This document provides an agenda and information for a Lean Launchpad class at NYU ITP on March 10, 2014. The class will include a workshop on customer development presented by Ajay Revels from 6:45-7:30pm. Student teams will then present from 7:45-8:55pm. Upcoming resources and events are also listed, including the MIT Hacking Medicine hackathon in April. The document outlines various financial, physical, intellectual, and human resources that may be needed for projects. It also discusses metrics like viral coefficient, CAC, LTV, and retention that can help guide projects to an MVP.

1. Class 6 / 12
March 10, 2014
Jen van der Meer | jd1159 at nyu dot edu
Josh Knowles | chasing at spaceship dot com
LEAN
LAUNCHPAD
AT NYU ITP
Rockets Sketches borrowed from Harry Allen Design

2. 6:00 – 6:45: Activities, Resources and Costs
6:45– 7:30 Workshop set up Ajay Revels – Customer Development Deep Dive
7:30 – 7:45 Break
7:45 – 8:55 Teams Present
TODAY:

3. MIT Hacking Medicine hackathon at WebMD April 4th-6th.
NYC Innovate Schools
• We help early-stage edtech developers:
• Understand the key problems facing NYC schools and get validation on
potential solutions.
• Navigate the processes of procurement, contracting and IT compliance.
• Connect with innovative iZone schools who are interested in piloting
exciting new technologies.
UPCOMING + RESOURCES:

4. .
WE ARE HERE
1/27
Business Models
Customer Development
UX Tools Intro
2/3
Value Proposition
UX Tools, Frameworks
2/10
Customer Segments
Research Tools
2/17
President’s Day
2/24
Revenue Streams
Distribution
Product Definition
3/3
Customer Relationships
Partners,
Product Development
3/10
Resources,
Activities, Costs,
Product Development
3/17
Spring Break
3/24
Customer Development
Product Development
3/31
Customer Development
Product Development
4/7
Customer Development
Product Development
4/14
Customer Development
Product Development
4/21
Product MVP
4/28
Lessons Learned

6. Financial
Physical
Intellectual
Human
KEY RESOURCES

7. Financial
Equity
Friends Family
Angel
VC – growth
Social impact investing
Equity Crowdfunding
Convertible Debt
Debt that converts to equity
Debt
Small business loans
Trade finance
Working capital debt
Line of credit
Non dilutive grants
SBIR, STPR grants
Open Innovation prizes (XPRIZE,
Kaggle)
Social impact foundations (RWJF)
Project Crowdfunding
KEY RESOURCES: FINANCIAL

8. NEW SOURCES OF FUNDING – AMERICA COMPETES ACT

9. NEW SOURCES OF FUNDING – SEC CHANGES

10. OPEN INNOVATION– PRIZES AND PULL MECHANISMS
Public open innovation – Federal agencies encouraged to call innovators to a
challenge, look for the brightest minds and the best ideas, seek a diversity of
solutions, and incentivize those solutions with the highest performing outcomes.
Private sector open innovation – Companies are recognizing the complexity of
business and that the best ideas lie outside their organization. Prizes and open
innovation exercises are proliferating in all sectors. Often these are non-dlllutive,
but beware those programs that are for marketing/branding reasons, or where
there is IP or first right of refusal claims in the terms.
NGO open innovation – Foundations and philanthropic organizations are
growing faster than for profits, and to incentivize the freshest ideas and solutions,
“pull mechanisms” are used to bring forward the best ideas, and reward those
that demonstrate the strongest outcome.

11. Office building/office
Factory/processing
Vehicles
Machines
Hardware
Raw materials/ingredients
Components
KEY RESOURCES: PHYSICAL

12. KEY RESOURCES

13. Co-founders
Employees
Contractors
Development firms, contract manufacturing
HUMANS – COMPANY

14. Mentors – make you smarter about your career
Teachers – provide specific subject matter expertise
Coaches – help you achieve a goal
Advisors – help you make your company succeed
Board members – help the investors succeed
Surround yourself with people that give critical feedback, and help you
through a major founder failure point – when you believe your vision is fact.
HUMANS – MENTORS, ADVISORS

15. Developer/engineer
Designer
Marketer
Scientist
Community manager
When do you need a CEO?
A CFO?
An HR person?
A VP of Sales?
A Chief Revenue officer?
TALENT

17. Income statement
Balance sheet
Cash flow
Are these the financials you need to understand?
Yes, because it’s the language investors speak, and it’s good to understand
the flows of financial reporting –but this is a system used to compare
financial performance for investors.
These do not supply execution metrics to help you make decisions and
formulate/test hypotheses.
COSTS

18. COSTS – EXECUTION METRICS

19. Viral coefficient
CAC
LTV
Conversion rate
Retention rate
What are vanity metrics?
Registered users, downloads, and raw pageviews. A mobile apps could have
millions of downloads but only a few hundred thousand active users, or a
freemium website might see exploding traffic growth but barely any
conversions to paying users. They are metrics that make you feel good, bad
for guiding execution.
What metrics will drive you through MVP?
COSTS – EXECUTION METRICS

20. UNIT ECONOMICS

21. 21
WHAT CAME BEFORE STEVE AND ERIC

22. FOR NEXT TIME
3/24/14

23. .
POST BREAK PREP:
We’ve toured the canvas.
But you’re not done.
For March 24: Prepare to run through the canvas:
• What is your clear value proposition, how have you validated.
• What segment(s) are you pursuing, how have you validated.
• What resources will you need to get to MVP, and what are the costs?
• What other key elements of the business model canvas do you need to test.
• What remaining hypotheses do you have?
We are here for you, all of the mentors and advisors. Please reach out even if
you don’t think you need help.

24. NEXT: CANVAS REVIEW AND
FEEDBACK

25. APPENDIX

26. Jen van der Meer, Adjunct Professor at ITP since 2008
ITP courses + workshops: Bodies and Buildings, Products Tell Their
Stories, ITP VC Pitchfest, . Currently: Luminary Labs, Angel Investor,
Health Data Challenges, Judge for startup competitions, + SVA PoD
Josh Knowles, ITP ’07
15+ years as an independent developer/consultant, working with
numerous brands and start-up clients (currently under the aegis of
Frescher-Southern, Ltd.)
ITP TEACHING TEAM

27. STUDENT TEAMS
Team Name School
Cognitive Toy Box Lindsey Jones Stern
Tammy Kwan Stern
Hsiang Huang Stern
Alternative Monuments Rodrigo Derteano ITP
Maximo Sica ITP
Ajejandro Puentes ITP
Alon Chitayat ITP
NYBL Sam Slover ITP
Shilpan Bhagat ITP
Max Ma ITP
DiscoverEd Sergio Majluf ITP
Su Hyun Kim ITP
Christina Yugai Stern
Yuliya Parshina Kottas ITP

28. MENTORS + TEAMS
Tom Igoe @tigoe
ITP, Arduino, Making Things Talk, NYU
ITP Pitchfest
Alternative Monuments
Julie Berkun Fajgenbaum @julieF
Stern Adjunct Professor, Former VP
Amex Open, now startup co-founder
NYBL
Michael Levitz @michael_levitz
ITP grad, R/GA, Lean
DiscoverED
Sarah Krasley @sarahkrasley
Autodesk, Sustainability, Berkeley
For everyone
Chris Milne @greedo1000
IDEO, Toy Lab, Stanford, LEGO
Cognitive Toy Box