Lean Startup for Non-startups

Your Speaker! •  Catherine Connor –  Rally Software –  Boulder, CO –  catherine@rallydev.com •  Roles –  Product Manager at Rally Software –  Product Owner at Rally Software –  Product Owner at Borland –  Requirements Evangelist at IBM Rational (RequisitePro) –  Sales Engineer at Rational •  Passion –  Providing customers with real solutions –  Helping product managers adopt Agile principles –  “How product management must change to enable the agile enterprise”

Experience Report! •  “Lean Startup” technique applied to enter the Portfolio Management market (Aug’ 10 - Dec’11) ! !

Rally a Startup?! •  Started in 2002 •  Privately held •  298 employees •  136,000 users •  Distributed offices – US, Europe, Asia •  58 of the largest technology companies! •  20 of the largest ﬁnance companies! •  15 of the largest telecom companies! •  Existing Market: Agile Program & Project Management •  New Market: Agile Portfolio Management

Customer Development (2004-2009)! Customer Development is a technique startups use to quickly iterate and test each part of their business model. ! ! How you execute Customer Development varies, depending on your type of business.! ! - Steve Blank!

Lean Startup (2011)! Customer Development was a way to quickly search outside the building for a proﬁtable business model   when customer needs are unknown. ! ! An Agile Development model was the right match for engineering to build a product  when the initial feature set was unknown. ! ! The sum of solving for both unknown customer needs and unknown features     became the Lean Startup.!

Lean Startup Process!

Impact on your Bottom Line!

Disruptive Innovation! •  Apply Agile principles to Portfolio Management (Aug’ 10 - Dec’11) ! !

Create Minimal Viable Product (MVP)! •  Customer-created JavaFX application presented at LeanSSC’10 ! !

Deﬁne Innovation Sandbox!•  “Conducting experiments w/o making massive upfront investment in planning & design” – Eric Ries•  Dedicated team/budget –  1 full-time product manager –  1 full-time contractor

Follow Process Diligently! •  “The Four Steps to the Epiphany” •  Agile software development practices !

Document Hypotheses! •  The Customer (Personas / Who uses it / who buys it) •  Channel & Pricing (Pricing & Packaging) •  Competition (Competitors & Alternatives) •  The Product •  Demand creation •  Influencers •  Market type (new/existing segment)

Deliver Small Batch Sizes! •  Weekly builds delivered to earlyvangelists ! !

Pivot or Persevere? ! •  Pivot: Technology Pivot •  Persevere: allocate more development resources

By The Numbers! 100 validation interviews 7 earlyvangelists 20 MVP customers 34 MVP releases 16 months

What Worked! •  Discipline –  “The 4 steps to the Epiphany” cookbook –  Interview script focused on hypotheses validation •  Dedicated resources –  Non-entrepreneurial resources –  No borrowing of existing development resources •  Product-Market fit –  3 customer testimonials on launch day •  Earlyvangelists –  Few right ones more important than many

Ah Ha Moment! “Dropping releases that require conﬁguration changes in our production environment is not an acceptable way for releases to hit our enterprise working environment. ”

Earlyvangelist Detector! •  Low availability •  Assigned to participate by manager •  Focus on usability and performance instead of suitability •  Need constant hand-holding to use MVP NOT AN EARLYVANGELIST

What We Could Have Done Better! 1.  Discard non-earlyvangelists quicker 2.  Clearer internal communication 3.  Include UX person in interviews 4.  Earlyvangelists’ expectations at launch 5.  Less documentation for MVP

Resources! •  The Four Steps to the Epiphany - Steveblank.com –  Teaching Customer Development and the Lean Startup – Topological Homeomorphism! •  Theleanstartup.com – Eric Ries –  The Lean Startup: Interview with Eric Ries •  Escape Velocity – Geoffrey Moore –  Audio Podcast: Reach your escape velocity – Standford University eCorner •  Rally’s experience – Agile Blog –  Blog: The Lean Startup & Customer Development – How It’s Moving Through Rally! –  Blog: Give people the gift of meaningful work, while investing in your company’s future! –  Videos: http://www.rallydev.com/toolkits/agile-portfolio-management-toolkit

http://bitly.com	13
http://tweetedtimes.com	9
http://www.onlydoo.com	4
http://us-w1.rockmelt.com	2
http://www.bbvatech.com	1
http://paper.li	1

Lean Startup for Non-startups

by Silicon Valley ProductCamp

Accessibility

Categories

Upload Details

Usage Rights

6 Embeds 30

Statistics

Lean Startup for Non-startups Presentation Transcript