Design and Systematic New Value Creation

23 June, 2011

Michael Eckersley, PhD

Design and Systematic New Value Creation


September 24, 2012

Jayhawk ConsultingJayhawk Consulting

about us

OUR PRACTICES TOUCH RESULT

human research & discovery

products new value

concept development

servicesconsumer experience

design strategy systems perception

visualization / simulation

brands human behavior

environments system behavior

the context

Organizations are struggling to be competitive in a dynamic global economy, to achieve sustainable growth, and find the future first. All at the same time.

The challenges are significant...

The corporate environment has grown increasingly unstable, accelerative, and revolutionary... The adaptive corporation, therefore, needs a new kind of leadership. It needs “managers of adaptation” equipped with a whole set of new, nonlinear skills.

–Alvin Toffler, The Adaptive Corporation

the adaptive corporation

(1985)

“Management is shifting from a stance of predicting and controlling change to one of building an organization to sense change and to respond appropriately – adaptive management”.

–Christopher MeyerMonitor

sense and respond

“In the archives of any decent -sized organization, an unfiltered record will show institutional life in all it’s boredom and inefficiency. Most initiatives fail. Internal competition trumps external goals. People are petty, whiny, and unmanageable.”

–Nicholas Lemann

the gap between what we are

and what we need to be is large

we have built a system of organizational life that

repels human creativity,that inhibits innovation

SchedulesGoals

BudgetsMargins

ProjectionsCostsTeamsClients

AnalystsVendors

PRSales

ProductionService workers

ManagersStrategistsMarketersDesignersEngineers

AdministratorsRegulators

Auditors

too often lost is a sense of cohesion and integrated effort to create new value, not simply get better at delivering existing value

“Innovation is a social or economic term, not a technological one, defined in terms of demand rather than supply. changing value and satisfaction obtained from resources by the consumer.”

–Peter Drucker

Innovation: a social phenomenon

© HumanCentered 2007, All Rights Reserved

“90% of all publicly traded companies have proved themselves unable to sustain for more

than a few years a growth trajectory that creates above-average shareholder returns.”

–Clayton Christensen & Michael RaynorThe Innovator’s Solution

the growth imperative

how?the approach:

create the conditions that foster organic growth, social innovation, integrative thinking, creative behavior


All we have is us to produce the futures to produce the futures

we desire


management as an art:a systematic practice,

intellectual and practical

–Richard Buchanan, Case Western

“Everyone designs who devises courses of action aimed at

changing existing situations into preferred ones.”

–Herbert Simon

so what’s design?

productsservicesbrands

communicationssystems

experiencesetc.

conceivedprogrammed

organizeddeveloped

builtcrafted

engineeredfashioned

etc.

functionalityreliability

beautyelegance

profitabilityefficiencyviability

etc.

so what’s design?

“Design is a complex problem solving process whereby artifacts

are structured to attain goals”–Herbert Simon


In most people's vocabularies, In most people's vocabularies, designdesign means veneer. It's interior decorating. It's the fabric of the curtains of the sofa. But to me, nothing could be further from the meaning of design. Design is the fundamental soul of a human-made creation that ends up expressing itself in successive outer layers of the product or service.

– Steve Jobs

so what is design?

"Design is only secondarily about pretty lumpy objects, and primarily about a whole approach to doing business, serving customers, and providing value."

"Design... has become central to enterprise strategy."

–Tom Peters

so what is design?

design helps here

1. understandingusers and the context

of the problem

4. prototyping the innovations

3. creating concepts that build experiences

for users and economic value for the

company

2. identifying patterns and reframing the

problem

OUR WORK

Now

Q2-2011

Next

Q2-2012

Soon

Q3-2013

Later

Q1-2014

Who knows?

Q1-2015

offering offering offering offeringoffering offering

–Patrick Whitney, ID, IIT


What is design thinking?

1. Conditioned inventiveness2. Human-centered focus3. Environment-centered concern4. Ability to visualize5. Tempered optimism6. Bias for adaptivity7. Predisposition toward multi-functionality8. Systemic vision9. View of the generalist10.Ability to use language as a tool11.Affinity for teamwork12.Facility for avoiding the necessity of choice13.Self-governing practicality14.Ability to work systematically with qualitative

information–Charles Owen, IIT


www.vimeo.com/5750600www.vimeo.com/5750600

http://www.vimeo.com/5750600

http://www.vimeo.com/5750600

http://news.google.com/nwshp?hl=en&tab=wn&q=

http://news.google.com/nwshp?hl=en&tab=wn&q=


We know how to engineer almost anything

our task: bring decisions about user experience into the early stages of development. Align strategic benefit with the consumer value

The harder problem today is knowing what

to innovate

a human-centered design approach

(learn & respond)

the conventionalbusiness approach

(predict & provide)

adapted from Vijay Kumar, IIT

sell them to customers

develop offerings

create a business

develop concepts & offerings

build a business

around them

deeply understand

users/contexts

>

>

build the bridge

physical/biological

socio-cultural

psychological

spiritual

Deep Search:human factors

global

macro economic

market/industry

organizational

High Search:environmental

& market factors

Learning Cycle 0

LearningCycle 1(time)

0

-1

-2

-3

- 4

+4

+3

+2

+1

“street-level” issues & operations

bottom-upinnovations

top-down innovations

Sources of design innovation

Jobs That People Hire Online Banks To Do

Retail and Business Banking 2010

ANNOTATION

28

Product development overview

Information is heavily redacted

for sake of confidentiality

Design and Systematic New Value Creation


September 24, 2012

Jayhawk ConsultingJayhawk Consulting

Design and Systematic New Value Creation

Design

Transcript of Design and Systematic New Value Creation