Blog posts tagged with Management Tip

Why "Lean Startup" is No Longer a Buzzword

January 11, 2017 by MAGNET Ohio

There is no “Perfect Business Model”. While this may seem like common sense, there are still a great deal of startup companies trying to approach their business with a “cookie cutter” approach. Company founders go through the process of developing a plan by assessing the opportunity, applying the problem to the assumed solution, and developing a five-year business forecast with information that is unsubstantiated and quite frankly, unknown. Recent studies show how customer-first methods are able to revolutionize the process, dramatically reducing the failure rate of startup organizations. In an article published in the Harvard Business Review, professor and principal investigator Steve Blank explored the merits of the “Lean Start-up” approach. The first contrast of the Lean Start-up approach regards the development of a framework. Using a template known as the Business Model Canvas developed by Alexander Osterwalder and Yves Pigneur, entrepreneurs are able to understand the building blocks to their organization, including categories such as Value Proposition, Customer Segments, Key Resources, and Key Partners. The business model canvas allows you to develop relationships within your building blocks, understanding the most successful approach to presenting your start-up. These approaches can be resource-driven, customer-driven, offer-driven or finance-driven as explained by Osterwalder.

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