The first challenge occurs during the annual budgeting process when managers are asked to produce high fidelity business cases based on nothing more than an untested hypothesis. Generally, this lengthy and cumbersome process produces very little tangible value, and often amounts to nothing more than an attempt to demonstrate due diligence and governance. More than anything else, the annual budget approval process creates “lock-in”, and leaves very little room to increase funding as value scales, or to redistribute funding to more promising opportunities.