“We must learn what customers really want, not what they say they want or what we think they should want.
The only way to win is to learn faster than anyone else.”
- Eric Ries
Lean Start-up is a methodology for developing businesses and products that aims to shorten product development cycles and rapidly discover if a proposed business model is viable; this is achieved by adopting a combination of business-hypothesis-driven experimentation, iterative product releases (typically using agile techniques), and validated learning.
The Lean Startup methodology provides a scientific approach to get a desired product to customers' hands faster. The Lean Startup method teaches you how to drive a product - how to steer, when to turn, and when to persevere - and grow a business with maximum acceleration. It is a principled approach to new product development.
Too many companies begin with an idea for a product that they think people want. They then spend months, sometimes years, perfecting that product without ever showing the product, even in a very rudimentary form, to the prospective customer. When they fail to reach broad uptake from customers, it is often because they never spoke to prospective customers and determined whether or not the product was interesting. When customers ultimately communicate, through their indifference, that they don't care about the idea, the product fails.
Large organisations can adopt Lean Start-up by establishing small, internal startup team, a cross-functional group that is focused on testing leap-of-faith assumptions about potential new products with the use of minimum viable products. A repeated cycle of testing leads to an iterative process where failure becomes a key component in validated learning. Making use of growth boards and metered funding, the teams learn how to pivot or persevere on each project.
This is what an internal startup team look like: