market Sizing Minimal Business Viable MVP MVP Model Product for for Generation / (MVP) Adoption Revenue Validation Usage 3-5 Clients Month 1 Month 2, 3 & 4 Month 5 Month 6
  • key value customer activities proposition relationships key customer partners segment s cost revenuestructure key streams resources channels 4/6/11 30 images by JAM
  • CUSTOMER SEGMENTS which customers and users are you serving? which jobs do they really want to get done?4/6/11
  • VALUE PROPOSITIONS what are you offering them? what is that getting done for them? do they care?4/6/11
  • CHANNELS how does each customer segment want to be reached? through which interaction points?4/6/11
  • CUSTOMER RELATIONSHIPS what relationships are you establishing with each segment? personal? automated? acquisitive? retentive?4/6/11
  • REVENUE STREAMSwhat are customers really willing to pay for? how? are you generating transactional or recurring revenues?4/6/11
  • KEY RESOURCES which resources underpin your business model? which assets are essential?4/6/11
  • KEY ACTIVITIES which activities do you need to perform well in your business model? what is crucial?4/6/11 14
  • KEY PARTNERS which partners and suppliers leverage your model? who do you need to rely on?4/6/11
  • COST STRUCTURE what is the resulting cost structure? which key elements drive your costs?4/6/11
  • Tricks & Traps for Business Model Try mobilize a Mentor to help facilitate discussions Bring all founders / key players together in person Limit sessions to 2 hours max, Plan 3 x 2hrs Leverage online tools for easy access & updates Produce several poster size prints for awareness “Get out of the Office” To Validate the model Test it on Companies that are already operating Capture Requirements Backlog During Sessions
  • Idea? The “New” Way Market Sizing Minimal Business Viable MVP MVP Model Product for for Generation / (MVP) Adoption Revenue Validation Usage 3-5 Clients Month 1 Month 2, 3 & 4 Month 5 Month 6
  • Minimal Viable Product (MVP)
  • Agile Development Values Individuals and interactions over processes / tools Working software over comprehensive documents Customer collaboration over contract negotiation Responding to change over following a plan
  • Scrum Project Organization
  • Scrum Development Process
  • Measure Your Burndown: Daily
  • RallyDev: Automated Scrum Tools
  • Idea? The “New” Way Market Sizing Minimal Business Viable MVP MVP Model Product for for Generation / (MVP) Adoption Revenue Validation Usage 3-5 Clients Month 1 Month 2, 3 & 4 Month 5 Month 6
  • Leverage Crowdsourcing
  • Lean Startup Lessons Learned Many talk about it, few can really execute it... Cross Team Trainingg is a Critical Success Factor (CSF) MVP tends to ignore architecture and scalability It is difficult to find Clients who want to be on your MVP / Early Adoption team...many say they will, few do Its easy to let MVP become single Customer centric Measure, Measure and Measure
  • Key Resources Alex Osterwalder Steve Blankhttp://www.businessmodelgeneration.com/ http://steveblank.com/ http://boomstartup.com/ Eric Ries Taking Company Applications Now Summer 2011 Program – 3 Months http://www.startuplessonslearned.com/ ------------- Apply Online ------------