Friday, April 24, 2015

Discipline: When you need all areas working holistically…

It is now cheaper for entrepreneurs to accomplish their startup goals, but the rate at which startups pivot can make it expensive and difficult to maintain, “product to market fit.”[i] High rates of pivoting occur when entrepreneurs rely on Lean Startup concepts as their sole foundation. Relying on one area for company foundation limits a startup’s opportunities for success.

Some of the most successful startups “have a holistic focus on three key areas; Lean Startup concepts, Business Model Innovation, and Continuous Delivery.”[ii] Although this may seem like a lot to manage at one time, the entrepreneurs that do all three thrive in uncertainty. Focusing on one key area will have advantages but also major disadvantages.

By only focusing on Lean Startup concepts entrepreneurs are unable to address retaining product to market fit, and delivering stability and scalability to their customers. By focusing only on Business Model Innovation, entrepreneurs are able to constantly create, test and modify their business models. However, this is often done in a vacuum separate from the delivery of the product. Business models become a thought exercise when this happens, because you cannot validate or invalidate your model’s assumptions. By implementing continuous delivery you can safely increase the speed at which you can reach your customers.  But, solely focusing on continuous delivery can prevent entrepreneurs from addressing the inputs needed for creating value for their customers. Continuous delivery alone is “a way to deliver waste faster”.[iii]  These three key areas need each other in order for entrepreneurs to thrive in cases of extreme uncertainty.

By combining, Lean Startup concepts, Business Model Innovation, and Continuous Delivery entrepreneurs are in a position of not reacting to the competition, but having the competition react to them. With all three key areas, entrepreneurs can create new business models, rapidly validate/invalidate risky assumptions, and deliver value to customers in a quick and scalable manner.[iv] 

Have experience with one or all three areas; please share in the comments section below. 



[i] 3 Keys for Innovation: Why Lean Startup Isn’t Enough. www.bigvisible.com
[ii] 3 Keys for Innovation: Why Lean Startup Isn’t Enough. www.bigvisible.com
[iii] 3 Keys for Innovation: Why Lean Startup Isn’t Enough. www.bigvisible.com
[iv] 3 Keys for Innovation: Why Lean Startup Isn’t Enough. www.bigvisible.com

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