Guesswork may be our biggest blocker.
Whether you’re trying
to protect your core business with OpEx/Lean, or igniting new Growth with
Digital methods, a lack of data is an eternal blocker. If you generate your own
data (YODA), you’re in the driver’s seat. If not, are we managing, or just
doing a random walk? So, how do we
generate YODA?
YODA to Protect the Core
Great OpEx/Lean
companies generate their own data through daily management walks. Team
members at every level record what they see using standardized check-sheets.
They upload the data to a shared drive which animates the management system –
from the frontline huddle to the senior leader Control Tower (aka Obeya).
The simplest &
most robust systems comprise linked Excel spreadsheets. Each level loads their
data at the agreed upon frequency. The data populates team boards at all
levels, including the senior leader Control Tower (Obeya). The charts, dashboards
& such are easily uploaded to virtual systems like Miro or Mural. Thereby,
we satisfy the Visual Management Triangle: We see together - We know
together - We act together.
YODA to Ignite New Growth
Unfortunately, the
same system does not work when you’re trying to ignite new Growth using
digital methods. Innovation work entails
running continuous quick & cheap experiments to answer the core questions
of Growth:
- Who is the customer?
- What does the customer value?
- Why does the customer buy (or not) from us?
To generate YODA in
this realm we need a simple robust method of
- Articulating the hypothesis we’re testing, including binary success/failure
indicators,
- Recording what actually happened (& what it means), and
- Sharing the learning at team huddles, Exec deep dives & sprint retros.
In our sprints we use
a variation of the simple two-card system introduced by Dr. Alex
Osterwalder.
Our experiments include social media ads, landing pages, explainer
videos, surveys, and various low-cost product/offering simulations.
Mafia Offer
One of the most
important experiments is the “Mafia Offer” – that moment of truth where
customers either put money on the table or they don’t. Innovation lives in
Aristotle’s “world of contingency,” where people say one thing and then do
something completely different. The Mafia Offer keeps you honest and helps
confirm problem–solution fit: customers show they’re willing to pay for your
solution to their problem.
Done well, this style
of lean experimentation generates YODA all along your funnel. With enough
discipline (and a bit of luck), you may even get to know the customer better
than they know themselves – think Jobs or Ive.
In the end, YODA is
the lifeblood of a healthy management system. It shows up as daily, weekly,
monthly routines that create an operating rhythm – the heartbeat of the
company. YODA is engaging, liberating, and deeply respectful of people. Some
folks think AI will just generate all this for us and make these systems
obsolete.
Maybe someday. But
will AI really have the intuition, empathy, and hard-won feel for customers and
industry that comes from years of observation and practice? If you believe that,
then, in the words of George Strait, there’s some oceanfront property in
Arizona you might want to look at.
Best wishes,
Pascal Dennis E: pascal.dennis@leansystems.org
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