I am a guest panelist for an Innovation Incubator Conference
in Los Angeles on August 23, 2013.
Conference participants were asked to read “The Lean Startup” by Eric
Riles prior to the conference. Riles provides a no-nonsense business startup process for entrepreneurs
who develop and sell products and services
In prior work in store operations and franchise
management, I saw the results that consistent processes and systems
generate. A quality system can increase
profits, delight customers, and make the life of a business owner somewhat
manageable. One process Riles details in his book is Build-Measure-Learn (BML) which is an ongoing feedback
loop for continuous improvement.
Build – Turn ideas
into tangible products
Measure – Listen
to what customers say about the product
Learn – Based on
what you learned, either pivot or persevere
Riles also recommends that
entrepreneurs should “Think Big, Start
Small, Scale Fast”. It is not a
good idea to “Think Small” and “Start Big.”
But how many failing startups do exactly that. The startup objective is to determine if the
product has the value customers are willing to seek out and pay for. After perfecting a product that exceeds
customer expectations, the startup company can “Scale Fast.”
Understanding how to “Scale Fast” is as much a part of the
management strategy as designing the product.
Once a unique product solves an unmet customer need, competitors flood
the marketplace. A recent example is ice
cream sandwiches where you stand in line to get ice cream sandwiched between homemade cookies The “Ice Cream Sandwich
Coming Soon” locations are popping up as fast as a franchise or license can be
sold. If you are contemplating a new
startup, research Rile's “Think Big, Start Small, Scale Fast" strategy.
For multi-location advice in strategic expansion or business solutions for profitability contact Bett Mickels, WorldWideTeams Consulting at
bettmickels@worldwideteams.com.