{"id":3753,"date":"2013-12-07T11:00:00","date_gmt":"2013-12-07T16:00:00","guid":{"rendered":"https:\/\/www.wework.com\/creator\/?p=3753"},"modified":"2020-03-30T19:09:45","modified_gmt":"2020-03-30T23:09:45","slug":"5-faqs-lean-startup","status":"publish","type":"post","link":"https:\/\/www.wework.com\/ideas\/professional-development\/5-faqs-lean-startup","title":{"rendered":"Five FAQs about Lean Startup"},"content":{"rendered":"

At The Lean Startup Conference<\/a>, December 9-11 in San Francisco, a unique roster of speakers and mentors will offer deep insights into advanced entrepreneurship techniques. Because the Lean Startup is a particular methodology and not just a catch phrase, I\u2019d like to answer some frequently asked questions about the method\u2014and also make sure you know that our final blocks of discounted conference tickets are available now<\/a>, so this is the best time to register.<\/p>\n

Lean Startup is a set of principles I devised for managing the conditions of extreme uncertainty faced by early-stage products\u2014which might exist in a young company or in a very established enterprise. This is the phase when you don\u2019t know if your product has any value; whether or how much your customer is willing to pay for it; or whether you can create a delivery mechanism that will function effectively. Lean Startup reduces that uncertainty through a process of experimentation. You create hypotheses about your product and its relationship to your customer, you create experiments to test those hypotheses as quickly and inexpensively as possible, and you iterate based on what you learn\u2014only to form a new hypothesis, test, and iterate again.<\/p>\n

In the lead-up to The Lean Startup Conference, we held a series of webcast conversations<\/a> for our speakers, introducing some of Lean Startup\u2019s major themes. As the folks in these sessions have repeatedly pointed out, what\u2019s true of a startup is also true of a growing company, a publicly traded company, a non-profit, an educational endeavor\u2014pretty much any place with products or services and constituents. From our sessions, here are some of the answers to five of the most frequently asked questions about Lean Startup:<\/p>\n

1. \u201cHow do I create a culture of experimentation?\u201d<\/h3>\n

In our recent webcast, \u201cLean Startup at Growing Companies<\/a>,\u201d a conversation with Ari Gesher of Palantir and Wyatt Jenkins of Shutterstock, here\u2019s what I had to say in response to this question: \u201cIf you just say, \u2018I\u2019ve learned that we should have a culture of experimentation,\u2019 and you put up posters in your office saying, \u2018Ok, everybody, starting today we\u2019re going to have a culture of experimentation!\u2019 you\u2019ll have absolutely no impact whatsoever. One of the things I really believe in is something called the Startup Way, which is just a diagram that helps me remember how to invest in change from the bottom up, rather than mandating it from the top down. And it goes like this: Accountability; Process; Culture; People \u2013 in that order. It\u2019s the foundation of how we hold people accountable; determines what kind of experiments we can and can\u2019t use, what kind of process and infrastructure we will or won\u2019t invest in\u2026. If you don\u2019t make those process investments, if you don\u2019t have a system for testing hypotheses, you\u2019re never going to get a culture of experimentation and hypothesis-driven development. And if you have an old, Dilbert-styled culture, you\u2019re never really going to be able to retain the best people for the long term.\u201d<\/p>\n

2. \u201cHow, in a hierarchical corporate structure, can I get senior managers bought in?\u201d<\/h3>\n

One great example of this at a big company came from Ben Yoskovitz, co-author of the book Lean Analytics<\/i>, in our webcast, \u201cLean Analytics for Non-tech Companies<\/a>\u201d: \u201cThe example I think about is when I was speaking with someone at Comcast and I was asking how they got Lean into the company and the answer to that was: \u2018We just started.\u2019 So people would come to us with a project\u2014and it goes nicely with [an earlier] question about service providers. You know, if you\u2019re a service provider and somebody comes to you with a project, you have to do the project, and you have to budget the project. But step one, instead of saying: \u2018Well let\u2019s plan this whole thing out and build the whole thing before we realize if anyone wants it or not,\u2019 instead, step one is: let\u2019s go talk to customers. And it wasn\u2019t making a big deal out of it, it wasn\u2019t saying, \u2018We need to change everything in our company!\u2019 It wasn\u2019t looking at what these cool startups are doing, so we\u2019re going to go apply that into our business. It wasn\u2019t anything along those lines, it was just… saying, \u2018Oh we can\u2019t fail if we just talk to customers. Let\u2019s just see what happens.\u2019 And then everyone just said: \u2018I guess this is the process we\u2019re applying to this project,\u2019 and they were set to go. I think you can sneak in Lean Startup or Lean Analytics or a combination of both by just starting as simply as possible.\u201d<\/p>\n

3. \u201cHow do I keep up team morale when experiments invalidate ideas, meaning that people have to \u2018throw away\u2019 their work?\u201d<\/h3>\n

This is a major issue for engineers, who may have to toss aside some beautiful code. For the engineer\u2019s perspective, we turn to Hut 8 Labs founder Dan Milstein from our webcast, \u201cGetting Engineers into the Lean Startup Cycle\u201d<\/a>. Here\u2019s Dan: \u201cPart of what\u2019s useful is to understand engineers are profoundly driven by wanting to solve meaningful problems. And they may have forgotten that if they\u2019re working at an organization that doesn\u2019t let them do it. But if the leadership of the organization can share the fundamental question of whether the business is going to work as a problem to be solved \u2013 \u2018Let\u2019s all go solve that together\u2019 \u2013 engineers can get really excited about solving that problem, and then they don\u2019t so much mind work getting thrown away.<\/p>\n

\u201cEngineers have to get to the point of trusting that the problems they\u2019re being given to solve are meaningful, and leadership has to be able to own the fact that they don\u2019t know what\u2019s going on. As a leader, there\u2019s a temptation to pretend that you know the answers, and as an engineer there\u2019s a temptation to remember your bitter past history and not trust that the problems you\u2019re solving actually matter.\u201d<\/p>\n

4. \u201cHow do I make sure problems with my MVP won\u2019t hurt my brand?\u201d<\/h3>\n

MVP stands for \u201cminimum viable product.\u201d A staple of Lean Startup, this is a no-frills product put out to be a starting point for testing with customers, with the intent of learning and then iterating on it. Here\u2019s what I said about MVPs and customers in our \u201cLean Enterprise: Bringing Lean to Established Companies<\/a>\u201d webcast: \u201cThe great thing about an MVP is that if customers don\u2019t like it, but they care enough to complain, that\u2019s actually great news. Most of the time when you do an MVP, no one even notices. Zero customers show up. You have \u2018launch day\u2019 and then nothing happens, because your value proposition is so wrong that no one cares. So that<\/i> doesn\u2019t harm the brand. If people complain but you kept the scale of the product small\u2014and MVP is about containing the scope of the experimentation so that the cost of failure is low\u2014then you can make it right for those customers that complain. Like, you can send them a hand-engraved letter press apology. Every single one. Personally delivered to their house. By you. If that ever happens.\u201d<\/p>\n

5. \u201cHow can Lean Startup help non-tech companies?\u201d<\/h3>\n

As Alistair Croll, co-author of Lean Analytics<\/i>, pointed out in our Lean Analytics webcast, all<\/i> companies are tech companies these days:\u00a0 \u201cI\u2019ll give you two examples, one big and one very small. I have a coffee shop down the street that has tip jars out, and they put out a question, and they look at which one got the most tips\u2026. That\u2019s a survey, right? And then at the other end of the spectrum Walmart has this campaign called Get On the Shelf, where people nominate products and then Walmart has votes and tests them and it is essentially a Kickstarter for shelf space at Walmart. Both of those are forms of experimentation.\u201d<\/p>\n

As Akash Trivedi of KivaZip said in our webcast \u201cLean Impact: Implementing Lean Startup in Mission-driven Organizations<\/a>,\u201d Lean principles can be a huge help to, for example, socially-driven orgs: \u201c[Not] proving your hypothesis is not a failure. Not getting data is a failure. There have been plenty of examples that I’ve seen where I was really excited about an idea but where the data just proved otherwise. And actually if you put me on the spot, the things I’m most excited about on [Kiva]Zip are the things we decided not to do versus the things that we did do, because to me, when you’re tackling some of these abstract fundamental problems that so many people are depending on, you don’t have the luxury of getting it wrong. You need to come up with the most optimal, relevant solution, and I think the best way to do that is to cut out what doesn’t work.\u201d<\/p>\n

These five questions are just a taste of the kind of conversation we\u2019ll be having around entrepreneurship and Lean Startup ideas next week in San Francisco, December 9-11. The price of our standard 2-day ticket is $1,649. We’d like to invite WeWork members to come via our scholarship pass (just $299). Register today<\/a>. I look forward to seeing you there.<\/p>\n","protected":false},"excerpt":{"rendered":"

At The Lean Startup Conference, December 9-11 in San Francisco, a unique roster of speakers and mentors will offer deep insights into advanced entrepreneurship techniques. Because the Lean Startup is a particular methodology and not just a catch phrase, I\u2019d like to answer some frequently asked questions about the method\u2014and also make sure you know […]<\/p>\n","protected":false},"author":1012,"featured_media":34349,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[43902],"tags":[],"class_list":["post-3753","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-professional-development"],"acf":[],"yoast_head":"\nFive FAQs about Lean Startup<\/title>\n<meta name=\"description\" content=\"At The Lean Startup Conference, December 9-11 in San Francisco, a unique roster of speakers and mentors will offer dee\u2026\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" 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