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In April 2012, Brain Mathews asserted in his white paper that libraries need to “Think Like a Startup." But how do startups think? If we are going to emulate startup culture, then we have some learning to do. This interactive session will tackle the build-measure-learn cycle, validated learning, iterative design, continuous improvement, and other components of lean thinking. We'll underscore the importance of hands-on development, prototyping, and hypothesis testing. Come join the conversation and help make entrepreneurial thinking a habitual part of our practice and profession. Presented by M.J. D'Elia & Helen Kula.
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STARTUP LIBRARY 101A NEW MINDSET
STARTUP LIBRARY 101
MJ
PRESENTEDBY
A NEW MINDSET
HELEN
Think like a startup: A white paper to
inspire library entrepreneurialism
WHITE PAPER
VIRGINIA TECH
BRIAN MATHEWS
WHITE PAPER
Mathews, 2012, p. 4
startups condition us for constant
change
startups provide a framework for action
startup is a culture
startups are about building
a platform
WHO WE ARE
University of TorontoMississauga
@helenkula
HELEN KULA
University of Guelph
@mjdelia
M.J. D’ELIA
AGENDA
FRAMEWORK FOUNDATION DISCUSSION APPLICATION
OLA SUPER CONFERENCE 2014
FRAMEWORKCUSTOMER DEVELOPMENT
CUSTOMER DEVELOPMENT
A methodology for startups that emphasizes learning and discovery before execution.
Blank & Dorf, 2012; Ries, 2011
CUSTOMER DEVELOPMENT
The search for repeatable, scalable, and sustainable solutions.
Blank & Dorf, 2012; Ries, 2011
1CUSTOMERDISCOVERY
CUSTOMER DEVELOPMENT
Blank & Dorf, 2012, p. 22-23
Establish hypotheses. Test hypotheses. Discover facts.
1CUSTOMERDISCOVERY
CUSTOMER DEVELOPMENT
Blank & Dorf, 2012, p. 22-23
Problem hypotheses: How big of a problem is it?
Product hypotheses: What solutions are currently in place? Do they work?
2CUSTOMERVALIDATION
CUSTOMER DEVELOPMENT
Blank & Dorf, 2012, p. 22-23
Test key features. Prove customers exist. Investigate scalability.
2CUSTOMERVALIDATION
CUSTOMER DEVELOPMENT
Blank & Dorf, 2012, p. 22-23
Questions: Is this solution financially viable? Will customers use our solution? Do we know how to sell them?
3CUSTOMERCREATION
CUSTOMER DEVELOPMENT
Blank & Dorf, 2012, p. 22-23
Begin executing. Build end-user demand. Increase scale.
3CUSTOMERCREATION
CUSTOMER DEVELOPMENT
Blank & Dorf, 2012, p. 22-23
Activities: Move from few to many customers. Launch and position the solution.
4COMPANY BUILDING
CUSTOMER DEVELOPMENT
Blank & Dorf, 2012, p. 22-23
Transition out of startup phase. Focus on execution.
4COMPANY BUILDING
CUSTOMER DEVELOPMENT
Blank & Dorf, 2012, p. 22-23
Activities: Adjust management structure. Align resources to permanently support new solution.
1 2 3 4CUSTOMERDISCOVERY
CUSTOMERVALIDATION
CUSTOMERCREATION
COMPANYBUILDING
CUSTOMER DEVELOPMENT
Blank & Dorf, 2012, p. 22-23
SEARCH EXECUTE
1 2CUSTOMERDISCOVERY
CUSTOMERVALIDATION
CUSTOMER DEVELOPMENT
Blank & Dorf, 2012, p. 22-23
SEARCH
Faith-based vision. List of hypotheses.
CUSTOMER DEVELOPMENT
GUESSING TESTING DISCOVERING
Scientific method. List of tests.
Validated learning.List of facts.
FOUNDATIONVALUE PROPOSITION
1
VALUE PROPOSITION
The bundle of products and services that create value for a specific customer segment.
Osterwalder & Pigneur, 2010, p. 22-25
VALUEPROP
VALUE PROPOSITION
CUSTOMER SEGMENTS
RELATIONSHIPS
CHANNELS
REVENUE
ACTIVITIES
PARTNERS
RESOURCES
COST STRUCTURE
Osterwalder & Pigneur, 2010, p. 18-19, 48-49
EFFICIENCY/LOGIC VALUE/EMOTION
VALUE PROPOSITION
What problem are you solving for whom?How does your product create customer gains?
How does your product alleviate customer pains?
Value Proposition Canvas
VALUEPROP
VALUE PROPOSITION
CONVENIENCE
ACCESSIBILITY
USABILITY
DESIGN
PRODUCTIVITY
COST REDUCTION
CUSTOMIZATION
STATUS
Observation: Declining statistics for in-depth research help.Proposed solution: New location. Improved branding.
Value Prop: Convenience. Accessibility. Usability. Clarity.
VALUE PROPOSITION
RESEARCH HELP DESK
FOUNDATIONBUILD MEASURE LEARN
2
BUILD MEASURE LEARN
A three-step feedback loop that enables rapid development and constant adjustments to the
business model.
Ries (2011), p. 22, 76-77
BUILD
BUILD MEASURE LEARN
IDEA
MEASURE
LEARN
PRODUCTDATA
Ries (2011), p. 76-78
BUILD MEASURE LEARN
Learn: What do you want to know? Measure: How will you measure it?
Build: What do you need to make?
Ries (2011), p. 76-78
Build: “Lemonade stand” at the library entrance. Measure: Track interactions. Conduct user experience interviews.
Learn: Students like quick help. Discovered new frustrations.
BUILD MEASURE LEARN
RESEARCH HELP DESK
FOUNDATIONMVP
3
MVP
Minimum Viable Product = a product/service with just enough features that allow it to reach
the market
Ries, 2011
MVP
Low-Fidelity MVP: Does the customer care? (Often used in customer discovery) High-Fidelity MVP: Will the customer adopt your solution? (Often used in customer validation)
Ries, 2011
Lo-fi MVP: “Lemonade stand” + signs (minimal construction)
Tests: Desk configuration. Multiple computers. iPad service. Branding awareness tests.
MVP
RESEARCH HELP DESK
Hi-fi MVP: “Lemonade stand” + service model
Tests: Query tracking. Customer journey maps. Signage audits. Staffing plan and service modelling. Revised referral strategy.
MVP
RESEARCH HELP DESK
FOUNDATIONPIVOT
4
PIVOT
A fundamental change in strategy based on validated learning in the customer development
process.
Ries (2011), p. 76-78
Observation: Declining statistics for in-depth research help.MVP: “Lemonade Stand”Build-Measure-Learn: Discovered other challenges.Zoom-Out Pivot: Expand our changes to include all frontline service interactions.
MVP
PIVOT
DISCUSSIONCASE STUDIES
CASE STUDIES
VIRTUAL
LEARNING
COMMONS
DATA
VISUALIZATION
WORKSHOP
A NEW
MAKER
SPACE
Images: http://www.3ders.org/articles/20130315-expressing-mathematics-in-3d-printed-sculpture-art.html http://www.freefever.com/wallpaper/1280x800/best-windows-wallpaper-abstract-fibre-optic-20882.html http://www.boostlabs.com/infographics-and-data-visualization-services-dc-md-va/
CASE STUDY
1. Which customers would you visit?2. What would be your value proposition?3. What would an MVP look like?4. How will you measure your success?5. How will you scale your solution?
APPLICATIONSIX TIPS
“There are no facts inside your building,
so get outside.”
APPLICATION
TIP 1 TIP 2
Blank & Dorf, 2012, p. 31
The best startup ideas ideas come from
noticing.
Graham, 2012
Determine what you want to learn before
you build.
APPLICATION
TIP 3 TIP 4
Ries, 2011, p. 76-78
Build a minimum viable product with the smallest possible
feature set.
Blank & Dorf, 2012, p. 60
“No business plan survives first contact
with customers.”
APPLICATION
TIP 5 TIP 6
Blank & Dorf, 2012, p. 35
“Failure is an integral part of the search.”
Blank & Dorf, 2012, p. 33
FINAL THOUGHT
“There is no way to remove the human element--vision, intuition, judgment--from the practice of
entrepreneurship, nor would that be desirable.”
Ries, 2011
announCementSTARTUP WEEKEND
March 28-30Mozilla Toronto
STARTUP WEEKEND
TORONTO
LIBRARY EDITION
http://toronto.startupweekend.org
QUESTIONS?STARTUP LIBRARY 101
THANK YOU
STARTUP LIBRARY 101
OLA SUPER CONFERENCE 2014
Blank, S. (2014). Steve Blank [blog]. Retrieved from http://steveblank.com Blank, S. & Dorf, B. (2012). The Startup Owner’s Manual. Pescadero, CA: K&S RanchGraham, P. (2012). How to get startup ideas [Blog]. http://paulgraham.com/startupideas.htmlMaRS. Entrepreneur’s Toolkit. Retrieved from http://www.marsdd.com/entrepreneurs-toolkit/ Mathews, B. (2012, April). Think like a Startup [white paper]. Retrieved from http://vtechworks.lib.vt.edu/handle/10919/18649 Osterwalder, A. & Pigneur, Y. (2010). Business Model Generation. Hoboken, NJ: WileyRies, E. (2011). The Lean Startup. New York: Crown.
REFERENCES
Slide Design: Pasquale Vitiello
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