lean start up bootcamp 5 three models to bring focus
TRANSCRIPT
This book is for:
• Start-ups
• Stale businesses on the cusp of adopting new ideas
• Existing businesses struggling with growing pains
• Anyone who wants to learn about how to develop their business
The goals of the
Bootcamp• At the end of the six months to have worked through the principles of the
book
• To apply many of them to real world situations that apply to our own
businesses
• To embed some functions into your activity that give you a cutting
edge
Let’s Refresh ourselves on
some of what we have covered
• Most businesses fail because they build something
that no-one wants
• Failing fast means we preserve more capital and can
pivot more
• The currency of start-up is learning – validated
learning through a Minimum Viable Produce (MVP)
• Vision leads to steering
• Ideas and assumptions are not the same – Ideas have
embedded assumptions that need testing
• Finding the ‘Big Idea’ and testing it
• Pivot or persevere?
• 3 Engines of growth – Sticky, Viral & Paid
Problems Getting to the Root Cause
The Goal this Morning
To go away with some new tools and
fresh thinking so that every
decision to pivot or persevere is
seen as an opportunity or problem
solved.
What is a ‘problem’?
No more than an
opportunity
Today we will cover:
•The 5-Whys
•IDEAL - Model for
problem solving
•The Value of Small Batches
Benefits of effective
problem solvingSaves Time Weak Links
Cause and Effect Stops it recurrence
Ever thought you solved something that didn’t need solving?
The 5-Whys
Why?
1
Why?
2
Why?
3
Why?
4
Why?
5
Ro
ot C
ause
Created By Toyota in the
1930’s – Still used today
• Better when the process comes from
the grass routes
• Five is not the fixed amount of
Whys – but it is the minimum to get
to the root of a problem
• Look for answers that are grounded
in fact
The 5-Whys – an
exampleProblem – I got in the car this morning and it would not start
1. Why did it not start? – Because the battery was dead
2. Why was the battery dead? – Because it had been not getting charge as I was driving
3. Why was it not getting the charge? Because the fan belt was slipping
4. Why was the fan belt slipping? Because I have not replaced it recently and it was worn
5. Why have you not replaced it? Because I missed the service this year as I lost my phone and diary
Counter Measure
Make sure that I diarise important
events multiple ways. Request a call
from the garage.
A problem
A ‘fictitious’ doggy day-care
centre is having problem with
a small number of clients
paying late for their
sessions.
Using 5 Why’s lets consider
the problem
The 5-Whys1. Why are clients paying late?
A. They pay via the internet for a set amount of
days and on reconciliation at the end of the
month they are using more days than they paid
for so we have to chase them.
2. Why are they not paying for any excess days when
they drop their dog off?
A. When the dogs arrive there is normally a lot of
activity so, because it’s quick and easy, the
owners hand over the dog (who is known to us)
and they are manually logged in on the daily
sheet
3. Why does the daily sheet not show number of
number of days used and paid for?
A. The daily sheets are manually updated on an ‘as
and when’ basis with sessions loaded onto a
spreadsheet which updates the days
The 5-Whys4. Why are these records not regularly
updated?
A. No set time has been allocated nor
responsibility for updating them been
given to a team member
5. Why has no time been allocated or
responsibility been given?
A. Up until now it has never been seen as
a problem
Counter MeasureThe daily sheets will be updated at
the close of every day and the duty
to do this will be diarised so the
team member knows.
Marketing
Sales
Profit
Marketing
Sales
Profit
What should be happening What is happening
IDEAL method for
problem solving
I -Identify
D -Define
E -Explore
A -Action
L -Learn
Step 1 – Identify the
symptoms?
• Supply chain misaligned
•Blockages & bottlenecks in processes
•Poor data capture
• Wrong hires
• Disengaged staff
• Mistakes in decisions
• Anxiety and emotional distress
•Wrong number of clients
•Poor quality products / services
• Low customer retention
•High bounce rate
•Low profit
•Poor cash flow
•Weak credit
FinanceMarketing
& Sales
OperationsPeople
Symptoms Symptoms
Symptoms Symptoms
Don’t mistake
identification with
definitionStep 2 “Define the Problem”
Written Definition
Ownership
Affects Symptoms Systems
Take 10 Mins
Step 3 – Explore
solutions
•Mindset – need to learn
•Look for patterns
•Avoid confirmation bias
•Be data critical
•Sensitivities
•Cause & EffectWiden your thinking
Explore Common themes
Narrow the focus
MindsetSeven steps to getting
1. Take responsibility for the problem
2. Take ownership of your emotions
3. Be clear about the true nature of the problem
4. Be dispassionate in the description – avoid blame
5. Actively listen
6. Be curious
7. Be clear on all the benefits of a problem is solved well rather than quickly
Step 4 - Actions
High
Impact
Low 1 2 3 4 5
HardDo-Ability Ea
sy
Act with purpose
Prioritise & Target
Objectives
1. Compare
solutions
2. Shortlist
3. Generate
consensus
Step 5
-Learn• What has changed?
• What problems have
we solved?
• What might be the
problems in the
future?
• Do we need to
innovate?
• Do we need to go
again?
Record your
results
Small Batches
Small Batches
Some counter-intuitive business
lessons
1. Sleep more and work less
2. Promote your competition
3. When did ‘a billion’ enter the
planning vocabulary – manage
expectations
Work in small batches
It improves efficiency and motivates
you
To come
13 Dec 2016 – The accelerate
your business – innovation
and people
Any Questions?
Back on the 13th of December