1. 1. ExecutionThe Most Important Part*Kurt Sussmankls@merlot.com@neophiliac* except for all the other parts
2. 2. The slides have changedgoo.gl/S28vwz
3. 3. "A good plan, violentlyexecuted now,is better than aperfect plannext week."(General George S. Patton)
4. 4. Startup or Not?
5. 5. What is execution?Mission inspiresGoals which lead toProjects that are made up ofTasks
6. 6. A little closer to the truth...(Idea * Idea Luck) *(Product * Product Luck) *(Team * Team Luck) *(Execution * Execution Luck) *Non-specific Luck= the outcome of your startup
7. 7. What's most important? Idea? Product? Team? Execution?YES.
8. 8. But I thought theideawas themost important thing
9. 9. Rigid plans invite failure Lucas Carlson (PHPFog, no, AppFog, wait,CenturyLink Labs) planned multiple paths toeach goal, and switched if (when!) he got stuck No plan survives contact with the enemy(Helmuth von Moltke the Elder) Everyone has a plan until they get punched inthe face (Mike Tyson)
10. 10. Pivots Flickr: MMORPG Web photo sharing Google: Enterprise search Web search Advertising IBM: Punch card equipment Computers IT Consulting Nokia: Paper mills Cell phones Sony: Rice cookers Various electronics Suzuki: Silk looms Vehicles Twitter: Podcasting Microblogging Fab: Social network Fashion Instagram: Check-in app Photo sharing app Android: Camera Cloud photo storage Smartphone OS
11. 11. The Lean Startup Attributed to Eric Ries Adapted from lean manufacturing Widely misunderstood
12. 12. Boyd's OODA Loop Observe Orient Decide Act do it again
13. 13. Market TimingLate to Market?Early to Market?Both are riskyBeing early is probably riskier
14. 14. Actionable Feedback Before traction Customer development Do you have this problem? Will you pay to solveit? After traction Metrics (aka KPIs, 'the numbers', etc.) But not vanity metrics
15. 15. Pirate Metrics: AARRR Acquisition : users arrive through channels,don't bounce Activation : happy visit, signup Retention : users come back after their first visit Referral : customers tell others Revenue : users pay for something
16. 16. TLA Metrics: CAC, LTV, MRR What does it cost to acquire a customer? What is the lifetime value of a customer? What is your monthly recurring revenue? Also: churn, viral coefficient
17. 17. Everything Changes Watch your metrics for trends Always be testing! Don't over-analyze
18. 18. Thank you.Questions?These slides:goo.gl/S28vwz