Driving Corporate Innovation: Design Thinking vs. Customer Development

Steve Blank

Two methods, Design Thinking and Customer Development (the core of the Lean Startup) provide the tactical day-to-day process of how to turn ideas into products. . Customer Development versus Design Thinking.

Entrepreneurship as a Science – The Business Model/Customer Development Stack

Steve Blank

Over the last 50 years engineers have moved from building computers out of individual transistors to building with prepackaged logic gates. It’s the combination of Business Model Design and Customer Development. Business Model Design Meets Customer Development.

Trending Sources

Customer Development is Not a Focus Group

Steve Blank

Customer Development is all about gathering a list of what features customers want by talking to them, surveying them, or running “focus groups.” As the engineers were busy rearchitecting the original Stanford MIPS chip into a commercial product, one of my jobs was to find out what features customers wanted. On the other hand, the Motorola 68000 microprocessor (used in the Sun and Apollo engineering workstations) and the IBM 360/370 mainframes were big-endian.

Lessons Learned: What is customer development?

Startup Lessons Learned

Lessons Learned by Eric Ries Saturday, November 8, 2008 What is customer development? But too often when its time to think about customers, marketing, positioning, or PR, we delegate it to "marketroids" or "suits." They almost always fail for lack of customers.

Engineering a Regional Tech Cluster-part 3 of 3 of Bigger in Bend

Steve Blank

Dino Vendetti a VC at Bay Partners, moved up to Bend, Oregon on a mission to engineer Bend into a regional technology cluster. Over the years Dino and I brainstormed about how Lean entrepreneurship would affect regional development. Part 3: Engineering a Regional Tech Cluster.

When Hell Froze Over – in the Harvard Business Review

Steve Blank

It was not only my secret weapon in thinking about new startup strategies, it also gave me a view of the management issues my customers were dealing with. “I refuse to join any club that would have me as a member.” ” Groucho Marx.

When Customers Make You Smarter

Steve Blank

We talk a lot about Customer Development, but there’s nothing like seeing it in action to understand its power. But the big payoff came when their discussions with medical device customers revealed an entirely new way to think about pricing —potentially tripling their revenue.

B2B Customer Development

Market by Numbers

Market By Numbers on Twitter | Entries RSS | Comments RSS Market By Numbers High-Tech Marketing and Customer Development Home What is Customer Development? Post-Launch Customer Development These are tricky waters for the reasons described above.

Don’t let process distract you from finding the strategy

Steve Blank

The goal of the class is to expose students to the basics of the Lean Methodology – Business Model Design , Customer Development and Agile Engineering. The teams come back into the class and present what they found, and then they get out and talk to more customers.

It’s Time to Play Moneyball: The Investment Readiness Level

Steve Blank

Teams use the Lean Startup toolkit: the Business Model Canvas + Customer Development process + Agile Engineering. LaunchPad Central software is used to track the business model canvas and customer discovery progress of each team.

Customer Development Biases

Market by Numbers

I haven’t weighed in on Customer Development thoughts for several hours, so it’s about time. Interesting series of tweets in the last several days got me thinking about the biases we bring to Lean Startup Customer Development practices.

Everything You Ever Wanted to Know about Marketing Communications

Steve Blank

I was having coffee with the CEO of a new startup, listening to her puzzle through how to communicate to potential customers. I reminded her that all the Lean tools she learned in class–Customer Discovery, business model and value proposition canvases– contained her answer.

Intel Disrupted: Why large companies find it difficult to innovate, and what they can do about it

Steve Blank

For the first 75 years of the 20 th century, when capital for new ventures was scarce, the smartest engineering talent went to corporate R&D labs. They’re better than large companies at identifying customer needs/problems and finding product/market fit by pivoting rapidly.

The Business Model Canvas Gets Even Better – Value Proposition Design

Steve Blank

It has three parts: a business model canvas to frame hypotheses, customer development to get out of the building to test those hypotheses and agile engineering to build minimum viable products. Teaches you how to use Customer Development to test it.

The Mission Model Canvas – An Adapted Business Model Canvas for Mission-Driven Organizations

Steve Blank

As a formal method, the Lean Startup consists of three parts: The Business Model Canvas – to frame hypotheses, Customer Development – to test those hypotheses in front of customers, and Agile Engineering – to build Minimum Viable Products to maximize learning.

Smart Start for your Startup

VC Cafe

Andreas Klinger Customer Development Earlyvangelists Lean Analytics Mom Test Product-market-fit Wantapreneurs 4 steps to the epiphany contagious customer development earlyvangelists landing pages Mom test Product market fit Rob Fitzpatrick SEM seo spent the power of habbit The Referral Engine

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Hacking for Defense @ Stanford 2017 – Lessons Learned Presentations

Steve Blank

It combines the same Lean Startup Methodology used by the National Science Foundation to commercialize science, with the rapid problem sourcing and curation methodology developed on the battlefields in Afghanistan and Iraq by Colonel Pete Newell and the US Army’s Rapid Equipping Force.

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Lean Innovation Management – Making Corporate Innovation Work

Steve Blank

Gore , I’ve found two corporate strategy tools developed by other smart people helpful in bridging Lean Startups with Corporate Innovation. Here the company executes a known business model (known customers, product features, competitors, pricing, distribution channel, supply chain, etc.)

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Why Build, Measure, Learn – isn’t just throwing things against the wall to see if they work

Steve Blank

Build a product, get it into the real world, measure customers’ reactions and behaviors, learn from this, and use what you’ve learned to build something better. Repeat, learning whether to iterate, pivot or restart until you have something that customers love.

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Lessons Learned: Customer Development Engineering

Startup Lessons Learned

Lessons Learned by Eric Ries Sunday, September 7, 2008 Customer Development Engineering Yesterday, I had the opportunity to guest lecture again in Steve Blank s entrepreneurship class at the Berkeley-Columbia executive MBA program. In addition to presenting the IMVU case, we tried for the first time to do an overview of a software engineering methodology that integrates practices from agile software development with Steves method of Customer Development.

Hacking For Defense In Silicon Valley

Steve Blank

In a major break from the past, where the military designed all its own weapons, 10,000 scientists and engineers from academia worked in civilian-run weapons labs (most headquartered in universities) in an organization called the Office of Scientific Research and Development (OSRD).

Hacking for Defense @ Stanford – Making the World a Safer Place

Steve Blank

Hacking for Defense is a new course at Stanford’s Engineering School in the Spring of 2016. As they learn, they’ll iterate and pivot on these hypotheses through customer discovery and build minimal viable prototypes (MVPs). Customer Development Science and Industrial Policy Teaching

Solving the Innovator’s Dilemma – Customer Development in a Big Company

Steve Blank

At times I’ll do what I consider an extension of teaching; a two-day Customer Discovery/Validation intensive session with a large corporation serious about Customer Development at my ranch on the California Coast. We spent two days of analyzing and exploring their customer discovery visits just completed across South America, Africa and Asia. We used what they learned to plan their next steps for additional Discovery, and ultimately Customer Validation.

How To Find the Right Co-Founders?

Steve Blank

I was having breakfast with Radhika, an ex-grad student of mine who wanted to share her Customer Discovery progress for her consumer hardware startup. And over time every venture capitalist develops their own gut feel for what makes up a great team in their industry.

How Investors Make Better Decisions: The Investment Readiness Level

Steve Blank

Other than measuring engineering progress, there’s no standard language to communicate progress. While it doesn’t eliminate great investor judgment, pattern recognition skills and mentoring, we’ve developed an Investment Readiness Level tool that fills in these missing pieces.

Time For Founders School

Steve Blank

Kauffman just launched Founders School - a new education series to help entrepreneurs develop their businesses during the startup stage by highlighting how startups are different from big companies. 1:46: The Differences: Accounting, Engineering & Sales.

How To Think Like an Entrepreneur: the Inventure Cycle

Steve Blank

They succeed by getting out of the building, testing those hypotheses and learning by iterating and refining minimal viable products in front of potential customers. Filed under: Customer Development , Teaching , Technology. Customer Development Teaching Technology

We Have A Moral Obligation

Steve Blank

6:22 What’s Customer Development. 7:11 Agile Engineering – Eric Ries. 41:39 Moral Obligations Filed under: Corporate Innovation , Customer Development , Hacking For Defense , Hacking for Diplomacy , Lean LaunchPad , NSF (National Science Foundation) , Teaching. Corporate Innovation Customer Development Hacking For Defense Hacking for Diplomacy Lean LaunchPad NSF (National Science Foundation) Teaching

Tesla and Adobe: Why Continuous Deployment May Mean Continuous Customer Disappointment

Steve Blank

For the last 75 years products (both durable goods and software) were built via Waterfall development. Agile is a tremendous advance in reducing time, money and wasted product development effort – and in having products better match customer needs. Waterfall – The Customer View.

The Lean LaunchPad Online

Steve Blank

Experienced entrepreneurs kept finding that no business plan survived first contact with customers. I read a ton of existing literature and came up with a formal methodology for search I called Customer Development. Berkeley asked me to teach a class in Customer Development.

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How to Be Smarter than Your Investors – Continuous Customer Discovery

Steve Blank

Teams that build continuous customer discovery into their DNA will become smarter than their investors, and build more successful companies. All of sudden what was an additional engineering and development effort now became a small, variable cost.

Bigger in Bend – Building a Regional Startup Cluster–part 1 of 3

Steve Blank

When Customer Development and the Lean Startup were just a sketch on the napkin, Dino Vendetti, a VC at Bay Partners, was one of the first venture capitalists I shared my ideas with. Over the years we brainstormed about how Lean entrepreneurship would affect regional development.

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An MVP is not a Cheaper Product, It’s about Smart Learning

Steve Blank

Customer Discovery on Farms. This team got my attention when they said, “Let us tell you about our conversations with potential customers.” Lean is Not an Engineering Process. Filed under: Customer Development. Customer Development

Why Real Learning is Outside the Building, Not Demo Day

Steve Blank

We think teaching teams a formal methodology around the Lean Framework (Business Model design, Customer Development and Agile Engineering) is a natural evolution of how successful incubators/accelerators will build startups. Customer Development Lean LaunchPad Teaching

Search versus Execute

Steve Blank

One of the confusing things to entrepreneurs, investors and educators is the relationship between customer development and business model design and business planning and execution. When does a new venture focus on customer development and business models ?

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Innovating Municipal Government Culture

Steve Blank

The curriculum draws from Philadelphia University’s design, engineering, and business disciplines, as all are needed to make innovation relevant in the government. Innovation Leadership – How to develop innovative teams and culture. Customer Development Lean LaunchPad Teaching

Eureka! A New Era for Scientists and Engineers

Steve Blank

Silicon Valley was born in an era of applied experimentation driven by scientists and engineers. government agency that supports research in all the non-medical fields of science and engineering - is changing the startup landscape for scientists and engineers.

Careers Start by Peeling Potatoes

Steve Blank

Wrote technical manuals and taught microprocessor design (to customers who knew more than I did.) Worked weeks non-stop responding to customer Requests For Proposals (RFP’s.) Filed under: Air Force , Customer Development , Family/Career/Culture.

Vision versus Hallucination – Founders and Pivots

Steve Blank

It was great to watch him embrace the spirit and practice of customer development. He was constantly in front of customers, listening, selling, installing and learning. It seemed like once a week Yuri would come back from a customer meeting brimming with new insights. “We’re

Who’s Doing the Learning?

Steve Blank

Alice and Bettina had taken an idea they had tested in the class – building toys for young girls to have fun with Science, Technology, Engineering, and Math, and started a company. What if a buyer asks, can you make a custom version of your product?

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