Escaping the Build Trap podcast, book overview

The podcast discussing the book The Goal by Elizahu Goldratt.

The Goal By Eliyahu Goldratt Podcast

Here are some of the discovery techniques described in the book:
●
Build-Measure-Learn Feedback Loop: The sources describe a core feedback loop called Build-Measure-Learn. This process involves building a minimum viable product (MVP) to test a hypothesis, measuring customer response to the MVP, and learning from the data to inform the next iteration of the product.
●
Leap-of-Faith Assumptions: The sources use the term "leap-of-faith assumptions" to refer to the riskiest elements of a startup's plan, the parts on which everything depends. The two most important assumptions are the value hypothesis and the growth hypothesis.
●
Validated Learning: The sources emphasize the importance of "validated learning," which is learning that is demonstrated by positive improvements in a startup's core metrics and backed up by empirical data collected from real customers.
●
Scientific Experimentation: The sources advocate for using the scientific method in startup product development, treating each feature, marketing campaign, and product as an experiment to test a hypothesis.
●
Minimum Viable Product (MVP): The sources describe the MVP as the smallest version of a product that can be used to begin the process of learning using the Build-Measure-Learn feedback loop. The MVP is not about creating a low-quality product, but about testing assumptions as quickly as possible. Examples of MVPs include:
○
Concierge MVP: This type of MVP involves manually providing a service to a small group of customers to test a specific hypothesis, even if the service is not scalable or profitable at that stage.
○
Wizard of Oz Testing: This technique involves making customers believe they are interacting with the actual product, while behind the scenes, humans are doing the work.
●
Innovation Accounting: This alternative to traditional accounting is designed specifically for startups. It involves turning leap-of-faith assumptions into a quantitative financial model, establishing baselines for key metrics, tuning the engine of growth, and using cohort analysis and split tests to measure progress.
●
Cohort Analysis: This technique involves tracking the behavior of groups of customers (cohorts) who share a common characteristic, such as the date they signed up for a service.
●
Split Tests (A/B Testing): This involves dividing customers into two or more groups and exposing each group to a different variation of a product or feature to measure the impact of the change.
●
Genchi Gembutsu: This Japanese term, meaning "go and see for yourself," emphasizes the importance of firsthand observation and understanding of customers and their needs.
●
Customer Archetypes: Creating detailed profiles of target customers to understand their needs, motivations, and behaviors.

Dmitry Nosov