Design ThinkingBootcamp (2-3 days)Selected slides for a typical professional training
Continuous Innovation ≠ Quick WinThis slideset is an exemplarily excerpt of short input presentations given in mydesign th...
Design ThinkingBootcamp: Day IExperience the basics of design thinking
1The future is best foundin the opportunities that gounnoticed in the present.Peter Drucker„“
5Source: http://commons.wikimedia.org/wiki/File:Teststrecke_Roller_Coaster.JPGHow your journey may feel …
Everything that needs to besaid has already been said.But, since no one was listening,everything must be said again.André ...
The Basics»Design thinking« its origin, nature and use.INPUTImage Credit: New Bauhaus Chicago; Stefanie Di Russo (ithinkid...
9Design thinking in the media – a sketchy viewPlace - People - Process‣ Heavy collaboration inmulti-disciplinary teams‣ Sp...
9Design thinking in the media – a sketchy viewPlace - People - Process‣ Heavy collaboration inmulti-disciplinary teams‣ Sp...
9Design thinking in the media – a sketchy viewPlace - People - Process‣ Heavy collaboration inmulti-disciplinary teams‣ Sp...
9Design thinking in the media – a sketchy viewPlace - People - Process‣ Heavy collaboration inmulti-disciplinary teams‣ Sp...
design is to design the design of a design.What is »Design«?cited after John Heskett (former Chair Professor Design, Hong ...
value creation + value captureDesign Thinking: Why the sudden Interest?11doing the right thingproblem findingdoing the thin...
value creation + value captureDesign Thinking = Strategic Thinking12The Efficiency Movement:Outsourcing, Total Quality Manag...
value creation + value captureDesign Thinking = Strategic Thinking13doing the right thingproblem findingdoing the thing rig...
value creation + value capture = advantageValue migration and the shift to a »value creation economy«Design Thinking = Str...
Value migration and the shift to a »value creation economy«Design Thinking = Strategic Thinking15doing the right thingprob...
value creation + value capture = strategyDesign Thinking = Strategic Thinking17doing the right thingproblem findingdoing th...
Design Thinking = Strategic Thinking17doing the right thingproblem findingdoing the thing rightproblem solving
Mystery Heuristic Algorithm CodeStrategic Thinking and the »Knowledge Funnel«01100111001doing the right thingproblem findin...
19Embracing and living a »d.mindset« isthe first step - and as we think, perfectprerequisite - to successfully understanda...
20Image Credit: DT Venn Diagram, Stanford d.School
20Design is the expert discipline forrelating and connecting floating fields.Wolfgang Jonas (1999)„“Image Credit: DT Venn ...
21People & Human ValuesUsability & DesirabilityTechnologyFeasibilityBusinessViabilityDesign Thinkingand Value Creation
21People & Human ValuesUsability & DesirabilityTechnologyFeasibilityBusinessViabilityDesign Thinkingand Value CreationEmot...
21People & Human ValuesUsability & DesirabilityTechnologyFeasibilityBusinessViabilityDesign Thinkingand Value CreationEmot...
22Image Credit: © 2011-2012 General Electric CompanyMRI ScanTechnologyAdventureFrameCost AvoidanceLess sedations,more pati...
22Image Credit: © 2011-2012 General Electric CompanyMRI ScanTechnologyAdventureFrameCost AvoidanceLess sedations,more pati...
The Solar Bottle Bulb has beeninstalled to provide ~55 watts of lightThe Solar Bottle Bulb has beeninstalled to provide ~5...
High Jumps Ship Container vs. Dock Workers GPS vs. Map NavigationHilti Nintendo Wii Godrej chotuKoolMemory Stick vs. Punch...
25Design-led InnovationShared values and principles of a d.culture …INPUThttp://online.wsj.com/article/SB10001424127887324...
26inside » « outsidePerceived Customer Value = Functional Benefits – Financial CostTRADITIONAL INSIDE-OUT VALUE CHAINWhat ...
26inside » « outsidePerceived Customer Value = Functional Benefits – Financial CostTRADITIONAL INSIDE-OUT VALUE CHAINWhat ...
271: Have an Outside-in MindsetMintzberg, H., Ahlstrand, B., & Lampel, J. (2001). Strategy Safari: A GuidedTour Through Th...
271: Have an Outside-in MindsetMintzberg, H., Ahlstrand, B., & Lampel, J. (2001). Strategy Safari: A GuidedTour Through Th...
1: Combine Outside-in & Inside-out28IdentifyBusinessDevelopTechnologyCreateConceptsFit them toUsersUnderstandUsersCreateCo...
2: Use Empathy for Users & Stakeholders29DesirabilityFeasibility Viability
2: Use Empathy for Users & Stakeholders29DesirabilityFeasibility ViabilityWhat can be done in terms ofcapabilities and tec...
303: Embrace Diversity and Multi-disciplinarity
3: Embrace Diversity and Multi-disciplinarityafter Bill Moggridge, Interaction Design ProfessionsPhysical DesignDigital De...
4: Think holistically and systemic32
35: Generate many, many, many ... new Ideas33
6: Find and Iterate Alternative Solutions34IterationsAlternativeSolutions
356: Find and Iterate Alternative Solutions = Market DefinitionMarketBusinessIndustry ZIndustry YIndustry XCustomer GroupsA...
Planning & Development Procurement & Production Test, Delivery & Launch7: Fail early, Fail often – But: Fail smart!36COSTS...
ReturnTime7: Fail early, Fail often: Design’s Impact on Innovation ROI37-€+€Investment/ReturnImage Credit: Charles Owen (1...
388: Make conscious Use of SpaceLaunchLabs, Berlin (www.launchlabs.de)
HUMANCENTEREDBIAS TOWARDSACTIONSHOW DON’TTELLCRAFT CLARITYRADICALCOLLABORATIONCULTUREOF PROTOTYPING &EXPERIMENTATIONMINDFU...
meth·od·ol·o·gynoun /ˌmeTH#ˈdäl#jē/ methodologies, pluralThe system of principles, practices, anprocedures applied to any ...
Convergence-Divergence ID.IIT: Analysis-Synthesis Engine Service Design (UK) »Design Chaos«Spirit of Creation (UK) St. Gal...
ANALYSIS-SYNTHESIS CONVERGENCE-DIVERGENCERE-ENTRY POINT CONCRETE-ABSTRACTMost Common Generic Models of Creative Thinking43...
44OBSERVE IDEATE PROTOTYPE TESTPOINTOF VIEWUNDERSTANDPROBLEM SPACE EXPLORATION SOLUTION SPACE EXPLORATION
SOLUTION SPACE EXPLORATIONOBSERVE IDEATE PROTOTYPE TESTPOINTOF VIEWUNDERSTANDEmpathize Explore ExecuteRe-FrameTalk to Expe...
OBSERVE IDEATE PROTOTYPE TESTPOINTOF VIEWUNDERSTANDDivergence-Convergence Model“solving” “solving”“seeking”“seeking”PROBLE...
Analysis-Synthesis Bridge Model47after Dubberly, Evenson & Robinson (2008)Analysis (think)ConcreteAbstractSynthesis (make)...
Analysis-Synthesis Bridge Model48after Owen, Kumar (ID.IIT)Analysis (think)ConcreteAbstractSynthesis (make)Frameworks Impe...
Analysis-Synthesis Bridge Model48after Owen, Kumar (ID.IIT)Analysis (think)ConcreteAbstractSynthesis (make)Frameworks Impe...
Analysis-Synthesis Bridge Model49after Owen, Kumar (ID.IIT)Analysis (think)ConcreteAbstractSynthesis (make)Frameworks Impe...
Analysis-Synthesis Bridge Model49after Owen, Kumar (ID.IIT)Analysis (think)ConcreteAbstractSynthesis (make)Frameworks Impe...
Analysis-Synthesis Bridge Model49after Owen, Kumar (ID.IIT)Analysis (think)ConcreteAbstractSynthesis (make)Frameworks Impe...
Analysis-Synthesis Bridge Model50after Owen, Kumar (ID.IIT)Analysis (think)ConcreteAbstractSynthesis (make)Frameworks Impe...
51Design as … ExampleProblem FramingDesign redefines the challengesfacing the organization.Umpqua BankApple iPod/iPhone/iTu...
51Design as … ExampleProblem FramingDesign redefines the challengesfacing the organization.Umpqua BankApple iPod/iPhone/iTu...
51Design as … ExampleProblem FramingDesign redefines the challengesfacing the organization.Umpqua BankApple iPod/iPhone/iTu...
51Design as … ExampleProblem FramingDesign redefines the challengesfacing the organization.Umpqua BankApple iPod/iPhone/iTu...
51Design as … ExampleProblem FramingDesign redefines the challengesfacing the organization.Umpqua BankApple iPod/iPhone/iTu...
51Design as … ExampleProblem FramingDesign redefines the challengesfacing the organization.Umpqua BankApple iPod/iPhone/iTu...
LargeScale SystemsSystems and BehaviorArtifact and ExperienceArtifact52
LargeScale SystemsSystems and BehaviorArtifact and ExperienceArtifact52
LargeScale SystemsSystems and BehaviorArtifact and ExperienceArtifact52
LargeScale SystemsSystems and BehaviorArtifact and ExperienceArtifact52theclay streetproject
LargeScale SystemsSystems and BehaviorArtifact and ExperienceArtifact52theclay streetproject
LargeScale SystemsPolicy Design,Systems Design, Infrastructure,Public Service, EnvironmentSystemSystems and BehaviorUrban ...
Customer Discovery+ Problem Discovery+ Working Culture+ Structured Unstructured Process+ Sanity and Reason= Design Thinkin...
ActivityInsightsNeed StatementInterviewPeopleObjectsEnvironmentsMessagesServicesUser ExperiencePhysicalCognitiveSocialCult...
Image Credit:Tom Fishburne (http://tomfishburne.com)
Directly witnessing and experiencingaspects of behavior in the real world is aproven way of inspiring and informing[new] i...
5Use, Usability and MeaningImage Credit: National Archives Record Group 75, Records of the Bureau of Indian Affairs, Sacram...
5Use, Usability and MeaningImage Credit: National Archives Record Group 75, Records of the Bureau of Indian Affairs, Sacram...
5Use, Usability and MeaningImage Credit: National Archives Record Group 75, Records of the Bureau of Indian Affairs, Sacram...
6Image Credit: National Archives Record Group 75, Records of the Bureau of Indian Affairs, Sacramento Area Office. Coded Reco...
6Image Credit: National Archives Record Group 75, Records of the Bureau of Indian Affairs, Sacramento Area Office. Coded Reco...
7Jobs-to-be-done are complex constructs …Use, Usability and MeaningUse UsabilityImage Credit: National Archives Record Gro...
8Jobs-to-be-done are complex constructs …Use, Usability and MeaningImage Credit: National Archives Record Group 75, Record...
8Jobs-to-be-done are complex constructs …Use, Usability and MeaningImage Credit: National Archives Record Group 75, Record...
Reproduced from the archival holdings of the National Archives and Records Administration – Pacific Region (San Francisc5....
Reproduced from the archival holdings of the National Archives and Records Administration – Pacific Region (San Francisc5....
Reproduced from the archival holdings of the National Archives and Records Administration – Pacific Region (San Francisc5....
11OBSERVE IDEATE PROTOTYPE TESTPOINTOF VIEWUNDERSTANDExpertise Empathy Explore ExecuteRe-FrameUNDERSTAND OBSERVE
Empathy: Immerse, Observe, Engage12See the world throughsomeone else’s eyesWalk in otherpeople’s shoesImmerse yourself int...
Empathy: Methods Triangulation13THE RIGHTBALANCE?What people experience.TRY: ImmersionParticipatory DesignWhat people do.L...
MARKET RESEARCH INSIGHTS RESEARCHThe Dispute over Methods14Image Credit: after Polaine, A., Løvlie, L., & Reason, B. (2013...
16Image Credit: © MIT AgeLab, Age Gain Now Empathy System; Photos by Nathan Fried-LipskiExperience what your user might ex...
17Experience what your user might experience …Immerse. Observe. Engage.Image Credit: © Klara Lindner for Mobisol GmbH Berlin
The time, place, conditions, andcircumstances within which aspirationsare conceived, decisions are made,and product usage ...
22Be a fly on the wall: The art of unobtrusive research …Immerse. Observe. Engage.Image Credit: © Klara Lindner for Mobisol...
23Image Credit: © Klara Lindner for Mobisol GmbH BerlinARTIFACTSDOING(behavior)SEEINGTHINKING (framing)WHEREWHENHEARINGINT...
23Image Credit: © Klara Lindner for Mobisol GmbH BerlinARTIFACTSDOING(behavior)SEEINGTHINKING (framing)WHEREWHENHEARINGINT...
23Image Credit: © Klara Lindner for Mobisol GmbH BerlinARTIFACTSDOING(behavior)SEEINGTHINKING (framing)WHEREWHENHEARINGINT...
23Image Credit: © Klara Lindner for Mobisol GmbH BerlinARTIFACTSDOING(behavior)SEEINGTHINKING (framing)WHEREWHENHEARINGINT...
People do not always do what you think they do.People do not always do what you tell them to do.People do not always do wh...
ActivityInsightsNeed StatementInterviewPeopleObjectsEnvironmentsMessagesServicesUser ExperiencePhysicalCognitiveSocialCult...
mework helped researchers do rapid ethnography and work within research parameters pertaining to the topic. Thfound plasti...
29Enlightening conversations …Immerse. Observe. Engage.Image Credit: © Klara Lindner for Mobisol GmbH Berlin
30Enlightening conversations …Immerse. Observe. Engage.
31Enlightening conversations …Immerse. Observe. Engage.Image Credit: © Klara Lindner for Mobisol GmbH Berlin | http://www....
The Anatomy of an Interview32after Michael Barry (d.school Stanford, Point Forward) and Aristotle dramatic structureexposi...
Let subjects tell their own story, and listen forthe things that elicit emotion, cause themconcern or frustration."If you ...
Let them relate their successes and failures.Stories encompass the implicit rules thatgovern and organize peoples lives an...
Opportunities for innovation lie withinthe disconnect between action and words.36Contradictions between what People say an...
People make do and work around theshortcomings of products and situations.In everyday life, we all come up with "workaroun...
Needs open up possibilities, solutionsconstrain them.If you start with a solution then you mayoverlook the possibility of ...
Your research may seem so routine andfamiliar that you feel there is nothing newto be learned.Boredom and frustration easi...
Beginners Mindset15
Interview Preparation‣ Brainstorm questions‣ Discover themes‣ Refine and memorize questions‣ Use prompts41
Interview Preparation‣ Brainstorm questions‣ Discover themes‣ Refine and memorize questions‣ Use prompts41
Design ThinkingBootcamp: Day IIYour work has only just begun …
If I had an hour to solve a problem and mylife depended on the solution, I’d spendthe first 55 minutes determining theprop...
3DefineBlind men and elephant?INPUT
4OBSERVE IDEATE PROTOTYPE TESTPOINTOF VIEWUNDERSTAND POINTOF VIEW
The Knowledge Funnel5Mystery Heuristic Algorithm CodeImage Credit: adapted from Martin, R. L. (2009). The Reliability Bias...
Frame Creation: Defining the »Right Problem«ArchaeologyParadoxStakeholdersProblem ArenaThemesFramesFuturesTransformationsCo...
7Workspace @ d.school PotsdamMaking Sense of the »mess of data«.Problem Reframing = Synthesis
8Making Sense of the »mess of data«.Problem Reframing: Tips & Tricks
9Composite characters – the shortcut to empathy.Persona ConstructionImage Credit: Cooper, A., & Reimann, R. M. (2003). Abo...
10Framing and re-framing of the problem.Point of ViewUser + Need + Insightproblem statementsurprising anomaly
11Image Credit: © 2011 General Electric Company (http://www.gehealthcare.com/promo/advseries/adventure_series.html)User:	 ...
12Image Credit: © Embrace (www.embraceglobal.org)User:	 Young moms in poor rural areas in developing countries.Need:	 Alwa...
13Image Credit: © Lynx Team @ MIT & RSID’s »Design that matters« course (http://designthatmatters.org/news/dtm-blog/2011/0...
14User: 	 Stressed mother of kidsNeed:	 Finally some time to recover and relaxInsight:	 Wants to do sth. for herself“How m...
14User: 	 Stressed mother of kidsNeed:	 Finally some time to recover and relaxInsight:	 Wants to do sth. for herself“How m...
1INPUTPrototypeIdeas made tangible and testable …Image Credits: © NASA (Gemini Mission 1965); Control Stick: Steve Jurvets...
Why Prototype?Gain empathyExploreInspireTest2→  get deeper understanding→  build to think→  catalyse inspiration→  learn a...
3OBSERVE IDEATE PROTOTYPE TESTPOINTOF VIEWUNDERSTAND PROTOTYPE
4Prototyped artifacts may come in many forms ...PrototypingImage Credit: © Klara Lindner for Mobisol GmbH Berlin
5Image Credit: Martin Jordan (http://www.service-design-berlin.de/)Prototyped artifacts may come in many forms ...Prototyp...
6Prototyped artifacts may come in many forms ...Prototyping
7Prototyped artifacts may come in many forms ...Prototyping
8Image Credit: Elias Barrasch (http://www.blog.eliasbarrasch.de/)Prototyped artifacts may come in many forms ...Prototyping
HUMANCENTEREDBIAS TOWARDSACTIONSHOW DON’TTELLCRAFT CLARITYRADICALCOLLABORATIONCULTUREOF PROTOTYPING &EXPERIMENTATIONMINDFU...
ProtoTypesWhich aspects do youwant to represent/test?Choose testing variable‣ Looks-like‣ Works-like‣ Interacts-like‣ Feel...
High»Mock-up« of the idea:representation as closeas possible to the ideaMiddleRepresentation ofaspects of the ideaLowConce...
High»Mock-up« of the idea:representation as closeas possible to the ideaMiddleRepresentation ofaspects of the ideaLowConce...
12Google Glass’ Lo-fi PrototypingSource: Tom Chi (Google X) @ TED (http://blog.ted.com/2013/02/01/google-glass-prototyped-u...
12Google Glass’ Lo-fi Prototyping1 DAYSource: Tom Chi (Google X) @ TED (http://blog.ted.com/2013/02/01/google-glass-prototy...
12Google Glass’ Lo-fi Prototyping1 DAYSource: Tom Chi (Google X) @ TED (http://blog.ted.com/2013/02/01/google-glass-prototy...
12Google Glass’ Lo-fi Prototyping1 DAYSource: Tom Chi (Google X) @ TED (http://blog.ted.com/2013/02/01/google-glass-prototy...
12Google Glass’ Lo-fi Prototyping1 DAYSource: Tom Chi (Google X) @ TED (http://blog.ted.com/2013/02/01/google-glass-prototy...
½ HOUR12Google Glass’ Lo-fi Prototyping1 DAYSource: Tom Chi (Google X) @ TED (http://blog.ted.com/2013/02/01/google-glass-p...
You See: It’s no Rocket Science!13
1INPUTIterate! Test!Ready for the ride?Image Credit: United States Library of Congress, Prints & Photographs Division, Pho...
HUMANCENTEREDBIAS TOWARDSACTIONSHOW DON’TTELLCRAFT CLARITYRADICALCOLLABORATIONCULTUREOF PROTOTYPING &EXPERIMENTATIONMINDFU...
No Sales Pitch!3
How to Test …1. Let your users experience the prototype2. Observe their experience3. Engage them5
AdvancedDesign-drivenInnovationBootcamp Follow-up Session I
You want »definitions« - eh?Management Perspective‣ “A way to instill customer-centricity and empathy [...], to solve compl...
You want »definitions« - eh?Learning and Process Perspective‣ “Design is the creation process through which we employ tools...
2000‘sInnovation &Competitiveness1990‘sBrandbuilding1980‘sDesignManagement1970‘sThe rise ofErgonomics1960‘sInvolvingIndust...
2000‘sInnovation &Competitiveness1990‘sBrandbuilding1980‘sDesignManagement1970‘sThe rise ofErgonomics1960‘sInvolvingIndust...
2000‘sInnovation &Competitiveness1990‘sBrandbuilding1980‘sDesignManagement1970‘sThe rise ofErgonomics1960‘sInvolvingIndust...
7WhoWhatHowWho is our customer and what does he value?What value do weactually deliver,a.k.a. which busi-ness are we in?Ho...
8Design in Business -or-Business DesignWhy a HCD posture is the new competitive advantageINPUT
Progression of Economic Value10DifferentiatedUndifferentiatedCompetitivePositionPricingNeedsofCustomersRelevant toIrreleva...
11DifferentiatedUndifferentiatedCompetitivePositionPricingNeedsofCustomersRelevant toIrrelevant toMarket PremiumExtractCom...
If you charge for Stuff,then you are in the commodity business.If you charge for tangible things,then you are in the goods...
13Perceived Customer Value = Functional Benefits – Financial Costinside » « outsideHow do you strategize?TRADITIONAL INSID...
13Perceived Customer Value = Functional Benefits – Financial Costinside » « outsideHow do you strategize?TRADITIONAL INSID...
14BOTTOM-UPTOP-DOWNINSIDE-OUT OUTSIDE-INValueCreation &InnovationOpportuniesHuman-centricInnovationBusiness- &Technology-d...
Reliability Bias?15Business People Designer100% Reliability 100% ValidityReliability vs. Validitya fundamental predilectio...
The (Danish) Design Ladder16Non-designDesign is a negligible part of the product developmentprocess and usually performed ...
Correlation of Design Activities and Average Growth in Turnover17SVID. (2003). 10 Points. Attitudes, Profitability and Desi...
Innovation AmbitionBe clear about your innovation intent. Balance your innovation portfolio.18HOWTOWINWHERE TO PLAYadapted...
Innovation AmbitionBe clear about your innovation intent. Balance your innovation portfolio.18HOWTOWINWHERE TO PLAYadapted...
Innovation AmbitionBe clear about your innovation intent. Balance your innovation portfolio.18HOWTOWINWHERE TO PLAYadapted...
Innovation AmbitionBe clear about your innovation intent. Balance your innovation portfolio.18HOWTOWINWHERE TO PLAYadapted...
Innovation AmbitionBe clear about your innovation intent. Balance your innovation portfolio.18HOWTOWINWHERE TO PLAYadapted...
Innovation AmbitionBe clear about your innovation intent. Balance your innovation portfolio.18HOWTOWINWHERE TO PLAYadapted...
Innovation AmbitionBe clear about your innovation intent. Balance your innovation portfolio.18HOWTOWINWHERE TO PLAYadapted...
Innovation AmbitionBe clear about your innovation intent. Balance your innovation portfolio.18HOWTOWINWHERE TO PLAYadapted...
Innovation AmbitionBe clear about your innovation intent. Balance your innovation portfolio.18HOWTOWINWHERE TO PLAYadapted...
Innovation AmbitionBe clear about your innovation intent. Balance your innovation portfolio.18HOWTOWINWHERE TO PLAYadapted...
Innovation AmbitionBe clear about your innovation intent. Balance your innovation portfolio.18HOWTOWINWHERE TO PLAYadapted...
Innovation ROI: »Black Hole« vs. Options-oriented Investment19-€+€CumulativeCashFlowadapted from McGrath, R. G. (2010). Bu...
Innovation ROI: »Black Hole« vs. Options-oriented Investment20-€+€CumulativeCashFlowadapted from McGrath, R. G. (2010). Bu...
Innovation ROI: »Black Hole« vs. Options-oriented Investment20-€+€CumulativeCashFlowadapted from McGrath, R. G. (2010). Bu...
Innovation ROI: »Black Hole« vs. Options-oriented Investment20-€+€CumulativeCashFlowadapted from McGrath, R. G. (2010). Bu...
Business Model Management21CompanyCanCompanyWillCompanyShouldCOMPANY WILL:- Business idea- Leadership preferences- Leaders...
Blue Ocean: Four Actions Framework22ELIMINATEWhich of the factors that theindustry takes for grantedshould be eliminated?C...
KeyPartnersKeyActivitiesValueProposition RelationshipsChannelsRevenueStreamsKeyResourcesCostStructureCustomerSegmentsMovie...
KP KA VPVP CR CSKPKRVPVPCHCSCSCSCS RSRSRSeliminate reduce create raise unchangedNintendo Wii (in 2007)
KP KA VPVP CR CSKPKRVPVPCHCSCSCSCS RSRSRSmale»hardcoregamers«passive immersionwith high-endperformance andgraphicsnew prop...
KP KA VPVP CR CSKPKRVPVPCHCSCSCSCS RSRSRSmale»hardcoregamers«passive immersionwith high-endperformance andgraphicsnew prop...
KP KA VPVP CR CSKPKRVPVPCHCSCSCSCS RSRSRSmale»hardcoregamers«passive immersionwith high-endperformance andgraphicsnew prop...
KP KA VPVP CR CSKPKRVPVPCHCSCSCSCS RSRSRSmale»hardcoregamers«passive immersionwith high-endperformance andgraphicsSTMicro-...
KP KA VPVP CR CSKPKRVPVPCHCSCSCSCS RSRSRSmale»hardcoregamers«passive immersionwith high-endperformance andgraphicsSTMicro-...
KP KA VPVP CR CSKPKRVPVPCHCSCSCSCS RSRSRSmale»hardcoregamers«passive immersionwith high-endperformance andgraphicsSTMicro-...
KP KA VPVP CR CSKPKRVPVPCHCSCSCSCS RSRSRSmale»hardcoregamers«passive immersionwith high-endperformance andgraphicsSTMicro-...
25Image Credit: JAM Visual Thinking, Amsterdam (http://www.jam-site.nl)KeyPartnersKeyActivitiesValueProposition Relationsh...
25Image Credit: JAM Visual Thinking, Amsterdam (http://www.jam-site.nl)KeyPartnersKeyActivitiesValueProposition Relationsh...
25Image Credit: JAM Visual Thinking, Amsterdam (http://www.jam-site.nl)KeyPartnersKeyActivitiesValueProposition Relationsh...
28FIRMBusiness Model ABusiness Model BBusiness Model CBusiness Model DBUSINESSMODELOPTIONSStrategy:plan of which business ...
Core ValuePropositionComplementaryOfferingsSupplying andEnabling NetworkOtherStakeholders®®TMApple’s Business Ecosystem31H...
Perspectiveson ValueLevels ofValueSociologyEcologyPsychologyEconomyProfitStabilityWealthCoreValuesSharedDriversWellbeingSoc...
Perspectiveson ValueLevels ofValueSociologyEcologyPsychologyEconomyProfitStabilityWealthCoreValuesSharedDriversWellbeingSoc...
Perspectiveson ValueLevels ofValueSociologyEcologyPsychologyEconomyProfitStabilityWealthCoreValuesSharedDriversWellbeingSoc...
Design has tobe conceived as…design for,design with,and design by… users andother »interpreters«.Then itcreates…value for,...
35Sounds logic?It often seems it isn’t …ParticipatoryDesignUser-CenteredDesignDesign + EmotionCritical DesignGenerativeDes...
46Some References this Workshop/Presentation was based on:Beckman, S. L., & Barry, M. (2007). Innovation as a Learning Pro...
47Credits & AttributionsThis slideset was developed via fruitful exchanges ofideas, thoughts and photo material from and w...
Design-drivenstrategic businessplanning48Jan Schmiedgen // Fidicinstr. 41 // 10965 Berlin // GERMANY // +49 173 3 83 15 26...
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Design Thinking - Bootcamp

  1. 1. Design ThinkingBootcamp (2-3 days)Selected slides for a typical professional training
  2. 2. Continuous Innovation ≠ Quick WinThis slideset is an exemplarily excerpt of short input presentations given in mydesign thinking and innovation management trainings. In the light of designthinking’s current hype I share them with the hope that it is being understoodbetter and becomes a more widespread and accepted way of innovating –without the disappointments that exaggerated expectations may bring along.If you’re interested in professional training and strategy advisory (also beyond designthinking) you’ll find my contact data here. I facilitate all training formats in cooperationwith experienced DT coaches (e.g. d.School Potsdam and IDEO alumni).
  3. 3. Design ThinkingBootcamp: Day IExperience the basics of design thinking
  4. 4. 1The future is best foundin the opportunities that gounnoticed in the present.Peter Drucker„“
  5. 5. 5Source: http://commons.wikimedia.org/wiki/File:Teststrecke_Roller_Coaster.JPGHow your journey may feel …
  6. 6. Everything that needs to besaid has already been said.But, since no one was listening,everything must be said again.André Paul Guillaume Gide(French author and Nobel Prize literary)„“7It’s a way of designerly (entrepreneurial!) doing and thinking which can be seen as »innovator’s common sense«There is nothing new about “Design Thinking”
  7. 7. The Basics»Design thinking« its origin, nature and use.INPUTImage Credit: New Bauhaus Chicago; Stefanie Di Russo (ithinkidesign.wordpress.com), PhD/Researcher at Swinburne University, Melbourne, Australia
  8. 8. 9Design thinking in the media – a sketchy viewPlace - People - Process‣ Heavy collaboration inmulti-disciplinary teams‣ Space as catalyst‣ Culture of visualizationand prototyping‣ Radical user perspective‣ Heavy use of sticky notes …Source: http://www.ftd.de/karriere/management/:design-thinking-kreativ-um-die-ecke-gedacht/50171916.html
  9. 9. 9Design thinking in the media – a sketchy viewPlace - People - Process‣ Heavy collaboration inmulti-disciplinary teams‣ Space as catalyst‣ Culture of visualizationand prototyping‣ Radical user perspective‣ Heavy use of sticky notes …Source: http://www.ftd.de/karriere/management/:design-thinking-kreativ-um-die-ecke-gedacht/50171916.html
  10. 10. 9Design thinking in the media – a sketchy viewPlace - People - Process‣ Heavy collaboration inmulti-disciplinary teams‣ Space as catalyst‣ Culture of visualizationand prototyping‣ Radical user perspective‣ Heavy use of sticky notes …Source: http://www.ftd.de/karriere/management/:design-thinking-kreativ-um-die-ecke-gedacht/50171916.html
  11. 11. 9Design thinking in the media – a sketchy viewPlace - People - Process‣ Heavy collaboration inmulti-disciplinary teams‣ Space as catalyst‣ Culture of visualizationand prototyping‣ Radical user perspective‣ Heavy use of sticky notes …Source: http://www.ftd.de/karriere/management/:design-thinking-kreativ-um-die-ecke-gedacht/50171916.html
  12. 12. design is to design the design of a design.What is »Design«?cited after John Heskett (former Chair Professor Design, Hong Kong Polytechnic University); adapted from Hardt, M. (2006). Design: The Term Design.Lecture presented at University of Lapland, Rovaniemi Finland. (www.michael-hardt.com/PDF/lectures/design-definition.pdf)a generalconceptor policy1an activity2a plan or intention3 a finished outcome(system, service orproduct)4noun verb noun noun10
  13. 13. value creation + value captureDesign Thinking: Why the sudden Interest?11doing the right thingproblem findingdoing the thing rightproblem solvingFundamental cultural differences …
  14. 14. value creation + value captureDesign Thinking = Strategic Thinking12The Efficiency Movement:Outsourcing, Total Quality Management(TQM), Six Sigma, Lean Manufacturing,Maximizing Return on Assets, CorporateRedesign, Market Segmentation, Licensing,Line Extensions & Diversification, etc.doing the right thingproblem findingdoing the thing rightproblem solving
  15. 15. value creation + value captureDesign Thinking = Strategic Thinking13doing the right thingproblem findingdoing the thing rightproblem solvingDesign is the one business disciplinewhose primary concern is innovation.When design thinking becomes a corecompetency, companies become morenimble in the face of rapidly changingmarkets and new competition.adapted from Bernhard Roth (Academic Director, d.school Stanford)
  16. 16. value creation + value capture = advantageValue migration and the shift to a »value creation economy«Design Thinking = Strategic Thinking14doing the right thingproblem findingdoing the thing rightproblem solving
  17. 17. Value migration and the shift to a »value creation economy«Design Thinking = Strategic Thinking15doing the right thingproblem findingdoing the thing rightproblem solvingDesign ThinkingLean Start-upAgileExecute: Classic Lean
  18. 18. value creation + value capture = strategyDesign Thinking = Strategic Thinking17doing the right thingproblem findingdoing the thing rightproblem solving
  19. 19. Design Thinking = Strategic Thinking17doing the right thingproblem findingdoing the thing rightproblem solving
  20. 20. Mystery Heuristic Algorithm CodeStrategic Thinking and the »Knowledge Funnel«01100111001doing the right thingproblem findingdoing the thing rightproblem solving
  21. 21. 19Embracing and living a »d.mindset« isthe first step - and as we think, perfectprerequisite - to successfully understandand apply lean start-up principles andagile development methods.Image Credit: Nordstrom Innovation Lab (https://secure.nordstrominnovationlab.com/pages/our_process_told_as_our_team_s_timeline)
  22. 22. 20Image Credit: DT Venn Diagram, Stanford d.School
  23. 23. 20Design is the expert discipline forrelating and connecting floating fields.Wolfgang Jonas (1999)„“Image Credit: DT Venn Diagram, Stanford d.School
  24. 24. 21People & Human ValuesUsability & DesirabilityTechnologyFeasibilityBusinessViabilityDesign Thinkingand Value Creation
  25. 25. 21People & Human ValuesUsability & DesirabilityTechnologyFeasibilityBusinessViabilityDesign Thinkingand Value CreationEmotional Innovation:User Interactionand Interface,Relationships,MarketingFunctional Innovation:Organisational BehaviorMarketing & BrandingProcess Innovation:Manufacturing
  26. 26. 21People & Human ValuesUsability & DesirabilityTechnologyFeasibilityBusinessViabilityDesign Thinkingand Value CreationEmotional Innovation:User Interactionand Interface,Relationships,MarketingFunctional Innovation:Organisational BehaviorMarketing & BrandingProcess Innovation:Manufacturing=VALUEINNOVATIONEXPERIENCEINNOVATION
  27. 27. 22Image Credit: © 2011-2012 General Electric CompanyMRI ScanTechnologyAdventureFrameCost AvoidanceLess sedations,more patientsDesign Thinkingand Value Creation
  28. 28. 22Image Credit: © 2011-2012 General Electric CompanyMRI ScanTechnologyAdventureFrameCost AvoidanceLess sedations,more patientsDesign Thinkingand Value CreationVALUEINNOVATION
  29. 29. The Solar Bottle Bulb has beeninstalled to provide ~55 watts of lightThe Solar Bottle Bulb has beeninstalled to provide ~55 watts of lightJaipurKneeHigh Performance: Blends gait stabilitywith a natural swinging motionAffordable: One tenth the cost ofcomparable polycentric knee jointsLightweight: 1.5 lb / 0.68 kgHigh Range of Motion: 165˚ range ofmotion enabling kneeling and squattingUniversal Design: Works with standardprosthetic leg systems including BMVSS andstandard pyramid adapter systemA Prosthetic Knee Joint for Extreme-Affordability:Long Life Span: Benchtop testedto 3-5 years of useDurable Material: Oil-filled nylonpolymer self lubricates with useSimple Geometry: Five plasticpieces and four standard fastenersTakes Inspiration from Biology:Mimics an anatomical knee’s motionThe JaipurKnee is a high-performance, low-cost prosthetic knee joint forabove-knee amputees. Designed in collaboration with Stanford Universityand the Jaipur Foot Organization (BMVSS), the JaipurKnee’s polymer-basedpolycentric design provides a stable gait at a fraction of the cost.SAP Hana Embrace d.lightKeep the Change GE MRI Adventure Series Mayo ClinicsA Liter of Light JaipurKnee Hippo Roller
  30. 30. High Jumps Ship Container vs. Dock Workers GPS vs. Map NavigationHilti Nintendo Wii Godrej chotuKoolMemory Stick vs. Punched Tape Wikipedia vs. Encyclopedia Fluorescent »Computer Furniture«Paradigm Shifts, Market Disruptions and Competitive Advantages
  31. 31. 25Design-led InnovationShared values and principles of a d.culture …INPUThttp://online.wsj.com/article/SB10001424127887324744104578475220275737136.html
  32. 32. 26inside » « outsidePerceived Customer Value = Functional Benefits – Financial CostTRADITIONAL INSIDE-OUT VALUE CHAINWhat areour corecompetencies?What is ourcurrent businessmodel?What elsecould weoffer?What otherchannel couldwe use?What customerswould wesell to?adapted from Peer Insight. (2007). Seizing the White Space: Innovative Service Concepts in the United States, Technology Review.Study, Helsinki: Tekes, the Finnish Funding Agency for Technology and Innovation.1: Have an Outside-in Mindset
  33. 33. 26inside » « outsidePerceived Customer Value = Functional Benefits – Financial CostTRADITIONAL INSIDE-OUT VALUE CHAINWhat areour corecompetencies?What is ourcurrent businessmodel?What elsecould weoffer?What otherchannel couldwe use?What customerswould wesell to?CUSTOMER EXPERIENCE OUTSIDE-IN VALUE CHAINWhat businessdesign would createdefensible profits?What customersdo we want? Whatare their priorities?What do we needto execute thatdesign?Whatcould weoffer?What ecosystemexists to meetthose priorities?Perceived Customer Value = Emotional Benefit – Hassle Factoradapted from Peer Insight. (2007). Seizing the White Space: Innovative Service Concepts in the United States, Technology Review.Study, Helsinki: Tekes, the Finnish Funding Agency for Technology and Innovation.1: Have an Outside-in Mindset
  34. 34. 271: Have an Outside-in MindsetMintzberg, H., Ahlstrand, B., & Lampel, J. (2001). Strategy Safari: A GuidedTour Through The Wilds of Strategic Mangament. New York: The Free Press.The ten Schools after Mintzberg Strategy Formation as … Inherent in DTThe »Design School« Process of Conception The Planning School Formal Process The Positioning School Analytical ProcessThe Entrepreneurial School Visionary ProcessThe Cognitive School Mental ProcessThe Learning School Emergent ProcessThe Power School Process of NegotiationThe Cultural School Collective ProcessThe Environmental School Reactive Process The Configuration School Process of Transformation
  35. 35. 271: Have an Outside-in MindsetMintzberg, H., Ahlstrand, B., & Lampel, J. (2001). Strategy Safari: A GuidedTour Through The Wilds of Strategic Mangament. New York: The Free Press.The ten Schools after Mintzberg Strategy Formation as … Inherent in DTThe »Design School« Process of Conception The Planning School Formal Process The Positioning School Analytical ProcessThe Entrepreneurial School Visionary ProcessThe Cognitive School Mental ProcessThe Learning School Emergent ProcessThe Power School Process of NegotiationThe Cultural School Collective ProcessThe Environmental School Reactive Process The Configuration School Process of TransformationEMERGENT STRATEGYTHINKING
  36. 36. 1: Combine Outside-in & Inside-out28IdentifyBusinessDevelopTechnologyCreateConceptsFit them toUsersUnderstandUsersCreateConceptsBuildBusinessDevelopTechnology1 2 33 2 1Innovating with push (proposing) and pull (exploring)CONNECTadapted from Vijay Kumar: Business & Technology-driven Innovation vs. Design Thinking
  37. 37. 2: Use Empathy for Users & Stakeholders29DesirabilityFeasibility Viability
  38. 38. 2: Use Empathy for Users & Stakeholders29DesirabilityFeasibility ViabilityWhat can be done in terms ofcapabilities and technology?What can befinancially viable?StartWhat is it, people desire?Solution
  39. 39. 303: Embrace Diversity and Multi-disciplinarity
  40. 40. 3: Embrace Diversity and Multi-disciplinarityafter Bill Moggridge, Interaction Design ProfessionsPhysical DesignDigital DesignHuman&SubjectiveTechnical&ObjectiveGRAPHICDESIGNHUMANSCIENCESINDUSTRIALDESIGNINTERACTIONDESIGNWEBDESIGNH.C.I.PHYSICALSCIENCESMECHANICALENGINEERINGPRODUCTIONENGINEERINGHARDWAREENGINEERINGSOFTWAREENGINEERINGCOMPUTERSCIENCES31
  41. 41. 4: Think holistically and systemic32
  42. 42. 35: Generate many, many, many ... new Ideas33
  43. 43. 6: Find and Iterate Alternative Solutions34IterationsAlternativeSolutions
  44. 44. 356: Find and Iterate Alternative Solutions = Market DefinitionMarketBusinessIndustry ZIndustry YIndustry XCustomer GroupsAlternative SolutionsCustomer Functionsafter Abell, D. F. (1980). Defining the Business - The Starting Point of Strategic Planning. NJ: Englewood Cliffs.
  45. 45. Planning & Development Procurement & Production Test, Delivery & Launch7: Fail early, Fail often – But: Fail smart!36COSTSOFERRORSPROJECT PROGRESSTest &Iterate:Number of ErrorsCost per FailureDanger:Post-decision dissonance!»Sunk cost fallacy«Learnhere!Too late!
  46. 46. ReturnTime7: Fail early, Fail often: Design’s Impact on Innovation ROI37-€+€Investment/ReturnImage Credit: Charles Owen (1998)Investment
  47. 47. 388: Make conscious Use of SpaceLaunchLabs, Berlin (www.launchlabs.de)
  48. 48. HUMANCENTEREDBIAS TOWARDSACTIONSHOW DON’TTELLCRAFT CLARITYRADICALCOLLABORATIONCULTUREOF PROTOTYPING &EXPERIMENTATIONMINDFUL OFPROCESS39The famous D.MindsetImage Credit: D.Mindsets, d.School Stanford (dschool.stanford.edu)
  49. 49. meth·od·ol·o·gynoun /ˌmeTH#ˈdäl#jē/ methodologies, pluralThe system of principles, practices, anprocedures applied to any specific branchknowledge41Process, Toolset,Method or what?Annoying discussions around a methodology.INPUT
  50. 50. Convergence-Divergence ID.IIT: Analysis-Synthesis Engine Service Design (UK) »Design Chaos«Spirit of Creation (UK) St. Gallen d.school Potsdam IDEO (Educators Toolkit)d.school Stanford Beckman & Barry Bill Moggridge Stanford’s d.ModesJeanne Liedtka and Tim Ogilvie Stanford’s Necktie Flare ID.IIT: Vijay Kumar42!Diamond 1: Direction setting Diamond 2: Service design Diamond 3: Service productionCreate SelectInitiateInitiate Create Select Define Define SustainVisionDocumentServiceBlueprintCreate SelectInitiate DefineAssimilating ConvergingDiverging AccommodatingActiveExperimentationAbstractConceptualizationConcreteExperienceReflectiveObservationImperativesProblem Finding Solution FindingProblemSelectingSolutionSelectingSolutionsObservationsFrameworksetc.No Need to fear the »Model Mayhem«!ABSTRACTCONCRETEDISCOVERY INTERPRETATION IDEATION EXPERIMENTATION EVOLUTION
  51. 51. ANALYSIS-SYNTHESIS CONVERGENCE-DIVERGENCERE-ENTRY POINT CONCRETE-ABSTRACTMost Common Generic Models of Creative Thinking43S2 S4 S5 S6S3S1
  52. 52. 44OBSERVE IDEATE PROTOTYPE TESTPOINTOF VIEWUNDERSTANDPROBLEM SPACE EXPLORATION SOLUTION SPACE EXPLORATION
  53. 53. SOLUTION SPACE EXPLORATIONOBSERVE IDEATE PROTOTYPE TESTPOINTOF VIEWUNDERSTANDEmpathize Explore ExecuteRe-FrameTalk to ExpertsResearchExperienceImmerseObserveEngageShareSynthesizePoint of ViewBrainstormVisualizePrototypeInsightBig IdeaSticky TakeawayPROBLEM SPACE EXPLORATIONThe most popular Design Thinking Process Representation
  54. 54. OBSERVE IDEATE PROTOTYPE TESTPOINTOF VIEWUNDERSTANDDivergence-Convergence Model“solving” “solving”“seeking”“seeking”PROBLEM SPACE EXPLORATION SOLUTION SPACE EXPLORATIONInitialunderstandingof problemincreasing complexity increasing certaintyProblemdefinition:“reframing”
  55. 55. Analysis-Synthesis Bridge Model47after Dubberly, Evenson & Robinson (2008)Analysis (think)ConcreteAbstractSynthesis (make)What »is«Model ofwhat »is«Model ofwhat»could be«What»could be«distilledtosuggestmanifestasExisting – Implicit(Current)Preferred – Explicit(Future)Frameworks ImperativesSolutionsObservationsProblem Space Solution Space
  56. 56. Analysis-Synthesis Bridge Model48after Owen, Kumar (ID.IIT)Analysis (think)ConcreteAbstractSynthesis (make)Frameworks ImperativesSolutionsOBSERVATIONSPRINCIPLESPLANSTESTSObservationsOBSERVEIDEATEPROTOTYPETESTPOINTOF VIEW
  57. 57. Analysis-Synthesis Bridge Model48after Owen, Kumar (ID.IIT)Analysis (think)ConcreteAbstractSynthesis (make)Frameworks ImperativesSolutionsOBSERVATIONSPRINCIPLESPLANSTESTSObservationsOBSERVEIDEATEPROTOTYPETESTPOINTOF VIEWSolutionSelectingProblemSelectingSolutionFindingProblemFinding
  58. 58. Analysis-Synthesis Bridge Model49after Owen, Kumar (ID.IIT)Analysis (think)ConcreteAbstractSynthesis (make)Frameworks ImperativesSolutionsOBSERVATIONSPRINCIPLESPLANSTESTSObservations
  59. 59. Analysis-Synthesis Bridge Model49after Owen, Kumar (ID.IIT)Analysis (think)ConcreteAbstractSynthesis (make)Frameworks ImperativesSolutionsOBSERVATIONSPRINCIPLESPLANSTESTSObservations
  60. 60. Analysis-Synthesis Bridge Model49after Owen, Kumar (ID.IIT)Analysis (think)ConcreteAbstractSynthesis (make)Frameworks ImperativesSolutionsOBSERVATIONSPRINCIPLESPLANSTESTSObservations
  61. 61. Analysis-Synthesis Bridge Model50after Owen, Kumar (ID.IIT)Analysis (think)ConcreteAbstractSynthesis (make)Frameworks ImperativesSolutionsOBSERVATIONSPRINCIPLESPLANSTESTSObservationsExpress Test CycleAcademic Isolationslavishly user-centeredcloud-cuckoo-land
  62. 62. 51Design as … ExampleProblem FramingDesign redefines the challengesfacing the organization.Umpqua BankApple iPod/iPhone/iTunes-EcosystemDesigningOutCrime SydneyNintendo WiiSAP HANAGodrej chotuKoolProblem SolvingDesign finds new opportunitiesby solving existing problems.The TranstrapKickstart Irrigation PumpsPangea Organics PackagingDigital Rights ManagementOXO Good GripsAquaduct TricycleForm, Feature & FunctionDesign makes things workbetter than they did before.Gillette Mach 3 RazorNokia Mobile PhonesAcer ComputersHewlett Packard DevicesiPod + WheelStyleDesign is the avenueto being hip and cool.TargetMicrosoft ZuneApple Product IdentityMedia Markt Private LabelsNo Conscious DesignDesign has no perceivedvalue for the organization.German Elster Tax Declaration SoftwareTV Remote ControlsDesign Maturity Stages: Adapted from Steve Sato (former HP), Rosa Wu and Jess McMullin (Ambidextrous Magazin 2006-2)
  63. 63. 51Design as … ExampleProblem FramingDesign redefines the challengesfacing the organization.Umpqua BankApple iPod/iPhone/iTunes-EcosystemDesigningOutCrime SydneyNintendo WiiSAP HANAGodrej chotuKoolProblem SolvingDesign finds new opportunitiesby solving existing problems.The TranstrapKickstart Irrigation PumpsPangea Organics PackagingDigital Rights ManagementOXO Good GripsAquaduct TricycleForm, Feature & FunctionDesign makes things workbetter than they did before.Gillette Mach 3 RazorNokia Mobile PhonesAcer ComputersHewlett Packard DevicesiPod + WheelStyleDesign is the avenueto being hip and cool.TargetMicrosoft ZuneApple Product IdentityMedia Markt Private LabelsNo Conscious DesignDesign has no perceivedvalue for the organization.German Elster Tax Declaration SoftwareTV Remote ControlsDesign Maturity Stages: Adapted from Steve Sato (former HP), Rosa Wu and Jess McMullin (Ambidextrous Magazin 2006-2)
  64. 64. 51Design as … ExampleProblem FramingDesign redefines the challengesfacing the organization.Umpqua BankApple iPod/iPhone/iTunes-EcosystemDesigningOutCrime SydneyNintendo WiiSAP HANAGodrej chotuKoolProblem SolvingDesign finds new opportunitiesby solving existing problems.The TranstrapKickstart Irrigation PumpsPangea Organics PackagingDigital Rights ManagementOXO Good GripsAquaduct TricycleForm, Feature & FunctionDesign makes things workbetter than they did before.Gillette Mach 3 RazorNokia Mobile PhonesAcer ComputersHewlett Packard DevicesiPod + WheelStyleDesign is the avenueto being hip and cool.TargetMicrosoft ZuneApple Product IdentityMedia Markt Private LabelsNo Conscious DesignDesign has no perceivedvalue for the organization.German Elster Tax Declaration SoftwareTV Remote ControlsDesign Maturity Stages: Adapted from Steve Sato (former HP), Rosa Wu and Jess McMullin (Ambidextrous Magazin 2006-2)
  65. 65. 51Design as … ExampleProblem FramingDesign redefines the challengesfacing the organization.Umpqua BankApple iPod/iPhone/iTunes-EcosystemDesigningOutCrime SydneyNintendo WiiSAP HANAGodrej chotuKoolProblem SolvingDesign finds new opportunitiesby solving existing problems.The TranstrapKickstart Irrigation PumpsPangea Organics PackagingDigital Rights ManagementOXO Good GripsAquaduct TricycleForm, Feature & FunctionDesign makes things workbetter than they did before.Gillette Mach 3 RazorNokia Mobile PhonesAcer ComputersHewlett Packard DevicesiPod + WheelStyleDesign is the avenueto being hip and cool.TargetMicrosoft ZuneApple Product IdentityMedia Markt Private LabelsNo Conscious DesignDesign has no perceivedvalue for the organization.German Elster Tax Declaration SoftwareTV Remote ControlsDesign Maturity Stages: Adapted from Steve Sato (former HP), Rosa Wu and Jess McMullin (Ambidextrous Magazin 2006-2)
  66. 66. 51Design as … ExampleProblem FramingDesign redefines the challengesfacing the organization.Umpqua BankApple iPod/iPhone/iTunes-EcosystemDesigningOutCrime SydneyNintendo WiiSAP HANAGodrej chotuKoolProblem SolvingDesign finds new opportunitiesby solving existing problems.The TranstrapKickstart Irrigation PumpsPangea Organics PackagingDigital Rights ManagementOXO Good GripsAquaduct TricycleForm, Feature & FunctionDesign makes things workbetter than they did before.Gillette Mach 3 RazorNokia Mobile PhonesAcer ComputersHewlett Packard DevicesiPod + WheelStyleDesign is the avenueto being hip and cool.TargetMicrosoft ZuneApple Product IdentityMedia Markt Private LabelsNo Conscious DesignDesign has no perceivedvalue for the organization.German Elster Tax Declaration SoftwareTV Remote ControlsDesign Maturity Stages: Adapted from Steve Sato (former HP), Rosa Wu and Jess McMullin (Ambidextrous Magazin 2006-2)
  67. 67. 51Design as … ExampleProblem FramingDesign redefines the challengesfacing the organization.Umpqua BankApple iPod/iPhone/iTunes-EcosystemDesigningOutCrime SydneyNintendo WiiSAP HANAGodrej chotuKoolProblem SolvingDesign finds new opportunitiesby solving existing problems.The TranstrapKickstart Irrigation PumpsPangea Organics PackagingDigital Rights ManagementOXO Good GripsAquaduct TricycleForm, Feature & FunctionDesign makes things workbetter than they did before.Gillette Mach 3 RazorNokia Mobile PhonesAcer ComputersHewlett Packard DevicesiPod + WheelStyleDesign is the avenueto being hip and cool.TargetMicrosoft ZuneApple Product IdentityMedia Markt Private LabelsNo Conscious DesignDesign has no perceivedvalue for the organization.German Elster Tax Declaration SoftwareTV Remote ControlsDesign Maturity Stages: Adapted from Steve Sato (former HP), Rosa Wu and Jess McMullin (Ambidextrous Magazin 2006-2)Competitive AdvantageDecadesYearsQuartersMonthsz
  68. 68. LargeScale SystemsSystems and BehaviorArtifact and ExperienceArtifact52
  69. 69. LargeScale SystemsSystems and BehaviorArtifact and ExperienceArtifact52
  70. 70. LargeScale SystemsSystems and BehaviorArtifact and ExperienceArtifact52
  71. 71. LargeScale SystemsSystems and BehaviorArtifact and ExperienceArtifact52theclay streetproject
  72. 72. LargeScale SystemsSystems and BehaviorArtifact and ExperienceArtifact52theclay streetproject
  73. 73. LargeScale SystemsPolicy Design,Systems Design, Infrastructure,Public Service, EnvironmentSystemSystems and BehaviorUrban Planning, Architecture |Service Design, Strategic Design | Culture ServiceArtifact and ExperienceEngineering, Interaction Design, HCI,User Experience, Anthropological Design, HCD ObjectArtifactProduct, Interior | Fashion, Jewelry | Graphic, Digital MediaPyramid of Design Thinking Practice53The Pyramid of DT practice: adapted from Stefanie Di Russo (PhD), Swinburne University, AustraliaLOWHIGHLevel of Complexity
  74. 74. Customer Discovery+ Problem Discovery+ Working Culture+ Structured Unstructured Process+ Sanity and Reason= Design Thinking54
  75. 75. ActivityInsightsNeed StatementInterviewPeopleObjectsEnvironmentsMessagesServicesUser ExperiencePhysicalCognitiveSocialCulturalTime3EmpathizeKnow thy users and stakeholders!INPUT
  76. 76. Image Credit:Tom Fishburne (http://tomfishburne.com)
  77. 77. Directly witnessing and experiencingaspects of behavior in the real world is aproven way of inspiring and informing[new] ideas.The insights that emerge fromcareful observation of peoples behavior[…] uncover all kinds of opportunities thatwere not previously evident.Jane Fulton Suri (2005)http://www.thoughtlessacts.com„“4
  78. 78. 5Use, Usability and MeaningImage Credit: National Archives Record Group 75, Records of the Bureau of Indian Affairs, Sacramento Area Office. Coded Records Relating toPrograms and Administration, 1910-1958, Box 44, file "Survey of Fresno and Madera Counties, L. D. Creel, ca. 1920," NARA Pacific Region, SanFrancisco, USA (http://www.archives.gov/pacific/education/curriculum/4th-grade/acorn-photographs.html)
  79. 79. 5Use, Usability and MeaningImage Credit: National Archives Record Group 75, Records of the Bureau of Indian Affairs, Sacramento Area Office. Coded Records Relating toPrograms and Administration, 1910-1958, Box 44, file "Survey of Fresno and Madera Counties, L. D. Creel, ca. 1920," NARA Pacific Region, SanFrancisco, USA (http://www.archives.gov/pacific/education/curriculum/4th-grade/acorn-photographs.html)
  80. 80. 5Use, Usability and MeaningImage Credit: National Archives Record Group 75, Records of the Bureau of Indian Affairs, Sacramento Area Office. Coded Records Relating toPrograms and Administration, 1910-1958, Box 44, file "Survey of Fresno and Madera Counties, L. D. Creel, ca. 1920," NARA Pacific Region, SanFrancisco, USA (http://www.archives.gov/pacific/education/curriculum/4th-grade/acorn-photographs.html)
  81. 81. 6Image Credit: National Archives Record Group 75, Records of the Bureau of Indian Affairs, Sacramento Area Office. Coded Records Relating toPrograms and Administration, 1910-1958, Box 44, file "Survey of Fresno and Madera Counties, L. D. Creel, ca. 1920," NARA Pacific Region, SanFrancisco, USA (http://www.archives.gov/pacific/education/curriculum/4th-grade/acorn-photographs.html)Jobs-to-be-done are complex constructs …Use, Usability and Meaning
  82. 82. 6Image Credit: National Archives Record Group 75, Records of the Bureau of Indian Affairs, Sacramento Area Office. Coded Records Relating toPrograms and Administration, 1910-1958, Box 44, file "Survey of Fresno and Madera Counties, L. D. Creel, ca. 1920," NARA Pacific Region, SanFrancisco, USA (http://www.archives.gov/pacific/education/curriculum/4th-grade/acorn-photographs.html)Jobs-to-be-done are complex constructs …Use, Usability and Meaning
  83. 83. 7Jobs-to-be-done are complex constructs …Use, Usability and MeaningUse UsabilityImage Credit: National Archives Record Group 75, Records of the Bureau of Indian Affairs, Sacramento Area Office. Coded Records Relating toPrograms and Administration, 1910-1958, Box 44, file "Survey of Fresno and Madera Counties, L. D. Creel, ca. 1920," NARA Pacific Region, SanFrancisco, USA (http://www.archives.gov/pacific/education/curriculum/4th-grade/acorn-photographs.html)
  84. 84. 8Jobs-to-be-done are complex constructs …Use, Usability and MeaningImage Credit: National Archives Record Group 75, Records of the Bureau of Indian Affairs, Sacramento Area Office. Coded Records Relating toPrograms and Administration, 1910-1958, Box 44, file "Survey of Fresno and Madera Counties, L. D. Creel, ca. 1920," NARA Pacific Region, SanFrancisco, USA (http://www.archives.gov/pacific/education/curriculum/4th-grade/acorn-photographs.html)
  85. 85. 8Jobs-to-be-done are complex constructs …Use, Usability and MeaningImage Credit: National Archives Record Group 75, Records of the Bureau of Indian Affairs, Sacramento Area Office. Coded Records Relating toPrograms and Administration, 1910-1958, Box 44, file "Survey of Fresno and Madera Counties, L. D. Creel, ca. 1920," NARA Pacific Region, SanFrancisco, USA (http://www.archives.gov/pacific/education/curriculum/4th-grade/acorn-photographs.html)
  86. 86. Reproduced from the archival holdings of the National Archives and Records Administration – Pacific Region (San Francisc5. This is [a] Chuckachancy [sic] Indian woman preparing acorns for grinding. Some of tacorns may be seen lying on the platform. Removing the hull of the acorn is a slow and difficuoperation. The shell is sometimes cracked with a small stone and the hulls picked off but oftenthey are moved by the teeth of the women. This woman was probably seventy-five or -eightyears of age, yet she was removing the shells with her teeth which were absolutely perfect.duced from the archival holdings of the National Archives and Records Administration – Pacific Region (San Francisco)Baskets used in the preparation of mush and bread from the acorn. These Indians are theexpert basket makers now living and their baskets demand high prices. After the acorns ared into meal a mound of white sand is built about eighteen inches in height for feet inter, flattened at the top and hollowed out. A cloth is spread over this, the acorn flourbuted evenly around and covered with small fir boughs. During this time a number ofstones have been heating in a nearby fire. Water is placed in one of the baskets and heatedse stones until moderately hot when the water is poured through these fir boughs onto theor the purpose of leaching out the bitter principle contained in the acorn. As soon as this isughly leached the meal is placed in another basket and it is filled with water and boiled byerring these hot rocks to the basket and reheating them as fast as they are cooled by theThis is kept up until it is thoroughly cooked. Enough is cooked to last the family about aor ten days. The mush is kept in a basket. From meal to meal a portion is dipped out into aer basket and reduced to a thin gruel or soup, which is eaten in smaller baskets.9Image Credit: National Archives Record Group 75, Records of the Bureau of Indian Affairs, Sacramento Area Office. Coded Records Relating toPrograms and Administration, 1910-1958, Box 44, file "Survey of Fresno and Madera Counties, L. D. Creel, ca. 1920," NARA Pacific Region, SanFrancisco, USA (http://www.archives.gov/pacific/education/curriculum/4th-grade/acorn-photographs.html)Jobs-to-be-done are complex constructs …Use, Usability and MeaningUse Usability
  87. 87. Reproduced from the archival holdings of the National Archives and Records Administration – Pacific Region (San Francisc5. This is [a] Chuckachancy [sic] Indian woman preparing acorns for grinding. Some of tacorns may be seen lying on the platform. Removing the hull of the acorn is a slow and difficuoperation. The shell is sometimes cracked with a small stone and the hulls picked off but oftenthey are moved by the teeth of the women. This woman was probably seventy-five or -eightyears of age, yet she was removing the shells with her teeth which were absolutely perfect.duced from the archival holdings of the National Archives and Records Administration – Pacific Region (San Francisco)Baskets used in the preparation of mush and bread from the acorn. These Indians are theexpert basket makers now living and their baskets demand high prices. After the acorns ared into meal a mound of white sand is built about eighteen inches in height for feet inter, flattened at the top and hollowed out. A cloth is spread over this, the acorn flourbuted evenly around and covered with small fir boughs. During this time a number ofstones have been heating in a nearby fire. Water is placed in one of the baskets and heatedse stones until moderately hot when the water is poured through these fir boughs onto theor the purpose of leaching out the bitter principle contained in the acorn. As soon as this isughly leached the meal is placed in another basket and it is filled with water and boiled byerring these hot rocks to the basket and reheating them as fast as they are cooled by theThis is kept up until it is thoroughly cooked. Enough is cooked to last the family about aor ten days. The mush is kept in a basket. From meal to meal a portion is dipped out into aer basket and reduced to a thin gruel or soup, which is eaten in smaller baskets.10Image Credit: National Archives Record Group 75, Records of the Bureau of Indian Affairs, Sacramento Area Office. Coded Records Relating toPrograms and Administration, 1910-1958, Box 44, file "Survey of Fresno and Madera Counties, L. D. Creel, ca. 1920," NARA Pacific Region, SanFrancisco, USA (http://www.archives.gov/pacific/education/curriculum/4th-grade/acorn-photographs.html)Jobs-to-be-done are complex constructs …Use, Usability and MeaningUse UsabilityMeaning
  88. 88. Reproduced from the archival holdings of the National Archives and Records Administration – Pacific Region (San Francisc5. This is [a] Chuckachancy [sic] Indian woman preparing acorns for grinding. Some of tacorns may be seen lying on the platform. Removing the hull of the acorn is a slow and difficuoperation. The shell is sometimes cracked with a small stone and the hulls picked off but oftenthey are moved by the teeth of the women. This woman was probably seventy-five or -eightyears of age, yet she was removing the shells with her teeth which were absolutely perfect.duced from the archival holdings of the National Archives and Records Administration – Pacific Region (San Francisco)Baskets used in the preparation of mush and bread from the acorn. These Indians are theexpert basket makers now living and their baskets demand high prices. After the acorns ared into meal a mound of white sand is built about eighteen inches in height for feet inter, flattened at the top and hollowed out. A cloth is spread over this, the acorn flourbuted evenly around and covered with small fir boughs. During this time a number ofstones have been heating in a nearby fire. Water is placed in one of the baskets and heatedse stones until moderately hot when the water is poured through these fir boughs onto theor the purpose of leaching out the bitter principle contained in the acorn. As soon as this isughly leached the meal is placed in another basket and it is filled with water and boiled byerring these hot rocks to the basket and reheating them as fast as they are cooled by theThis is kept up until it is thoroughly cooked. Enough is cooked to last the family about aor ten days. The mush is kept in a basket. From meal to meal a portion is dipped out into aer basket and reduced to a thin gruel or soup, which is eaten in smaller baskets.10Image Credit: National Archives Record Group 75, Records of the Bureau of Indian Affairs, Sacramento Area Office. Coded Records Relating toPrograms and Administration, 1910-1958, Box 44, file "Survey of Fresno and Madera Counties, L. D. Creel, ca. 1920," NARA Pacific Region, SanFrancisco, USA (http://www.archives.gov/pacific/education/curriculum/4th-grade/acorn-photographs.html)Jobs-to-be-done are complex constructs …Use, Usability and MeaningUse UsabilityMeaningNEED
  89. 89. 11OBSERVE IDEATE PROTOTYPE TESTPOINTOF VIEWUNDERSTANDExpertise Empathy Explore ExecuteRe-FrameUNDERSTAND OBSERVE
  90. 90. Empathy: Immerse, Observe, Engage12See the world throughsomeone else’s eyesWalk in otherpeople’s shoesImmerse yourself intotheir experiencesImage Credit: © MIT AgeLab, Age Gain Now Empathy System; Photos by Nathan Fried-Lipski
  91. 91. Empathy: Methods Triangulation13THE RIGHTBALANCE?What people experience.TRY: ImmersionParticipatory DesignWhat people do.LOOK: ObservationsEthnographyWhat people say they do.ASK: EngagementContextual Interviewing
  92. 92. MARKET RESEARCH INSIGHTS RESEARCHThe Dispute over Methods14Image Credit: after Polaine, A., Løvlie, L., & Reason, B. (2013). Service design: from insight to implementation. (1st ed.). Rosenfeld Media.;Lightbulb Icon → Idea designed by Björn Andersson from The Noun Project100 People10 Truths10 People100 Insights
  93. 93. 16Image Credit: © MIT AgeLab, Age Gain Now Empathy System; Photos by Nathan Fried-LipskiExperience what your user might experience …Immerse. Observe. Engage.
  94. 94. 17Experience what your user might experience …Immerse. Observe. Engage.Image Credit: © Klara Lindner for Mobisol GmbH Berlin
  95. 95. The time, place, conditions, andcircumstances within which aspirationsare conceived, decisions are made,and product usage takes place have animpact on the levels of satisfactionexperienced in the aftermath.Research practice that ignores contextis doomed to misunderstanding andmisrepresentation.Jane Fulton Suri (2005)http://www.thoughtlessacts.com„“20
  96. 96. 22Be a fly on the wall: The art of unobtrusive research …Immerse. Observe. Engage.Image Credit: © Klara Lindner for Mobisol GmbH Berlin
  97. 97. 23Image Credit: © Klara Lindner for Mobisol GmbH BerlinARTIFACTSDOING(behavior)SEEINGTHINKING (framing)WHEREWHENHEARINGINTERACTIONS(services)MESSAGES
  98. 98. 23Image Credit: © Klara Lindner for Mobisol GmbH BerlinARTIFACTSDOING(behavior)SEEINGTHINKING (framing)WHEREWHENHEARINGINTERACTIONS(services)Religion: ChristianMESSAGES
  99. 99. 23Image Credit: © Klara Lindner for Mobisol GmbH BerlinARTIFACTSDOING(behavior)SEEINGTHINKING (framing)WHEREWHENHEARINGINTERACTIONS(services)Religion: ChristianWorkaround:Beer CoverMESSAGES
  100. 100. 23Image Credit: © Klara Lindner for Mobisol GmbH BerlinARTIFACTSDOING(behavior)SEEINGTHINKING (framing)WHEREWHENHEARINGINTERACTIONS(services)Religion: ChristianWorkaround:Beer CoverPotential »Distribution Partner«MESSAGES
  101. 101. People do not always do what you think they do.People do not always do what you tell them to do.People do not always do what they think they do.People do not always do what they say they do.Observation and asking why makesyou find out what people really do and need.23People say one thing but yet do anotherImmerse. Observe. Engage.Image Credit: http://images.businessweek.com/ss/06/05/ethnography/image/01_intro.jpg
  102. 102. ActivityInsightsNeed StatementInterviewPeopleObjectsEnvironmentsMessagesServicesUser ExperiencePhysicalCognitiveSocialCulturalTime24Advanced ways of structuring your field workObservation TechniquesActivity InsightsNeed StatementInterviewPeople Objects Environments Messages ServicesUser ExperiencePhysicalCognitiveSocialCulturalEmotionalTimePOEMSImage Credit - Cultural Probes: Final student project of Helle Rohde Andersen (http://ciid.dk/education/portfolio/idp11/final-projects/seam-city/)Image Credit - WHW, AEIOU: d.school Stanford / Bootcamp Bootleg 2010Cultural ProbesWhat-How-Why?| || |During observation mode, What? | How? | Why? is a tool that can help you drive to deeper levels ofobservation. This simple scaffolding allows you to move from concrete observations of the happenings of aparticular situation to the more abstract potential emotions and motives that are at play in the situationyou’re observing. This is a particularly powerful technique to leverage when analyzing photos that your teamhas taken into the field, both for synthesis purposes, and to direct your team to future areas of needfinding.Set-up: Divide a sheet into three sections: What?, How?, and Why?Start with concrete observations:What is the person you’re observing doing in a particular situation or photograph? Use descriptive phrasespacked with adjectives and relative descriptions.Move to understanding:How is the person you’re observing doing what they are doing? Does it require effort? Do they appearrushed? Pained? Does the activity or situation appear to be impacting the user’s state of being eitherpositively or negatively? Again, use as many descriptive phrases as possible here.Step out on a limb of interpretation:Why is the person you’re observing doing what they’re doing, and in the particular way that they are doingit? This step usually requires that you make informed guesses regarding motivation and emotions. Step outon a limb in order to project meaning into the situation that you have been observing. This step will revealassumptions that you should test with users, and often uncovers unexpected realizations about a particularsituation.What? | How? | Why?METHOD
  103. 103. mework helped researchers do rapid ethnography and work within research parameters pertaining to the topic. Thfound plastic into large jute bags and carry it on foot to a plastic wholesaler, wstifies the activity.POEMS Field Notes27Designing for the Base of the Pnd work within research paramargImage Credit: Designing for the Base of the Pyramid, Patrick Whitney, Anjali Kelkar (2004)
  104. 104. 29Enlightening conversations …Immerse. Observe. Engage.Image Credit: © Klara Lindner for Mobisol GmbH Berlin
  105. 105. 30Enlightening conversations …Immerse. Observe. Engage.
  106. 106. 31Enlightening conversations …Immerse. Observe. Engage.Image Credit: © Klara Lindner for Mobisol GmbH Berlin | http://www.gretchenchern.com/wp-content/uploads/2011/06/contextual_Affinity.jpg
  107. 107. The Anatomy of an Interview32after Michael Barry (d.school Stanford, Point Forward) and Aristotle dramatic structureexpositionrisingactionclimaxfallingactionresolutionIntroKick-offBuildRapportGrandTourReflectionWrap-upIntroYourselfIntroProjectEvokeStoriesExploreEmotionsQuestionStatements
  108. 108. Let subjects tell their own story, and listen forthe things that elicit emotion, cause themconcern or frustration."If you want to find out what people reallyneed, you have to forget about your problemsand worry about their lives." (Dale Carnegie)34Cast aside your Biases, Listen and Observe01Image Credit & Source: d.school Stanford
  109. 109. Let them relate their successes and failures.Stories encompass the implicit rules thatgovern and organize peoples lives and revealwhat they find normal, acceptable and true.They reveal moral codes, sources of pride,shames, shoulds and should-nots.35Listen to Peoples Personal Stories02Image Credit & Source: d.school Stanford
  110. 110. Opportunities for innovation lie withinthe disconnect between action and words.36Contradictions between what People say and do03Image Credit & Source: d.school Stanford
  111. 111. People make do and work around theshortcomings of products and situations.In everyday life, we all come up with "workarounds," clumsy or clever, that we usuallyare totally unaware of.You must take note.37Watch for »Work Arounds«04Image Credit & Source: d.school Stanford
  112. 112. Needs open up possibilities, solutionsconstrain them.If you start with a solution then you mayoverlook the possibility of coming up with anentirely new and revolutionary product orservice.39Distinguish between Needs and Solutions05Image Credit & Source: d.school Stanford
  113. 113. Your research may seem so routine andfamiliar that you feel there is nothing newto be learned.Boredom and frustration easily set in.Stay alert!The epiphanies and insightsemerge from the nuances.40Look beyond the Obvious06Image Credit & Source: d.school Stanford
  114. 114. Beginners Mindset15
  115. 115. Interview Preparation‣ Brainstorm questions‣ Discover themes‣ Refine and memorize questions‣ Use prompts41
  116. 116. Interview Preparation‣ Brainstorm questions‣ Discover themes‣ Refine and memorize questions‣ Use prompts41
  117. 117. Design ThinkingBootcamp: Day IIYour work has only just begun …
  118. 118. If I had an hour to solve a problem and mylife depended on the solution, I’d spendthe first 55 minutes determining theproper question to ask, for once I knowthe proper question to ask, I could solvethe problem in less than 5 minutes.Albert Einstein„“2Do we actually solve the problem we think we do?Problem Reframing: Point of View
  119. 119. 3DefineBlind men and elephant?INPUT
  120. 120. 4OBSERVE IDEATE PROTOTYPE TESTPOINTOF VIEWUNDERSTAND POINTOF VIEW
  121. 121. The Knowledge Funnel5Mystery Heuristic Algorithm CodeImage Credit: adapted from Martin, R. L. (2009). The Reliability Bias - Why Advancing Knowledge is so hard. &Design of Business: Why Design Thinking is the Next Competitive Advantage (pp. 33-56) Mcgraw-Hill Professional.01100111001
  122. 122. Frame Creation: Defining the »Right Problem«ArchaeologyParadoxStakeholdersProblem ArenaThemesFramesFuturesTransformationsConnections6after Kees Dorst, 2012 (d.confestival Potsdam)
  123. 123. 7Workspace @ d.school PotsdamMaking Sense of the »mess of data«.Problem Reframing = Synthesis
  124. 124. 8Making Sense of the »mess of data«.Problem Reframing: Tips & Tricks
  125. 125. 9Composite characters – the shortcut to empathy.Persona ConstructionImage Credit: Cooper, A., & Reimann, R. M. (2003). About Face 2.0: The Essentials of Interaction Design (2nd ed.). Indianapolis: Wiley & Sons.
  126. 126. 10Framing and re-framing of the problem.Point of ViewUser + Need + Insightproblem statementsurprising anomaly
  127. 127. 11Image Credit: © 2011 General Electric Company (http://www.gehealthcare.com/promo/advseries/adventure_series.html)User: Kids with cancer.Need: Play and have fun. Feel like a normal child.Insight: Kids participate in everything once they perceive it as an adventure.“How might we turn MRI scans for children(fearing »medical treatment«) into an adventure?”
  128. 128. 12Image Credit: © Embrace (www.embraceglobal.org)User: Young moms in poor rural areas in developing countries.Need: Always carry baby close to body equals being a good mother.Insight: Low cultural acceptance in many countries to »leave babies alone« (e.g. in incubators).“How might we create an non-electrical infantincubator that keeps babies close to mother’s body?”
  129. 129. 13Image Credit: © Lynx Team @ MIT & RSID’s »Design that matters« course (http://designthatmatters.org/news/dtm-blog/2011/03/dtm_leads_first.php)User: Kids equipped with hearing aids in rural indiaNeed: Charge them easily without elictricity gridInsight: Families reject them due to increased theft risk of expensive devices and accessories“How might we design a solar charging systemthat reduces risk and perceived risk theft?”
  130. 130. 14User: Stressed mother of kidsNeed: Finally some time to recover and relaxInsight: Wants to do sth. for herself“How might we help Anna to relax more?”
  131. 131. 14User: Stressed mother of kidsNeed: Finally some time to recover and relaxInsight: Wants to do sth. for herself“How might we help Anna to relax more?”
  132. 132. 1INPUTPrototypeIdeas made tangible and testable …Image Credits: © NASA (Gemini Mission 1965); Control Stick: Steve Jurvetson (jurvetson) @ Flickr(http://www.flickr.com/photos/jurvetson/5227637637/sizes/l/in/photostream/)
  133. 133. Why Prototype?Gain empathyExploreInspireTest2→ get deeper understanding→ build to think→ catalyse inspiration→ learn and refine solutions
  134. 134. 3OBSERVE IDEATE PROTOTYPE TESTPOINTOF VIEWUNDERSTAND PROTOTYPE
  135. 135. 4Prototyped artifacts may come in many forms ...PrototypingImage Credit: © Klara Lindner for Mobisol GmbH Berlin
  136. 136. 5Image Credit: Martin Jordan (http://www.service-design-berlin.de/)Prototyped artifacts may come in many forms ...Prototyping
  137. 137. 6Prototyped artifacts may come in many forms ...Prototyping
  138. 138. 7Prototyped artifacts may come in many forms ...Prototyping
  139. 139. 8Image Credit: Elias Barrasch (http://www.blog.eliasbarrasch.de/)Prototyped artifacts may come in many forms ...Prototyping
  140. 140. HUMANCENTEREDBIAS TOWARDSACTIONSHOW DON’TTELLCRAFT CLARITYRADICALCOLLABORATIONCULTUREOF PROTOTYPING &EXPERIMENTATIONMINDFUL OFPROCESS9
  141. 141. ProtoTypesWhich aspects do youwant to represent/test?Choose testing variable‣ Looks-like‣ Works-like‣ Interacts-like‣ Feels-like‣ etc.10
  142. 142. High»Mock-up« of the idea:representation as closeas possible to the ideaMiddleRepresentation ofaspects of the ideaLowConceptualrepresentationRestrictedControlled EnvironmentGeneralAny user, any environmentPartialFinal user or environmentTotalFinal user + environmentPrototype Fidelity and Testing Context11Image Credit: EmbraceFIDELITYCONTEXTLEVEL“Make sure you are building the right »it« before you build it right”
  143. 143. High»Mock-up« of the idea:representation as closeas possible to the ideaMiddleRepresentation ofaspects of the ideaLowConceptualrepresentationRestrictedControlled EnvironmentGeneralAny user, any environmentPartialFinal user or environmentTotalFinal user + environmentPrototype Fidelity and Testing Context11Image Credit: EmbraceFIDELITYCONTEXTLEVEL“Make sure you are building the right »it« before you build it right”
  144. 144. 12Google Glass’ Lo-fi PrototypingSource: Tom Chi (Google X) @ TED (http://blog.ted.com/2013/02/01/google-glass-prototyped-using-binder-clips-and-clay/)#1Experience:Augmentation
  145. 145. 12Google Glass’ Lo-fi Prototyping1 DAYSource: Tom Chi (Google X) @ TED (http://blog.ted.com/2013/02/01/google-glass-prototyped-using-binder-clips-and-clay/)#1Experience:Augmentation
  146. 146. 12Google Glass’ Lo-fi Prototyping1 DAYSource: Tom Chi (Google X) @ TED (http://blog.ted.com/2013/02/01/google-glass-prototyped-using-binder-clips-and-clay/)#2Options Exploring:Gesture Control#1Experience:Augmentation
  147. 147. 12Google Glass’ Lo-fi Prototyping1 DAYSource: Tom Chi (Google X) @ TED (http://blog.ted.com/2013/02/01/google-glass-prototyped-using-binder-clips-and-clay/)#2Options Exploring:Gesture Control#1Experience:Augmentation45 MIN
  148. 148. 12Google Glass’ Lo-fi Prototyping1 DAYSource: Tom Chi (Google X) @ TED (http://blog.ted.com/2013/02/01/google-glass-prototyped-using-binder-clips-and-clay/)#3Try & Iterate:Shape, Size, Weight#2Options Exploring:Gesture Control#1Experience:Augmentation45 MIN
  149. 149. ½ HOUR12Google Glass’ Lo-fi Prototyping1 DAYSource: Tom Chi (Google X) @ TED (http://blog.ted.com/2013/02/01/google-glass-prototyped-using-binder-clips-and-clay/)#3Try & Iterate:Shape, Size, Weight#2Options Exploring:Gesture Control#1Experience:Augmentation45 MIN
  150. 150. You See: It’s no Rocket Science!13
  151. 151. 1INPUTIterate! Test!Ready for the ride?Image Credit: United States Library of Congress, Prints & Photographs Division, Photochrom Collection, [Circus Rings, Luna Park, Coney Island]
  152. 152. HUMANCENTEREDBIAS TOWARDSACTIONSHOW DON’TTELLCRAFT CLARITYRADICALCOLLABORATIONCULTUREOF PROTOTYPING &EXPERIMENTATIONMINDFUL OFPROCESS2
  153. 153. No Sales Pitch!3
  154. 154. How to Test …1. Let your users experience the prototype2. Observe their experience3. Engage them5
  155. 155. AdvancedDesign-drivenInnovationBootcamp Follow-up Session I
  156. 156. You want »definitions« - eh?Management Perspective‣ “A way to instill customer-centricity and empathy [...], to solve complex problems [and a]methodology to foster exploration and experimentation.” (Mootee 2011, p.3)‣ “A person or organization instilled with that discipline is constantly seeking a fruitful balancebetween reliability and validity, between art and science, between intuition and analytics, andbetween exploration and exploitation” (R. L. Martin 2009, p.62) Therefore “[d]esign thinking is theapplication of integrative thinking to the task of resolving the conflict between reliability andvalidity, between exploitation and exploration, and between analytical thinking and intuitivethinking. Both ways require a balance of mastery and originality” (ibid, p.165).‣ “Design thinking is the way designers think: the mental processes they use to design objects,services or systems, as distinct from the end result of elegant and useful products. Designthinking results from the nature of design work: a project-based work flow around ‘wicked’problems.” (Dunne & R. Martin 2006)‣ Temporal working definition from a business background (Weatherhead School of Management):“Design is the process of finding and solving non-routine (wicked) problems, often with a focuson bringing new products or services to market. Design is the intentional assembly of systemswith interacting parts to achieve some objective. Design is a collection of methods andtechniques, often drawn from the fine arts, to creatively solve problems.” (Collopy 2009)4
  157. 157. You want »definitions« - eh?Learning and Process Perspective‣ “Design is the creation process through which we employ tools and language to invent artifactsand institutions. As society has evolved, so has our ability to design. [Design thinking as aprocess has] recognizable phases, and these, while not always in the same order, nearly alwaysbegin with analytic phases of search and understanding, and end with synthetic phases ofexperimentation and invention” (Charles Owen, as cited in Beckman & Barry 2007, p.27). →process of knowledge development, which has both analytical (finding and discovery) andsynthetic (invention and making) elements and operates in both the theoretical and practicalrealm.Practice Perspective‣ “Design thinking can be described as a discipline that uses the designer’s sensibility andmethods to match people’s needs with what is technologically feasible and what a viablebusiness strategy can convert into customer value and market opportunity, [it] converts need intodemand.” (T. Brown 2008)5
  158. 158. 2000‘sInnovation &Competitiveness1990‘sBrandbuilding1980‘sDesignManagement1970‘sThe rise ofErgonomics1960‘sInvolvingIndustry1950‘sPromotingthe Nation„global competitionand renewal“„the China-phenomenon“„total experiencedesign – fromconcept to retail“„our product portfoliois consistent“„the user (be it a childor an elderly) is themost important“„design as part of theindustrial productdevelopment process“„We got a prizein Milano!“design as ainnovationdriverdesignfor creatingexperiences forthe customerdesign as aco-ordinatordesign for userunderstandingdesign as part of ateam together withmechanics andmarketingthe designeras a creator6Design Practice and Design Management Perspectivesadapted from Valtonen, A. (2007). Redefining Industrial Design: Changes in the Design Practice in Finland(PhD Thesis). University of Art and Design, Helsinki, Helsinki.strategyvision roadmapsproductdefinitionentire productdevelopmentprocessproductaesthetics„styling“typical rolefor thedesignerproximityto themarkettypicalstatement ondesign
  159. 159. 2000‘sInnovation &Competitiveness1990‘sBrandbuilding1980‘sDesignManagement1970‘sThe rise ofErgonomics1960‘sInvolvingIndustry1950‘sPromotingthe Nation„global competitionand renewal“„the China-phenomenon“„total experiencedesign – fromconcept to retail“„our product portfoliois consistent“„the user (be it a childor an elderly) is themost important“„design as part of theindustrial productdevelopment process“„We got a prizein Milano!“design as ainnovationdriverdesignfor creatingexperiences forthe customerdesign as aco-ordinatordesign for userunderstandingdesign as part of ateam together withmechanics andmarketingthe designeras a creator6Design Practice and Design Management Perspectivesadapted from Valtonen, A. (2007). Redefining Industrial Design: Changes in the Design Practice in Finland(PhD Thesis). University of Art and Design, Helsinki, Helsinki.strategyvision roadmapsproductdefinitionentire productdevelopmentprocessproductaesthetics„styling“typical rolefor thedesignerproximityto themarkettypicalstatement ondesignShared Value?
  160. 160. 2000‘sInnovation &Competitiveness1990‘sBrandbuilding1980‘sDesignManagement1970‘sThe rise ofErgonomics1960‘sInvolvingIndustry1950‘sPromotingthe Nation„global competitionand renewal“„the China-phenomenon“„total experiencedesign – fromconcept to retail“„our product portfoliois consistent“„the user (be it a childor an elderly) is themost important“„design as part of theindustrial productdevelopment process“„We got a prizein Milano!“design as ainnovationdriverdesignfor creatingexperiences forthe customerdesign as aco-ordinatordesign for userunderstandingdesign as part of ateam together withmechanics andmarketingthe designeras a creator6Design Practice and Design Management Perspectivesadapted from Valtonen, A. (2007). Redefining Industrial Design: Changes in the Design Practice in Finland(PhD Thesis). University of Art and Design, Helsinki, Helsinki.strategyvision roadmapsproductdefinitionentire productdevelopmentprocessproductaesthetics„styling“typical rolefor thedesignerproximityto themarkettypicalstatement ondesignShared Value?2010’s
  161. 161. 7WhoWhatHowWho is our customer and what does he value?What value do weactually deliver,a.k.a. which busi-ness are we in?How to create,deliver andcapture partsof that value?Know whatsolutionsto build.Products & services,new meanings,new experiencesKnow for whom to build.Market Disclosing,User(s) segments,Individual needsKnow howto profitablyimplement this.Business models,Value capture mechanismsExamples:Observation andintegration of, oradaption to currentuser practices (e.g.repurposes or hacks)Examples: Designdiscourse, designexperiments,prototypesExamples:Existing tools and approachesfor constructing new user/experience journeysCore principles, practices,processes and tools of higherorder design (e.g. heavycollaboration and co-creation,permanent interaction,validity-seeking systemsthinking, etc.)InnovateValue byDesignadapted from Sniukas, M. (2007). Reshaping Strategy: The Content, Process, and Context of Strategic Innovation.
  162. 162. 8Design in Business -or-Business DesignWhy a HCD posture is the new competitive advantageINPUT
  163. 163. Progression of Economic Value10DifferentiatedUndifferentiatedCompetitivePositionPricingNeedsofCustomersRelevant toIrrelevant toMarket PremiumExtractCommoditiesMakeGoodsStageExperiencesGuideTransformationsCustomizationCustomizationCommoditizationCommoditizationCommoditization
  164. 164. 11DifferentiatedUndifferentiatedCompetitivePositionPricingNeedsofCustomersRelevant toIrrelevant toMarket PremiumExtractCommoditiesMakeGoodsStageExperiencesGuideTransformationsCustomizationCustomizationCommoditizationCommoditizationCommoditizationStages of ExperienceEXPERIENCE?TRANSFORMATIONPRODUCTSERVICECOMMODITY1¢-2¢Cup5¢-25¢Cup€1.00-€2.50Cup€3.00-€4.50CupWhat’snext?
  165. 165. If you charge for Stuff,then you are in the commodity business.If you charge for tangible things,then you are in the goods business.If you charge for the activities you execute,then you are in the service business.If you charge for the time customers spend with you,then you are in the experience business.If you charge for the demonstrated outcomethe customer achieves, then and only thenare you in the transformation business.12Image Credit: Joe Pine & Jim Gilmore (Source: http://www.strategichorizons.com)Pine & Gilmore (1999, p.194)„“
  166. 166. 13Perceived Customer Value = Functional Benefits – Financial Costinside » « outsideHow do you strategize?TRADITIONAL INSIDE-OUT VALUE CHAINWhat areour corecompetencies?What is ourcurrent businessmodel?What elsecould weoffer?What otherchannel couldwe use?What customerswould wesell to?adapted from Peer Insight. (2007). Seizing the White Space: Innovative Service Concepts in the United States, Technology Review.Study, Helsinki: Tekes, the Finnish Funding Agency for Technology and Innovation.
  167. 167. 13Perceived Customer Value = Functional Benefits – Financial Costinside » « outsideHow do you strategize?TRADITIONAL INSIDE-OUT VALUE CHAINWhat areour corecompetencies?What is ourcurrent businessmodel?What elsecould weoffer?What otherchannel couldwe use?What customerswould wesell to?CUSTOMER EXPERIENCE OUTSIDE-IN VALUE CHAINWhat businessdesign would createdefensible profits?What customersdo we want? Whatare their priorities?What do we needto execute thatdesign?Whatcould weoffer?What ecosystemexists to meetthose priorities?Perceived Customer Value = Emotional Benefit – Hassle Factoradapted from Peer Insight. (2007). Seizing the White Space: Innovative Service Concepts in the United States, Technology Review.Study, Helsinki: Tekes, the Finnish Funding Agency for Technology and Innovation.
  168. 168. 14BOTTOM-UPTOP-DOWNINSIDE-OUT OUTSIDE-INValueCreation &InnovationOpportuniesHuman-centricInnovationBusiness- &Technology-drivenInnovation(Latent) Needs DiscoveryAlternative Practices & SolutionsBusiness OpportunitiesBusiness Opportunities(Organisational, Technological)Internal ChangeStrategy & BrandEnvironmental FactorsMarket ChangesCompetitors MovesStaff AbilitiesStaff ExperienceDispersed KnowledgeUsers’ Value CreationProviders Value FacilitationDo we talk about the same thing here?How do you strategize?Internal Change External Change
  169. 169. Reliability Bias?15Business People Designer100% Reliability 100% ValidityReliability vs. Validitya fundamental predilection gap50/50 MixMartin, R. L. (2009). Design of Business: Why Design Thinking Is the Next Competitive Advantage. Mcgraw-Hill Professional.
  170. 170. The (Danish) Design Ladder16Non-designDesign is a negligible part of the product developmentprocess and usually performed by other professionals thanthe designer.1st stepDesign as stylingDesign is seen solely as relating to the physical form of theproduct. This can be the work of a designer, but usuallycreated by others.2nd stepDesign as processDesign is a method integrated early into the developmentprocess. The production outcomes requires contributionsfrom several specialists.3rd stepDesign as innovationThe designer works closely alongside to the company’smanagement on complete or partial renewal of the totalbusiness concept.4th stepSVID. (2003). 10 Points. Attitudes, Profitability and Design Maturity in Swedish Companies (Study). Designs økonomiske effekter”(the economic effects of design). Stockholm: Swedish Industrial Design Foundation.
  171. 171. Correlation of Design Activities and Average Growth in Turnover17SVID. (2003). 10 Points. Attitudes, Profitability and Design Maturity in Swedish Companies (Study). Designs økonomiske effekter”(the economic effects of design). Stockholm: Swedish Industrial Design Foundation.Design as innovation, 9.0%Design as process, 8.9%Design as styling, 6.5%Non-design, 7.4%0 1 2 3 4 5 6 7 8 9 10
  172. 172. Innovation AmbitionBe clear about your innovation intent. Balance your innovation portfolio.18HOWTOWINWHERE TO PLAYadapted from Nagji, B., & Tuff, G. (2012). Managing Your Innovation Portfolio - Harvard Business Review. May 2013.Newmarkets andcustomersCreate new markets/target new customerneedsExtension /entering ofadjacentmarkets andcustomersExistingmarkets andcustomersTransformationalAdjacentCoreCurrent capabilitiesUse existing productsand assetsNew capabilitiesAdd incremental productsand assetsNew business modelsDevelop new productsand assets
  173. 173. Innovation AmbitionBe clear about your innovation intent. Balance your innovation portfolio.18HOWTOWINWHERE TO PLAYadapted from Nagji, B., & Tuff, G. (2012). Managing Your Innovation Portfolio - Harvard Business Review. May 2013.Newmarkets andcustomersCreate new markets/target new customerneedsExtension /entering ofadjacentmarkets andcustomersExistingmarkets andcustomersTransformationalAdjacentCoreCurrent capabilitiesUse existing productsand assetsNew capabilitiesAdd incremental productsand assetsNew business modelsDevelop new productsand assets
  174. 174. Innovation AmbitionBe clear about your innovation intent. Balance your innovation portfolio.18HOWTOWINWHERE TO PLAYadapted from Nagji, B., & Tuff, G. (2012). Managing Your Innovation Portfolio - Harvard Business Review. May 2013.Newmarkets andcustomersCreate new markets/target new customerneedsExtension /entering ofadjacentmarkets andcustomersExistingmarkets andcustomersTransformationalAdjacentCoreCurrent capabilitiesUse existing productsand assetsNew capabilitiesAdd incremental productsand assetsNew business modelsDevelop new productsand assets
  175. 175. Innovation AmbitionBe clear about your innovation intent. Balance your innovation portfolio.18HOWTOWINWHERE TO PLAYadapted from Nagji, B., & Tuff, G. (2012). Managing Your Innovation Portfolio - Harvard Business Review. May 2013.Newmarkets andcustomersCreate new markets/target new customerneedsExtension /entering ofadjacentmarkets andcustomersExistingmarkets andcustomersTransformationalAdjacentCoreCurrent capabilitiesUse existing productsand assetsNew capabilitiesAdd incremental productsand assetsNew business modelsDevelop new productsand assets
  176. 176. Innovation AmbitionBe clear about your innovation intent. Balance your innovation portfolio.18HOWTOWINWHERE TO PLAYadapted from Nagji, B., & Tuff, G. (2012). Managing Your Innovation Portfolio - Harvard Business Review. May 2013.Newmarkets andcustomersCreate new markets/target new customerneedsExtension /entering ofadjacentmarkets andcustomersExistingmarkets andcustomersTransformationalAdjacentCoreCurrent capabilitiesUse existing productsand assetsNew capabilitiesAdd incremental productsand assetsNew business modelsDevelop new productsand assetsContinuousIncremental
  177. 177. Innovation AmbitionBe clear about your innovation intent. Balance your innovation portfolio.18HOWTOWINWHERE TO PLAYadapted from Nagji, B., & Tuff, G. (2012). Managing Your Innovation Portfolio - Harvard Business Review. May 2013.Newmarkets andcustomersCreate new markets/target new customerneedsExtension /entering ofadjacentmarkets andcustomersExistingmarkets andcustomersTransformationalAdjacentCoreCurrent capabilitiesUse existing productsand assetsNew capabilitiesAdd incremental productsand assetsNew business modelsDevelop new productsand assetsContinuousIncrementalSustainingEvolutionary
  178. 178. Innovation AmbitionBe clear about your innovation intent. Balance your innovation portfolio.18HOWTOWINWHERE TO PLAYadapted from Nagji, B., & Tuff, G. (2012). Managing Your Innovation Portfolio - Harvard Business Review. May 2013.Newmarkets andcustomersCreate new markets/target new customerneedsExtension /entering ofadjacentmarkets andcustomersExistingmarkets andcustomersTransformationalAdjacentCoreCurrent capabilitiesUse existing productsand assetsNew capabilitiesAdd incremental productsand assetsNew business modelsDevelop new productsand assetsBreakthroughRevolutionaryRadicalGame-changingetc. …ContinuousIncrementalSustainingEvolutionary
  179. 179. Innovation AmbitionBe clear about your innovation intent. Balance your innovation portfolio.18HOWTOWINWHERE TO PLAYadapted from Nagji, B., & Tuff, G. (2012). Managing Your Innovation Portfolio - Harvard Business Review. May 2013.Newmarkets andcustomersCreate new markets/target new customerneedsExtension /entering ofadjacentmarkets andcustomersExistingmarkets andcustomersTransformationalAdjacentCoreCurrent capabilitiesUse existing productsand assetsNew capabilitiesAdd incremental productsand assetsNew business modelsDevelop new productsand assetsBreakthroughRevolutionaryRadicalGame-changingetc. …Transformational10%Adjacent20%Core70%ContinuousIncrementalSustainingEvolutionary
  180. 180. Innovation AmbitionBe clear about your innovation intent. Balance your innovation portfolio.18HOWTOWINWHERE TO PLAYadapted from Nagji, B., & Tuff, G. (2012). Managing Your Innovation Portfolio - Harvard Business Review. May 2013.Newmarkets andcustomersCreate new markets/target new customerneedsExtension /entering ofadjacentmarkets andcustomersExistingmarkets andcustomersTransformationalAdjacentCoreCurrent capabilitiesUse existing productsand assetsNew capabilitiesAdd incremental productsand assetsNew business modelsDevelop new productsand assetsBreakthroughRevolutionaryRadicalGame-changingetc. …Transformational10%Adjacent20%Core70%ContinuousIncrementalSustainingEvolutionary10%
  181. 181. Innovation AmbitionBe clear about your innovation intent. Balance your innovation portfolio.18HOWTOWINWHERE TO PLAYadapted from Nagji, B., & Tuff, G. (2012). Managing Your Innovation Portfolio - Harvard Business Review. May 2013.Newmarkets andcustomersCreate new markets/target new customerneedsExtension /entering ofadjacentmarkets andcustomersExistingmarkets andcustomersTransformationalAdjacentCoreCurrent capabilitiesUse existing productsand assetsNew capabilitiesAdd incremental productsand assetsNew business modelsDevelop new productsand assetsBreakthroughRevolutionaryRadicalGame-changingetc. …Transformational10%Adjacent20%Core70%ContinuousIncrementalSustainingEvolutionary10%20%
  182. 182. Innovation AmbitionBe clear about your innovation intent. Balance your innovation portfolio.18HOWTOWINWHERE TO PLAYadapted from Nagji, B., & Tuff, G. (2012). Managing Your Innovation Portfolio - Harvard Business Review. May 2013.Newmarkets andcustomersCreate new markets/target new customerneedsExtension /entering ofadjacentmarkets andcustomersExistingmarkets andcustomersTransformationalAdjacentCoreCurrent capabilitiesUse existing productsand assetsNew capabilitiesAdd incremental productsand assetsNew business modelsDevelop new productsand assetsBreakthroughRevolutionaryRadicalGame-changingetc. …Transformational10%Adjacent20%Core70%ContinuousIncrementalSustainingEvolutionary10%20%70%
  183. 183. Innovation ROI: »Black Hole« vs. Options-oriented Investment19-€+€CumulativeCashFlowadapted from McGrath, R. G. (2010). Business Models: A Discovery Driven Approach. Long Range Planning, 43(2-3), 247–261.; McGrath, R. G., &Macmillan, I. C. (2009). Discovery-Driven Growth: A Breakthrough Process to Reduce Risk and Seize Opportunity. Harvard Business School Press.TimeDownside risk unlimited
  184. 184. Innovation ROI: »Black Hole« vs. Options-oriented Investment20-€+€CumulativeCashFlowadapted from McGrath, R. G. (2010). Business Models: A Discovery Driven Approach. Long Range Planning, 43(2-3), 247–261.; McGrath, R. G., &Macmillan, I. C. (2009). Discovery-Driven Growth: A Breakthrough Process to Reduce Risk and Seize Opportunity. Harvard Business School Press.TimeDownside risk contained at any given time
  185. 185. Innovation ROI: »Black Hole« vs. Options-oriented Investment20-€+€CumulativeCashFlowadapted from McGrath, R. G. (2010). Business Models: A Discovery Driven Approach. Long Range Planning, 43(2-3), 247–261.; McGrath, R. G., &Macmillan, I. C. (2009). Discovery-Driven Growth: A Breakthrough Process to Reduce Risk and Seize Opportunity. Harvard Business School Press.TimeDownside risk contained at any given time
  186. 186. Innovation ROI: »Black Hole« vs. Options-oriented Investment20-€+€CumulativeCashFlowadapted from McGrath, R. G. (2010). Business Models: A Discovery Driven Approach. Long Range Planning, 43(2-3), 247–261.; McGrath, R. G., &Macmillan, I. C. (2009). Discovery-Driven Growth: A Breakthrough Process to Reduce Risk and Seize Opportunity. Harvard Business School Press.TimeDownside risk contained at any given time
  187. 187. Business Model Management21CompanyCanCompanyWillCompanyShouldCOMPANY WILL:- Business idea- Leadership preferences- Leadership vision- Goal- Declaration of intentCOMPANY SHOULD:- Competitive situation- Client side- Supplier side- Distribution situation- Entourage factorsCOMPANY CAN:- Economy- Employees- Production facility- Flexibility- Core competenciesArea ofpositionchangePrimaryarea ofeffortDanger zoneArea ofcompetencydevelopmentVon Rosing, M., Rosenberg, A., Chase, G., Rukhshaan, O., & Taylor, J. (2011). Applying real-world BPM in an SAP environment (1st ed.). Bonn; Boston: Galileo Press.
  188. 188. Blue Ocean: Four Actions Framework22ELIMINATEWhich of the factors that theindustry takes for grantedshould be eliminated?CREATEWhich factors should becreated that the industryhas never offered?RAISEWhich factors should beraised well above theindustry‘s standard?REDUCEWhich factors should bereduced well below theindustry‘s standard?A NEWVALUECURVEImage Credit: Kim, W.C., & Mauborgne, R. (2005). Blue Ocean Strategy: How to Create UncontestedMarket Space and Make the Competiton Irrelevant (illustrated ed.). Boston, Mas: Mcgraw-Hill Professional
  189. 189. KeyPartnersKeyActivitiesValueProposition RelationshipsChannelsRevenueStreamsKeyResourcesCostStructureCustomerSegmentsMoviesHardDiskDolby5.1DVDConnectivitiyPriceCPUGPUMotionControlUserReachGamesUx/FunFactorEcosystemValueLevel&PriceNintendo Wii Microsoft Xbox 360 Sony PS3Eliminate/ReduceCostsCreate/RaiseValue23Strategy Canvas: Nintendo Wii (in 2007)
  190. 190. KP KA VPVP CR CSKPKRVPVPCHCSCSCSCS RSRSRSeliminate reduce create raise unchangedNintendo Wii (in 2007)
  191. 191. KP KA VPVP CR CSKPKRVPVPCHCSCSCSCS RSRSRSmale»hardcoregamers«passive immersionwith high-endperformance andgraphicsnew proprietarytechnologystate-of-the-artchip developmentconsolesubsidieseliminate reduce create raise unchangedNintendo Wii (in 2007)
  192. 192. KP KA VPVP CR CSKPKRVPVPCHCSCSCSCS RSRSRSmale»hardcoregamers«passive immersionwith high-endperformance andgraphicsnew proprietarytechnologystate-of-the-artchip developmentconsolesubsidiesroyaltiesfrom gamedevelopersgamedevelopersretaildistributiongamedeveloperseliminate reduce create raise unchangedNintendo Wii (in 2007)
  193. 193. KP KA VPVP CR CSKPKRVPVPCHCSCSCSCS RSRSRSmale»hardcoregamers«passive immersionwith high-endperformance andgraphicsnew proprietarytechnologystate-of-the-artchip developmentconsolesubsidiestechnologydevelopmentcosts consoleproductioncostsroyaltiesfrom gamedevelopersgamedevelopersretaildistributiongamedeveloperseliminate reduce create raise unchangedNintendo Wii (in 2007)
  194. 194. KP KA VPVP CR CSKPKRVPVPCHCSCSCSCS RSRSRSmale»hardcoregamers«passive immersionwith high-endperformance andgraphicsSTMicro-electronics forMEMSaccelerometersnew proprietarytechnologystate-of-the-artchip developmentconsolesubsidiestechnologydevelopmentcosts consoleproductioncostsroyaltiesfrom gamedeveloperscasualgamersgamedevelopersfamiliesgirlsretaildistributiongamedeveloperseliminate reduce create raise unchangedNintendo Wii (in 2007)motioncontroltechnologyalternativegame conceptresearchmotioncontrolledgamingphysical activity,social get-togethersport, workout,physical recoveryfun factor, socialexperience »family
  195. 195. KP KA VPVP CR CSKPKRVPVPCHCSCSCSCS RSRSRSmale»hardcoregamers«passive immersionwith high-endperformance andgraphicsSTMicro-electronics forMEMSaccelerometersnew proprietarytechnologystate-of-the-artchip developmentconsolesubsidiestechnologydevelopmentcosts consoleproductioncostsroyaltiesfrom gamedevelopershardwaresales profitcasualgamersgamedevelopersfamiliesgirlsretaildistributiongamedevelopersstandardcomponenthardwaremanufacturerseliminate reduce create raise unchangedNintendo Wii (in 2007)motioncontroltechnologyalternativegame conceptresearchmotioncontrolledgamingretail storeinvolvementphysical activity,social get-togethersport, workout,physical recoveryfun factor, socialexperience »family
  196. 196. KP KA VPVP CR CSKPKRVPVPCHCSCSCSCS RSRSRSmale»hardcoregamers«passive immersionwith high-endperformance andgraphicsSTMicro-electronics forMEMSaccelerometersnew proprietarytechnologystate-of-the-artchip developmentconsolesubsidiestechnologydevelopmentcosts consoleproductioncostsroyaltiesfrom gamedevelopershardwaresales profitcasualgamersgamedevelopersfamiliesgirlsretaildistributiongamedevelopersstandardcomponenthardwaremanufacturerseliminate reduce create raise unchangedNintendo Wii (in 2007)motioncontroltechnologyalternativegame conceptresearchmotioncontrolledgamingretail storeinvolvementphysical activity,social get-togethersport, workout,physical recoveryfun factor, socialexperience »familyFeasibility ViabilityDesirability
  197. 197. KP KA VPVP CR CSKPKRVPVPCHCSCSCSCS RSRSRSmale»hardcoregamers«passive immersionwith high-endperformance andgraphicsSTMicro-electronics forMEMSaccelerometersnew proprietarytechnologystate-of-the-artchip developmentconsolesubsidiestechnologydevelopmentcosts consoleproductioncostsroyaltiesfrom gamedevelopershardwaresales profitcasualgamersgamedevelopersfamiliesgirlsretaildistributiongamedevelopersstandardcomponenthardwaremanufacturerseliminate reduce create raise unchangedNintendo Wii (in 2007)motioncontroltechnologyalternativegame conceptresearchmotioncontrolledgamingretail storeinvolvementphysical activity,social get-togethersport, workout,physical recoveryfun factor, socialexperience »familyFeasibility ViabilityDesirabilityBestSustainableEquilibrium
  198. 198. 25Image Credit: JAM Visual Thinking, Amsterdam (http://www.jam-site.nl)KeyPartnersKeyActivitiesValueProposition RelationshipsChannelsRevenueStreamsKeyResourcesCostStructureCustomerSegments
  199. 199. 25Image Credit: JAM Visual Thinking, Amsterdam (http://www.jam-site.nl)KeyPartnersKeyActivitiesValueProposition RelationshipsChannelsRevenueStreamsKeyResourcesCostStructureCustomerSegmentsEliminate/ReduceCostsCreate/RaiseValue
  200. 200. 25Image Credit: JAM Visual Thinking, Amsterdam (http://www.jam-site.nl)KeyPartnersKeyActivitiesValueProposition RelationshipsChannelsRevenueStreamsKeyResourcesCostStructureCustomerSegmentsEliminate/ReduceCostsCreate/RaiseValueBestSustainableEquilibriummax. valuecapture forthe companymax. valuefor the user
  201. 201. 28FIRMBusiness Model ABusiness Model BBusiness Model CBusiness Model DBUSINESSMODELOPTIONSStrategy:plan of which business model to adoptTactics:competitive choicesenabled by eachbusiness modelStrategystageTacticsstageTactical set CTactical set DTactical set BTactical set ABusiness Model »vs.« Strategy: Business Model PortfolioCasadesus-Masanell, R., & Ricart, J. E. (2010). From Strategy to Business Models and onto Tactics. Long Range Planning, 43(2-3), 195–215.
  202. 202. Core ValuePropositionComplementaryOfferingsSupplying andEnabling NetworkOtherStakeholders®®TMApple’s Business Ecosystem31Higher Marginsvia Apple PricePremiumLowestProductionCostsGoods & ServicesMoney & CreditsInformationIntangible ValueHigh Volume andPlanning CertaintyManufacturingKnowledgeReputation???IP royaltiesSeamless UserExperienceEnriched UserExperienceAppPurchasesComissionSales PlatformApplePlatformNew Business IdeasHigher Margins :Apple PricePremiumBroad ServiceStation CoveringTechnical andSales TrainingDigital Sales Channel withDRM and wide SpreadMedia Delivery???IP royalties / CommissionInfrastructureManagementService ContractSponsoring / DiscountsApple on CampusBulk PurchasesReputation andAwarenessPersonalDataPrice Premium(Hardware,Media andApp Sales)
  203. 203. Perspectiveson ValueLevels ofValueSociologyEcologyPsychologyEconomyProfitStabilityWealthCoreValuesSharedDriversWellbeingSocialResponsibilityReciprocityMeaningful LifeSustainabilityLivabilityof theEnvironmentValue forMoneyHappienessBelongingEco-EffectivenessEco-FootprintSocietyEcosystemOrganisationUserExperienceDoing WellDoing goodTransformationValue Proposition(s)
  204. 204. Perspectiveson ValueLevels ofValueSociologyEcologyPsychologyEconomyProfitStabilityWealthCoreValuesSharedDriversWellbeingSocialResponsibilityReciprocityMeaningful LifeSustainabilityLivabilityof theEnvironmentValue forMoneyHappienessBelongingEco-EffectivenessEco-FootprintSocietyEcosystemOrganisationUserValue Proposition(s)ExperienceDoing WellDoing goodTransformation
  205. 205. Perspectiveson ValueLevels ofValueSociologyEcologyPsychologyEconomyProfitStabilityWealthCoreValuesSharedDriversWellbeingSocialResponsibilityReciprocityMeaningful LifeSustainabilityLivabilityof theEnvironmentValue forMoneyHappienessBelongingEco-EffectivenessEco-FootprintSocietyEcosystemOrganisationUserValue Proposition(s)ExperienceDoing WellDoing goodTransformation
  206. 206. Design has tobe conceived as…design for,design with,and design by… users andother »interpreters«.Then itcreates…value for,value with,and value from… users andother stakeholders.34Sounds logic?It often seems it isn’t …Innovation
  207. 207. 35Sounds logic?It often seems it isn’t …ParticipatoryDesignUser-CenteredDesignDesign + EmotionCritical DesignGenerativeDesign ResearchDESIGN-LEDRESEARCH-LEDEXPERT MINDSETusers” seen as subjects(reactive informers)“PARTICIPATORY MINDSETusers” seen as partners(active co-creators)“Human Factors+ ErgonomicsUsabilityTestingAppliedEthnographyLead-UserInnovationContexualInquiryCulturalProbesGenerativeTools“Scandinavian”Methodsadapted from Sanders, L. (2002). From User-Centered to Participatory Design Approaches. In J. Frascara (Ed.),Design and the Social Sciences: Making Connections (1st ed., pp. 1–8). London: Taylor Francis.
  208. 208. 46Some References this Workshop/Presentation was based on:Beckman, S. L., & Barry, M. (2007). Innovation as a Learning Process: Embedding Design Thinking. California Management Review, 50(1), 25–56.Boland Jr., R., & Collopy, F. (2004). Managing as Designing (1st ed.). Stanford: Stanford Business Books.Brown, T. (2009). Change by Design: How Design Thinking Transforms Organizations and Inspires Innovation:How Design Thinking Can Transform Organizations and Inspire Innovation. New York: Harper Business.Buchanan, R. (1992). Wicked Problems in Design Thinking. Design Issues, 8(2), 5–21.Cooper, A., Reimann, R., & Cronin, D. (2007). About Face 3: The Essentials of Interaction Design (3rd ed.). Wiley.Kelley, T., & Littman, J. (2001). The Art of Innovation: Lessons in Creativity from IDEO, America’s Leading Design Firm (1st ed.). New York: Crown Business.Kelley, T., & Littman, J. (2005). The Ten Faces of Innovation: IDEO’s Strategies for Defeating the Devil’s Advocate and Driving Creativity Throughout YourOrganization. New York: Doubleday.Kimbell, L. (2009, September). Beyond Design Thinking: Design-as-practice and designs-in-practice. Presentation Paper, Saïd Business School, University ofOxford.Krippendorff, K. (2005). Semantic Turn: New Foundations for Design. Boca Raton, Fla.; London: CRC.Kuhn, T. (2012). The Structure of Scientific Revolutions: 50th Anniversary Edition (50th anniversary ed.). University of Chicago Press.Kumar, V. (2012). 101 Design Methods: A Structured Approach for Driving Innovation in Your Organization (1. Auflage.). John Wiley & Sons.Kumar, V., & Whitney, P. (2007). Daily life, not markets: customer-centered design. Journal of Business Strategy, 28(4), 46–58.Liedtka, J. (2000). In Defense of Strategy as Design. California Management Review, 42(3), 8–30.Liedtka, J., & Ogilvie, T. (2011). Designing for growth : a design thinking tool kit for managers. New York: Columbia University Press - Columbia Business SchoolPublishing.Martin, R. L. (2009a). The Opposable Mind: How Successful Leaders Win Through Integrative Thinking. Mcgraw-Hill Professional.Martin, R. L. (2009b). Design of Business: Why Design Thinking Is the Next Competitive Advantage. Mcgraw-Hill Professional.Nagji, B., & Tuff, G. (2012). Managing Your Innovation Portfolio - Harvard Business Review. Harvard Business Review. Retrieved May 1, 2013, .Ouden, E. den. (2011). Innovation Design: Creating Value for People, Organizations and Society (1st Edition.). Springer London.Owen, C. L. (2005a, May 14). Societal Responsibilities. - Growing the Role of Design. . International Conference on Planning and Design, National Cheng KungUniversity Tainan, Taiwan.Owen, C. L. (2005b, October 21). Design Thinking: What It Is, Why It Is Different, Where It Has New Value. . Presentation Paper, Gwanju, Korea.Owen, C. L. (2007). Design Thinking: Notes on its Nature and Use. Design Research Quarterly, 2(1), 16–27.Simon, H. A. (1996). Sciences of the Artificial (0003 ed.). The Mit Press.Suri, J. F. (2005). Thoughtless Acts?: Observations on Intuitive Design (Ideo, Ed.). Chronicle Books.Ulla Johansson, J. W. The emperor’s new clothes or the magic wand? The past, present and future of design thinking. . Conference paper - peer reviewed,Verganti, R. (2009). Design Driven Innovation: Changing the Rules of Competition by Radically Innovating What Things Mean. Harvard Business Press.Wetter Edman, K. (2011, September). Service Design - A Conceptualization of an emerging Practice. Licentiate Thesis (PhD), Göteborg: Göteborgs Universitet.Konstnärliga Fakulteten. Retrieved November 4, 2011, from http://gupea.ub.gu.se/handle/2077/26679.
  209. 209. 47Credits & AttributionsThis slideset was developed via fruitful exchanges ofideas, thoughts and photo material from and with thefollowing organizations and people:LaunchLabs® BerlinSoftgarden® BerlinService Design BerlinSchach&Matt®Kira KraemerKlara LindnerMia Sun KjaergarrdElias BarraschMartin JordanHolger Rhinow
  210. 210. Design-drivenstrategic businessplanning48Jan Schmiedgen // Fidicinstr. 41 // 10965 Berlin // GERMANY // +49 173 3 83 15 26 // kontakt@schmiedgen.eu

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