Summary of Lean Startup | Starting a Startup - Entrepreneurship PDF Download

 Page 1


A summary of the book 
The Lean Startup 
How Today's Entrepreneurs Use Continuous Innovation to Create 
Radically Successful Businesses 
By Eric Ries 
Summary by Kim Hartman 
 
 
 
This is a summary of what I think is the most important and insightful parts of the book. I 
can’t speak for anyone else and I strongly recommend you to read the book in order to fully 
grasp the concepts written here. My notes should only be seen as an addition that can be 
used to refresh your memory after you´ve read the book. Use the words in this summary as 
anchors to remember the vitals parts of the book. 
Page 2


A summary of the book 
The Lean Startup 
How Today's Entrepreneurs Use Continuous Innovation to Create 
Radically Successful Businesses 
By Eric Ries 
Summary by Kim Hartman 
 
 
 
This is a summary of what I think is the most important and insightful parts of the book. I 
can’t speak for anyone else and I strongly recommend you to read the book in order to fully 
grasp the concepts written here. My notes should only be seen as an addition that can be 
used to refresh your memory after you´ve read the book. Use the words in this summary as 
anchors to remember the vitals parts of the book. 
More book summaries at www.kimhartman.se 
Contact me at Kim.hartman@hyperisland.se 
 
1 
 
Contents 
Description from amazon .................................................................................................................... 2 
Part One - Vision................................................................................................................................... 3 
Chapter 1 – Start ............................................................................................................................... 3 
Chapter 2: Define .............................................................................................................................. 4 
Chapter 3: Learn ............................................................................................................................... 5 
Validated Learning ....................................................................................................................... 5 
Chapter 4: Experiment ..................................................................................................................... 6 
Part two: Steer ....................................................................................................................................... 7 
The feedback loop ......................................................................................................................... 7 
Chapter 5: Leap ................................................................................................................................. 8 
Chapter 6: Test .................................................................................................................................. 9 
Early adopters ............................................................................................................................... 9 
Chapter 7: Measure ........................................................................................................................ 11 
Innovation accounting ............................................................................................................... 11 
Metrics .......................................................................................................................................... 12 
Chapter 8: Pivot or Preserve ......................................................................................................... 14 
Part three – Accelerate ....................................................................................................................... 16 
Chapter 9: Batch .............................................................................................................................. 18 
Chapter 10: Grow ........................................................................................................................... 21 
Chapter 11: Adapt .......................................................................................................................... 23 
The five why´s ............................................................................................................................. 23 
Chapter 12: Innovate ...................................................................................................................... 25 
The innovation sandbox ............................................................................................................ 25 
More book summaries ....................................................................................................................... 27 
 
  
Page 3


A summary of the book 
The Lean Startup 
How Today's Entrepreneurs Use Continuous Innovation to Create 
Radically Successful Businesses 
By Eric Ries 
Summary by Kim Hartman 
 
 
 
This is a summary of what I think is the most important and insightful parts of the book. I 
can’t speak for anyone else and I strongly recommend you to read the book in order to fully 
grasp the concepts written here. My notes should only be seen as an addition that can be 
used to refresh your memory after you´ve read the book. Use the words in this summary as 
anchors to remember the vitals parts of the book. 
More book summaries at www.kimhartman.se 
Contact me at Kim.hartman@hyperisland.se 
 
1 
 
Contents 
Description from amazon .................................................................................................................... 2 
Part One - Vision................................................................................................................................... 3 
Chapter 1 – Start ............................................................................................................................... 3 
Chapter 2: Define .............................................................................................................................. 4 
Chapter 3: Learn ............................................................................................................................... 5 
Validated Learning ....................................................................................................................... 5 
Chapter 4: Experiment ..................................................................................................................... 6 
Part two: Steer ....................................................................................................................................... 7 
The feedback loop ......................................................................................................................... 7 
Chapter 5: Leap ................................................................................................................................. 8 
Chapter 6: Test .................................................................................................................................. 9 
Early adopters ............................................................................................................................... 9 
Chapter 7: Measure ........................................................................................................................ 11 
Innovation accounting ............................................................................................................... 11 
Metrics .......................................................................................................................................... 12 
Chapter 8: Pivot or Preserve ......................................................................................................... 14 
Part three – Accelerate ....................................................................................................................... 16 
Chapter 9: Batch .............................................................................................................................. 18 
Chapter 10: Grow ........................................................................................................................... 21 
Chapter 11: Adapt .......................................................................................................................... 23 
The five why´s ............................................................................................................................. 23 
Chapter 12: Innovate ...................................................................................................................... 25 
The innovation sandbox ............................................................................................................ 25 
More book summaries ....................................................................................................................... 27 
 
  
More book summaries at www.kimhartman.se 
Contact me at Kim.hartman@hyperisland.se 
 
2 
 
Description from amazon 
Eric Ries defines a startup as an organization dedicated to creating something new under 
conditions of extreme uncertainty. This is just as true for one person in a garage or a group of 
seasoned professionals in a Fortune 500 boardroom. What they have in common is a mission 
to penetrate that fog of uncertainty to discover a successful path to a sustainable business. 
The Lean Startup approach fosters companies that are both more capital efficient and that 
leverage human creativity more effectively. Inspired by lessons from lean manufacturing, it 
relies on “validated learning,” rapid scientific experimentation, as well as a number of 
counter-intuitive practices that shorten product development cycles, measure actual progress 
without resorting to vanity metrics, and learn what customers really want. It enables a 
company to shift directions with agility, altering plans inch by inch, minute by minute. 
Rather than wasting time creating elaborate business plans, The Lean Startup offers 
entrepreneurs - in companies of all sizes - a way to test their vision continuously, to adapt 
and adjust before it’s too late. Ries provides a scientific approach to creating and managing 
successful startups in a age when companies need to innovate more than ever. 
  
Page 4


A summary of the book 
The Lean Startup 
How Today's Entrepreneurs Use Continuous Innovation to Create 
Radically Successful Businesses 
By Eric Ries 
Summary by Kim Hartman 
 
 
 
This is a summary of what I think is the most important and insightful parts of the book. I 
can’t speak for anyone else and I strongly recommend you to read the book in order to fully 
grasp the concepts written here. My notes should only be seen as an addition that can be 
used to refresh your memory after you´ve read the book. Use the words in this summary as 
anchors to remember the vitals parts of the book. 
More book summaries at www.kimhartman.se 
Contact me at Kim.hartman@hyperisland.se 
 
1 
 
Contents 
Description from amazon .................................................................................................................... 2 
Part One - Vision................................................................................................................................... 3 
Chapter 1 – Start ............................................................................................................................... 3 
Chapter 2: Define .............................................................................................................................. 4 
Chapter 3: Learn ............................................................................................................................... 5 
Validated Learning ....................................................................................................................... 5 
Chapter 4: Experiment ..................................................................................................................... 6 
Part two: Steer ....................................................................................................................................... 7 
The feedback loop ......................................................................................................................... 7 
Chapter 5: Leap ................................................................................................................................. 8 
Chapter 6: Test .................................................................................................................................. 9 
Early adopters ............................................................................................................................... 9 
Chapter 7: Measure ........................................................................................................................ 11 
Innovation accounting ............................................................................................................... 11 
Metrics .......................................................................................................................................... 12 
Chapter 8: Pivot or Preserve ......................................................................................................... 14 
Part three – Accelerate ....................................................................................................................... 16 
Chapter 9: Batch .............................................................................................................................. 18 
Chapter 10: Grow ........................................................................................................................... 21 
Chapter 11: Adapt .......................................................................................................................... 23 
The five why´s ............................................................................................................................. 23 
Chapter 12: Innovate ...................................................................................................................... 25 
The innovation sandbox ............................................................................................................ 25 
More book summaries ....................................................................................................................... 27 
 
  
More book summaries at www.kimhartman.se 
Contact me at Kim.hartman@hyperisland.se 
 
2 
 
Description from amazon 
Eric Ries defines a startup as an organization dedicated to creating something new under 
conditions of extreme uncertainty. This is just as true for one person in a garage or a group of 
seasoned professionals in a Fortune 500 boardroom. What they have in common is a mission 
to penetrate that fog of uncertainty to discover a successful path to a sustainable business. 
The Lean Startup approach fosters companies that are both more capital efficient and that 
leverage human creativity more effectively. Inspired by lessons from lean manufacturing, it 
relies on “validated learning,” rapid scientific experimentation, as well as a number of 
counter-intuitive practices that shorten product development cycles, measure actual progress 
without resorting to vanity metrics, and learn what customers really want. It enables a 
company to shift directions with agility, altering plans inch by inch, minute by minute. 
Rather than wasting time creating elaborate business plans, The Lean Startup offers 
entrepreneurs - in companies of all sizes - a way to test their vision continuously, to adapt 
and adjust before it’s too late. Ries provides a scientific approach to creating and managing 
successful startups in a age when companies need to innovate more than ever. 
  
More book summaries at www.kimhartman.se 
Contact me at Kim.hartman@hyperisland.se 
 
3 
 
Part One - Vision 
Chapter 1 – Start 
The myth of the loss of manufacturing capabilities: The huge productivity increases made 
possible by modern mismanagement and technology have created more productivity 
capacity than firms know what to do with. More output, less jobs. 
Lean thinking: drawing on the knowledge and creativity of individual workers, shrinking 
batch sizes, just-in-time production and inventory control, acceleration of cycle times.  
Progress measure: Instead of measuring progress in manufacturing by the production of 
high-quality physical goods, the lean startup measure progress through validated learning.  
Productivity: When people are used to evaluating their productivity locally, they feel that a 
good day is one in which they did their job well all day. The lean startup asks people to 
figure out the right thing to build – the thing customers want and will pay for – as quickly as 
possible.  
Build-measure-learn feedback loop: instead of making a lot of assumptions, you can make 
constant adjustments with a steering wheel called build-measure-learn. Through this process 
we can learn if and when to make a sharp turn – a pivot. 
  
Page 5


A summary of the book 
The Lean Startup 
How Today's Entrepreneurs Use Continuous Innovation to Create 
Radically Successful Businesses 
By Eric Ries 
Summary by Kim Hartman 
 
 
 
This is a summary of what I think is the most important and insightful parts of the book. I 
can’t speak for anyone else and I strongly recommend you to read the book in order to fully 
grasp the concepts written here. My notes should only be seen as an addition that can be 
used to refresh your memory after you´ve read the book. Use the words in this summary as 
anchors to remember the vitals parts of the book. 
More book summaries at www.kimhartman.se 
Contact me at Kim.hartman@hyperisland.se 
 
1 
 
Contents 
Description from amazon .................................................................................................................... 2 
Part One - Vision................................................................................................................................... 3 
Chapter 1 – Start ............................................................................................................................... 3 
Chapter 2: Define .............................................................................................................................. 4 
Chapter 3: Learn ............................................................................................................................... 5 
Validated Learning ....................................................................................................................... 5 
Chapter 4: Experiment ..................................................................................................................... 6 
Part two: Steer ....................................................................................................................................... 7 
The feedback loop ......................................................................................................................... 7 
Chapter 5: Leap ................................................................................................................................. 8 
Chapter 6: Test .................................................................................................................................. 9 
Early adopters ............................................................................................................................... 9 
Chapter 7: Measure ........................................................................................................................ 11 
Innovation accounting ............................................................................................................... 11 
Metrics .......................................................................................................................................... 12 
Chapter 8: Pivot or Preserve ......................................................................................................... 14 
Part three – Accelerate ....................................................................................................................... 16 
Chapter 9: Batch .............................................................................................................................. 18 
Chapter 10: Grow ........................................................................................................................... 21 
Chapter 11: Adapt .......................................................................................................................... 23 
The five why´s ............................................................................................................................. 23 
Chapter 12: Innovate ...................................................................................................................... 25 
The innovation sandbox ............................................................................................................ 25 
More book summaries ....................................................................................................................... 27 
 
  
More book summaries at www.kimhartman.se 
Contact me at Kim.hartman@hyperisland.se 
 
2 
 
Description from amazon 
Eric Ries defines a startup as an organization dedicated to creating something new under 
conditions of extreme uncertainty. This is just as true for one person in a garage or a group of 
seasoned professionals in a Fortune 500 boardroom. What they have in common is a mission 
to penetrate that fog of uncertainty to discover a successful path to a sustainable business. 
The Lean Startup approach fosters companies that are both more capital efficient and that 
leverage human creativity more effectively. Inspired by lessons from lean manufacturing, it 
relies on “validated learning,” rapid scientific experimentation, as well as a number of 
counter-intuitive practices that shorten product development cycles, measure actual progress 
without resorting to vanity metrics, and learn what customers really want. It enables a 
company to shift directions with agility, altering plans inch by inch, minute by minute. 
Rather than wasting time creating elaborate business plans, The Lean Startup offers 
entrepreneurs - in companies of all sizes - a way to test their vision continuously, to adapt 
and adjust before it’s too late. Ries provides a scientific approach to creating and managing 
successful startups in a age when companies need to innovate more than ever. 
  
More book summaries at www.kimhartman.se 
Contact me at Kim.hartman@hyperisland.se 
 
3 
 
Part One - Vision 
Chapter 1 – Start 
The myth of the loss of manufacturing capabilities: The huge productivity increases made 
possible by modern mismanagement and technology have created more productivity 
capacity than firms know what to do with. More output, less jobs. 
Lean thinking: drawing on the knowledge and creativity of individual workers, shrinking 
batch sizes, just-in-time production and inventory control, acceleration of cycle times.  
Progress measure: Instead of measuring progress in manufacturing by the production of 
high-quality physical goods, the lean startup measure progress through validated learning.  
Productivity: When people are used to evaluating their productivity locally, they feel that a 
good day is one in which they did their job well all day. The lean startup asks people to 
figure out the right thing to build – the thing customers want and will pay for – as quickly as 
possible.  
Build-measure-learn feedback loop: instead of making a lot of assumptions, you can make 
constant adjustments with a steering wheel called build-measure-learn. Through this process 
we can learn if and when to make a sharp turn – a pivot. 
  
More book summaries at www.kimhartman.se 
Contact me at Kim.hartman@hyperisland.se 
 
4 
 
Chapter 2: Define 
Innovation factory: A company´s only sustainable path to long-term economic growth is to 
build an “innovation factory” that uses lean startup techniques to create disruptive 
innovations on a continuous basis.  
Culture and systems: It’s moving leaders from playing Caesar with their thumbs up and 
down on every idea to – instead – putting in a culture and the systems so that teams can 
move and innovate at the speed of the experimentation system.