An important part of the Business Model Hacking method is testing new business models. When testing business models, it is recommended to use the Lean Startup approach and to validate assumptions through Minimal Viable Products (MVPs). The MVP-scorecard (also known as the experiment-scorecard) can help to validate faster and better.
Download the MVP-scorecard: Powerpoint (easy to fill in template), png.
The MVP-scorecard helps you choose the right experiments needed to validate a plan’s riskiest assumptions. The MVP-scorecard helps speed up, structure and eliminate waste by asking every MVP the question: Can we test the risky assumptions faster and cheaper? This is an important question when testing new business ideas. The idea for this tool comes from the book ”The Startup Way’‘ by Eric Ries.
Before you start working with the MVP-scorecard, it is important to be clear about the riskiest assumptions of the project. It is recommended to have done the Riskiest Assumption Test beforehand.
Write the riskiest assumptions on sticky notes and stick them on the MVP canvas.
Brainstorm different MVPs to validate the riskiest assumptions. Write the MVPs you think you should perform on a post-it note. Check whether you validate the most important assumptions with the MVPs.
Now try to estimate how many resources are needed to execute an MVP. How much time is needed? How much manpower? And how much budget? Put it on the MVP canvas.
Once you’ve completed the MVP-scorecard, take a step back. Investigate whether validating the assumptions can be done faster, smarter or cheaper. The following questions can help you with this:
Once you have defined the experiments on the scorecard, it is time to start executing the MVPs. Set up an experiment, learn from the results and use the insights from the experiments to adjust.
Testing business models in the right way is an important part of the Business Model Hacking method. Get started with this great tool and validate properly. Get in contact if you need help!