AUTM Intro and BMC
- 2. what is the happiest place on earth?
- 19. THIS IS STARTUP!
- 20. no
- 21. hard work
- 22. long hours
- 23. little or no pay
- 24. >50% gone in the FIRST year
- 25. only 5% ever raise ANY money
- 26. only 0.62% ever raise any VC money
- 27. 75% of all VC-backed startups FAIL
- 30. the math is bad
- 31. it is hard ...
- 32. ... but we know a better way
- 34. 1996 1998 2000 2002 2004 2006 2008 2010 2012 NASDAQ 1000 2000 3000 4000 5000
- 36. we know something now that we didn’t know before ...
- 37. we know something now that we didn’t know before we know how to build startups engineer
- 42. what is a company?
- 43. A organization which sells a product or service in exchange for revenue and profit
- 44. Dutch West India Company 1620
- 45. 1856 - First Org Chart
- 46. 1908
- 47. Tools for the 20th Century “Century of the Corporation”
- 49. ... but what about startups?
- 50. Startups are a Smaller Version of a Large Company
- 51. Startups are a Smaller Version of a Large Company
- 52. How to create a startup (before 2010) ...
- 53. All I Need to Do is Execute the Plan
- 54. All I Need to Do is Make the Forecast
- 55. Step 1. Business Plan Step 2. Five-year Forecast Step 3. ??? Step 4. PROFIT!
- 56. What we know now (and have known all along)...
- 58. "Everybody has a plan until they get punched in the mouth."
- 64. 1908
- 65. ... but what about startups?
- 66. Startups Search Companies Execute
- 67. what is a startup?
- 68. a temporary organization designed to search for a repeatable and scalable business model definition of “startup”
- 70. what is a business model?
- 73. Motivation
- 74. A good plan violently executed now is better than a perfect plan executed next week.
- 76. Motivation #1 a better tool for startups
- 77. Core Idea or Technology Company
- 78. Core Idea or Technology Company
- 79. Core Idea or Technology Company 1
- 80. Core Idea or Technology Company N
- 81. Motivation #2 shared language for strategic conversations
- 82. (smart people sitting around a table)
- 89. the canvas has a very specific organization
- 92. Think of it as a theater…
- 93. parts of the model
- 94. VP
- 97. products & services A list of all the products and services a value proposition is built around
- 98. pain relievers describe how your products and services alleviate customer pains
- 99. gain creators describe how your products and services create customer gains
- 100. VP CS
- 102. Customer Segment
- 103. customer jobs what customers are trying to get done in their work and in their lives task to perform, problem to solve, needs to satisfy
- 104. customer pains describe bad outcomes, risks, and obstacles related to customer jobs
- 105. customer gains describe the more or less expected benefits the customers are seeking
- 106. VP CS Product /Market Fit!
- 107. The set of value proposition benefits that you design to attract customers. Create Observe The set of customer characteristics that you assume, observe, and verify in the market. Fit Outcome If a Pain reliever or Gain cre anything, it may not be cre value. Don't worry if not all checked – you can't satisfy yourself, how well does you tion really fit your Custome customer profilevalue map
- 108. What About My Technology?
- 110. Customers want your technology. MYTH REALITY Customers want their jobs done; their problems addressed; their pain killed; their dreams achieved.
- 111. Research Core Idea or Technology Company
- 112. Research Core Idea or Technology Company Our POV
- 113. Research Core Idea or Technology Company OVER VALUED
- 114. Core Idea or Technology Company X
- 115. Core Idea or Technology Company UNDER VALUED
- 116. Core Idea or Technology Company > 95% PIVOT
- 117. Customers want your technology. MYTH REALITY Customers want their jobs done; their problems addressed; their pain killed; their dreams achieved.
- 118. Why do we call it evidence-based entrepreneurship?
- 120. Provide evidence showing “what” customers care about before focusing on “how” to help them First, establish the customer
- 121. Provide evidence showing that your customers care about how your products and services kill pains and create gains Then, develop the value proposition
- 122. Provide evidence showing that the way you intend to create, deliver, and capture value is likely to work Finally, consider the whole model
- 123. I find out what the world needs. Then I go ahead and try to invent it. - Thomas Edison
- 124. parts of the model continued
- 125. VP CS C
- 127. VP CS CKR
- 129. VP CS C KA KR P
- 131. VP CS C KA KR P
- 133. VP CS C P KA KR C$
- 143. Soccer Moms Kids Grandparents Make guesses about who or what goes into each of the nine boxes
- 147. the scientific method applies to business
- 148. create a startup thesis the scientific method
- 149. create a startup thesis the scientific method generate hypotheses ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?
- 150. create a startup thesis the scientific method generate hypotheses make predictions
- 151. create a startup thesis the scientific method generate hypotheses make predictions do the iteration loop
- 152. the iteration loop
- 154. make hypotheses & predictions design tests prioritize hypotheses Testing Overview Test Card + -Extract Hypotheses Prioritize Hypotheses Design Test Design Testing220 TESTINGVALUEPROPOSTIONS 220
- 155. * Working preview content for private review only, do not distribute — © Copyright Osterwalder, Pigneur, Bernarda, Smith, and Papadakos Learning Card + ! -Prioritize Tests Run Tests Capture Learnings Make Progress prioritize tests reflect & learn run tests
- 156. the iteration loopTesting Overview Test Card + -Extract Hypotheses Prioritize Hypotheses Design Test Design Testing220 TESTINGVALUEPROPOSTIONS 220 * Working preview content for private review only, do not distribute — © Copyright Osterwalder, Pigneur, Bernarda, Smith, and Papadakos Learning Card + ! -Prioritize Tests Run Tests Capture Learnings Make Progress 221 Testing Overview Test Card + -Extract Hypotheses Prioritize Hypotheses Design Test Design Testing220 TESTINGVALUEPROPOSTIONS 220 * Working preview content for private review only, do not distribute — © Copyright Osterwalder, Pigneur, Bernarda, Smith, and Papadakos Learning Card + ! -Prioritize Tests Run Tests Capture Learnings Make Progress 221 Testing Overview Test Card + -Extract Hypotheses Prioritize Hypotheses Design Test Design Testing220 TESTINGVALUEPROPOSTIONS 220 * Working preview content for private review only, do not distribute — © Copyright Osterwalder, Pigneur, Bernarda, Smith, and Papadakos Learning Card + ! -Prioritize Tests Run Tests Capture Learnings Make Progress 221•••
- 157. the process Testing Overview Test Card + -Extract Hypotheses Prioritize Hypotheses Design Test Design Testing220 TESTINGVALUEPROPOSTIONS 220 * Working preview content for private review only, do not distribute — © Copyright Osterwalder, Pigneur, Bernarda, Smith, and Papadakos Learning Card + ! -Prioritize Tests Run Tests Capture Learnings Make Progress 221 thesisTesting Overview Test Card + -Extract Hypotheses Prioritize Hypotheses Design Test Design Testing220 TESTINGVALUEPROPOSTIONS 220 * Working preview content for private review only, do not distribute — © Copyright Osterwalder, Pigneur, Bernarda, Smith, and Papadakos Learning Card + ! -Prioritize Tests Run Tests Capture Learnings Make Progress 221 Testing Overview Test Card + -Extract Hypotheses Prioritize Hypotheses Design Test Design Testing220 TESTINGVALUEPROPOSTIONS 220 * Working preview content for private review only, do not distribute — © Copyright Osterwalder, Pigneur, Bernarda, Smith, and Papadakos Learning Card + ! -Prioritize Tests Run Tests Capture Learnings Make Progress 221 Testing Overview Test Card + -Extract Hypotheses Prioritize Hypotheses Design Test Design Testing220 TESTINGVALUEPROPOSTIONS 220 * Working preview content for private review only, do not distribute — © Copyright Osterwalder, Pigneur, Bernarda, Smith, and Papadakos Learning Card + ! -Prioritize Tests Run Tests Capture Learnings Make Progress 221 Testing Overview Test Card + -Extract Hypotheses Prioritize Hypotheses Design Test Design Testing220 TESTINGVALUEPROPOSTIONS 220 * Working preview content for private review only, do not distribute — © Copyright Osterwalder, Pigneur, Bernarda, Smith, and Papadakos Learning Card + ! -Prioritize Tests Run Tests Capture Learnings Make Progress 221 Testing Overview Test Card + -Extract Hypotheses Prioritize Hypotheses Design Test Design Testing220 TESTINGVALUEPROPOSTIONS 220 * Working preview content for private review only, do not distribute — © Copyright Osterwalder, Pigneur, Bernarda, Smith, and Papadakos Learning Card + ! -Prioritize Tests Run Tests Capture Learnings Make Progress 221 Testing Overview Test Card + -Extract Hypotheses Prioritize Hypotheses Design Test Design Testing220 TESTINGVALUEPROPOSTIONS 220 * Working preview content for private review only, do not distribute — © Copyright Osterwalder, Pigneur, Bernarda, Smith, and Papadakos Learning Card + ! -Prioritize Tests Run Tests Capture Learnings Make Progress 221 Testing Overview Test Card + -Extract Hypotheses Prioritize Hypotheses Design Test Design Testing220 TESTINGVALUEPROPOSTIONS 220 * Working preview content for private review only, do not distribute — © Copyright Osterwalder, Pigneur, Bernarda, Smith, and Papadakos Learning Card + ! -Prioritize Tests Run Tests Capture Learnings Make Progress 221 basis for company Testing Overview Test Card + -Extract Hypotheses Prioritize Hypotheses Design Test Design Testing220 TESTINGVALUEPROPOSTIONS 220 * Working preview content for private review only, do not distribute — © Copyright Osterwalder, Pigneur, Bernarda, Smith, and Papadakos Learning Card + ! -Prioritize Tests Run Tests Capture Learnings Make Progress 221 Testing Overview Test Card + -Extract Hypotheses Prioritize Hypotheses Design Test Design Testing220 TESTINGVALUEPROPOSTIONS 220 * Working preview content for private review only, do not distribute — © Copyright Osterwalder, Pigneur, Bernarda, Smith, and Papadakos Learning Card + ! -Prioritize Tests Run Tests Capture Learnings Make Progress 221 many repetitions!
- 158. critical
- 159. the info you need to know is somewhere out in the world
- 160. the info you need to know is not in your lab or in your office
- 161. GOOTB!
- 162. advice
- 163. The first principle is that you must not fool yourself – and you are the easiest person to fool.
- 164. “Now I’m going to discuss how we would look for a new law. In general, we look for a new law by the following process. First, we guess it … no, don’t laugh, that’s the truth. Then we compute the consequences of the guess, to see what, if this is right, if this law we guess is right, to see what it would imply and then we compare the computation results to nature or we say compare to experiment or experience, compare it directly with observations to see if it works. If it disagrees with experiment, it’s WRONG. In that simple statement is the key to science. It doesn’t make any difference how beautiful your guess is, it doesn’t matter how smart you are who made the guess,… If it disagrees with experiment, it’s wrong. That’s all there is to it.”
- 165. useful heuristics
- 166. useful heuristics
- 167. useful heuristics
- 169. 169 Evidence-based Entrepreneurship Core Idea or Technology Customer Discovery Customer Validation ? ✓
- 172. just a few more…
- 176. 176 Progression Core Idea or Technology Customer Discovery Customer Validation ? ✓ ✓✓ What if you’re WRONG?
- 177. PIVOT
- 183. a temporary organization designed to search for a repeatable and scalable business model definition of “startup”
- 186. venturelab.gatech.edu @venturelab / @keithmcgreggor keith@venturelab.gatech.edu 75 Fifth St NW, Suite 415, Atlanta GA 30308