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Agenda 19-02-2013
08:30 – 09:00 Technology Entrepreneurship Methodology

09:00 – 09:10 Lean Startup – a quick introduction

09:10 – 09:25 Break

09:25 – 10:05 Lean Startup – Description of central concepts

10:05 – 10:20 Break

10:20 – 11:00 SCRUM – Part 1

09:10 – 09:25 Break

11:15 – 11:55 SCRUM – Part 2




1   Original material by Thomas J. Howard & Jakob Bejbro for 41631: Innovation in Product Development   2013
                   Department of Mechanical Engineering, Technical University of Denmark
Building a business
Technology entrepreneurship methodology
Jakob Bejbro Andersen
jaban@mek.dtu.dk

                         Unless otherwise stated, this material is under a Creative
                         Commons 3.0 Attribution–Share-Alike licence and can be
                         freely modified, used and redistributed but only under the
                         same licence and if including the following statement:
“Original material by Thomas J. Howard and Jakob Bejbro Andersen for course 41631 – Innovation and
Product Development Department of Mechanical Engineering, The Technical University of Denmark”
The special case of
”Technology Entrepreneurship”
• Entrepreneurship in general can be characterised as:


    The identification, development and
    exploitation of opportunities by single
    persons (entrepreneurs).

• Technology entrepreneurship is a subset
  characterised by being highly dependant on
  technology for creating value.

• The development of technology into commercially
  attractive products/services is described well in
  literature (innovation).
3    Original material by Thomas J. Howard & Jakob Bejbro for 41631: Innovation in Product Development   2013
                    Department of Mechanical Engineering, Technical University of Denmark
Prerequisites for Innovation methods
                               ESTABLISHED                                      STARTUP

    Knowledge                    High levels of knowledge                         Incufficient knowledge,
                                 founded in staff and data                        perhaps specific to certain
                                 management systems                               fields (the advantage?).

    Organisation                 Well established organisation
                                 with departments aligned to                      Restricted to roles.
                                 company functions.                               No hierarchy.


    Responsibilities             The business development
                                 task is divided into sub-tasks                   Ad-hoc or vaguely defined.
                                 placed in departments.

    Development                  The relations between the                        Cross-disciplinary. Teams often
                                 development’s stakeholders                       lack necessary knowledge and
    environment                  are well known.                                  competencies.

    Customer                     Customer dialogue is handled                     Customer is (or should be)
                                 by the sales department                          closely coupled to the
    proximity                                                                     development

    Level of                     Similarity between                               Most tasks are solved for the
                                 development projects is likely                   first time. Importance of
    repetition                   to be of a high degree.                          tasks changes over time.


4       Original material by Thomas J. Howard & Jakob Bejbro for 41631: Innovation in Product Development           2013
                       Department of Mechanical Engineering, Technical University of Denmark
IPD: In an established company


                                                 Market
                                       Well-known relations


    Need
    (situation)
                                                 Product                                                  $
                                         Well-known relations



                                           Production

5     Original material by Thomas J. Howard & Jakob Bejbro for 41631: Innovation in Product Development   2013
                     Department of Mechanical Engineering, Technical University of Denmark
IPD: In a startup
                                                        What
                                                        now?
                                                                                    ?
                                                 Market                                 ?
                                                             ?
                                                                   What


                                                                                                          $
      Need                                                         now?        ?
    (situation)                                  Product
                                                  ?
                                                                                ?

                                                                            What
                                                                            now?
                                                        ?                        ?
                                           Production   ?
                                                         ?                                    ?

                                    … So, why do we need the development log?
6     Original material by Thomas J. Howard & Jakob Bejbro for 41631: Innovation in Product Development   2013
                     Department of Mechanical Engineering, Technical University of Denmark
A tool to match the task at hand
• The tools deployed need to reflect the nature of the task.
Contextual                Established company                               Startup
setting

Prerequi-                 •    High degree of certainty.                      •    Low degree of certainty.
sites                     •    Good knowledge                                 •    Large gaps in knowledge.
                               coverage.                                      •    Focus on effectuation.
                          •    Focus on product costs.                        •    Ad-hoc / bricolage
                          •    Plannable progress.                                 oriented process.
                          •    Sufficient resources.                          •    Few resources (time, $).
Tools                     •    Stage Gate Model                                •   Lean Startup (to follow)
available                 •    Lean                                            •   … and a few
(in Engineering Design)   •    SCRUM                                               derivatives.
                          •    Total Quality
                               Management
                          •    Gantt Charts
                          •    Product Architectures &
                               Platforms.
                          •    … and many more!
7      Original material by Thomas J. Howard & Jakob Bejbro for 41631: Innovation in Product Development   2013
                      Department of Mechanical Engineering, Technical University of Denmark
A closer look: The Stage Gate Model*
•What is required to execute the stage gate
 model?
•How well does the model handle changes in the
 surroundings?
•Does it operate well when there are gaps in
 team’s knowledge?

                                     Spend 5 minutes discussing the questions




    * Robert Cooper, A process model for industrial new product developement, IEEE: Transactions
    on Engineering Management, Vol. EM-30, No. 1, February 1983
8        Original material by Thomas J. Howard & Jakob Bejbro for 41631: Innovation in Product Development   2013
                        Department of Mechanical Engineering, Technical University of Denmark
Product
                                                               Stage
                                                         Product/Service-
                                                          architectures
                                                               Lean
                                                                gate
                                                              Gantt
ED and Tech                    Entrepreneurship              SCRUM
                                                              Systems
                                                           & Platforms
                                                             Startup
                                                               model
                                                             Charts
                                          Model developments / tweaks

                     Stage                                                             Lean
                     gate                                                             Startup
                     model



                                Gantt                                                         SCRUM
                                Charts


                                                                       Product/Service-
                                                                           Systems
              Product
           architectures
            & Platforms


Poor match                                                                                              Good match
9   Original material by Thomas J. Howard & Jakob Bejbro for 41631: Innovation in Product Development          2013
                   Department of Mechanical Engineering, Technical University of Denmark
The Development Log
The DL is a tool for:
• Navigating and managing complexity.
• Prioritising tasks.
• Handling team resources.
• Specifically designed for the entrepreneurial process.


The DL is not:
• A tool prescribing approaches
and solutions.
• Specific to engineering design.




10   Original material by Thomas J. Howard & Jakob Bejbro for 41631: Innovation in Product Development   2013
                    Department of Mechanical Engineering, Technical University of Denmark
Questions?


11   Original material by Thomas J. Howard & Jakob Bejbro for 41631: Innovation in Product Development   2013
                    Department of Mechanical Engineering, Technical University of Denmark

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41631 lecture 3 pt1 tech entrepreneurship methods

  • 1. Agenda 19-02-2013 08:30 – 09:00 Technology Entrepreneurship Methodology 09:00 – 09:10 Lean Startup – a quick introduction 09:10 – 09:25 Break 09:25 – 10:05 Lean Startup – Description of central concepts 10:05 – 10:20 Break 10:20 – 11:00 SCRUM – Part 1 09:10 – 09:25 Break 11:15 – 11:55 SCRUM – Part 2 1 Original material by Thomas J. Howard & Jakob Bejbro for 41631: Innovation in Product Development 2013 Department of Mechanical Engineering, Technical University of Denmark
  • 2. Building a business Technology entrepreneurship methodology Jakob Bejbro Andersen jaban@mek.dtu.dk Unless otherwise stated, this material is under a Creative Commons 3.0 Attribution–Share-Alike licence and can be freely modified, used and redistributed but only under the same licence and if including the following statement: “Original material by Thomas J. Howard and Jakob Bejbro Andersen for course 41631 – Innovation and Product Development Department of Mechanical Engineering, The Technical University of Denmark”
  • 3. The special case of ”Technology Entrepreneurship” • Entrepreneurship in general can be characterised as: The identification, development and exploitation of opportunities by single persons (entrepreneurs). • Technology entrepreneurship is a subset characterised by being highly dependant on technology for creating value. • The development of technology into commercially attractive products/services is described well in literature (innovation). 3 Original material by Thomas J. Howard & Jakob Bejbro for 41631: Innovation in Product Development 2013 Department of Mechanical Engineering, Technical University of Denmark
  • 4. Prerequisites for Innovation methods ESTABLISHED STARTUP Knowledge High levels of knowledge Incufficient knowledge, founded in staff and data perhaps specific to certain management systems fields (the advantage?). Organisation Well established organisation with departments aligned to Restricted to roles. company functions. No hierarchy. Responsibilities The business development task is divided into sub-tasks Ad-hoc or vaguely defined. placed in departments. Development The relations between the Cross-disciplinary. Teams often development’s stakeholders lack necessary knowledge and environment are well known. competencies. Customer Customer dialogue is handled Customer is (or should be) by the sales department closely coupled to the proximity development Level of Similarity between Most tasks are solved for the development projects is likely first time. Importance of repetition to be of a high degree. tasks changes over time. 4 Original material by Thomas J. Howard & Jakob Bejbro for 41631: Innovation in Product Development 2013 Department of Mechanical Engineering, Technical University of Denmark
  • 5. IPD: In an established company Market Well-known relations Need (situation) Product $ Well-known relations Production 5 Original material by Thomas J. Howard & Jakob Bejbro for 41631: Innovation in Product Development 2013 Department of Mechanical Engineering, Technical University of Denmark
  • 6. IPD: In a startup What now? ? Market ? ? What $ Need now? ? (situation) Product ? ? What now? ? ? Production ? ? ? … So, why do we need the development log? 6 Original material by Thomas J. Howard & Jakob Bejbro for 41631: Innovation in Product Development 2013 Department of Mechanical Engineering, Technical University of Denmark
  • 7. A tool to match the task at hand • The tools deployed need to reflect the nature of the task. Contextual Established company Startup setting Prerequi- • High degree of certainty. • Low degree of certainty. sites • Good knowledge • Large gaps in knowledge. coverage. • Focus on effectuation. • Focus on product costs. • Ad-hoc / bricolage • Plannable progress. oriented process. • Sufficient resources. • Few resources (time, $). Tools • Stage Gate Model • Lean Startup (to follow) available • Lean • … and a few (in Engineering Design) • SCRUM derivatives. • Total Quality Management • Gantt Charts • Product Architectures & Platforms. • … and many more! 7 Original material by Thomas J. Howard & Jakob Bejbro for 41631: Innovation in Product Development 2013 Department of Mechanical Engineering, Technical University of Denmark
  • 8. A closer look: The Stage Gate Model* •What is required to execute the stage gate model? •How well does the model handle changes in the surroundings? •Does it operate well when there are gaps in team’s knowledge? Spend 5 minutes discussing the questions * Robert Cooper, A process model for industrial new product developement, IEEE: Transactions on Engineering Management, Vol. EM-30, No. 1, February 1983 8 Original material by Thomas J. Howard & Jakob Bejbro for 41631: Innovation in Product Development 2013 Department of Mechanical Engineering, Technical University of Denmark
  • 9. Product Stage Product/Service- architectures Lean gate Gantt ED and Tech Entrepreneurship SCRUM Systems & Platforms Startup model Charts Model developments / tweaks Stage Lean gate Startup model Gantt SCRUM Charts Product/Service- Systems Product architectures & Platforms Poor match Good match 9 Original material by Thomas J. Howard & Jakob Bejbro for 41631: Innovation in Product Development 2013 Department of Mechanical Engineering, Technical University of Denmark
  • 10. The Development Log The DL is a tool for: • Navigating and managing complexity. • Prioritising tasks. • Handling team resources. • Specifically designed for the entrepreneurial process. The DL is not: • A tool prescribing approaches and solutions. • Specific to engineering design. 10 Original material by Thomas J. Howard & Jakob Bejbro for 41631: Innovation in Product Development 2013 Department of Mechanical Engineering, Technical University of Denmark
  • 11. Questions? 11 Original material by Thomas J. Howard & Jakob Bejbro for 41631: Innovation in Product Development 2013 Department of Mechanical Engineering, Technical University of Denmark