1. UMSI Entrepreneurship 2016 Winter UMSI 363 Class #1 Nancy A. Benovich Gilby Ehrenberg Director of Entrepreneurship Clinical Associate Professor School of Information 650-539-8376 nabgilby@umich.edu

2. ? Only certain people are true innovators

3. WHAT is Innovation? Entrepreneurship? Who is your ideal “entrepreneur”? Why? Is everyone in an early stage startup an entrepreneur? How do you go about “being an entrepreneur” and how do you actually get to be a “successful entrepreneur”? What do you think is the most important characteristic of a successful entrepreneur?

4. Background 10 Startups, 8 Exits 9 VC funded, 1 Bootstrapped Deployed To Acquired by Co-founder IPO/Acquired by Acquired by ? ? Co-Founder

5. ”Build Something for SOMEBODY Instead of Everything FOR NOBODY" - Geoffrey Moore in “Crossing the Chasm”

6. Today MYTH: Only certain people are true innovators Word from our sponsors: UMSI Entrepreneurship Program Overview of class structure Expectations Quiz Innovation Agile process - Trello Introduction to Lynda material Hands On: Build a Hello World app and test

7. Agenda Why Software Prototyping Clinics? More about Design Clinic: Examples What we will do this semester How do we know we’ve succeeded? How will we do it? NEXT MEETING 12:30 FRI ENGAGEMENT CENTER 777 North U, Near State, Above Panera

8. WHY UMSI ENTREPRENEURSHIP? Students using KJ Contextual Inquiry to determine urgent problems

10. To What End? World’s most entrepreneurial “curriculum” Nation’s most entrepreneurial university State’s economic development partner

11. UMSI Entrepreneurial Program BHAG ( Big Hairy Audacious Goal) Inspire and support every student to participate in at least one Passion-Led, Self-Directed Innovation Project during their tenure at UMSI = PLSDIP

12. UMSI Entrepreneurship Grad students Faculty Alums Customers (Students, Faculty, Alumni) Ecosystem Feedback Undergrad students

13. PLSDIP Results 2014-15 Campus-wide, 6-8% of students participate in any entrepreneurial event or class ~20% of UMSI Students worked on a PLSDIP

14. OUR PROGRAM MISSION Our Mission We are a community that empowers people at the School of Information to build a better world by developing their entrepreneurial skills to turn ideas into impact. Our Vision United by our passion for the fundamental intertwining of people, information and technology, and strengthened by our commitment to diversity, we create a supportive environment which inspires creativity, confidence and resilience. By creating learning experiences that enable students to explore these skills in ways that are relevant to them, we encourage the development of entrepreneurial skills across the school.

15. ENTREPRENEURIAL MINDSET Innovation The introduction and application of new ways of doing or thinking to solve a problem in a way which has a lasting positive impact by creating a meaningful change. Entrepreneurship A process undertaken by people and organizations to recognize opportunities for innovative solutions, and to achieve those solutions by taking calculated risks.

16. ENTREPRENEURIAL Competencies Entrepreneurs People who harness their passion and take up entrepreneurship.They succeed by cultivating their entrepreneurial competencies. – Discovery - teasing out and articulating the meaningful problems of a specific audience – Ideation - thinking critically and creatively about solutions – Validation - testing their ideas and making decisions based on data – – Persuasion - advocating for their ideas and rallying people around their cause – Negotiation - identifying and negotiating resources needed for success – Team-Building - actively participating in the curation of a goal-centered team – Adaptation - accepting the risk of transforming an abstract idea into something real as an opportunity to grow and learn

17. ENTREPRENEURIAL COMPETENCIES DISCOVERY IDEATION VALIDATION PERSUASION NEGOTIATION ADAPTATION LEADERSHIP INNOVATION VALUE CREATION FORMATION

20. 3-5 Years

21. The Sequoia 10 http://www.sequoiacap.com/grove/posts/6bzx/writing-a-business-plan We like business plans that present a lot of information in as few words as possible. The following business plan format, within 15–20 slides, is all that’s needed. 1.Company purpose –Define the company/business in a single declarative sentence. 2.Problem –Describe the pain of the customer (or the customer’s customer). –Outline how the customer addresses the issue today. 3.Solution –Demonstrate your company’s value proposition to make the customer’s life better. –Show where your product physically sits. –Provide use cases. 4.Why now –Set-up the historical evolution of your category. –Define recent trends that make your solution possible. 5.Market size –Identify/profile the customer you cater to. –Calculate the TAM (top down), SAM (bottoms up) and SOM. 6.Competition 6.List competitors 7.List competitive advantages 7.Product o Product line-up (form factor, functionality, features, architecture, intellectual property). o Development roadmap. 8.Business model o Revenue model o Pricing o Average account size and/or lifetime value o Sales & distribution model o Customer/pipeline list 9.Team o Founders & Management o Board of Directors/Board of Advisors 10.Financials o P&L o Balance sheet o Cash flow o Cap table The deal

22. Entrepreneurial Pathway Which IdeaWhich Path Prep for Full on Execution 5 Guideposts: The pathway through the guideposts is not linear The exact form and order of deliverables may differ depending on area of innovation, methodologies suggested by a particular program etc but at some point, the team must cover deliverables in all guideposts Student entrepreneurial teams may cycle in one or across several guide posts until they complete the deliverables enough to move on to the next guidepost

23. Entrepreneurial Pathway Which Idea Customer and Value Validation Target User/Customer Urgent Problems Solution must address at least one of top 3 Problems Wireframes, experiments Opportunity Framed Market Segmentation Competition Features Landscape Value Impact Value proposition Market Sizing Revenue Model Positioning One liner Elevator Pitch User/Customer Traction MVP 1 Track usage statistics to support value proposition Stickiness Churn Initial access/ repeated use Iterate until MVP meets target metrics Value Traction Revenue Track Cost to acquire users Retention Lifetime value Key Performance Indicators (KPI) User/Custome r Satisfaction 5 yr P&L 5 yr milestones Entity Formation Pitch deck Incorporation File Patents/Copyrights Create Minimal Viable Product/Solution Develop a minimal but standalone solution to top problems Set target metrics to clearly demonstrate value proposition Instrument solution to collect data for metrics Secret Sauce: Key Differentiation Which Path Prep for Full on Execution Customer Hypothesis Target User/Customer Top 3 urgent problems Entity and Funding Path For or Non-Profit Bootstrapped Small Medium Business Grants Angel funded Venture funded Find Growth Funding Pitch deck Incorporation File Patents/Copyrights Name, url, website Social Media Harden Product Quality Scalability Cost of goods Sales and Marketing Company and Product Name, url, website Social Media Go to Market Cost of Sales Sales cycle

24. UI/UX, Design, Customer Discovery Law Venture Funding Financial Modeling, & Sales Software Prototyping (Full stack web, mobile) Physical Prototyping (maker, electronics) Marketing, PR, Social Media, Pitching, Storytelling Innovation Projects Teams Services and Process Prototyping (GLAM, cultural institutions) Law Progress Today, Customer Discovery (27% of UMSI Students do a PLSDIP)

25. IDEATION: Customer Development Customer Search Customer Validation ProblemsSolutions

26. Zell Entrepreneurship and Law (ZEAL) Entrepreneurship Law Clinic The Clinic offers transactional and counseling legal services in the following areas: Selecting and forming a legal entity and structuring ownership and capital Counseling concerning intellectual property (e.g., copyright, trademark, patent, and trade secret) Drafting and negotiating contracts Advising on real-estate matters Advising on employment law issues Assisting on corporate fundraising and finance issues

27. UMSI UX/UI Design Clinic Services: –User interface and interaction design –Website architecture –Customer discovery and user research –Ethnographic research methods –Integrating design thinking methods into your existing business –Usability test planning –Content development –Social media marketing

28. Developing Remarkable Entrepreneurs at Michigan

29. Design Studio: Individual Clinics UI/UX, Design, Customer Discovery Law Venture Funding Financial Modeling, & Sales Software Prototyping (Full stack web, mobile) Physical Prototyping (maker, electronics) Marketing, PR, Social Media, Pitching, Storytelling Innovation Projects Teams Services and Process Prototyping (GLAM, cultural institutions) Law All Clinics provide an “open door” through free office hours, example deliverables, to help innovators cycle through the pathway at least once!

30. MORE ABOUT DESIGN CLINICS Students teams in Design Clinic

32. Design Clinic Expertise

33. Design Clinic Services Office Hours Term-Limited, Selected community projects

35. WHAT WILL WE DO THIS SEMESTER? Entrepreneurial Students teams working on their innovation prototype

36. BSI Course - 363 Practicum – Mobile Development Entrepreneurship Develop minimum App (and optionally Apple WATCH) UI – use SWIFT Requires basic programming: SI 106 1/3 customer development, 1/3 app prototype 1/3 final presentation and demo Initial programming midterm, and final presentation with prototype app demo

37. Entrepreneurial Pathway Ideation Showcase Product Showcase B-Plan Competition UMSI 363 Business Plan Competition Design Clinic

38. ”Build Something for SOMEBODY Instead of Everything FOR NOBODY" - Geoffrey Moore in “Crossing the Chasm”

39. IDEATION: Customer Development Customer Search Customer Validation ProblemsSolutions

40. Value for Who?

41. Class Structure Hour 1 Discussion Hour 2 Feedback, Standups, Shareouts Hour 3 Lab

42. Grading, Workload

43. Grading Getting an A+ You may earn an A+ by exceeding requirements throughout the semester. To earn this, you must have received at least 95% on the exam and have a 98% overall. You must contribute weekly to the Canvas message boards. In addition your project must be ranked in the top 3 of the class. A94% and aboveB-80% and above A- 90% and aboveC+77% and above B+ 87% and aboveC70% and above B 84% and aboveD60% and above

44. Readings Do the readings and video watching, we will discuss and quiz as part of participation grade Selection of excerpts from books that most entrepreneurs read cover to cover. All excerpts from a single book are in a single file

46. Final Project 2 parts a 5 minute presentation and a demo, questions A panel of entrepreneurs will be brought in to judge As a class you will vote on a list of projects that you find most inspiring to work on. I have app proposals from a variety of outside innovators but you may also submit a proposal but it must score a high number of votes by the class. I will be placing you in teams of 2-3 based upon diversity of backgrounds and interest in the project

48. Lynda Suggestions If you can still understand, speed up the speech to 1.75 x or even 2.0X

49. Lynda Suggestions 2 Take notes, screen shots separate from Lynda. Listen, but you do not need to try all the exercises in Swift Essential Training with Simon Allardice (3 h 40 m) Swift Essential Training with Simon Allardice DO try all the exercises the App Development course, this is what you will need to know to build your prototype iOS App Development with Swift Essential Training with Simon Allardice (5h 48 min) iOS App Development with Swift Essential Training with Simon Allardice (5h 48 min) If you are rusty or needing more, Programming for Non-Programmers:iOS 8 Programming for Non-Programmers:iOS 8

50. Expectations If you show up to class, be respectful of your team mates take the quizzes, do the homework, pick a project you are at least interested in or passionate about, take the customer discovery seriously do the Lynda apps along with Simon PRACTICE your pitch and demo You WILL get an A

51. What You Need to Do… PARTICIPATE! You will be stretching out of your comfort zone You will get the most from this class by doing and iterating. In some cases I’ll have you just do, and I’ll explain more after. You must learn how to work as a team and get the most out of every team member. You can’t do the entire project alone and those that do leverage all team members will produce the best work When I’m asking for individual work, please do it yourself but you are welcome to ask for appropriate help.

52. Take the Week #1 Quiz Canvas: https://umich.instructure.com/courses/2443/ Login and UMSI 663 should be listed as below:

53. Assignment #1 #1 Plan the design, develop and test of a“Hello World” app. Add “User Stories” to Trello

54. Assignment #1, step 1 Create a free trello account, or login to an existing one, trello.com Create a new “organization” –UMSI 363 Create a new board –Assignment #1 Hello World App –Make sure it’s in the UMSI 363 organization

55. Assignment #1, step 2 Create a list of expected work items “states”, these are referred to as “Lists” –Ideas –To do –Doing –Done

56. Assignment #1, step 3 In the “Ideas” list, add all the things you might like to do for this app –Design –Code –Test

57. Assignment #1, step 4 In the “Design” card, add the things you might like to do for this app design in a checklist, how you will know when this activity is done –Screen layout with button –Icon design

58. Assignment #1, step 5 In the “Code” card, add the things you might like to do for this app coding checklist, how you will know when this activity is done. Best if you can add this functionality from the perspective of what the user sees. –Button push print “hello world”

59. Assignment #1, step 6 In the “Test” card, add the things you might like to do for testing this app, again, how you will know when this activity is done. Best if you can add this functionality from the perspective of what the user sees. –Button push print “hello world”

60. Assignment #1, step 7 Let’s begin! Move the Design card to the “Doing” list, Code and Test to the To Do list

61. Congrats! You’ve just setup an Agile Scrum board Now let’s do some “real” work

62. Assignment #1, Xcode 6.4, step 8 Open Xcode Create a new project

63. Assignment #1, Xcode 6.4, step 9 Choose a template: select an iOS application, Single View

64. Assignment #1, Xcode 6.4, step 10 Choose options for your new project –Product name HelloWorldDemo –For now use umsi363w15 for the Organization Name and com.umsi363w15 as the Organization Identifier –Select language Swift –Select Devices: iPhone –Don’t check Core Data

65. Assignment #1, Xcode 6.4, step 11 Save your project –For now, save it to the desktop –In the future you should bring a usb drive to save your work unless you are using your own machine Click Create

66. This is what you will see….

67. Xcode…

68. Assignment #1, Xcode 6.4, step 12 Open the Main.storyboard –You will see the single view screen –Drag a button from the library area to the View Controller (to find a button in the library, type button in the search bar)

69. Assignment #1, Xcode 6.4, step 13 Configure the button, click and change the name to “press me” Find a label, drag it to the View Controller, change the text to “Hello World”

70. Assignment #1, Xcode 6.4, step 14 Select iPhone 4s in the target Run the app….. Ooops, what happened?

71. Constraints Elements in a view need to know what happens to them if the view is resize. Constraints describe a positioning relationship usually with the containing view, but also between 2 elements at the same level Interface Builder does a reasonable job on placing constraints with auto-layout Cmd Option Shift =

72. Assignment #1, Xcode 6.4, step 15 For now, move the button and the label to the upper left of the screen Select both by shift clicking Add the auto layout constraints with Cmd Option Shift = Run again!

73. Update Trello Assume you created an icon…. Open the Design card, check off the items Move the Design card to the Done list

74. Assignment #1, Xcode 6.4, step 16 For now, move the button and the label to the upper left of the screen Select both by shift clicking Add the auto layout constraints with Cmd Option Shift = Run again! Select just the Hello World text and delete it, the label object will stay there but have no text

75. Assignment #1, Xcode 6.4, step 17 Press the “tuxedo” button to select the Assistant Editor in Xcode, this is in the upper right of the window Control Click the button and drag to the View Controller Code on the right, select Action for connection, type in the name “AddHelloText”

76. Assignment #1, Xcode 6.4, step 18 In order to write code to set the label to “Hello World” on the button press, we need to have a instance variable for the label Select the label, as you can’t see it click the documents outline button in the lower left corner of the Interface Builder find the label and select it. Control Click the label and drag to the View Controller Code on the right, select Outlet for connection

77. Assignment #1, Xcode 6.4, step 19 Now we can write code to set the label to “Hello World” on the button press. Add the statement blankLabel.text = “Hello World” to the function AddHelloText Run, test by pressing the button

78. Update Trello Assume you moved the code and test cards to Doing as you did the work Edit both cards, complete the checklists Move the Code and Test cards to the Done list

79. To Get Credit for these Assignments #1 Add Members to Trello……. nabgilby@gmail.com, manavg@umich.edu, shubhamr@umich.edunabgilby@gmail.com #2 Take a screen shot of your app in the simulator after you pressed the button, you will upload this to the assignment for submission