Marklet

study guide

Managing, Following and Adjusting the Initial Plan

Learning Objectives

By the end of this section, you will be able to: • Discuss the difference between a business plan and a lean plan. • Explain how to develop a lean plan quickly and accurately. • Discuss the build-measure-learn loop.

Overview

In this chapter, we are focused on how to start the specified business using the lean startup approach. We've looked at the build-measure-learn loop and how to test an MVP. We've also covered how to deal with fear of failure and how to overcome negative thinking. In addition, we've covered how mental ties can tap into resources to help them be successful. Now it's time to build the lean plan to help you launch your venture.

Strategy

Focuses on executing the process following the lean startup methodology.

Target Audience

Brief business plan shown to potential investors and employees.

Comparison

Traditional business plan requires a detailed document of the company's background, targets, and financials, taking months to a year.

Lean Approach

Short and includes only specific information sufficient to go through the build-measure-learn loop.

Developing a Lean Plan

  1. 1Write a Short and Simple DocumentFocuses on the business core, key details about marketing, the business model, finances, the build-measure-learn loop, and the MVP. No need to include an extensive executive summary or company background.
  2. 2Test Your MVP through the Build-Measure-Learn LoopExecute and test your MVP through the build-measure-learn loop to see if assumptions hold up in real life: build, share with potential customers, measure results by talking to customers and recording feedback, and ask questions.
  3. 3Review Your ResultsDone at least once a month where customer feedback, marketing, and outcomes are thoroughly reviewed. Opportunity to assess if goals have been met and identify areas for improvement. Review customer feedback, target market, and numbers or outcomes.
  4. 4Revise the PlanMake changes to the plan as needed. If metrics have been unimpressed against results, marketing is tested and measured, and customer feedback is received, it is time to revise the plan and make adjustments.

Steps to Lean Planning

  1. 11. A lean strategy or plan in placeEstablish the initial lean strategy or plan.
  2. 22. Execution of the planRun or take in the plan following the core framework.
  3. 33. Review of the results and check against milestonesAnalyze outcomes and measure performance against goals.
  4. 44. Revision of the planChange what didn't work and start the whole process again.