SPARK ENTREPRENEUR INNOVATION SERIES

SPRING 2020

Welcome

• SPARK.tech is a series that is an introductory series used to support new entrepreneurs and ideal for those considering SPARK Bootcamp. • The three-part webinar series, SPARK.tech, is designed to guide

innovators who have a tech-related business idea through the first stages of bringing their product or service to market.

Speakers:Lee GormanManaging Director of SPARK Bootcamp

Margarita Hernandez, PhD Director of Entrepreneurial Services at SPARK

Questions? Please submit your questions in the chat box at the bottom of your screen.

UNIT 1Introduction to Lean Start Up

& Your Business’ Ecosystem

Purpose

•Deliver the elements of the Methodologyand work with you to develop a plan•Provide you with some basic tools to help make the right decisions

It is Not About Your Technology

The idea is to help you avoid building something that no one cares about…

…and find something they DO care about.

Customers only care about what you can do to help solve their problems.

What We Thought We Knew“Startups are just smaller versions of large companies.”

SO, all you have to do is:ü Create your Business Planü Follow the Planü Bring the product to

market

What We Know Now

o Existing companies execute a business model start-ups look for one

o Every startup is merely a series of untested hypotheses, so entrepreneurs must:

• Test frequently and learn quickly• Observe and measure real customers• Be comfortable pivoting based on learning

What We Know NowTHIS VALIDATION PROCESS IS CALLED

“CUSTOMER DISCOVERY”

The “what” and “how” of customer discovery will be covered in our second webinar, on May 18.

Three Questions for Any New Innovation

•What value are you delivering to whom?

• Is there a viable business modelfor delivering that value?

• Is there an appropriate return oninvestment for the project?

Thesequestions

MUSTbe answered

For More Information on Lean Start-up

https://hbr.org/2013/05/why-the-lean-start-up-changes-everything

Thesequestions

MUSTbe answered

Questions? Please submit your questions in the chat box at the bottom of your screen.

Mapping the Ecosystem

Before you start your customer discovery, you need to clarify who are the players that can influence your success

Market Made of Customers•Who is the customer?•How much would they spend?•How much do they need this?

What Defines a Customer? •Customer is term of art whose meaning can be influenced by context. Customers can differ in optics of describing Market vs. Value Proposition •Market- customer is persons/entity who pays for the product/service •V.P - customer is persons/entities that are most affected by the Solution

• Stakeholders- are those affected by the decision to use, or not use, a product or service (directly or indirectly)

Stakeholders•Who buys the product?•Who consumes the product?•Who will they sell the product to?•Who gets paid to use or sell the product?•Who benefits from the product?•Who is threatened by the product?•Who regulates the product?

Types of Stakeholders•End user• Influencer•Recommender•Decision Maker•Payer•Saboteur

Stakeholder Map• Identify the stakeholders for analysis•Can also stratify by interest & influence•Use for internal strategy & all levels of communication

Questions? Please submit your questions in the chat box at the bottom of your screen.

Example- Pathware, Corp.• Pathologist are the cornerstone of diagnostic medicine. Every

sample from biopsies, pap smears, and bacterial cultures must pass through the hands of a pathologist to reach a diagnosis. • Globally, the number of pathologists continues to decline.

Additionally, due to the limited bandwidth of pathologists, 20 -25% of biopsy cases will be deemed inadequate due the sample’s quality not being assessed the moment it is removed from the patient• A patient must be readmitted for a second or third biopsy, costing

the hospital a $3,000 for each procedure which is non-reimbursable. Across the 2.7M annual biopsies done in the US, this amounts to more than $3.6B lost every year.• This problem is avoidable if the surgeon was able to have the

biopsy’s quality assessed during the procedure – before discharging the patient

Problem:

Ecosystem Mapping- Status Quo

Thyroid Biopsy Diagnosis by pathologist the first time

Ecosystem Mapping- Status Quo Explained

Diagnosis by pathologist was not done the first time.

(1-2 weeks can pass)

Procedure for patient ~1-2hrs

Pathologists use microscope and must count at least X number of cells to make diagnosis

MD send slides (2/4 slides) to histologistwho stains slides and ships to pathology clinic (UM or 3rd party lab)

Diagnosis by pathologist the first time! Reimbursement pays for procedure and diagnosis.

Ecosystem Mapping- Status Quo Explained II

Diagnosis by pathologist was not done the first time.

(1-2 weeks can pass)

Procedure for patient ~1-2hrs

Pathologists use microscope and must count at least X number of cells to make diagnosis

MD send slides (2/4 slides) to histologistwho stains slides and ships to pathology clinic (UM or 3rd party lab)

Reschedule of patient to get biopsy again. 1 week - 1 month

Diagnosis by pathologist the first time! Reimbursement pays for procedure and diagnosis.

Ecosystem Mapping- Status Quo Explained II

Diagnosis by pathologist was not done the first time.

(1-2 weeks can pass) x 2

Procedure for patient ~1-2hrs

Pathologists use microscope and must count at least X number of cells to make diagnosis

MD send slides (2/4 slides) to histologistwho stains slides and ships to pathology clinic (UM or 3rd party lab)

Diagnosis by pathologist the 2nd time!? Reimbursement pays for procedure and diagnosis. Costs hospital $

Reschedule of patient to get biopsy again. 1 week - 1 month

Ecosystem Mapping- w/ Pathware(1-2 weeks can pass) x 1

Procedure for patient~1-2hrs

Pathologists use microscope and must count at least X number of cells to make diagnosis

MD send slides (2/4 slides) to histologistwho stains slides and ships to pathology clinic (UM or 3rd party lab)

Diagnosis by pathologist the 1st time. Reimbursement pays for procedure and diagnosis. Pathware

90 seconds to count cells

Stakeholder SummaryStakeholder Feature Benefit

Patients Less time getting a biopsy Quicker diagnosis & treatment

M.D.’s happy patients Quicker diagnosis & treatment

Hospital Don’t have to payout of pocket for 2nd or 3rd

procedures

Patient satisfaction, 1 million in cost savings

Pathologist Ability to have enough cells to make diagnosis

Quicker diagnosis

Reimbursement Less time spent processing paperwork

-

Keys words to consider•Use labels or verbs to describe association between subjects in ecosystem map.•Owns•Manages• Publishes• Influences• Regulates• Related

Questions? Please submit your questions in the chat box at the bottom of your screen.

Homework-•Create your own Ecosystem Map• Include the status quo and your solution•Create a stakeholder table

Bootcampers must complete this and submit on SLACK

Dates of Workshops:

• May 18th- Customer Discovery: What and How

• June 1st- Nailing the Value Proposition and Refining your Elevator Pitch

Thank You!

For questions please contact: Margarita @annarborusa.org