The Lean MBA

September 2013

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Intro to NeoNeo is a global product innovation company. We create compelling mobile and Web products for our

clients, with a focus on creating customer value and business success. Our clients include large

enterprises, startups, and governments. Founded by Joi Ito (director of the MIT Media Lab) and Ian

McFarland (ex-CTO of Pivotal Labs) we count Eric Ries (author of “The Lean Startup”) among our partners.

We are dedicated to Lean Startup rigor and the close collaboration of business, technology and design.

Lean InnovationOur team of thought leaders

has literally written the

manuals for lean startup,

lean UX and lean product

management. At Neo, we put

these ideas into practice

every day. We obsess about

value creation, as well as

shipping great code. We

treat our clients' products

like our own.

Agile DevelopmentWe make great software,

with deep expertise in Ruby

on Rails and iOS

development. We've been

doing agile for years, and

continue to lead the field.

With Neo, you get the best

industry talent, the very

highest code quality, and

unparalleled excellence in

software strategy, scalability,

and sustainability.

EducationWe want to help you become

successful, and part of that is

teaching best practices. In

our lean and agile projects,

we often apprentice client

staff. We also run focused

workshops for our clients,

run conferences on

technology and design, and

support the community

through open source

software and organizing

meetups.

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Shorter Company Lifespan

http://thefifthwave.files.wordpress.com/2013/02/sp-index-lifespan.jpg

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We’ve structured our companies around

scientific management of the 1800’s

Frederick Taylor1856 - 1915

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A business model used to be static and survived many years.

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Replacing CEO’s with Outsiders

http://www.conference-board.org/press/pressdetail.cfm?pressid=4802

“In 2011, 19% of S&P 500 companies replaced CEO’s from outside the company.”

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Replacing CEO’s with Outsiders

http://www.conference-board.org/press/pressdetail.cfm?pressid=4802

“In 2012, 27% of S&P 500 companies replaced CEO’s from outside the company.”

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start here

The Lean Startup – Eric Ries

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Cynefin Model – David Snowded

Unknown Known

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Cynefin Model – David Snowded

BusinessModel

BusinessPlan

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The Five Year Business Plan

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The Five Year Business Plan

• Numbers must go up & to the right• Largely based in fiction• Used to undermine coworkers• Not consumable for the teams• Too focused on Return on Investment

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What is the Business Model?

“A business model describes the rationale of how an organization creates, delivers & captures value”

-Alexander Osterwalder

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Business Model Generation

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“For whom are we creating value?”

Customer Segment

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“What value do we deliver to the customer?”

Value Proposition

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“How do we deliver the value we create to the customer?”

Channel

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“How do we create & maintain relationships with our customers?”

Customer Relationships

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“How much will these customers pay for the value we create?”

Revenue Streams

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“How much will this cost to create and maintain?”

Cost Structure

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“Who and what will we need to create this value?”

Key Resources

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“What will we do with these resources to build value?”

Key Activities

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“Who would we partner with that will provide us with Key Resources or Key

Activities?”

Key Partners

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What do you measure here?

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AcquisitionActivationRetentionReferralRevenuePirate Metrics – Dave McClure 500 Startups

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Aware

Hopeful

Satisfied

PassionateLean Entrepreneur – Brant Cooper & Patrick Vlaskovits

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Aware

Hopeful

SatisfiedPassionate

Acquisition

Activation

RetentionReferral

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Questions?

Thank You!

@davidjbland

david.bland@neo.com