Jeff Gothelf

EPISODE II: THE FARM AWAKENS SENSE & RESPOND:

EPISODE II: THE FARM AWAKENS SENSE & RESPOND: A STORY
IN 6 ACTS WITH A HERO AN EMPIRE AN UNLIKELY ALLY

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO WE BELIEVE: MEETING THIS USER NEED WITH
THESE FEATURES WILL CREATE THIS BUSINESS OUTCOME WE’LL KNOW WE’RE RIGHT WHEN WE SEE THIS EVIDENCE

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO ACT 1: THE USER NEED OR… THE
BRUTAL ECONOMICS OF WHEAT

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO MEET OUR HERO

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO FARMERS DO NOT MARKET WHEAT.

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO THE MARKET DOES NOT CONSIDER HOW MUCH
IT COSTS TO PRODUCE WHEAT WHEN DETERMINING THE PRICE.

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO ALL THE MARKET CARES ABOUT IS HOW
MUCH WHEAT IS NEEDED TO MEET CONSUMER DEMAND, AND HOW MUCH THE CONSUMER WILL PAY.

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO AT ANY GIVEN MOMENT, A FARMER CAN
EASILY HAVE MILLIONS OF DOLLARS IN SEED AND LABOR IN THE GROUND.

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO LET’S DO SOME MATH (YAY!)

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO BUSHEL = 60 POUNDS (~27KG)

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO A WHEAT FARMER IN GRANT COUNTY, OKLAHOMA,
HAS A WHEAT TARGET YIELD OF 50 BUSHELS PER ACRE.

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO TOTAL COST/ACRE: $274/ACRE (RENT, LABOR, SEED, INSURANCE,
FERTILIZER, HARVESTING, TAXES, DEPRECIATION)

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO COST PER ACRE $274

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO COST PER ACRE $274 BUSHELS PER ACRE
50

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO COST PER ACRE $274 BREAKEVEN PRICE: $5.48
BUSHELS PER ACRE 50

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO COST PER ACRE $274 BREAKEVEN PRICE: $5.48
MARKET PRICE: $5.59 BUSHELS PER ACRE 50

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO COST PER ACRE $274 BUSHELS PER ACRE
50 BREAKEVEN PRICE: $5.48 MARKET PRICE: $5.59 MARGIN: $0.11

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO PROFIT PER BUSHEL: $.11 PROFIT PER ACRE:
$5.50 AVG FARM SIZE (ACRES): 438 TOTAL PROFIT: $2409

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO TOTAL PROFIT FROM WHEAT HARVEST: $2409

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO RAIN MAKES GRAIN

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO “WHEAT WITH WET FEET”

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO “IT’S PLANTING SEASON. LET’S TALK AFTER.” -
STEVE PITSTICK, FARMER

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO USER NEEDS:

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO USER NEEDS: LOWER COSTS

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO USER NEEDS: LOWER COSTS MORE EFFICIENCY

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO USER NEEDS: LOWER COSTS MORE EFFICIENCY OBEY
MOTHER NATURE’S SCHEDULE

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO WE BELIEVE: MEETING COST, EFFICIENCY & TIMELINESS
CONCERNS WITH THESE FEATURES WILL CREATE THIS BUSINESS OUTCOME WE’LL KNOW WE’RE RIGHT WHEN WE SEE THIS EVIDENCE

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO ACT 2: THE BUSINESS OUTCOME OR… MEANWHILE,
AT HEADQUARTERS

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO THE HARLEY-DAVIDSON OF FARM EQUIPMENT

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO WORD OF CAUTION: DON’T SCROLL ANY FURTHER
DOWN THIS SEARCH RESULTS PAGE…

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO …AND IT’S NOT JUST TRACTORS…

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO PRECISION AG TECHNOLOGY

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO JOHN DEERE IS A HARDWARE COMPANY

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO JOHN DEERE IS A SOFTWARE COMPANY

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO JOHN DEERE DOES PRODUCT DISCOVERY

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO TRACTORS AREN’T CHEAP

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO LESS LABOR = FEWER FARMERS

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO WHAT BUSINESS PROBLEM DOES JOHN DEERE FACE?

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO TO GENERATE MEANINGFUL PROFITS YOU NEED A
BIG OPERATION

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO BIG OPERATION = BIG EXPENSE

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO TECHNOLOGY HELPS FARM LARGER AREAS WITH LESS
LABOR

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO FEWER FARMERS = FEWER TRACTOR SALES

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO EQUIPMENT SALES ARE DOWN

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO TIME TO RECONSIDER YOUR BUSINESS MODEL…

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO BUSINESS NEEDS:

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO BUSINESS NEEDS: LESS RELIANCE ON EQUIPMENT SALES

PROTECT MARGINS

PROTECT MARGINS CUSTOMER LOYALTY

CONCERNS WITH THESE FEATURES WILL CREATE THIS BUSINESS OUTCOME WE’LL KNOW WE’RE RIGHT WHEN WE SEE THIS EVIDENCE

CONCERNS WITH THESE FEATURES WILL CREATE LESS RELIANCE ON SALES, HIGHER MARGINS, MAINTAIN LOYALTY WE’LL KNOW WE’RE RIGHT WHEN WE SEE THIS EVIDENCE

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO ACT 3: THE PROMISE, AKA THE OFFER
YOU CAN’T REFUSE

CONCERNS WITH THESE FEATURES WILL CREATE LESS RELIANCE ON SALES, HIGHER MARGINS, MAINTAIN LOYALTY WE’LL KNOW WE’RE RIGHT WHEN WE SEE THIS EVIDENCE

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO THE SEXY NEW MACHINES…

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO THE SEXY NEW MACHINES… SEXY NEW MACHINE
VIDEO -THIS INTRODUCES THE INTEGRATED NATURE OF THE SOFTWARE AND THE HARDWARE

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO “I CAN FARM 2500 ACRES TODAY EASIER
THAN 500 ACRES 40 YEARS AGO.” - STEVE PITSTICK, FARMER

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO BUT THERE’S ONE CATCH:

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO BUT THERE’S ONE CATCH: THE LICENSE AGREEMENT

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO “AN IMPLIED LICENSE FOR THE LIFE OF
THE VEHICLE TO OPERATE THE VEHICLE.” JOHN DEERE FILING, US COPYRIGHT OFFICE

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO PRODUCT FEATURES:

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO PRODUCT FEATURES: MORE EFFICIENT

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO PRODUCT FEATURES: MORE EFFICIENT MORE CAPABLE

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO PRODUCT FEATURES: MORE EFFICIENT MORE CAPABLE INTEGRATED
SERVICES (REVENUE)

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO PRODUCT FEATURES: MORE EFFICIENT MORE CAPABLE INTEGRATED
SERVICES (REVENUE) LICENSE AGREEMENT

CONCERNS WITH GREATER EFFICIENCY, INTEGRATED SERVICES CAPABILITY & A LICENSE AGREEMENT WILL CREATE LESS RELIANCE ON SALES, HIGHER MARGINS, MAINTAIN LOYALTY WE’LL KNOW WE’RE RIGHT WHEN WE SEE THIS EVIDENCE

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO ACT 4: IN WHICH OUR HERO ENCOUNTERS
A PROBLEM

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO THE WHEAT IS RIPE, TIME TO HARVEST

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO …BUT THERE’S A PROBLEM…

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO “AN IMPLIED LICENSE FOR THE LIFE OF
THE VEHICLE TO OPERATE THE VEHICLE.” JOHN DEERE FILING, US COPYRIGHT OFFICE

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO YOU CAN’T FIX IT YOURSELF

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO HOW CAN THIS BE?

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO “BECAUSE MODIFYING MODERN OBJECTS REQUIRES ACCESS TO
INFORMATION: CODE, SERVICE MANUALS, ERROR CODES, AND DIAGNOSTIC TOOLS.” https://www.wired.com/2013/03/you-dont-own-your-cellphones-or-your-cars/

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO “IF YOU BOUGHT SOMETHING AND FIGURED OUT
HOW TO GET EXTRA VALUE OUT OF IT THAT WAS YOURS TO KEEP.” - CORY DOCTOROW

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO SOLVING USER NEEDS? OR EXPLOITING USER NEEDS?

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO INTERLUDE: A WORD FROM YOUR NARRATOR

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO HOW DO WE KNOW WHAT WORKS?

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO HOW DO WE KNOW WHAT WORKS? OR…
THE PROBLEM WITH PEOPLE

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO HOW DO WE KNOW WHAT WORKS? OR…
THE PROBLEM WITH PEOPLE (AND CULTURE)

@JBOOGIE & @JSEIDEN SENSEANDRESPOND.CO

@JBOOGIE & @JSEIDEN SENSEANDRESPOND.CO THERE’S A GOOD CHANCE THAT WE’RE
WRONG.

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO CULTURE ALWAYS WINS

@JBOOGIE & @JSEIDEN SENSEANDRESPOND.CO SENSE & RESPOND Ship Sense Respond
Respond

CONCERNS WITH GREATER EFFICIENCY, INTEGRATED SERVICES CAPABILITY & A LICENSE AGREEMENT WILL CREATE LESS RELIANCE ON SALES, HIGHER MARGINS, MAINTAIN LOYALTY WE’LL KNOW WE’RE RIGHT WHEN WE SEE THIS EVIDENCE

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO ACT 5: EVIDENCE OR…OUR HERO FINDS AN
UNLIKELY ALLY

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO THE UKRAINIAN HACKERS

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO WHEN YOU ENFORCE BAD POLICY, PEOPLE WILL
WORK AROUND THAT POLICY.

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO ACT 6: HOW WILL OUR STORY END?

CONCERNS WITH GREATER EFFICIENCY, INTEGRATED SERVICES CAPABILITY & A LICENSE AGREEMENT WILL CREATE LESS RELIANCE ON SALES, HIGHER MARGINS, MAINTAIN LOYALTY WE’LL KNOW WE’RE RIGHT WHEN WE SEE FARMERS DOWNLOADING CRACKED UKRAINIAN SOFTWARE???

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO IT’S UP TO YOU

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO THE LEGAL STRUCTURES IN USE ARE ILL-SUITED
TO CURRENT REALITY

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO WILL YOU USE THEM TO SERVE CUSTOMERS?
OR TO EXPLOIT THEM?

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO TECHNOLOGY CAN NOT GET AHEAD OF CULTURE

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO WHEN YOU ENFORCE BAD POLICY, PEOPLE WILL
WORK AROUND THAT POLICY.

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO THE RIGHT TO REPAIR MOVEMENT

@JSEIDEN @JBOOGIE SENSEANDRESPOND.CO TAKE AWAYS…

@JBOOGIE & @JSEIDEN SENSEANDRESPOND.CO

@JBOOGIE & @JSEIDEN SENSEANDRESPOND.CO 1. YOU ARE IN THE SOFTWARE
BUSINESS

BUSINESS 2. SOFTWARE UNLOCKS NEW BUSINESS MODELS

BUSINESS 2. SOFTWARE UNLOCKS NEW BUSINESS MODELS 3. SOFTWARE ENFORCES POLICY

BUSINESS 2. SOFTWARE UNLOCKS NEW BUSINESS MODELS 3. SOFTWARE ENFORCES POLICY 4. CULTURE TRUMPS POLICY

BUSINESS 2. SOFTWARE UNLOCKS NEW BUSINESS MODELS 3. SOFTWARE ENFORCES POLICY 4. CULTURE TRUMPS POLICY 5. FEEDBACK LOOPS REVEAL CULTURE

BUSINESS 2. SOFTWARE UNLOCKS NEW BUSINESS MODELS 3. SOFTWARE ENFORCES POLICY 4. CULTURE TRUMPS POLICY 5. FEEDBACK LOOPS REVEAL CULTURE 6. FRAME SUCCESS IN USER-CENTRIC TERMS

@JBOOGIE & @JSEIDEN SENSEANDRESPOND.CO THANK YOU! JEFF GOTHELF / @JBOOGIE
/ [email protected] SENSEANDRESPOND.CO

Jeff Gothelf

Jeff Gothelf

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