Lean vs. Agile - Why a Lean Agile Approach is Essential for Start-Ups

There are various types of project management methodologies a start-up company can use to improve their processes. One of these methodologies is the "Agile Method". The "Agile Method" is the umbrella method that includes multiple different concepts, two of these concepts being Agile and Lean.

LEAN 

Let's start with the concept of "Lean". Lean was created long ago in the automobile industry following post war Japan. It is the foundation of the agile methodology. This concept is characterised by its focus on minimising risk and waste. In fact, there are 8 types of wastes that the Lean concept attempts to ward off (Warcholinski, 2019). 

8 Types of Wastes in Lean Methodology

AGILE

Now that we understand Lean, we can discuss Agile. Agile is a mindset that derives from the Agile Manifesto, a plan developed by visionary software developers that contains 12 defining principles. The Agile concept is people centered and has two main goals: to increase flexibility and improve the ability to embrace change quickly (Warcholinski, 2019). 

Agile and Lean concepts are essentially the same thing, they just focus on subtle differences. The main difference between these two concepts being that Agile focuses largely on development, while Lean focuses heavily on production.

What is a lean agile approach?

The lean agile approach combines Lean and Agile concepts to improve the processes of a company. This approach aims to minimise risks while also maximising productivity.

There are 5 main goals to a lean agile approach (Kendal, 2019):

1. Continual delivery
2. Allowance of late changes in the software
3. Continual attention to design and technical excellence
4. Working software is the principal measure of progress
5. Regular adaption to changing circumstances 

Why is a lean agile approach important to a start-up project?

Combining the Lean and Agile concepts into one approach is extremely beneficial to start-ups. There are numerous risks that come with creating a start-up that can cause them to swiftly fail or suffer high levels of financial loss. Undertaking a lean agile approach allows these start-ups to have the best chance possible of survival. A start-up doesn't have the financial backing of an established business that has been in the market for a long time. A lean agile approach would help minimise risk and maximise productivity for start-ups. This is essential as they can't afford to waste time and resources.

References:

Kendal, N. (2019). Web Marketing Mgmt & Metrics 2019/2020 Week 05 - PM.

Rodriguez, T. (2019). What exactly is a startup?. [online] Medium. Available at: https://medium.com/swlh/what-exactly-is-a-startup-5ba629d7a0f7 [Accessed 29 Oct. 2019].

Warcholinski, M. (2019). Differences Between Lean, Agile and Scrum - Blog Brainhub.eu. [online] Brainhub. Available at: https://brainhub.eu/blog/differences-lean-agile-scrum/ [Accessed 29 Oct. 2019].