lean startup for aaltoes summer of startups

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Introduction to lean startup and the story of nextdoor.fi as lean startup

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Lean startup

Marko Taipale – HuitaleSummer of Startups

I. What is a Startup?

II. Our story

III. Q&A

I. What is a (lean) Startup?

“Startup is a human institution creating a new product or service under conditions of extreme uncertainty.”

- Eric Ries

It does not state size

Make the cycle as short as possible

” Where do I get the ideas to build?” what to build

“No plan survives first contact with the customers”- Steven Blank

CustomerDiscovery

CustomerValidation

CustomerCreation

ScaleCompany

Customer Development

CustomerDiscovery

CustomerValidation

CustomerCreation

ScaleCompany

AgileProduct

Development

Data, feedback,

Insights

Hypotheses, experiments,

insights

Customer Development

CustomerDiscovery

CustomerValidation

CustomerCreation

ScaleCompany

AgileProduct

Development

Data, feedback,

Insights

Hypotheses, experiments,

insights

Customer Development

Problem Team

Solution Team

CustomerDevelopment

AgileProduct

Development

BusinessModel

Iteration

Source: Ann Miura-Ko Maples Investments

Tactical

Strategy

Iterating the business model- The Pivot

“Should I do whatever my customers want me to do?”

“Should I do whatever my customers want me to do?”

Create product vision and validate it with customer development

Vision = a boundary for her wishes

Is agile about delivering features as fast as possible?

Who cares about velocity?We can work on highest priority story – who cares?

Nr 1 waste = Unused features

Building a feature maybe the wrong answer

It is not about how much but rather how little you can release

Minimum Viable Product

Find your Minimum Viable Product

It should make you feel embarrassed

“It's the things that are not there that we are most proud of"

II. Our story: www.nextdoor.fi

Why?Who?What?

120 man days / Beta

-70 functionalities

-50 User interface(1. day = get some laptops)

30 000 visitors / month

>2 000 active users

>300 open offer/request

3 days lead time

1/day release to production

24/7 monitoring

1/day backups

1/day biz reports

5 integrations

550+ acceptance tests

>80% test coverage

28 IE6 issues

2 bugs (in 3 years)

0 people in operations

0 testers

0 full-time developers

Production bug fix < 1h

Ok.. So how we do it?

ThemeDiscovery

FeaturesDefiningREADY

Development Regression Test Deployment

37 2

Themes ProductQueue

READYMMFs

2h 2d 2d 6d 15min 1min

ThemeDiscovery

FeaturesDefiningREADY

Development Regression Test Deployment

37 2

Themes ProductQueue

READYMMFs

2h 2d 2d 6d 15min 1min

From READY to DONE 6 days

Dev time: From NOT STARTED to DONE 8 days

DWT: (PQ size * Dev Time) / capacity = (7 * 8) / 2 = 28 days

ThemeDiscovery

FeaturesDefiningREADY

Development Regression Test Deployment

37 2

Themes ProductQueue

READYMMFs

2h 2d 2d 6d 15min 1min

From READY to DONE 6 days

Dev time: From NOT STARTED to DONE 8 days

DWT: (PQ size * Dev Time) / capacity = (7 * 8) / 2 = 28 days

Problem team Solution team

!Problem team

Themes(3)

ProductQueue

(7)

READY(2)

In Progress(2) Done

TODO Done

SMARTgoals

MMFBiz Value

Definition of READY

Definition of DONE

Updated metrics

X

Y

Z

Themes(3)

ProductQueue

(7)

READY(2)

In Progress(2) Done

TODO Done

SMARTgoals

MMFBiz Value

Definition of READY

Definition of DONE

Updated metrics

X

Y

Z

Themes(3)

ProductQueue

(7)

READY(2)

In Progress(2) Done

TODO Done

SMARTgoals

MMFBiz Value

Definition of READY

Definition of DONE

Updated metrics

X

Y

Z

Themes(3)

ProductQueue

(7)

READY(2)

In Progress(2) Done

TODO Done

SMARTgoals

MMFBiz Value

Definition of READY

Definition of DONE

Updated metrics

X

Y

Z

PLAN!

Themes(3)

ProductQueue

(7)

READY(2)

In Progress(2) Done

TODO Done

SMARTgoals

MMFBiz Value

Definition of READY

Definition of DONE

Updated metrics

X

Y

Z

Review!

Themes(3)

ProductQueue

(7)

READY(2)

In Progress(2) Done

TODO Done

SMARTgoals

MMFBiz Value

Definition of READY

Definition of DONE

Updated metrics

X

Y

Z

Comments for service offers and requests

Owner: Marko

QUEUE: 1.6.2010READY: 3.6.2010

DONE: 6.6.20105 days

3 days

Size: S

“Never doubt that a small group of thoughtful, committed people can

change the world

Indeed, it is the only thing that ever has”

- Margaret Mead

I help companies to improve by showing what I have donehow I have done it and what I have learned about it.

I am a CTO of a lean startup

Marko Taipale@markotaipale

huitale.blogspot.commarko.taipale@huitale.com

Photo creditsFlickr usershttp://www.flickr.com/photos/kodomut/http://www.flickr.com/photos/amagill/http://www.flickr.com/photos/themarmot/http://www.flickr.com/photos/unloveable/http://www.flickr.com/photos/shapourbahrami/http://www.flickr.com/photos/thatguyfromcchs0http://www.flickr.com/photos/fxtreme/http://www.flickr.com/photos/aussiegallhttp://www.flickr.com/photos/lululemonathleticahttp://www.flickr.com/photos/4yashttp://www.flickr.com/photos/sualk61/http://www.flickr.com/photos/can3ro55o/http://www.flickr.com/photos/jwdill/http://www.flickr.com/photos/minidriver/http://www.flickr.com/photos/donaldmacleod/http://www.flickr.com/photos/jburgin/http://www.flickr.com/photos/jmherrala/http://www.flickr.com/photos/xurble

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