The Lean Startup Conference 2019

1. Easy Metrics for
Corporate Startups
23 October 2019
Katie Careless
#easymetrics #leanstartup

2. Easy Metrics for Corporate Startups
Large organizations are optimized to execute on their current business models and corporate
entrepreneurs often run into resistance and misunderstanding when they try to search for new ways
of doing business. Through years of practicing Lean Startup as Innovation Lead in the UK
Government, Katie has found that metrics are the key to success and often the one thing that
corporate innovators struggle with the most. In this workshop you’ll learn about an approach that
makes it easy for corporate entrepreneurs and investors to get started using meaningful metrics. You
will be guided through how to create an easy starter dashboard that helps answer three key
questions:
● Are you moving towards your vision?
● How fast are you reducing risk while incrementally increasing investment?
● How much value are you creating for your customers?
You’ll leave with your own starter dashboard and tips for teaching this method to corporate
entrepreneurs and investors in your organization.

3. Speaker Bio
Katie is a former Project Manager on a mission to spark entrepreneurial spirit and
bring Lean Startup to the U.K. Government. With over a decade of experience in
public service roles from data analysis, to policy, research, operations management,
technical delivery management, and business change, she is now the U.K.
Government’s first ever Innovation Methodologies Lead. She spends her time
teaching and coaching both practitioners and leadership across several departments
and along with her growing volunteer army has so far introduced over 1000 people
to the Lean Startup mindset through her in-house training curriculum. This is her
first time speaking at Lean Startup Conference and is excited to share some of her
lessons learned with fellow Lean Startup geeks!

4. -01-
WHY EASY
METRICS?
-02-
STRATEGIC
METRICS
-03-
PROGRESS
METRICS
-04-
VALUE
METRICS
-05-
BRINGING IT
TOGETHER
#easymetrics #leanstartup

5. WHY EASY
METRICS?
#easymetrics #leanstartup

6. Why do we want to be more
entrepreneurial?
It takes us years to
deploy new capability
It’s hard-impossible to stop stuff
that’s in-flight
#easymetrics #leanstartup

7. Entrepreneurial
Investors
★ Portfolio definition
★ Adaptive strategy
★ Right questions right time
★ Evidence-based decisions
Entrepreneurial
Leaders
★ Create accountability
★ Challenge
★ Coach
★ Support
Entrepreneurs
★ Customer empathy
★ Prioritise assumptions
★ Experimentation & iteration
★ Mission model thinking
Innovation
Ecosystem
#easymetrics #leanstartup

8. Current Curriculum
Bootcamp for
Entrepreneurs
Entrepreneurial
Leadership
Entrepreneurial
Governance for
Investors
A 5-day Bootcamp
based on the i-corps
model where
delegates learn &
apply basic concepts
to their own projects
A 1-day class which
gives leaders an
overview of
Entrepreneurship,
and the leadership
behaviours that help
& hinder
A 1-day class which
helps give internal
investors the
confidence to invest
their people &
money on the right
things
#easymetrics #leanstartup

9. Metrics, Metrics,
Metrics!
#easymetrics #leanstartup

10. Metrics, Metrics,
Metrics!
#easymetrics #leanstartup

11. Easy Metrics
1. Are we getting closer to our vision?
2. How fast are we making progress?
3. How much value are we creating?
#easymetrics #leanstartup

12. STRATEGIC
METRICS
#easymetrics #leanstartup

13. If you don’t know where you’re going,
it doesn’t matter which way you go
#easymetrics #leanstartup

14. Key Concepts
1. Leading + Lagging Indicators
2. Baseline, Tune the Engine, Pivot,
Persevere or Pause
#easymetrics #leanstartup

15. CORPORATE
KNOWLEDGE TOOLS
EXAMPLE
An internal Software House
that makes in-house databases
and applications to store
organisational knowledge.
Key lagging indicator =
operational errors due to
knowledge management is zero
#easymetrics #leanstartup

16. ENGINEERING
TRANSFORMATION
EXAMPLE
Engineering Transformation
Team aiming to ‘deliver stuff
our customers need, before
they know they need it’
Key leading indicator = the
number of projects / initiatives
we intentionally stop due to no
product-market fit, increases
#easymetrics #leanstartup

17. INTERNET
CONNECTIVITY
EXAMPLE
IT Services Team who are
running a portfolio to find
better internet access options
for staff
Key leading indicator = 10%
reduction per month in total
tickets/requests for internet
access
#easymetrics #leanstartup

18. Over to you
10 MINS
1. What is a good lagging indicator
(thermostat) you’ve achieved
your goal?
2. What is a good leading indicator
(people using fans) you’re going
in the right direction?
#easymetrics #leanstartup

19. PROGRESS
METRICS
#easymetrics #leanstartup

20. ‘Innovation’ has a reputation for playing about with
fun tech. Disciplined entrepreneurship is about
systematically creating new business/mission models
Innovator
Investor
#easymetrics #leanstartup

21. Key Concepts
1. Search + Execute / Explore +
Exploit
2. Mission Model De-Risking
#easymetrics #leanstartup

22. How many of these are true? - give yourself 10% risk reduction for each one that is
1. We know what customer segments are benefitting from our product/service
2. We know what value we will create for them
3. We know that our product/service actually creates value for our customers
4. We know how much benefit / impact will result after we deliver value to our customers
5. We know how we’ll deliver this value to our customers
6. We have the buy-in we need to deploy our product/service
7. We know what activities we will need to carry out in order to create the product/service
8. We know what resources we need to carry out these activities
9. We have agreements with partners who can deliver activities that we can’t
10. We know how much it will cost us to deliver the product/service
10 Easy Questions
#easymetrics #leanstartup

23. ANALYTICS APP
EXAMPLE
Idea for a data analytics app
● Time: 1 month
● Effort: 4p team
● Money: £0
● De-risked: 20%
No
Part Part Part
Yes
No Part Yes
No No
#easymetrics #leanstartup

24. IT SERVICES
INFRASTRUCTURE
EXAMPLE
ITS project delivering new
software engineering
infrastructure
● Time: 12-18 months
● Effort: 6p team
● Money: ££
● De-risked: 50%
Yes
Yes Yes No
No
Yes No No
Yes No
#easymetrics #leanstartup

25. RECOMMENDER APP
EXAMPLE
Research team developing a
recommender app
● Time: 2 years
● Effort: 4-6p team
● Money: £0
● De-risked: 0%
No
Part No No
No
No No No
No No
#easymetrics #leanstartup

26. INNOVATION
TRAINING
EXAMPLE
● Total innovation risk reduced 48%
● Learning velocity 5% per month
● Time taken 22 Months
● Money invested ££
● People resource invested 2.8 FTE
#easymetrics #leanstartup

27. Over to you
10 MINS
1. Capture how much money,
people effort, and time have you
spent so far
2. Using the 10 Questions,
calculate how much innovation
risk have you reduced so far
#easymetrics #leanstartup

28. VALUE METRICS
#easymetrics #leanstartup

29. We’re not here to be busy doing stuff,
we’re here to create value
#easymetrics #leanstartup

30. Key Concepts
1. Customer Traction
2. Customer Funnels
#easymetrics #leanstartup

31. Key Concepts
1. Customer Traction
2. Customer FunnelsTimescale Traction
Traction Landmark 1 1/12 Target 1/1000 Target
Traction Landmark 2 1/3 Target 1/100 Target
Traction Landmark 3 2/3 Target 1/10 Target
Traction Landmark 4 Insert Target Insert Target
#easymetrics #leanstartup

32. KITTY BOX APP
EXAMPLE
Target: 4000 phones in 1 year
Traction Landmarks:
● 1 month = 4 phones
● 4 months = 40 phones
● 8 months = 400 phones
● 12 months = 4000 phones
1 month 4 months 8 months 12 months
#easymetrics #leanstartup

33. Target: 5000 L1’s, 2500 L2’s, 1000 L3’s
in 3 years
Traction Landmarks:
● 3 months = 5 L1, 2 L2, 1 L3
● 1 year = 50 L1, 25 L2, 10 L3
● 2 years = 500 L1, 250 L2, 100 L3
● 3 years = 5000 L1, 2500 L2, 1000 L3INNOVATION
SKILLS
EXAMPLE
#easymetrics #leanstartup

34. INNOVATION
COACH PIPELINE
EXAMPLE
Potential Interested Used Benefitted
% Converted % Converted % Converted
Potential Interested Used Benefitted
Cohort 1 35 20% 7 86% 6 33% 2
Cohort 2 25 52% 13 69% 9 ? ?
Potential > Interested conversion
much higher than target, Used >
Benefitted much lower
#easymetrics #leanstartup

35. Over to you
10 MINS
1. What’s your target value creation
level & timescale? Work out your
4 traction landmarks
2. What are your target funnel
metrics? What data do you have
right now?
#easymetrics #leanstartup

36. BRINGING IT ALL
TOGETHER
#easymetrics #leanstartup

37. Easy Metrics
1. Are we getting closer to our vision?
2. How fast are we making progress?
3. How much value are we creating?
#easymetrics #leanstartup

38. For Intrapreneurs For Investors
Strategic
★ Articulate boundaries
★ Frame their challenge
★ Sets the direction
★ Clarity on the ultimate outcome
★ Ensures alignment with wider
strategy
Progress
★ Track progress
★ Focus effort on their riskiest
assumptions
★ See progress
★ Investors drive focus on the riskiest
areas
Value
★ Challenges to deliver incrementally
increasing value
★ Grow intentionally
★ See real customer value creation
early
★ See a clear path for growth
We track metrics to inform pivot, persevere, or
pause decisions
#easymetrics #leanstartup

39. Any Questions?
Easy Metrics for
Corporate Startups
Katie Careless
#easymetrics #leanstartup

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