THE LEAN STARTUP METHOD

27 Aug

Before I start with the methods of lean start up. Lets understand what Lean exactly means:-

Lean“, is a production practice that considers the expenditure of resources for any goal other than the creation of value for the end customer to be wasteful, and thus a target for elimination. Essentially, lean is centered on preserving value with less work. Refer to Wiki

This post is for entrepreneurs and the people who hold them accountable. The five principles of the Lean Start-up, which are as follows:-

  • Entrepreneurs are everywhere: You don’t have to work in a garage to be in a start-up. The concept of entrepreneurship includes anyone who works within the definition of a start-up: A human institution designed to create new products and services under conditions of extreme uncertainty. That means entrepreneurs are everywhere and the Lean Start-up approach can work in any size company, even a very large enterprise, in any sector or industry.
  • Entrepreneurship is management: A start-up is an institution,not just a product, and so it requires a new kind of management specially geared to its context of extreme uncertainty. In fact, I believe “entrepreneur” should be considered will argue later, I believe “entrepreneur” should be considered a job title in all modern companies that depend on innovation for their future growth.
  • Validated learning: Startups exist not just to make stuff , make money, or even serve customers. They exist to learn how to build a sustainable business. This learning can be validated scientifically by running frequent experiments that allow entrepreneurs to test each element of their vision.
  • Build-Measure-Learn: The fundamental activity of a startup is to turn ideas into products, measure how customers respond, and then learn whether to pivot or persevere. All successful start-up processes should be geared to accelerate that feedback loop.
  • Innovation accounting: To improve entrepreneurial outcomes and hold innovators accountable, we need to focus on the boring stuffs : how to measure progress, how to set up milestones, and how
    to prioritize work. This requires a new kind of accounting designed for startups—and the people who hold them accountable.

Image Below showing Management of a Lean Process. It may vary from industry to industry.

lean

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One Response to “THE LEAN STARTUP METHOD”

  1. Web Fortune Master Online September 3, 2013 at 2:33 am #

    Hi there mates, its impressive piece of writing
    about teachingand entirely explained, keep
    it up all the time.

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