Strategic benefits of an MDV and where this approach works best

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Utilising an MDV (Minimum Deliverable Value) approach has a host of benefits that can ensure that development and assumption validation is as effective and beneficial as it can be. Some of the benefits and value that can be derived from this approach may include:

  • Shorter time to validate – By utilising an MDV, organisations can demonstrate the value in their projects in a matter of days or weeks, rather than the lengthy amount of time that it would otherwise take to build and flesh out a typical MVP.

  • Lower investment for the buyer – As an MDV focuses on a smaller lightweight deliverable it significantly reduces procurement and risk barriers as it can be delivered at a fraction of the cost of a traditional MVP.

  • More agile iteration – Feedback cycles are tighter and more focused compared to an MVP development cycle as the focus is simply on producing a deliverable that is effective enough to validate an assumption and demonstrate the value of a product.

  • Clearer commercial outcomes – Potentially one of the biggest benefits of developing an MVD is that it helps define the real MVP (if needed) and helps steer the development in an effective manner which in turns controls costs and reduces scope creep.

Why This Approach Makes Sense Now

Many organisations are under pressure from internal and external stakeholders to show quick wins from digital initiatives. By adopting an MDV approach it’s possible to demonstrate the value and these quick wins to all stakeholders involved in the digital initiative.

As well as this, technical buyers are increasingly sceptical of speculative builds, however with an effective MDV process, the speculation and high cost implication of a typical MVP build can be removed or decreased, providing the clarity and confidence needed for those who are engaged with the product and process.

Finally, a working artefact creates trust and momentum far better than pitch decks or mock-ups, this allows the organisation to actively showcase and demonstrate their MDV in real world scenarios to potential investors and can help secure crucial funding for the next stage of the project.

Where This Works Best

This model of utilising MDV development before continuing onto a larger more fleshed out MVP build is particularly effective in certain scenarios and environments where an initial MDV is more than sufficient for what the initial aim and objective is, for instance:

  • B2B environments where pain points are operational and known such as within manufacturers and organisations with a dependency on manual processes.

  • Digital transformation programmes where internal stakeholders need proof-of-value before committing and signing-off on wider transformation initiatives or development programmes.

  • Early-stage product discovery for internal tools or platform extensions where this delivery method can provide guidance on focus areas.

However this MDV delivery method is less suited to:

  • Consumer apps or B2C startups, where UX, brand, and growth loops are a central part of the experience and can negatively impact the performance and growth chances of the product.

markets where the user interface is the product, this is an important aspect to understand as the goal with an MDV is to gain insights and prove the need with the minimum number of features possible.

Summary

To summarise, used in the right environment with the correct guidance and processes, utilising an MDV first approach can yield a wide range of benefits that can ensure a productive and valuable development stage. These benefits such as clear commercial outcomes, shorter validation cycles and generally lower investment costs are all key aspects that ensure a clear transition from MDV to MVP to a fully market ready product.