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The "Metered Funding" model introduced in "The Startup Way" is a strategic approach to funding where resources are allocated based on validated learning and progress, rather than traditional budgeting. This model allows large organizations to manage risk more effectively by investing in increments and making data-driven decisions. It encourages innovation by allowing teams to pivot or persevere based on feedback and learning, rather than being tied to a fixed budget or plan. This model can be particularly beneficial for large organizations as it promotes agility, adaptability, and a culture of continuous learning.
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Not everything faced by a modern company can be managed by an internal startup unit, but it is the best way to respond to uncertainty. These internal units blend elements of research and development, sales and marketing, and engineering; they have no logical home in a traditional org-chart. The responsibility of the entrepreneurial function is to oversee these internal startups.
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The Startup Way — released in early-October 2017 — is the continuation of the award-winning The Lean Startup — both written by Eric Ries. The Lean Sta...
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