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National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
National Science Foundation - Innovation Network Meeting 041114
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National Science Foundation - Innovation Network Meeting 041114

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  • 1. The Lean LaunchPad The Story Steve Blank @sgblank www.steveblank.com National Innovation Network Meeting April 11, 2014
  • 2. Time to Celebrate! • From an idea to a movement! • Make possible by you • How did we get here? • Where are we going?
  • 3. Rashomon Effect
  • 4. Part 1: The Epiphany Steve Blank @sgblank www.steveblank.com
  • 5. 21 Years Executing the Plan
  • 6. Actual Photo of What Happened When My Plan Had First Contact With Customers
  • 7. All I Need is the 5- Year Forecast
  • 8. Previous 5-Year Plans
  • 9. Is this all there is?
  • 10. ?
  • 11. I Started Reading • Lead User Research - Von Hippel • Crossing the Chasm - Moore • Entrepreneurial Mindset - McGrath/MacMillan • Innovators Dilemma - Christensen • Profitable Value - Lanning •Lanchester Strategy - Yano • High Tech Marketing - Davidow • OODA Loop - Boyd • Question-based Selling - Freese • Solution Selling - Bosworth • Conceptual/Strategic Selling - Heiman • Spin Selling - Rackham • US Marine Corps Warfighting Manual • Tipping Point - Gladwell
  • 12. It Resulted in a Few Hypotheses
  • 13. Startups Are Not Smaller Versions of Large Companies
  • 14. Startups Are Not Smaller Versions of Large Companies Large Companies Execute Known Business Models
  • 15. Startups Are Not Smaller Versions of Large Companies Startups Search for Unknown Business Models
  • 16. What’s A Startup?
  • 17. A temporary organization designed to search for a repeatable and scalable business model
  • 18. A temporary organization designed to search for a repeatable and scalable business model
  • 19. A temporary organization designed to search for a repeatable and scalable business model
  • 20. A temporary organization designed to search for a repeatable and scalable business model
  • 21. Startups Fail Because They Confuse Search with Execute
  • 22. Startups need their own tools, different from those used in existing companies
  • 23. Startups need their own tools, different from those used in existing companies
  • 24. And a Question
  • 25. Can We Build a Process to Search? Before we Execute
  • 26. Yes • Lead User Research - Von Hippel • Crossing the Chasm - Moore • Entrepreneurial Mindset - McGrath/MacMillan • Innovators Dilemma - Christensen • Profitable Value - Lanning •Lanchester Strategy - Yano • High Tech Marketing - Davidow • OODA Loop - Boyd • Question-based Selling - Freese • Solution Selling - Bosworth • Conceptual/Strategic Selling - Heiman • Spin Selling - Rackham • US Marine Corps Warfighting Manual • Tipping Point - Gladwell
  • 27. Customer Development Process Yes
  • 28. There are no facts inside your building So get the heck outside
  • 29. +
  • 30. + +
  • 31. So I Wrote A “Book”
  • 32. Part 2: Finding the Words
  • 33. And Then A Class MBA 295: Customer Development Co-taught with: Rob Majteles @ Treehouse Ventures
  • 34. Eric Ries Extends the Model • Took my class at U.C. Berkeley • Co-founded IMVU, I sat on his board – 1st implementation of Customer Development – Paired it with an Agile Development Model • Called it the Lean Startup
  • 35. Which Turned Into A Better Model +Agile Development
  • 36. Alex Osterwalder - Business Model • Business Model Generation • Defines what the “search” is about
  • 37. Which Turned Intoan Even Better Model + +
  • 38. +
  • 39. Hypotheses Testing and Insight
  • 40. And that Turned into Another Book
  • 41. Lean Startup = 3 parts Business Model Canvas Part 1
  • 42. Lean Startup Part 1 Part 2 Customer Development +
  • 43. Lean Startup Part 1 Agile Engineering + + Part 2 Agile Engineering Part 3
  • 44. Story 3 Experiential
  • 45. Existing pedagogy was designed by theorists not practitioners
  • 46. Entrepreneurship is Experiential
  • 47. Let’s Teach it That Way Entrepreneurship is Experiential
  • 48. And Then Into Another Class Engr 245: The Lean LaunchPad Co-taught with: Jon Feiber @ MDV Ann Miura-Ko @ Floodgate
  • 49. Admission By Application and Team (business model canvas) Engr 245: The Lean LaunchPad Co-taught with: Jon Feiber @ MDV Ann Miura-Ko @ Floodgate
  • 50. VC’s As Part of the Teaching Team Engr 245: The Lean LaunchPad Co-taught with: Jon Feiber @ MDV Ann Miura-Ko @ Floodgate Venture Capitalists
  • 51. One Mentor Per Team Engr 245: The Lean LaunchPad Co-taught with: Jon Feiber @ MDV Ann Miura-Ko @ Floodgate Venture Capitalists Mentors
  • 52. Joint Engineering & MBA Class Engr 245: The Lean LaunchPad Co-taught with: Jon Feiber @ MDV Ann Miura-Ko @ Floodgate Venture Capitalists Mentors
  • 53. Add Teaching Resources
  • 54. Story 4 The Scientific Method
  • 55. Then It Turned Into Another Class Co-taught with: Jon Feiber @ MDV Jim Hornthal @ CMEA John Burke @ True Ventures Jerry Engel @ Haas/Monitor Ventures Bhavik Joshi @ Better Place Oren Jacob @ Pixar
  • 56. Admission By Application and Team Co-taught with: Jon Feiber @ MDV Jim Hornthal @ CMEA John Burke @ True Ventures Jerry Engel @ Haas/Monitor Ventures Bhavik Joshi @ Better Place Oren Jacob @ Pixar
  • 57. VC’s As Part of the Teaching Team Co-taught with: Jon Feiber @ MDV Jim Hornthal @ CMEA John Burke @ True Ventures Jerry Engel @ Haas/Monitor Ventures Bhavik Joshi @ Better Place Oren Jacob @ Pixar Venture Capitalists
  • 58. Mentors are Part of the Team Co-taught with: Jon Feiber @ MDV Jim Hornthal @ CMEA John Burke @ True Ventures Jerry Engel @ Haas/Monitor Ventures Bhavik Joshi @ Better Place Oren Jacob @ Pixar Venture Capitalists Mentors
  • 59. Add LaunchPad Central to Monitor and Measure Outcomes
  • 60. Found a Secret Santa • Congressman Dan Lipinski (IL-3) • Flew out to attend a class • Key supporter on the hill
  • 61. Vitruvian • Prevent incisional hernias via wound healing – Biocompatible microparticles + fibrin sealant • Team: – Dr. Hobart Harris Chief of General Surgery – Dr. David Young, Prof Surgery – Cindy Chang, Enzymologist • Went through the CTAS program • Then took the UCSF class
  • 62. Trained the Trainers Added two More Schools
  • 63. Taught by Takashi Tsutsumi@ Hosei Co-taught with Murray Low @ Columbia Bob Dorf Co-taught with: Jon Feiber @ MDV Taught by Jim Hornthal And Four More Schools Add 5-day version of the class 5-day Version
  • 64. 68 Put the class online 200,000 students
  • 65. Lean LaunchPad Educators Class •Train educators each quarter
  • 66. Story 5 The Real Story is About You
  • 67. The Genius is in the Nodes/Sites
  • 68. The Genius is in the Nodes/Sites 5 nodes 15 sites 32 instructors 42 universities
  • 69. NSF I-Corps / Lean LaunchPad General Single Cohort
  • 70. General Single Cohort Multiple Cohorts Multiple Nodes of NSF I-Corps / Lean LaunchPad NSF I-Corps / Lean LaunchPad
  • 71. General Single Cohort Multiple Cohorts Multiple Sites of NSF I-Corps / Lean LaunchPad NSF I-Corps / Lean LaunchPad Multiple Nodes of NSF I-Corps / Lean LaunchPad
  • 72. Lean Startup Business Model Canvas
  • 73. Lean Startup Business Model Canvas Customer Development Agile Engineering+ + Evidence-based Curriculum (NSF I-Corps/Lean LaunchPad)
  • 74. Lean Startup Business Model Canvas Customer Development Agile Engineering+ + Evidence-based Curriculum (NSF I-Corps/Lean LaunchPad) Hypotheses
  • 75. Lean Startup Business Model Canvas Customer Development Agile Engineering+ + Evidence-based Curriculum (NSF I-Corps/Lean LaunchPad) Hypotheses Experiments
  • 76. Lean Startup Business Model Canvas Customer Development Agile Engineering+ + Evidence-based Curriculum (NSF I-Corps/Lean LaunchPad) Hypotheses Experiments Data
  • 77. Lean Startup Business Model Canvas Customer Development Agile Engineering+ + Evidence-based Curriculum (NSF I-Corps/Lean LaunchPad) Hypotheses Experiments Data Mentors
  • 78. LaunchPad Central Software Lean Startup Business Model Canvas Customer Development Agile Engineering+ + Evidence-based Curriculum (NSF I-Corps/Lean LaunchPad) Hypotheses Experiments Data
  • 79. LaunchPad Central Software DataDataData Lean Startup Business Model Canvas Customer Development Agile Engineering+ + Evidence-based Curriculum (NSF I-Corps/Lean LaunchPad) Hypotheses Experiments Data Weekly Progress
  • 80. LaunchPad Central Software DataDataData Lean Startup Business Model Canvas Customer Development Agile Engineering+ + Evidence-based Curriculum (NSF I-Corps/Lean LaunchPad) Hypotheses Experiments Data Weekly Progress Experiment Scorecard +
  • 81. LaunchPad Central Software DataDataData Lean Startup Business Model Canvas Customer Development Agile Engineering+ + Evidence-based Curriculum (NSF I-Corps/Lean LaunchPad) Hypotheses Experiments Data Weekly Progress Experiment Scorecard Data, Experiments, Trajectory, IRL + =
  • 82. Story 6 Domain Specific Cohorts
  • 83. NSF I-Corps / Lean LaunchPad General Single Cohort
  • 84. General Single Cohort Multiple Cohorts NSF I-Corps / Lean LaunchPad Multiple Sites of NSF I-Corps / Lean LaunchPad Multiple Nodes of NSF I-Corps / Lean LaunchPad
  • 85. General Single Cohort Multiple Cohorts Domain Specific I-Corps L for Educators Class NSF I-Corps / Lean LaunchPad Multiple Sites of NSF I-Corps / Lean LaunchPad Multiple Nodes of NSF I-Corps / Lean LaunchPad
  • 86. Lean LaunchPad for Life Sciences • Therapeutics • Diagnostics • Devices • Digital Health
  • 87. General Single Cohort Multiple Cohorts Domain Specific UCSF Life Sciences NSF I-Corps / Lean LaunchPad I-Corps L for Educators Class Multiple Sites of NSF I-Corps / Lean LaunchPad Multiple Nodes of NSF I-Corps / Lean LaunchPad
  • 88. Early Stage Therapeutic Myths The Idea is Key Better ideas create value Funding Gap Early Stage Investment as a market failure Data Quality Findings in preclinical research are often not reproducible Karl@CodonCapital.com The real gap is the expertise to move early stage research toward industrial relevance
  • 89. Early Stage Therapeutic Myths Karl@CodonCapital.com Data Quality Findings in preclinical research are often not reproducible Data addressing key development criteria
  • 90. Early Stage Therapeutic Myths Karl@CodonCapital.com Data Quality Findings in preclinical research are often not reproducible Data addressing key development criteria The Idea is Key Better ideas create value Clear path to modifying a disease
  • 91. Early Stage Therapeutic Myths Karl@CodonCapital.com Data Quality Findings in preclinical research are often not reproducible Data addressing key development criteria The Idea is Key Better ideas create value Clear path to modifying a disease Funding Gap Early Stage Investment as a market failure Operational plan justifying investment
  • 92. Story 7 Commercialization Insights
  • 93. 21st Century Commercialization Insight • Gov’t Commercialization efforts have two components – The science/technology – The business model • Current Commercialization efforts focus on #1 • Successful efforts require the team to do both
  • 94. Insight Technology Evidence but no Commercialization Evidence 98
  • 95. physical space & equipment seed $’s Mentorship Workshops/Webinars Technology Progress Clinical Trials, etc. Technology Progress ≠ Commercialization
  • 96. 100 Current Thinking about Translational Medicine Research Performing Institutions Technology (diagnostic, device, therapeutic) Solicit & Select Develop Technology Obtain Additional Capital
  • 97. Research Institutions Technology (diagnostic, device, therapeutic) Solicit & Select Existing Company New Company Technology Development Process Regulatory Intellectual Property Business Development Project Management Medical, Scientific, and Business Review Licensing and Exit Accepted independent financing Product Development Additional Capital Current Thinking about Translational Medicine Mentors
  • 98. Insight Add a 2nd, Path for Commercialization Evidence 102
  • 99. physical space & equipment seed $’s Mentorship Workshops/Webinars Technology Progress Clinical Trials, etc. Commercialization Progress – reducing market risk Accelerating Commercialization: – Requires Parallel Paths
  • 100. Insight Commercialization Evidence Require Outward Focus 104
  • 101. Research Institutions Technology (diagnostic, device, therapeutic) Solicit & Select Add Evidence-based Commercialization Medical, Scientific, and Business Review Accepted Additional Capital Inward-facing
  • 102. Research Institutions Technology (diagnostic, device, therapeutic) Solicit & Select Add Evidence-based Commercialization Medical, Scientific, and Business Review Accepted Additional Capital Reimburse -men Partners Customers (users, payers, etc.) Commercialization Development Process Value Propositio n Distribution Channels Add a parallel Commercialization Process Inward-facing Outward-facing
  • 103. Research Performing Institutions Technology (diagnostic, device, therapeutic) Solicit & Select Add Evidence-based Commercialization Medical, Scientific, and Business Review Accepted Additional Capital Customers Value Proposition Channels Partners Reimburse- ment Intellectual Property Commercialization
  • 104. Magnamosis • Create a magnetic compression anastomosis with improved outcomes • Team: – Michael Harrison, MD, Pediatric Surgeon – Elisabeth Leeflang, MD, General Surgery Resident – Michael Danty, MS, Business Development – Dillon Kwiat, BS, Medical Device Engineer
  • 105. 109
  • 106. NSF I-Corps / Lean LaunchPad General Single Cohort
  • 107. General Single Cohort Multiple Cohorts NSF I-Corps / Lean LaunchPad Multiple Sites of NSF I-Corps / Lean LaunchPad Multiple Nodes of NSF I-Corps / Lean LaunchPad
  • 108. General Single Cohort Multiple Cohorts Domain Specific I-Corps L for Educators Class NSF I-Corps / Lean LaunchPad Multiple Sites of NSF I-Corps / Lean LaunchPad Multiple Nodes of NSF I-Corps / Lean LaunchPad
  • 109. Lean LaunchPad for Life Sciences • Therapeutics • Diagnostics • Devices • Digital Health
  • 110. General Single Cohort Multiple Cohorts Domain Specific UCSF Life Sciences NSF I-Corps / Lean LaunchPad I-Corps L for Educators Class Multiple Sites of NSF I-Corps / Lean LaunchPad Multiple Nodes of NSF I-Corps / Lean LaunchPad
  • 111. Story 8 What’s Next?
  • 112. OSTP – Secret Santa II • From Lab to Market: Accelerating Research Breakthroughs and Economic Growth
  • 113. Lean LaunchPad for the NIH • NCATS • NCI • NHLBI • NINDS 25 Teams fall 2014
  • 114. Pivoting the SBIR Process • SBIR grants describe a commitment to execute • How do you Pivot after a grant? Change the grant process!
  • 115. Making the Network a Network • Share, share, share – Resources – Expertise – Mentors – Best practices • Create a Nation of Innovators – Integrate experiential entrepreneurship on all levels
  • 116. The Future Is Now in Your Hands 5 nodes 15 sites 32 instructors 42 universities

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