08/10/2020
STARTUP 101 & DESIGN THINKING - Overview of StartupThis part will focus on explaining the role of startups and fund raising1. Role of Startup Founder
A founder needs to understand the market (trends, customer needs, competitiveness of products and services) as well as the situation of the business (competitiveness with other businesses, funding production, human resources) to find development opportunities, avoid falling into the top 10 reasons above, especially the problem of the market demand and the wrong time.
World-famous startups such as Apple, Airbnb or Microsoft have enjoyed a huge success, becoming the first names to be mentioned in their field, thanks to “right thinking and right acting at the right time” of Steve Jobs (Apple), Richard Branson (Airbnb) or Bill Gates (Microsoft).
Cre: Startup 101 & Design Thinking - ThinkZone Accelerator
One of the common problems that any entrepreneur meets is the conflict of Wealth and Decision-making control. People who come from the outside and help business with the needed resources usually want one or both of the 2 things: economic ownership or decision-making control. A founder needs to have a clear direction. You have to give one up at each stage of development.
2. Startup Capital
Capital is the need of any startup when they start a business. There are 3 types of capital, including human capital, social capital and financial capital - also known as investment resources. The investment round consists of 4 main stage (see the image below)
Cre: Startup 101 & Design Thinking - ThinkZone Accelerator
A Pre-seed round is a pre-institutional seed round that either has no institutional investors or is a very low amount. The amount of investment mobilized in this period is mainly to build and bring products to market.
The amount of investment during the Seed phase aims to help startups build and improve products to suit the market, gain product/market fit, thereby overcome Death Valley and start growing.
The Death Valley on the Startup Financing Cycle
The amount of investment in Series A to help startups complete the strategy and start growing. Usually, the Series A round usually raises through venture capital funds, or angel investors.
The amount of investment within Series B aims to help startups expand both internally and externally.
The amount of investment in Series C to help startups replicate, grow, and dominate the market.
The following series rounds are usually in great value. In order to raise a larger amount of capital from the market through an IPO, startups must meet the required conditions.
Part 2: Theory of Design Thinking
Design Thinking is an iterative approach to creatively solve problems. It includes 5 stages: Empathize - Define - Ideate - Prototype - Test (see the image below)
Cre: Startup 101 & Design Thinking - ThinkZone Accelerator
Design Thinking is not a linear process, it is more about the attitude than the process itself. Not just about concept development, Design Thinking is an attitude that helps you promote your team dynamic. You can encourage as well as build empathy for your team members and new employees. It helps you create strategic partnerships, specifically understand the needs and goals of your potential partners. Moreover, you can use Design Thinking when you want to offer your solution to a new customer segment.
Benefits and results:
According to International Business Machines Corporation (IBM), teams that applied Design Thinking and are adequately staffed with design talent, are getting to market twice as fast, seeing as much as a 75% reduction in design and development time. Teams that use the approach are consistently cutting costs, reducing risks, and increasing profitability. This more efficient workflow results in up to 300% ROI (Return of Investment).
Not only is the process of building and developing products, but Design Thinking is also in the dedication of the whole business team based on mutual understanding as well as understanding of customers. Through "mind and reach", Design Thinking helps businesses easily reach new customer segments.
Reference:
Startup 101 & Design Thinking - ThinkZone Accelerator
1. Role of Startup Founder
A founder needs to understand the market (trends, customer needs, competitiveness of products and services) as well as the situation of the business (competitiveness with other businesses, funding production, human resources) to find development opportunities, avoid falling into the top 10 reasons above, especially the problem of the market demand and the wrong time.
World-famous startups such as Apple, Airbnb or Microsoft have enjoyed a huge success, becoming the first names to be mentioned in their field, thanks to “right thinking and right acting at the right time” of Steve Jobs (Apple), Richard Branson (Airbnb) or Bill Gates (Microsoft).
Cre: Startup 101 & Design Thinking - ThinkZone Accelerator
One of the common problems that any entrepreneur meets is the conflict of Wealth and Decision-making control. People who come from the outside and help business with the needed resources usually want one or both of the 2 things: economic ownership or decision-making control. A founder needs to have a clear direction. You have to give one up at each stage of development.
2. Startup Capital
Capital is the need of any startup when they start a business. There are 3 types of capital, including human capital, social capital and financial capital - also known as investment resources. The investment round consists of 4 main stage (see the image below)
Cre: Startup 101 & Design Thinking - ThinkZone Accelerator
A Pre-seed round is a pre-institutional seed round that either has no institutional investors or is a very low amount. The amount of investment mobilized in this period is mainly to build and bring products to market.
The amount of investment during the Seed phase aims to help startups build and improve products to suit the market, gain product/market fit, thereby overcome Death Valley and start growing.
The Death Valley on the Startup Financing Cycle
The amount of investment in Series A to help startups complete the strategy and start growing. Usually, the Series A round usually raises through venture capital funds, or angel investors.
The amount of investment within Series B aims to help startups expand both internally and externally.
The amount of investment in Series C to help startups replicate, grow, and dominate the market.
The following series rounds are usually in great value. In order to raise a larger amount of capital from the market through an IPO, startups must meet the required conditions.
Part 2: Theory of Design Thinking
Design Thinking is an iterative approach to creatively solve problems. It includes 5 stages: Empathize - Define - Ideate - Prototype - Test (see the image below)
Cre: Startup 101 & Design Thinking - ThinkZone Accelerator
Design Thinking is not a linear process, it is more about the attitude than the process itself. Not just about concept development, Design Thinking is an attitude that helps you promote your team dynamic. You can encourage as well as build empathy for your team members and new employees. It helps you create strategic partnerships, specifically understand the needs and goals of your potential partners. Moreover, you can use Design Thinking when you want to offer your solution to a new customer segment.
Benefits and results:
According to International Business Machines Corporation (IBM), teams that applied Design Thinking and are adequately staffed with design talent, are getting to market twice as fast, seeing as much as a 75% reduction in design and development time. Teams that use the approach are consistently cutting costs, reducing risks, and increasing profitability. This more efficient workflow results in up to 300% ROI (Return of Investment).
Not only is the process of building and developing products, but Design Thinking is also in the dedication of the whole business team based on mutual understanding as well as understanding of customers. Through "mind and reach", Design Thinking helps businesses easily reach new customer segments.
Reference:
Startup 101 & Design Thinking - ThinkZone Accelerator