I stole this from a book that most successful product companies use

The biggest predictor of one product company is the number of tests you run per week.

Here is how to set up and run a useful test:

Pick the short term goals that…

• … support a broader mission and goals.
• … give you the most leverage if successful.
• …solve a problem that you can accurately pinpoint.

Communicate specifics to everyone involved

• Give context about why the goal is important
• What is the current state and what is the desired state?
• What is the time frame (2–6 weeks)?

Focus resources

• Limit short-term goals to one goal per person
• The goal owner needs to be someone who believes these are possible

Use proven processes

• Generate Ideas — Create “Experiment Doc” including hypothesis
• Give a score from 1–10 for Impact, confidence and ease for every hypothesis
• Choose an experiment and pitch it to the team
• Decide based on resources and expectations

Testing and Results

• When running a test, keep the goal top of mind
• Analyse the test and share the results.
• Measure the impact on the goal through quantitive analysis plus qualitative feedback.

Repeat.

Resource: Hacking Growth, book by Morgan Brown and Sean Ellis.