Lean Start-ups in 2020

Lean Start-ups in 2020

Lean Start-ups in 2020

Lean Start-ups in 2020

The Lean Start-up is a management approach for start-up companies that was developed and popularized by the entrepreneurs Steve Blank (Blank and Dorf, 2012) and Eric Ries (Ries, 2011) with the aim of mitigating the inherent market risks in a new venture. It has quickly established itself as the preferred method for start-ups and is favoured by many start-up accelerators and incubators.

Lean Start-up is a discovery-driven process. It postulates hypotheses about central aspects of the business model which are then tested empirically by experiment.

Each time a hypothesis is disproved it is discarded and replaced by a new one. Largely owing to the work of Osterwalder (Osterwalder and Pigneur, 2010), business models have emerged as the tool of choice for developing and communicating new venture projects. Most start-ups today use Osterwalder's model or a close derivative of it. 
 
  A Lean Start-up has a rapidly changing business model which it uses to learn about its customers and about possible configurations of business components. Start-up companies using the Lean approach also go through a sequence of phases, each of which emphasizes different aspects of the business model. Models in science have three tasks: to describe the structure, the system, and the dynamics of the object of interest. Of the two approaches to business modeling, the focus firm template deals (only) with the structure, while the value network approach deals with (only) the system. Until now, there has been no attempt to model dynamics. Our proposal is the first to accommodate all three of these views.

The research question we attempt to answer in this paper is, What business model architecture is most useful for supporting the Lean Start-up process?


 The architecture we propose consists of three parts: the Template, the Value Network and the Experiment Description. The contributions we hope to make are to facilitate the development of innovative business ideas and to increase the success rate of new ventures.