Contents

Preface: Why This Book

Acknowledgments

About the Author

Chapter 1 Introduction

Chapter 2 Lean Startup in a Nutshell: What Every Executive Should Know about Lean Startup

The First Three Principles: How to Learn

Lean Learning Loops

Minimum Viable Product

Pivot or Persist

The Integrative Principle: Innovation Accounting

The Last Three Principles: What to Learn

The Value Hypothesis

The Business Model Hypothesis

The Growth Hypothesis

Chapter 3 What’s Different in Large Organizations: Why Lean Startup Is Not Enough

Yes … And

1. The Need to Contain the Chaos

2. The Need to Manage Disruptions to Operations

3. The Need for Strategic Alignment

4. The Need to Introduce a New Business Model

5. The Need to Protect the NewCo

6. The Need to Bet to Win

Summary

Chapter 4 Containing the Chaos: An Innovation Stage-Gate

Lean Learning Loops and a Perception of Chaos

The Innovation Stage-Gate

Staffing the Innovation Stage-Gate

Key Insights

Chapter 5 Working with the Performance Engine: Graduated Engagement

The Problem: Where You Stand Depends on Where You Sit

Contracts 101

The “Other” Category in Procurement

The Root Causes of Resistance

The Role of Game Theory

The Samaritan Game

The Watchdog Game

Summary: Managing Resistance to Innovation

Key Insights

Chapter 6 Achieving Strategic Alignment: Asset-Based Opportunity Spaces

Why Us?

Asset-Based Opportunity Spaces

John Rossman on Innovation the Amazon Way

Key Insights

Chapter 7 Introducing a New Business Model: The Business Model Pyramid

The Problem: Business Model Inertia

What Is a Business Model?

How Do You Do Business Model Innovation?

1. Start with a Clear Understanding of Customer Value

2. Identify Business Model Options

3. Study Business Model Risks Broadly

4. Model the Risks to the Core Business

5. Reduce the Risks Using Business Experiments

6. Incubate the Business at Small Scale

Key Insights

Chapter 8 Organizing for Growth: The Separate-but-Connected Model

The Separate-but-Connected Organizational Model for New Ventures

Overcoming Resistance

Vijay Govindarajan on Making Strategic Innovation Work

Key Insights

Chapter 9 Making the Bet to Win: Ambidextrous Leadership

Michael Tushman on Ambidextrous Leadership

Key Insights

Chapter 10 Yes … And: Making Lean Startup Work in Large Organizations

Complementary Practices for Lean Startup in Large Organizations

1. Innovation Stage-Gates: Reconciling Lean Learning Loops with the Need to Demonstrate Discipline

2. Graduated Engagement: Developing MVPs in the Context of the Performance Engine

3. Opportunity Spaces: The Value Hypothesis and the Need to Create Strategic Alignment

4. The Business Model Pyramid: The Business Model Hypothesis and the Need to Manage Internal Risks

5. Organizing for Growth: The Growth Hypothesis and the Separate-but-Connected Organizational Model

6. Making the Bet to Win: Ambidextrous Leadership

Conclusion
 

References

Index

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