Start Up to Super Success

From StartUp To Super Success - Rethinking Entrepreneurship & Innovation Process.

Start Up to Super Success :

Policy makers at all levels of Government are trying hard to empower individuals to be innovators and entrepreneurs. Innovators and entrepreneurs create wealth, create jobs and give competitive edge to their country. Without innovators and entrepreneurs, economy activity will become stale, worn out and slowly the economy will get dependent on other innovators.

Achieving self-sufficiency in creating innovation eco-system is an important policy goal for city, state and federal government.

Government offers heavy encouragement and incentives to individuals who can move forward, take risk and create jobs.

Even though heavy incentive and support is given for entrepreneurship and innovation, success ratio of startup is less than 10 %.

That means, 9 out of every 10 startup and business will fail.

May be something is missing.

Let us look at standard start-up model.

1)   Idea : Entrepreneurs get some idea – to develop new product, new service, new process or new solution by combining existing product and services.

2)   Vision : Entrepreneurs are asked and encouraged to *dream big*, create big – ever bigger vision. Big vision statements mean that an entrepreneur is a real hero.

3)   Business Plan :  Next entrepreneur is asked taught to create complex business plan with charts, graphs, market research.

4)   Funds : Now the most important part is to pitch the idea and get funds – risk-free capital.

5)   Driven Team : Next entrepreneurs is taught to create high-energy, driven team to fulfill the vision.

6)   Get people hooked : Next phase is to entice customers with free or loss-making ideas. Build user-base, build top-line revenue, don’t care about losses. VCs will keep funding it.

7)   More Money, IPO :  Now, raise more money by showing user base to new VCs. Create fancy projections. Achieve ever big war-chest with VC money. After that get either bought out or file for IPO.

8)   Retire :  Next, entrepreneurs will retire and start VC or social service projects with their funds.

This model works for one in 10,000.

9,999 companies never complete this cycle. Entrepreneurs hire mentor, coaches, attend motivation seminars – everyone teaches them to dream big and change the world!

What if we can develop new model that delivers 100 % success?

What can be the steps and milestones to achieve guaranteed success?

Let us discuss some realistic, practical ideas to achieve success.

1)   Value :  First entrepreneur need to start with three questions:

a.    What is the new product, service or solution?

b.    Who will benefit through it?

c.     What will be the benefit?

What is the value/benefit target market will receive through this new idea?

Most critical part is identifying value experienced by potential customer or user.

Instead of vision statement, entrepreneurs need to receive thorough training in creating Value Proposition Statement and Sales Presentation based on value.

2)   Co-creation : Next, entrepreneur can be taught to design their product or solution in complete partnership with potential customers. Try and get advance orders. Prepare questionnaire to get customer’s involvement, engagement and participation in every aspect of the business. Consider that customer is the founder & owner of the company. Take every word, every feedback of the customer as goldmine.

3)   System :  Once you have identified value, co-created product or solution, create system to deliver that value/product to customer. System will include processes, people and tools. Develop How-To guide, processes and train people in using the system to deliver great experience to customers.

4)   Adaptability :  Create a team, work-culture and system that continue to keep customer at the center of everything. Create system that continues to adapt to changing environment, changing preferences and changing technology landscape.

5)   Empowerment :  Empower people. Let your team members take charge and lead business with their passion, interest and skills. If you are the founder, your job is Chief Listening Office. Keep listening to customers, keep listening to staff members. Let people lead.

When customers are leading the business, it can never fail. Customers will always feel satisfied because they created the solution. They will pay more and they will remain loyal. When customers have big self-interest in keeping company alive, that company will keep thriving.

Entrepreneurs should ask this question, “If this business were on the verge of closing down today, who will fight hard to ensure the business remains alive?”

If customers are fighting for your business’s survival, it will become successful and grow.

Let customers experience sense of ownership and let customers lead.