• Share
  • Email
  • Embed
  • Like
  • Save
  • Private Content
2010 02 19 the lean startup - webstock 2010
 

2010 02 19 the lean startup - webstock 2010

on

  • 13,198 views

Talk given at Webstock 2010 in Wellington, New Zealand Feb 19, 2010.

Talk given at Webstock 2010 in Wellington, New Zealand Feb 19, 2010.

Statistics

Views

Total Views
13,198
Views on SlideShare
10,954
Embed Views
2,244

Actions

Likes
31
Downloads
390
Comments
2

24 Embeds 2,244

http://www.startuplessonslearned.com 1249
http://af-design.com 241
http://www.pollenizer.com 210
http://ideaction.co 209
http://pollenizer.com 101
http://anthillonline.com 94
http://27.111.87.54 40
http://www.slideshare.net 38
http://kashifalihabib.blogspot.com 18
http://www.tinkrbox.com 13
http://feeds.feedburner.com 6
http://mumblr.munishgandhi.com 5
http://translate.googleusercontent.com 4
http://kashifalihabib.blogspot.ca 3
http://kashifalihabib.blogspot.in 2
https://www.google.com.au 2
http://ec2-204-236-198-96.compute-1.amazonaws.com:8080 2
http://flavors.me 1
http://paper.li 1
https://www.4proxy.de 1
http://inimatic.blogspot.com 1
applewebdata://70912427-C678-458F-885B-5C5B128B5230 1
http://kashifalihabib.blogspot.ru 1
http://webcache.googleusercontent.com 1
More...

Accessibility

Categories

Upload Details

Uploaded via as Microsoft PowerPoint

Usage Rights

CC Attribution-ShareAlike LicenseCC Attribution-ShareAlike License

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel

12 of 2 previous next

  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment

    2010 02 19 the lean startup - webstock 2010 2010 02 19 the lean startup - webstock 2010 Presentation Transcript

    • The Lean Startup#leanstartup
      Eric Ries (@ericries)
      http://StartupLessonsLearned.com
    • Entrepreneurship = Awesome
      It is the best time in the history of the world to be an entrepreneur
      Costs are falling in all industries
      Barriers are being destroyed
      Disruption and chaos are everywhere
    • Why build a startup?
      Only entrepreneurship combines these three elements
      Change the world
      Build an organization of lasting value
      Make customers’ lives better
    • Most Startups Fail
    • Most Startups Fail
    • Most Startups Fail
    • Most Startups Fail
      But it doesn’t have to be that way.
      We can do better.
      This talk is about how.
    • What is a startup?
      A startup is a human institution designed to deliver a new product or service under conditions of extreme uncertainty.
      Nothing to do with size of company, sector of the economy, or industry
    • Entrepreneurship is management
      Our goal is to create an institution, not just a product
      Traditional management practices fail
      “general management” as taught to MBAs
      Need practices and principles geared to the startup context of extreme uncertainty
      Not just for “two guys in a garage”
    • The Pivot
      What do successful startups have in common?
      They started out as digital cash for PDAs, but evolved into online payments for eBay.
      They started building BASIC interpreters, but evolved into the world's largest operating systems monopoly.
      They were shocked to discover their online games company was actually a photo-sharing site.
      Pivot: change directions but stay grounded in what we’ve learned.
      http://startuplessonslearned.blogspot.com/2009/06/pivot-dont-jump-to-new-vision.html
    • Speed Wins
      if we can reduce the time between major iterations
      we can increase our odds of success
    • A Tale of Two Startups
    • Startup #1
    • Stealth Startup Circa 2001
    • All about the team
    • A good plan?
      Start a company with a compelling long-term vision.
      Raise plenty of capital.
      Hire the absolute best and the brightest.
      Hire an experienced management team with tons of startup experience.
      Focus on quality.
      Build a world-class technology platform.
      Build buzz in the press and blogosphere.
    • Achieving Failure
      Company failed*
      $40MM and five years of pain
      Crippled by “shadow beliefs” that destroyed the effort of all those smart people.
    • Shadow Belief #1
      We know what customers want.
    • Shadow Belief #2
      We can accurately predict the future.
    • Shadow Belief #3
      Advancing the plan is progress.
    • A good plan?
      Start a company with a compelling long-term vision.
      Raise plenty of capital.
      Hire the absolute best and the brightest.
      Hire an experienced management team with tons of startup experience.
      Focus on quality.
      Build a world-class technology platform.
      Build buzz in the press and blogosphere.
    • Startup #2
    • IMVU
       
    • IMVU
       
    • New plan
      Shipped in six months – a horribly buggy beta product
      Charged from day one
      Shipped multiple times a day (by 2008, on average 50 times a day)
      No PR, no launch
      Results 2009: profitable, revenue > $20MM
    • Making Progress
      In a lean transformation, question #1 is – which activities are value-creating and which are waste?
      In traditional business, value is created by delivering products or services to customers
      In a startup, the product and customer are unknowns
      We need a new definition of value for startups
    • Traditional Product Development
      Unit of Progress: Advance to Next Stage
      Waterfall
      Requirements
      Specification
      Design
      Problem: known
      Solution: known
      Implementation
      Verification
      Maintenance
    • Agile Product Development
      Unit of Progress: A line of Working Code
      “Product Owner” or in-house customer
      Problem: known
      Solution: unknown
    • Product Development at Lean Startup
      Unit of Progress: Validated Learning About Customers ($$$)
      Customer Development
      Hypotheses,
      Experiments,
      Insights
      Problem: unknown
      Data,
      Feedback,
      Insights
      Solution: unknown
    • Minimize TOTAL time through the loop
      IDEAS
      LEARN
      BUILD
      DATA
      CODE
      MEASURE
    • How to build a Lean Startup
      Let’s talk about some specifics.
      Continuous deployment
      Five why’s
    • Continuous Deployment
      IDEAS
      LEARN
      BUILD
      Learn Faster
      Customer Development
      Five Whys
      Build Faster
      Continuous Deployment
      Small Batches
      Continuous Integration
      Refactoring
      DATA
      CODE
      MEASURE
      Measure Faster
      Split Testing
      Actionable Metrics
      Net Promoter Score
      SEM
    • Continuous Deployment
      • Deploy new software quickly
      • At IMVU time from check-in to production = 20 minutes
      • Tell a good change from a bad change (quickly)
      • Revert a bad change quickly
      • And “shut down the line”
      • Work in small batches
      • At IMVU, a large batch = 3 days worth of work
      • Break large projects down into small batches
    • Cluster Immune System
      What it looks like to ship one piece of code to production:
      • Run tests locally (SimpleTest, Selenium)
      • Everyone has a complete sandbox
      • Continuous Integration Server (BuildBot)
      • All tests must pass or “shut down the line”
      • Automatic feedback if the team is going too fast
      • Incremental deploy
      • Monitor cluster and business metrics in real-time
      • Reject changes that move metrics out-of-bounds
      • Alerting & Predictive monitoring (Nagios)
      • Monitor all metrics that stakeholders care about
      • If any metric goes out-of-bounds, wake somebody up
      • Use historical trends to predict acceptable bounds
      When customers see a failure:
      • Fix the problem for customers
      • Improve your defenses at each level
    • Five Whys
      IDEAS
      Code Faster
      Learn Faster
      BUILD
      LEARN
      Continuous
      Deployment
      Five Whys Root
      Cause Analysis
      CODE
      DATA
      Measure Faster
      MEASURE
      Rapid Split Tests
    • Five Whys Root Cause Analysis
      • A technique for continuous improvement of company process.
      • Ask “why” five times when something unexpected happens.
      • Make proportional investments in prevention at all five levels of the hierarchy.
      • Behind every supposed technical problem is usually a human problem. Fix the cause, not just the symptom.
    • There’s much more…
      IDEAS
      Code Faster
      Learn Faster
      BUILD
      LEARN
      Unit Tests
      Usability Tests
      Continuous Integration
      Incremental Deployment
      Free & Open-Source Components
      Cloud Computing
      Cluster Immune System
      Just-in-time Scalability
      Refactoring
      Developer Sandbox
      Minimum Viable Product
      Split Tests
      Customer Interviews
      Customer Development
      Five Whys Root Cause Analysis
      Customer Advisory Board
      Falsifiable Hypotheses
      Product Owner Accountability
      Customer Archetypes
      Cross-functional Teams
      Semi-autonomous Teams
      Smoke Tests
      CODE
      DATA
      Measure Faster
      MEASURE
      Split Tests
      Clear Product Owner
      Continuous Deployment
      Usability Tests
      Real-time Monitoring
      Customer Liaison
      Funnel Analysis
      Cohort Analysis
      Net Promoter Score
      Search Engine Marketing
      Real-Time Alerting
      Predictive Monitoring
    • Get Started Today
      You are ready to do this, no matter
      who you are
      what job you have
      what stage of company you’re in
      Get started now, today.
    • Thanks!
      • Startup Lessons Learned Blog
      • http://StartupLessonsLearned.com/
      • In print: http://bit.ly/SLLbookbeta & at the Webstock booth
      • Getting in touch (#leanstartup)
      • http://twitter.com/ericries
      • eric@theleanstartup.com
      • Lean Startup Wellington Meetuphttp://www.meetup.com/Lean-Startup-Wellington/@davemosk @joshuavial @maximonos @andrewfantastic
      • Lean Startup Wikihttp://leanstartup.pbworks.com/
    • Rapid Split Tests
      IDEAS
      Code Faster
      Learn Faster
      BUILD
      LEARN
      Continuous
      Deployment
      Five Whys Root
      Cause Analysis
      CODE
      DATA
      Measure Faster
      MEASURE
      Rapid Split Tests
    • Split-testing all the time
      A/B testing is key to validating your hypotheses
      Has to be simple enough for everyone to use and understand it
      Make creating a split-test no more than one line of code:
      if( setup_experiment(...) == "control" ) {
      // do it the old way
      } else {
      // do it the new way
      }
    • The AAA’s of Metrics
      Actionable
      Accessible
      Auditable
    • Measure the Macro
      Always look at cohort-based metrics over time
      Split-test the small, measure the large