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[DevDay 2017] Lean Startup - Design Thinking - Speaker: Sebastian Sussmann - CIO at Axon Active Vietnam

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The business world is too complicated that people are often getting lost on the way to maximize efficiency. They often do what they don’t need and leave behind what they need to do. You might have heard of the Lean Startup as an approach that could help. Does this alone will solve all kinds of problem? What is the truth? What do you need, what kind of methodology or tool? Come and find out what you could pick up from Design Thinking, Lean Startup and how you can blend it well with your Agile approach.

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[DevDay 2017] Lean Startup - Design Thinking - Speaker: Sebastian Sussmann - CIO at Axon Active Vietnam

  1. 1. Lean Startup – Design Thinking DEV04/20/2017
  2. 2. www.axon.vnfb.com/AxonActiveVietNam Why are you in this session?
  3. 3. www.axon.vnfb.com/AxonActiveVietNam Do you want to make your own Business?
  4. 4. www.axon.vnfb.com/AxonActiveVietNam Why you like to get this?
  5. 5. www.axon.vnfb.com/AxonActiveVietNam Money? Freedom? Success?
  6. 6. www.axon.vnfb.com/AxonActiveVietNam Really? Do you know the Idea about Lean Startup? You think it is so easy?
  7. 7. www.axon.vnfb.com/AxonActiveVietNam So, what is a successful company?
  8. 8. www.axon.vnfb.com/AxonActiveVietNam A product that brings value to customer What is a successful company? A company that grows, has a successful product and has customers who like and would invest into the product...
  9. 9. www.axon.vnfb.com/AxonActiveVietNam what do we need to grow?
  10. 10. What is the meaning of STARTUP in this case?
  11. 11. www.axon.vnfb.com/AxonActiveVietNam Lean Startup = Startup Company NO, there is more…
  12. 12. www.axon.vnfb.com/AxonActiveVietNam Every company is a startup company if the product, business should grow and be successful !
  13. 13. www.axon.vnfb.com/AxonActiveVietNam Lean Startup = change to focus on customer needs & sustainability ✓
  14. 14. www.axon.vnfb.com/AxonActiveVietNam What does it mean?
  15. 15. www.axon.vnfb.com/AxonActiveVietNam So the improving concept, feedback loop …
  16. 16. www.axon.vnfb.com/AxonActiveVietNam Plan DoCheck Act © http://en.wikipedia.org/wiki/File:W._Edwards_Deming.gif W. Edwards Deming (1900 –1993) or Deming Cycle … Plan-Do-Check-Act (PDCA) cycle To do
  17. 17. www.axon.vnfb.com/AxonActiveVietNam Lean startup Build Measure Learn Idea Code Data To do
  18. 18. www.axon.vnfb.com/AxonActiveVietNam Empathize Define Ideate Prototype Test Design Thinking To do
  19. 19. www.axon.vnfb.com/AxonActiveVietNam Empathize Define Ideate Prototype Test Understand the User Get an Idea about their needs Brainstorm to find a solution Test the solution Build the solution with a simple way Design Thinking To do
  20. 20. www.axon.vnfb.com/AxonActiveVietNam Plan DoCheck Act Build Measure Learn Idea Code Data Empathize Define Ideate Prototype Test To do
  21. 21. www.axon.vnfb.com/AxonActiveVietNam Agile [Thinking] www.agilemanifesto.org Individuals and interactions over processes and tools Working software over comprehensive documentation Customer collaboration over contract negotiation Responding to change over following a plan http://www.agilemanifesto.org To be
  22. 22. www.axon.vnfb.com/AxonActiveVietNam Agile [Thinking] www.agilemanifesto.org Individuals and interactions over processes and tools Working software over comprehensive documentation Customer collaboration over contract negotiation Responding to change over following a plan http://www.agilemanifesto.org To be Communication … Quality … Customer Observation … Learnings …
  23. 23. What should we do now?
  24. 24. www.axon.vnfb.com/AxonActiveVietNam If we don’t know the Customer, we also don’t know what QUALITY will be…
  25. 25. www.axon.vnfb.com/AxonActiveVietNam We need to UNDERSTAND, OBSERVE our Customer
  26. 26. www.axon.vnfb.com/AxonActiveVietNam Don’t think you can figure all out in your head!
  27. 27. www.axon.vnfb.com/AxonActiveVietNam Biggest problem in nowadays: We work to oft just with assumptions and do not get a proof…
  28. 28. www.axon.vnfb.com/AxonActiveVietNam But make a hypothesis …
  29. 29. www.axon.vnfb.com/AxonActiveVietNam It is not helpful: Operation was successful but the patient died
  30. 30. www.axon.vnfb.com/AxonActiveVietNam It is not helpful: The product is launched but nobody need it…
  31. 31. www.axon.vnfb.com/AxonActiveVietNam It is not helpful: Everybody wants the Product but the product always crashes…
  32. 32. www.axon.vnfb.com/AxonActiveVietNam Don’t accept the “status quo”
  33. 33. www.axon.vnfb.com/AxonActiveVietNam We also need a Growth engine, for success
  34. 34. www.axon.vnfb.com/AxonActiveVietNam Innovation will help the Growth Engine
  35. 35. www.axon.vnfb.com/AxonActiveVietNam So, we have a dilemma… We need innovation but not assumptions…
  36. 36. What is the common problem? Why we talk about this?
  37. 37. www.axon.vnfb.com/AxonActiveVietNam Quality, delay, a failed final product…, time …
  38. 38. www.axon.vnfb.com/AxonActiveVietNam We all have the time limit and we need to get it available before the other one make it better … We need more awareness…
  39. 39. www.axon.vnfb.com/AxonActiveVietNam Adjustments value | The iron triangle Quality Money Scope Time Quality Money Scope TimeOvertime, Delay, .... More cost Team size, ... Scope is controlled by money and time in AGILE, Design Thinking, Lean Startup … info ✓
  40. 40. See some statistics … info
  41. 41. www.axon.vnfb.com/AxonActiveVietNam Used Functions / Features Sometimes 16% Rarely 19% Never 45% Always 7% Often 13% The Standish Group International, Inc. ,Boston, 1996 (Modernization Clearing a pathway to success) info
  42. 42. www.axon.vnfb.com/AxonActiveVietNam Impact of Features Patton, Jeff; Economy, Peter. User Story Mapping: Discover the Whole Story, Build the Right Product ~20% Success! - Big impact for success Little Impact 60% Failure 20% Success 20% ~20% Failure - Will hurt us… ~60% Little or no impact for business Will cause problems in sustainability development, growing, flexibility and maintenance but has no impact for a success of the product … info
  43. 43. www.axon.vnfb.com/AxonActiveVietNam 80% of a success comes from 20% of investment Pareto principle info
  44. 44. www.axon.vnfb.com/AxonActiveVietNam Microsoft noted that by fixing the top 20% of the most-reported bugs, 80% of the related errors and crashes in a given system would be eliminated. Pareto principle Rooney, Paula (October 3, 2002), Microsoft's CEO: 80–20 Rule Applies To Bugs, Not Just Features, ChannelWeb info
  45. 45. www.axon.vnfb.com/AxonActiveVietNam In software engineering, Lowell Arthur expressed a corollary principle: "20 percent of the code has 80 percent of the errors. Find them, fix them!" Pareto principle Pressman, Roger S., Software Engineering: A Practitioner's Approach (7th ed.). Boston, Mass: McGraw-Hill, 2010 info
  46. 46. www.axon.vnfb.com/AxonActiveVietNam Software frameworks have often been observed to make 80% of use cases easier to implement and 20% of use cases much more difficult to implement. Pareto principle http://wiki.c2.com/?EightyTwentyRule info
  47. 47. www.axon.vnfb.com/AxonActiveVietNam Adjustments value | The iron triangle Quality Budget Scope Time Build the right things Build the things right info Keep QUALITY And the chance to get better QUALITY ✓ ✓ ✓
  48. 48. www.axon.vnfb.com/AxonActiveVietNam find ways to reduce scope and build only the most valuable pieces of each feature to prove the User needs … The User is NOT interested in Investment, he is interested in VALUE Reduce Scope
  49. 49. www.axon.vnfb.com/AxonActiveVietNam Minimum Viable Product Focus on MVP
  50. 50. Observe your User / Understand your User Observation
  51. 51. www.axon.vnfb.com/AxonActiveVietNam “If you just avoid mentioning your idea, you automatically start asking better questions. Doing this is the easiest (and biggest) improvement you can make to your customer conversations.” Rob Fitzpatrick ASK question
  52. 52. www.axon.vnfb.com/AxonActiveVietNam Faster horse “If I had asked people what they wanted, they would have said a faster horse.” Henry Ford
  53. 53. www.axon.vnfb.com/AxonActiveVietNam 1. See, what is really working 2. Where he struggles 3. Don’t talk about your IDEA 4. Get an Hypothesis 5. Proof the Hypothesis 6. ADJUST Observation … simple rules Failfast,learnfast,improvefast
  54. 54. www.axon.vnfb.com/AxonActiveVietNam “NO” doesn’t mean we don’t do it it should mean: we will find a better way MORE VALUE, LESS implementation COST The most difficult word: “NO”
  55. 55. www.axon.vnfb.com/AxonActiveVietNam “NO” helps to get the FOCUS on MVP “NO”
  56. 56. Innovation will help the Growth Engine Learning
  57. 57. www.axon.vnfb.com/AxonActiveVietNam to get the right IDEA The need of more than one IDEA Time AmountofIDEAS Stupid idea Obvious Idea New Idea Crazy Idea Innovative Idea DigitalInnovationPlaybook,DarkHorseInnovation
  58. 58. www.axon.vnfb.com/AxonActiveVietNam Forget the boundaries, they will come anyway early …
  59. 59. www.axon.vnfb.com/AxonActiveVietNam Kano-Model Basic needs are necessary to operate a product Excitement needs make the differences to competitor (Exciter) Source: en.wikipedia.org/wiki/Kano_model info Innovation
  60. 60. www.axon.vnfb.com/AxonActiveVietNam Exciters …
  61. 61. www.axon.vnfb.com/AxonActiveVietNam Remember Kano-Model Building an MVP Wrong MVP: too less function and no customer value Get all Feature in… Bad user experience or buggy product (do not shoddy user experience) Olsen,Dan.TheLeanProductPlaybook info Functional Usable Reliable Delightful Functional Usable Reliable Delightful ✓
  62. 62. www.axon.vnfb.com/AxonActiveVietNam We need innovation for the engine But We need to save time in development
  63. 63. www.axon.vnfb.com/AxonActiveVietNam Do not focus to much to understand the problem deep, but you need to understand this WIDE… Get value for the USER and bring the product to the pole position … Design Thinking, get experience with experiments
  64. 64. www.axon.vnfb.com/AxonActiveVietNam Create a lot of solution. Don’t get stuck with just one. Don’t think you will have the only best already at the beginning. To create just one and the best solution is really difficult. To have the best Idea already at the beginning is nearly impossible Ideas will grow. How to create Experiments?
  65. 65. www.axon.vnfb.com/AxonActiveVietNam potential shippable product increment Impact Mapping: Making a big impact with software products and projects / Gojko Adzic Patton, Jeff; Economy, Peter. User Story Mapping: Discover the Whole Story, Build the Right Product “Great art is never finished, only abandoned.” - Leonardo da Vinci
  66. 66. www.axon.vnfb.com/AxonActiveVietNam Don’t think you can figure all out in your head. You need to prototype for you and your customer Prototyping
  67. 67. www.axon.vnfb.com/AxonActiveVietNam Don’t talk, DO it The time will run fast, every test need a clear goal, you need clear time management Prototyping
  68. 68. www.axon.vnfb.com/AxonActiveVietNam First prototype. Nick Swinmurn Example Zappos just show the picture of the shoes, that he captured in some stores… if someone order it, he goes to the store to buy it and send it via post ▪ He could simply test, if people will buy, order… ▪ You could learn the online process, with payment ▪ After this…. he optimized this and build just the process that he needed…
  69. 69. www.axon.vnfb.com/AxonActiveVietNam When you are in a really early stage, just playing around with different concepts, Use materials that are easy to find and cheap to buy. A material that limits your aesthetic options helps to remove fear and to avoid focusing on how it looks. That is something to tackle in a later stage. Once you’re a bit further along, it still makes sense to make “throwaway” prototypes, but they will be more involved. Paper prototyping keeps your entire design team engaged, even if they don’t have developer skills …
  70. 70. www.axon.vnfb.com/AxonActiveVietNam Prototyping Setup Experiments ✓ Make it visual, touchable ✓ Don’t fall in love with first ideas – create alternatives ✓ Feel comfortable in a “liquid state” ✓ Don’t make it perfect ✓ Keep it simple and MacGyver it together ✓ Expose your work early - seek criticism ✓ Use techniques for creativity ✓ Track learnings, insights, and progress ✓ Kill your darling – mindset, do not defend your prototype ✓ Do not explain your prototype, the prototype will explain themselves
  71. 71. www.axon.vnfb.com/AxonActiveVietNam Failure is bad, it costs money and is not a useful investment, just do it right since the beginning!… Failure NO
  72. 72. www.axon.vnfb.com/AxonActiveVietNam Fuck up nights, learn from each other But what if failure can save money in long-term, and could reduce risk? then its okay to do…? try to find the mistakes fast and early and not in production
  73. 73. www.axon.vnfb.com/AxonActiveVietNam So we need to fail early
  74. 74. www.axon.vnfb.com/AxonActiveVietNam Shorten the feedback cycle to reduce the risk of doing wrong Get feedback
  75. 75. www.axon.vnfb.com/AxonActiveVietNam We do not need many users to understand what is not working User Test, Feedback UsabilityProblemsfound 3 Number of Test Users 100% 6 9 12 15 Knapp,Jake.Sprint:Howtosolvebigproblemsandtestnewideasinjustfivedays 25% 50% 75%
  76. 76. www.axon.vnfb.com/AxonActiveVietNam Drew Houston: DrewHouston:Dropbox(dropbox-minimal-viable-product) Drew Houston CEO, Dropbox
  77. 77. www.axon.vnfb.com/AxonActiveVietNam The Product development in Lean Startup should be a reaction with pull, this mean Experiments. They will help step by step do understand the needs
  78. 78. To do…
  79. 79. www.axon.vnfb.com/AxonActiveVietNam Get the hypothesis fast and validate and optimize with MVP & Experiments
  80. 80. www.axon.vnfb.com/AxonActiveVietNam SET UP SMALL EXPERIMENTS AND LEARN SHIT Every little iteration and trial will get tons of useful new insights - things you wouldn't have learned if you just started building. Reality is different to what you assume. Setup Experience
  81. 81. www.axon.vnfb.com/AxonActiveVietNam Don’t loose to much time on the wrong but perfect solution. Find out the real needs and keep it simple but with HIGH Quality
  82. 82. www.axon.vnfb.com/AxonActiveVietNam Find the balance between say “NO” (reduce scope) & New Innovation (get the needed feature) To get the Real need
  83. 83. www.axon.vnfb.com/AxonActiveVietNam Don’t loose to much time on the wrong but perfect solution. Find out the real needs and keep it simple but with HIGH Quality Do not save time with the cost of Quality!!!
  84. 84. www.axon.vnfb.com/AxonActiveVietNam Assumptions can kill Success Innovation can support Success Accept the status quo will kill Success Learn fast, fail fast will support Success Do not waste time, time you can not get time back Growth engine will support Success Do not go too long in the wrong direction, learn and adjust
  85. 85. www.axon.vnfb.com/AxonActiveVietNam BIGGEST mistake and wrong understanding! Control time with the cost of QUALITY
  86. 86. www.axon.vnfb.com/AxonActiveVietNam Quality
  87. 87. www.axon.vnfb.com/AxonActiveVietNam Who I am? Dipl.-Ing. CIO Sebastian Sussmann easier, just call me: Sebi Born in Germany Living and working since 2003 in Switzerland and since 2008 in Vietnam Studied at Brandenburg University of Technology Cottbus (BTU), Germany Swiss Federal Institute of Technology Zürich (ETH), Switzerland IT developing experience started at university 1995 Institute for Automation Engineering - IFAT, network and WEB-Application, Otto-von-Guericke-University Magdeburg, Germany Multimedia Centre Cottbus (BTU), Germany 3D Print @ Swiss Federal Institute of Technology Zürich (ETH), Switzerland Mappuls AG, Lucerne, Switzerland Axon Active AG, Luzern, Switzerland Axon Active Vietnam Co. Ltd., Ho Chi Minh City, Vietnam Certified Scrum Master by Scrum Alliance Certified Product Owner by Scrum Alliance Certified Scrum Professional by Scrum Alliance Certified Agile Leadership by Scrum Alliance OSA certified of completion by Daniel Mezick Trainer at ECCInternational Email sebastian.sussmann@axonactive.com https://vn.linkedin.com/in/sussmann https://www.scrumalliance.org/community/profile/ssussmann International Association of Facilitators Open Space Agility certified of completion
  88. 88. www.axon.vnfb.com/AxonActiveVietNam www.scrumbreakfast.vn Keep in touch: Email sebastian.sussmann@axon.vn http://vn.linkedin.com/in/sussmann
  89. 89. www.axon.vnfb.com/AxonActiveVietNam Disclaimer This presentation is an ongoing work and will be updated and improved frequently. 1. Use This presentation is produced for Axon Active Vietnam and may be used: By Sebastian Sussmann for Axon Active Vietnam 2. Content The author reserves the right not to be responsible for the whole correctness, completeness or quality of the information which is provided at this document. If some body will get problems because of using some information out from this presentation, the author will reject all claims. Because the author can not guarantee the correct use of all provided information. The author done it with the best of one's knowledge and belief This presentation / document is not complete. The author can add, remove and change it completely or partly at any time. 3. Copyright The author intended not to use any copyrighted material for the presentation. For the case it was clearly indicated he provides the copyright and source information at this page to indicate the copyright and the way of use. The copyright for any material created by the author and the company Axon Active Vietnam is reserved. Any duplication or use of objects such as images, diagrams, sounds or texts in other electronic or printed publications is not permitted without the author's agreement. 4. References: See slides