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Traditional Product Development
             Unit of progress: Advance to Next Stage


                           Waterfall




Problem: known                                 Solution: known
Agile
         Unit of progress: a line of working code


                       Agile (XP)

“Product Owner” or
in-house customer




                                  Solution: unknown
 Problem: known
Product Development at Lean Startup
Business, marketing, engineering are tightly coupled in a company-
                       wide feedback loop.
              Unit of progress: customer validation


                                       Data, feedback, insights




  Hypotheses, experiments, insights




       Problem: unknown                 Solution: unknown
Customer Development
                           Continuous cycle of customer
                       
                           interaction
                               Rapid hypothesis
                           

                               testing about market,
                               pricing, customers, …
                               Extreme low cost, low
                           

                               burn, tight focus
                               Measurable gates for
                           

                               investors
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Eric Ries Lean Startup Schematic View Of Agile Development And Customer Development

  • 1. Traditional Product Development Unit of progress: Advance to Next Stage Waterfall Problem: known Solution: known
  • 2. Agile Unit of progress: a line of working code Agile (XP) “Product Owner” or in-house customer Solution: unknown Problem: known
  • 3. Product Development at Lean Startup Business, marketing, engineering are tightly coupled in a company- wide feedback loop. Unit of progress: customer validation Data, feedback, insights Hypotheses, experiments, insights Problem: unknown Solution: unknown
  • 4. Customer Development Continuous cycle of customer  interaction Rapid hypothesis  testing about market, pricing, customers, … Extreme low cost, low  burn, tight focus Measurable gates for  investors http://bit.ly/3oartD