Lean Startup

Noun · Startup & VC · Origin: 2008

Definitions

Lean Startup is a methodology for building businesses and products that emphasizes rapid experimentation, validated learning, and iterative development over extensive upfront planning. Developed by Eric Ries and influenced by Steve Blank's customer development process and Toyota's lean manufacturing principles, the approach centers on the build-measure-learn feedback loop. Instead of writing lengthy business plans and building full products before talking to customers, lean startup practitioners create minimum viable products (MVPs), measure how customers actually use them, and learn whether to pivot (change direction) or persevere (double down on the current approach). Key practices include hypothesis testing, cohort analysis, actionable metrics (as opposed to vanity metrics), and continuous deployment. The methodology has been adopted far beyond startups, influencing product development at large corporations, government agencies, and nonprofits. Critics note that the approach works better for some types of businesses than others and can lead to incrementalism that misses breakthrough innovation.
In plain English: A method of building startups that says: don't spend years building something nobody wants. Instead, build the smallest thing possible, test it with real users, and adjust quickly.

2008: Eric Ries introduces the Lean Startup methodology, combining Toyota's lean manufacturing with Steve Blank's customer development
2011: 'The Lean Startup' book becomes a bestseller, making Build-Measure-Learn the default framework for new ventures
2015: The methodology is taught at Harvard Business School, signaling acceptance by the establishment it was designed to disrupt