LeanBusinessBuildingByKatapult Group

2015CopyrightKatapultGroupcc:WarzauWynn - https://www.flickr.com/ ph otos/9 42460 31@N00

Aninteractivedayliesaheadofyou• 9-10:20:LeanBusinessBuilding• Principlesandbenefits• Internationalizationcase• VentureCreationcase• Groupwork

• 10:30-11:30GoogleGlass• About• Cases• Livedemonstration

2015CopyrightKatapultGroupcc:instragram.com/amirk uckovic - https://www.flickr.com/ph ot os/12389 767@N04

Areallifeexampletostarttheday• BrazilianERPgoingtoN.A.• Highcomplexitybusiness• Longsales cycles(>2years)• Owner=maindealmakertoday• Planforexpansion:• Sendteamof4BrazilianA-teammemberstoN.A.HewillstillstayinBrazilincludingtechnicalsupport, Acc.Mgt.,Sales

• ExecuteexistingsalesprocessfromBrazil• Setup company,admin,etc.• Expend ~USD500,000 peryear• “Calculates”tosellaproductwithin1-2years=revenue~500K

• Whatdoyouthinkaboutthisplan?(1-10intheapproach)?

• Whatisimportantforsurvival?

cc:Vitor Guerson - https://www.flickr.com/p ho tos/987 44226@N 00

LeanBusinessBuildingGrowingyourcompanywhileminimizingyourrisk

2015CopyrightKatapultGroupcc:davedehetre - https://www.flickr.com/ph ot os/2243 3418@N04

LeanBusinessBuilding– Test,learn,iterate

Principles:• Defineriskiestassumptions• Testriskiestassumptions,primarilybyengagingcustomers• Definelearnings,i.e.assumptionresults• Iteratesolutionbasedonlearnings• Repeatcycleuntilnomoreriskiestassumptions…

• Doonlythemostnecessarytoachievetheabove

2015CopyrightKatapultGroupcc:Håkan Dahlström - https://www.flickr.com/ pho tos/93 7552 44@N00

BenefitsofLeanBusinessBuilding?

• Primarybenefits:• Buildbusinesseswithstrongercore• de-risksgrowthinitiatives• acceleratestimetocash-flowpositiveforgrowthinitiatives

2015CopyrightKatapultGroupcc:nicely85 - https://www.flickr.com/ ph ot os/234331 55@N07

Internationalizationcase:BraziliansoftwarevendortoSME’sinN.A.• Background:• BrazilianbasedtotalsolutionforSME’s• HadrunlandingpagesintheUSAacrossmostallproductsinportfolio• Verylittlesuccesssofar• Whatwearedoing• Phase1:Uncovertruestrengths=theexistingwinningbizmodel• Phase2:AssessUSopportunityofbusinessmodel.• Phase3:Customerdiscovery• Phase4:Salesexecutionandscaling• Weeklysprints

cc:Argonne National Laboratory - https://www.flickr.com/ pho tos/35 73427 8@N05

Case:InternalVCofUSD16Billioncompany

• Background:• Verylargefirmwantedtobuildnewsuccessful businesses• LimitedresourcesduetoVCfundstructuring• Companyhadspecsheetfortheirproductbutlittlecustomerinput• Whatwedid• Phase1:Uncoverorganizationalobjectivesandparametersandassesssolution• Phase2:Customerdiscoveryprocess• Phase3:Prototyping,testing,learnings,iteration,repeattomaturity• Phase4:Salesexecutionandscaling• Weeklysprints

cc:pamhule - https://www.flickr.com/ph ot os/58571 789@N00

Groupwork

cc:Robert Bejil Productions - https://www.flickr.com/p ho tos/286 1810 9@N05

OurBrazilianERPproviderneedsYOURhelp!• BrazilianERPgoingtoN.A.• Highcomplexitybusiness• Longsales cycles(>2years)• Owner=maindealmakertoday• Planforexpansion:• Sendteamof4BrazilianA-teammemberstoN.A.HewillstillstayinBrazilincludingtechnicalsupport, Acc.Mgt.,Sales

• ExecuteexistingsalesprocessfromBrazil• Setup company,admin,etc.• Expend ~USD500,000 peryear• “Calculates”tosellaproductwithin1-2years=revenue~500K

• HowwouldyoutellhimtoapproachN.A.usingLeanBusiness Building?

cc:Vitor Guerson - https://www.flickr.com/p ho tos/987 44226@N 00

Break

cc:Richard Clark (D igimist) - https://www.flickr.com/ ph ot os/308988 14@N03

GoogleGlasscc:giuseppe.costantino - https://www.flickr.com/ph ot os/69730 904@N03

Shortenthetimefromthoughttoactioncc:PDXdj - https://www.flickr.com/ pho tos/87 2215 79@N00

GoogleGlassExplorers– summerof2012

cc:Thomas Hawk - https://www.flickr.com/ pho tos/51 03555 5243@N0 1

Usecases

cc:apasp - https://www.flickr.com/ pho tos/28 15707 9@N05

Healthcare

cc:phalinn - https://www.flickr.com/ pho tos/17 86820 5@N00

Manufacturingcc:jurvetson - https://www.flickr.com/ph ot os/4412 43481 09@N01

Livedemonstration

cc:Moody Man - https://www.flickr.com/p ho tos/2157 9885@N0 8

Questionsfor@KatapultGroup?

cc:LeoReynolds - https://www.flickr.com/ph ot os/49968 232@N00

HowtocontactusViaphone:+1.844.528.2785Viaemail:hello@katapultgroup.comTwitter:@katapultgroup

cc:brendanlim - https://www.flickr.com/ph ot os/57303 721@N00

Wrap-up

cc:MattysFlicks - https://www.flickr.com/ pho tos/68 39796 8@N07

Individualcompanysessions

cc:thelearningcurvedo tca - https://www.flickr.com/p ho tos/577 56296@N 06

Supportinginformation

cc:Paul Keller - https://www.flickr.com/p ho tos/182 59771@N0 0

2015CopyrightKatapult Group

PitfallstosuccessintheUSA

cc:Hot Grill- https://www.flickr.com/ph ot os/4296 6467@N00

Biggestpitfalls• LackofExecutivebuy-inandsupport• Lackofsupportfromthehomeorganization(ex.Techsupport)• Lackoffocus• Everythingvsonesstrengths• Allsegmentsvsperfectcustomer• AllUSAvslogicalscope

2015CopyrightKatapultGroupcc:OldSarge - https://www.flickr.com/p ho tos/552 41410@N0 0

Biggestpitfalls• Emphasizingthewrongthingsatthewrongtime• Teamisdoingmanynon-importantthings• Non-competitiveprice/value• Thinkingtheproductwillsellitself• Forgettingthesoftaspects

NotetheSupportinginformationsectionforcharacteristicsonfirmsthatsucceedintheUSA

2015CopyrightKatapultGroupcc:OldSarge - https://www.flickr.com/p ho tos/552 41410@N0 0

CharacteristicsoffirmsthatsucceedintheUSA• Segments:• Understandswhotheirperfectcustomeris• Focusonnicheandexpandfromthere

• Product/Servicecharacteristics• Stronganddifferentiatedalongonerelevantcompetitivedimension• Strongprice-valuebalance• Focusisonsucceedingwithonesolutionbeforeexpandingtheportfolio

2015CopyrightKatapultGroup

CharacteristicsoffirmsthatsucceedintheUSA• Organisationandteam:• USAmarket isapriorityfortheCEOandBoardofDirectors• USAleadpersonisoneofthecompanyfounders oranexecutivewith5+yearshistoryatcompanyanddeepandtrusted rootsacrossthehomeorganization

• 24/7attitudewithanabilitytoexecuteontheplanbut learn,changeandadapttofindproductmarketfit

• SeestheUSmarketasamarathon,notasprint.LongtermtheUS-market isconsidered a“must”

• Dedicatedpersonchampioningandsupporting theUSAmission inthehomeofficeonadailybasis

• US-Founder =Heavilychargedwith customerengagement• Recruitshelp/Outsources lessvalueaddedactivities includingadmin,book keeping,etc.

2015CopyrightKatapultGroup

CharacteristicsoffirmsthatsucceedintheUSA• Financialsandfunding:• Wellfunded, financialrunwayfor24-36months

• Extremelyleanoperationuntilproduct-marketfithasbeenfoundandcansupportscaletheUSA

2015CopyrightKatapultGroup

Operationsandpeople:• USleadershipandtheoperationreceivesextraordinaryamountofvisibilityandpriorityathomeintheinitialyears• HigherdegreeofinteractionbetweenHQandUS-marketoffice,I.e.meetings,visits,calls,other• Emphasizecustomerengagementpre- marketentryandcontinueputtingsalesastheprimaryactivityduringgrowthofthefirm• Focusisonsmallandfrequentwinsthroughoutthecompanybuilding

CharacteristicsoffirmsthatsucceedintheUSA

2015CopyrightKatapultGroup