(This presentation was given at the Lean Strategy + Design Salon meetup in New York: http://www.meetup.com/LeanStrategyPlusDesign/events/200913392/) "Innovate or die” is the mantra of successful companies. So how can we build innovation into our product development process? By combining design thinking, lean startup and agile we get a recipe for repeatable innovation: lean UX. Lean UX and lean startup methods are being used today by many startups and innovation labs to take a learning approach to discovering and building the best product for customers. But what does repeatable innovation look like scaled across an enterprise? This talk will share how to apply lean product practices as a continuous process across multiple products and agile development teams in an organization. With real examples and artifacts you will learn how to manage - and thrive - in uncertainty to create awesome products.

1. Lean Product
Management
for
ENTERPRISE
The Art of
Known Unknowns
Lean Strategy + Design @nataliehollier

2. ThoughtWorks
Lead Consultant
- Product and User Experience
- Agile and Lean Methodologies
- Design Thinking
- Innovation Portfolios
Lean Strategy + Design @nataliehollier

3. 1. Why innovate
2. Product innovation process
3. Repeatable management
4. Enterprise view
Lean Strategy + Design @nataliehollier

4. DISRUPTIVE
INNOVATION
Why do enterprises need to
innovate?

5. digital everyone is a
BUSINESS
BANKING
MEDIA
EDUCATION RETAIL
HEALTH
TRAVEL

6. Technology is
- DISRUPTING -
BUSINESS
Customer
Experience
Technology
Technology is advancing rapidly
to provide more and more
innovative consumer products
Business
Strategy
Customers now expect more:
rich, personalized,
omnichannel experiences
Businesses need to move faster
to stay in the game: the rate of
change is accelerating

7. LEAN
PRODUCT
Development
How do we develop
innovative products?

8. Responding to Uncertainty
Waterfall
Agile (Scrum)
Lean
“We know what
customers want”
“We know how
to deliver it”
?
? ?

9. Development Approach
Waterfall
Agile (Scrum)
Lean
Anders Ramsey ~ Agile UX Meetup 2013
BUILD
RELEASE
CUSTOMER FEEDBACK

10. startups
and
innovation labs
NORDSTROM
WOOLWORTHS

11. Innovation Process
Nordstrom Innovation Lab

12. Lean Product Development
BUILD
Goals,
not features
Lean
mentality
LEARN MEASURE
DESIGN
THINKING
LEAN
STARTUP
AGILE
UX + DEV
Lean UX ~ Jeff Gothelf and Josh Seiden
(aka LeanUX)

13. Design Thinking
DESIGN PRINCIPLES
HUMAN-CENTERED
EMPATHY
CONTEXTUAL ENQUIRY
IDEATION
PROTOTYPING
CUSTOMER CO-DESIGN
Change By Design ~ Tim Brown dschool.stanford.edu

14. Lean Startup
CUSTOMER VALUE
HYPOTHESIS DRIVEN
VALIDATED LEARNING
MINIMUM VIABLE PRODUCT
BUILD-MEASURE-LEARN
FAIL FAST AND PIVOT
The Lean Startup ~ Eric Reis

15. Agile UX + Dev
SPRINTS/ITERATIONS
USER STORIES
CROSS FUNCTIONAL TEAMS
TIGHT COLLABORATION
VISUAL INFORMATION RADIATORS
ThoughtWorks

16. LEAN
PRODUCT
Management
How can we manage
repeatable innovation?

17. Know What You Dont Know
TRUST
HUMILITY
COURAGE
the process
with your ideas
to try, fail, learn

18. Product Ideas
Insights & Input
customers
business
technology Opportunity Backlog
prioritize based on
business goals
Design Brief
problem statement
desired outcome
DESIGN
THINKING

19. MVP Design Workshop
MVP Design
storyboards and wireframes
hypothesis and assumptions
Design Brief
problem statement
desired outcome
Collaborative
Design
customer / researcher
design
business
technology

20. MVP Hypothesis
Goals,
not features
LEAN
STARTUP
STATE ASSUMPTIONS
OUTCOME FOCUSED
CLEAR VISION
MEASURABLE IMPACT
We believe that
[doing this / building this feature / creating this experience],
For [these people/personas],
Will achieve [this outcome],
We will know this to be true when we see
[this feedback / quantitative measure / qualitative insight ].
Lean
mentality
Lean UX ~ Jeff Gothelf and Josh Seiden

21. Research Sprints
FIELD OBSERVATION
BUILD EMPATHY
LEARN PAIN POINTS
VALIDATE ASSUMPTIONS
Research Questions
Story Backlog
lean/agile design
and development
validate ideas
1-2 sprints ahead
and
verify solutions
1-2 sprints after
MVP design
storyboards and wireframes
hypothesis and assumptions
Goals,
not features
Lean
mentality
LEAN
STARTUP

22. User Story Mapping
AGILE
UX + DEV
USER JOURNEY
THIN SLICE
SHARED VISUAL ARTIFACT
User Story Mapping ~ Jeff Patton (agileproductdesign.com)

23. Lean Product Management
BUILD
Goals,
not features
Lean
mentality
LEARN MEASURE
DESIGN
THINKING
LEAN
STARTUP
AGILE
UX + DEV
Product
Ideas
MVP
Workshop
MVP
Hypothesis
Research
Sprints
Story
Mapping

24. PODULAR
Organism
COMPANIES
How do we manage an
enterprise of lean teams?

25. Traditional Enterprises
PLAN DESIGN BUILD TEST DELIVER
WORK = REQUIREMENTS

26. Cross-Functional Pods
WORK = GOALS

27. Coordination and Management
PRACTICE COMMUNITIES/TRIBES
CROSS-TEAM ROTATIONS
CROSS-TEAM PAIRING
VARIOUS STANDUPS
LUNCH & LEARNS
VISUAL INFORMATION RADIATORS
SUPPORTING TOOLS
The Connected Company ~ Dave Gray

28. LEAN
PORTFOLIO
Management
How do we manage an
enterprise of lean products?

29. Product Portfolio
?

30. Recall: Goal Driven Teams
MVP MVP
MISSION
Discover
and Prioritize
OPPORTUNITIES
Design
and Test
Cross Functional
Team

31. Recall: Principle of Mission
In maneuver warfare, the mission is ...
“Commander’s Intent.”
... orders are incomplete without this
information.
... when intent is clear, Marines will be
able to select the right course of action.
This is particularly true when Marines
have to deal with an emerging obstacle
or opportunity.
ALIGNMENT ON VISION
NOT PRESCRITIVE
EMPOWERED TEAMS
RESPONSIVE SOLUTION
The Principles of Product Development Flow ~ Donald Reinertsen

32. Goal Driven Business
BUSINESS GOAL
Discover
and Prioritize
Executive
Team
BET
BET
BET
BET
Business Portfolio
Test and learn
Respond to uncertainty
Lean Enterprise ~ Jez Humble, Joanne Moleksy and Barry O’Reilley

33. Fund Outcomes (not Output)
Business Portfolio
PORTFOLIO OF INVESTMENT BETS
TESTABLE MVPS
PIVOT OR DOUBLE DOWN
INCREMENTAL INVESTMENT
BALANCE ACROSS ‘HORIZONS’
Lean Enterprise ~ Jez Humble, Joanne Moleksy and Barry O’Reilley

34. Lean Portfolio Management
BET
(MISSION)
BUSINESS GOAL
OPPORTUNITIES
MVP MVP
CLEAR VISION AT THE TOP
ALIGNMENT ON OUTCOMES
DELIGATE DECISIONS DOWN
EMPOWERED TEAMS
LEARNING FEEDBACK LOOPS

35. Lean Portfolio Management
customer
marketing
email
campaign
Grow the business
traveller customer
segment by 20%
Streamline repeat
travel bookings
(more bookings per
existing customer)
Promote and funnel
business travellers
to our features
(attract % new business)
landing page
experience
social
media
BUSINESS GOAL
BET (MISSION)
OPPORTUNITIES
MVP HYPOTHESIS
Executive
Team
Product
Delivery Teams
DE-COUPLE BUSINESS STRATEGY,
PRODUCT STRATEGY AND
PRODUCT IMPLEMENTATION!

36. Minimum Viable Portfolio
ITERATE.
?
A+
alpha beta 1 beta 2 launch
?
A+
?
A+
?
A+

37. The art of managing
innovation...

38. MEASURE
LEARN
TRUST
The only thing
certain is
uncertainty.
COURAGE HUMILITY
ADAPT
Lean Strategy + Design @nataliehollier

39. Books To Learn More
Lean Strategy + Design @nataliehollier

40. Questions.