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Real options applied

Editor's Notes

  1. - I will talk about - What are 'Real Options' - Option creation - Levels of transaction/trust - Distinction between option/commitment -
  2. - The story the game I created for Alexander & Maximilian - Everybody wants to be right - You don't know the odds, you discover them.
  3. - Options, like candy - Two many options will paralyze you
  4. - Options have value - Options expire - Don't commit early, unless you know why - Value increase with uncertainty
  5. - Option creation and preparation allows for more effortless execution -
  6. - Options expire - Exit condition/criteria - Time, price, number of customers - Time often just serves as a substitute for a real condition or a reminder. It's useful but there's often something hidden beneath.
  7. - Two is not an option, it's a dilemma - Between rock and a hard place - - Systematize option creation -
  8. - Start with the ideal state in mind - Work backwards - Generate options
  9. - Avoid paralysis with a 'zero level solution' - Then, start the crazy ideas -
  10. - Conversation is a great option generator - Breaking the model. - 'Under what circumstances is this NOT the case'
  11. - Experimentation is food for conversation - Crazy ideas
  12. Exploration is also food for conversation, but unlike conversation exploration is something you can do on your own.
  13. - A really good 0-level solution - We're heading towards a transaction based relationship to a mutual benefit relationship
  14. Options can be viewed as are really transactions that hasn't taken place or can be easily rolled back. It can still cost something though. It could either be money, time in investigating, exploring or experimenting.
  15. - If it feels like you cheating/ripping someone off it might be that you're using a strategy more suited for a lower level trust relationship - Transaction based (airlines, theater, commodities) - Mutual benefit (at work, business partners) - Interdependent relationsship (family, friends) - The level of transparency increases - You are more open with your intention - You have more to gain from real win-win scenarios - More honesty
  16. - What about software options then? - They come in the shape of stories, business value increments of 'wishes' as I like to call them - The problem with a wishlist, also known as a backlog is that it doesn't convey options very well. - As we have seen, options are interdependent. Choosing one way may close the door and invalidate a whole tree of options, and humans tend to stare at the closed door for too long … This is why I don't like long lists, they hide stuff from you. - Passive -> Active -> Pro-active
  17. - A & B testing - Set based development, A-B testing - It is a multi purpose tool - - Lets you go from cost optimizing, I.e developing only A to options generation and exploration, I.e value optimizing
  18. - Deployment is a business decision - The cost of a rollback/undo -
  19. - I like to be able to rollback - Commitment vs. Option - Rollback strategy is highly contextual - A story about computer games and 'loading games'
  20. - Good decisions are generally not made under severe stress. - Ola buys tickets to Norway - Be able to rollback really fast. Debugging in a live environment is not good
  21. - Going to the movies - Booking a seat (the actual cost is 2 euros) - Story about seeing 'Karma To Burn' in London - A ticket to your fav band, now a second date is added to the tour
  22. - Story about a wedding (a girl not me) -
  23. - A short repetition -
  24. - Two is not an option, it's a dilemma - Between rock and a hard place - - Systematize option creation -