Lean Startup
Definition
A methodology for developing businesses and products that emphasizes rapid experimentation, validated learning, and iterative design to reduce risk and waste.
The Lean Startup approach focuses on efficiently creating new products and businesses by minimizing waste and uncertainty. It advocates for releasing a "Minimum Viable Product" (MVP), which is the simplest version of a product that can deliver core value to early customers. This MVP is then tested to gather real-world feedback and data.
The core of the methodology is a "build-measure-learn" feedback loop. Businesses build a product, measure its impact on customers, and learn from the data to inform their next steps. This iterative process helps validate assumptions about customer needs and market demand quickly. If initial assumptions prove incorrect, the company can "pivot" (change strategy) rather than investing significant resources into a flawed idea.
For instance, a software startup might release an MVP with only basic functionality to see if users find value in the core concept before investing in additional features. This framework is commonly applied in technology startups, product management, and corporate innovation labs seeking to develop new offerings with limited resources and high uncertainty.