Disciplined Entrepreneurship

As we I move forward on planning, the following topic to consider is risks and opportunities. Specifically, how to handle (minimize) risks and maximize opportunities.

The article “Disciplined Entrepreneurship” talks about how can entrepreneurs and managers cope with the uncertainty when running business. Instruments and strategies such used by investors such as syndication, insurance or diversification is not available as option for entrepreneurs.

The paper provides a model to manage the uncertainty inherent in trying something new:

1. 1. Formulate a Working Hypothesis. Define the opportunity, the resources required to pursue it, the value that would be created if successful and a plan to pursue it. The hypothesis will contain assumptions about multiple variables including technology, customer demand, competitive response and the availability of resource.
2. 2. Assemble Resources. Assemble the necessary resources for the experiments.
3. 3. Design and Run Experiments. Validate the hypothesis. Common examples include conducting customer research, building prototypes, launching scaled-down services, etc.

Applying to my “Senior Force” venture

Working hypothesis

• Opportunity: Attract the niche market that represents well-experienced senior citizens that are willing to work. These people include retired engineers, consultants, business person, politician that can provide high experience-based work.
• Resources required: web-hosting, internet domain, web site
• Success Value: Will create a large resource pool base attracting businesses and members.
• Assumptions: senior citizen are willing to work, and uses internet.

One of the deal killer would be if an existing company, for example monster.com, can start providing service focused on senior citizens.

Design and run experiment

A partial experiment could be cost-efficient. For the experiment, a simple mockup page can be built, and have 10 senior citizen to use it.

The mockup page would be a survey form for entering willingness to work, interested field of work, and particular condition needed to work. Also marketing related questionnaire such as how easy the form is, how useful will be Senior Force site, and whether s/he will recommend to other person,

As any new venture, the Senior Force has depends on key assumptions. I believe experiments are a good way to tackle those unknowns.

- Young Suk Ahn