Unfuzzying the fuzzy front end of innova2on and jump starts innova/on in your organiza/on with FORTH.
I am Sara www.re dzezel.c om Red Zezel Passion and peo for crea/vity, ple,… innova/ on Runnin g, sport s and tr avelling sara-‐pieters
Innova/on is essen/al but diﬃcult Do you see anything coming yet? the diﬃcult start
Innova/on is essen/al but diﬃcult But at the fuzzy front end a lot goes wrong…
There is All our ideas hardly any are really internal So we vague support for brainstormed, new ideas We don’t now what……? know what we want regarding innova>on Top management rejects all our ideas Crea>vity killers The We are brainstorming coming up session is We s>ck to with the dominated by the usual same ideas extroverts and conven>ons over and the highest of our over bosses markets
Connec>ng the board, Connec>ng business Connec>ng customers to management and reality with outside the the innova>on process employees box crea>vity FORTH is eﬀec/ve by connec/ng three essen/al elements
… via lots of fun and inspira>on! In this way we create a new business case… Hard and soH characteris/cs of the journey
In ﬁve steps from business to crea/vity and back Start: Concrete innova>on assignment Team: internal team with core team members and extended team members Process: in ﬁve structured steps from business to crea>vity and back Focus: customer centred Output: three to four mini new business cases Time needed: 14 weeks form the kick-‐oﬀ Time eﬀort: 1 ½ days per week for a core tam member
Depar/ng I think we have We’ve got everything?
In step 1 Full Steam Ahead the innova/on assignment is dra>ed and you will kick-‐oﬀ Ac/vi/es Workshops Deliverables • Choose internal • Innova>on focus • A SMART concrete sponsor, project workshop innova>on leader and • FORTH Kick-‐oﬀ assignment facilitator • a commiTed • DraQ an innova>on internal sponsor assignment and • a mo>vated planning idea>on team • Choose and invite • 6-‐8 innova>on team members opportuni>es to discover
REVOLUTIONS Beyond our present market(s) Focus on innova>ve concepts EVOLUTIONS for: Within our present market(s) • New target groups (buyers, Focus on innova>ve concepts users) for: • New regions and/or countries • The same target groups • New sales and/or distribu>on (buyers, users) channels • The same regions and/or • New business model countries • The same sales and/or distribu>on channels • The same business model Innova/on focus
Revolu/onary ‘boVom’ innova/ons with a new business model IKEA house: BoKlok, a complete house for 150.000€ that you don’t have to build yourself Innova/on focus
Revolu/onary ‘boVom’ innova/ons with a new business model Toothbrush subscrip>on Innova/on focus
Evolu/onary ‘top’ innova/ons in the same market Hansaplast Liquid Protect Innova/on focus
Evolu/onary ‘top’ innova/ons in the same market Becel pro-‐ac>v Innova/on focus
Evolu/onary ‘top’ innova/ons in the same market Philips Wake-‐up Light Innova/on focus
Revolu/onary new market innova/ons aimed at non-‐ users Wii Fit: Health game for Nintendo for a completely new adult target group Innova/on focus
How much (extra) turnover will the new product concept Turnover generate within x years? What should be the proﬁt margin on the new product Proﬁt margin concept? Appealing and How appealing and diﬀerent will the new product concept diﬀerent be in the eyes of the target group? To what extent will the new product concept ﬁt in the Posi/oning chosen brand or corporate posi>oning? To what extent will the new product concept be feasible Feasibility (using the exis>ng in-‐house produc>on facili>es)? To what extent will the new product concept ﬁt in the Strategic ﬁt strategy of the organisa>on? Clear evalua/on criteria
Why? What’s the reason to innovate?
Who? Is the target group?
Where? Which con>nents, countries or regions? Which distribu>on channels?
What kind of innova/ons are we looking for? Products? Services? Business models? Solu>ons? New to the world? New to the market? New to the company?
When? Intended year of introduc>on?
Which to criteria do the concepts have to comply to ? Turnover? Margin? Feasibility? Fit with the strategy or brand? Cannibalisa>on? Investment budget?
• Why? • Who? • Where? • What? • When? • Which?
New innova2ve bicycle safety seats Bobike is market leader in the Netherlands in bicycle safety seats for children. And has the ambi/on to grow in Western Europe. Germany is an important market with growth opportuni/es. The FORTH assignment is: "We want to ideate a new dis/nc/ve Bobike bicycle seat for European consumers and bicycle retailers to realise our expansion objec/ves. This new bicycle safety seat should have a good scoring (number 1.2 or 3) in the very important German S/>ung Warentest 2011”.
Allow par>cipants to join the team because the Their responsibility innova>on assignment is immediately related to and their support their responsibility or because they take care of support within the organisa>on. Allow par>cipants to join the team because their knowledge and exper>se are essen>al to the Their exper/se successful comple>on of the innova>on assignment. • crea>ve marke>ng people; • scien>sts in a par>cular ﬁeld; Their fresh outlook • students in a par>cular ﬁeld; • managers from other companies; • ar>sts. The right idea/on team
• Marketeers • R&D specialists • Innova>on specialists • Produc>on specialists 8 Core team members • Account managers • IT specialists • Market researchers • Members of the board 4 Extended team • Directors • Experts • External marketeers • Visualisers & designers 2 Outsiders • Scien>sts • Students • Ar>sts The right idea/on team
Diving into the market Hello
In step 2 Observe and Learn the team explores innova/on opportuni/es and discovers customer fric/ons Ac/vi/es Workshops Deliverables • Explore innova>on • Focus groups with • Most promising opportuni>es customers innova>on • Explore trends & • Observe & Learn opportuni>es technologies workshops • Most relevant • Mee>ng customers customer fric>ons • Discovering customer fric>ons
Discovering customer fric/ons How do you discover customer insights? By: 1. Observing…. 2. Listening…. 3. Understanding…. 4. Interpre>ng…. The target group (on loca>on and within the relevant context)
Discovering customer fric/ons Name Give the insights an appealing name Target group Describe the target group as lively as possible Insight Situa>on An easy to recognise situa>on Needs and A relevant need, urge or wants desire Fric>on A fric>on, experienced by the customer which, that is a concrete obstacle for fulﬁlling his or her need and wants
Name Permission horror Target group People who have plans to build or renovate Insight Situa>on I have been living in the same house for 15 years. The children are growing up and the house is becoming fuller. In the morning we have to squeeze into the bathroom. Needs I am considering some and renova>ons but I was told that I wants need permission from the local council Fric>on I have heard so many contradictory stories from friends and neighbours regarding the local council and the building inspec>on and now I am not sure how best to apply for the permission.
Name I haven’t learned this Target group Big dairy farmers Insight Situa>on I have a large dairy farm with 150 cows and am not a family run farm anymore Needs I need good staﬀ who will and work hard and are really wants commiTed. Fric>on But I am myself not very good with people which leads to a lot of tension and stress for everyone involved.
At the new product brainstorm Any more ideas?
In step 3 Raise Ideas the innova/on team creates 12 concept statements Ac/vi/es Workshops Deliverables • Choose brainstorm • 2-‐day brainstorm • 400 – 600 ideas and venue • Concept 12 concept • DraQ braistorm development descrip>ons ready programme workshop for customer • Invite outsiders feedback • Facilitate a 2-‐day Brainstorm • Improve concrete concepts descrip>ons
Diverge Converge 5. Producing idea mind maps 2. Inspira>on (12) from observe & learn 6. Producing innova>ve 3. Genera>ng concepts (12) ideas (+500) 9. Wrapping up 1. Introduc>on 7. Presen>ng 4. Grouping and innova>ve choosing idea concepts direc>ons (20-‐30) 8. Judging innova>ve concepts The new product brainstorm
Customer research Well What do you think of this idea?
In step 4 Test Ideas the most aVrac/ve concepts are iden/ﬁed Ac/vi/es Workshops Deliverables • Set up customer • Improvement • 3-‐5 well tested research workshop concept descrip>ons • Visit customer to be worked out as research mini new business • Improve concepts cases based on feedback • Choose the best concepts
Qualita/ve concept research 1. The 2. Method and 3. WHY 4. You want to qualita/ve requirements Ques/ons get an insight in character • What do you think of it? • For what The concept • Small-‐scale and purpose, when • Clarity survey aims to indica>ve and in what • Relevancy check that the • Use prototypes, situa>ons • ATrac>veness developed new objects, would you use • Dis>nc>veness product concepts drawings it? • Does it ﬁt the are appealing to • With people in • What are the brand? the target group. their own good/poor • Trustworthiness Are you on the environment features? right track? • Would you buy it? • Why? …
Improving product concepts
Returning Here we are again!
In step 5 Home Coming 3-‐4 mini new business cases are dra>ed and presented Ac/vi/es Workshops Deliverables • DraQ mini new • 4 mini new business • 3-‐5 aTrac>ve mini business cases case workshops new business cases • Present mini new • Presenta>on ready for further business cases development • Transfer concepts to development teams • Evaluate the FORTH process
Mini new business cases Product-‐ or • This is how the idea was born • This is what makes the • Customer insight product appealing! service • Product concept • This makes the product concept concept unique • How it ﬁts in the business strategy, in the division strategy, in Strategic our target group strategy, in the product porrolio. • These are the risks if we decide not to develop. Target group. This is the adver>sing slogan Marke/ng Speciﬁc marke>ng mix. This is the ideal >me to launch it. • We are able to develop it. • These are the possible • We are able to produce it. obstacles Feasibility • We have to invest in it. • This is the development • We have the know-‐how. process • This will be our return Financial • This is what it will cost us
Sanoma Media is a media giant in the Netherlands 1. The largest media company with magazines, custom media, events, websites, mobile sites and apps. 2. As of July 29, 2011 Sanoma acquired SBS TV in the Netherlands. 3. Extensive porrolio with over a 100 diﬀerent brands. 4. Sanoma Media Netherlands is a part of the Sanoma Group, an European mediagroup opera>ng in several media sectors in twenty countries.
Sanoma experiments to strech magazine brands to non media concepts FORTH Innova2on assignment: The new concepts……….. • Must ﬁt and strengthen the brand values of Libelle en Margriet; • May not be (a site, magazine, event, special, book, et cetera); • Must be under the direc>on of Sanoma media; • Will probably will have to implemented with business partners; • Will realize substan>al turnover and proﬁts. > Target ( in year 3): € 25 million Phase I: Full steam ahead
Sanoma started a FORTH project Mega Brand Extensions Phase I: Full steam ahead
The ‘Observe & Learn’ phase opened our eyes 7 innova/on opportuni/es were inves/gated by the core team members Main customer fric/ons iden/ﬁed in 4 focus groups 1. Telecom 1. Taking care of your young children 2. Living 2. Taking Care of your parents 3. Food 3. My rela>on in ‘an empty nest’ 4. Healthcare 4. Problems with my own health 5. Energy 5. How do I get back to work again 6. Work 6. How can I keep developing myself 7. Finance Phase II: Observe & Learn
The brainstorm in ‘Raise Ideas’ generated 12 concepts 12 new concepts were developed, among which: 1. An internet portal for temporary work; 2. Margriet health centres; 3. Facilita>ng volunteer jobs; 4. Educa>ng women re-‐entering the labour process; 5. A joint buying service; 6. Green energy; Phase III: Raise ideas
One of the concepts: Libelle Academy Phase III: Raise ideas
‘Tes>ng Ideas’ really had added value 9 new concepts were tested twice in four focus groups: • 9 concepts were tested with rather poor results: the magazine readers had to get used to the idea that the Margriet and Libelle did something else than making magazines! • 6 concepts were improved in an improvement workshop and tested again. • 3 concepts were received very posi>vely. Phase IV: Test ideas
Three Mini New Business Cases were presented and two concepts were introduced Three mini new business cases were presented to the complete board: • The board of Sanoma Media choose two mini new business to be worked out as ‘real’ Business Case; • The two business cases were approved by the board later on in the process. • Both concepts were introduced by Sanoma on the Dutch market: Libelle Academy: November 17th 2010; Work4Woman: April 5th 2011; Phase V: Homecoming
• Fric/on: I stopped developing myself, taking care of all the others; • Concept: real easy to follow and inspiring workshops, courses and e-‐ learning; • Reinforcing the main subjects of the Libelle magazine: – Living, – Psychology, – Travel & culture, – Computer & online, – Organizing my self, – Fashion & Beauty. • Partnerships with Open Universi>es with 10 loca>ons in The Netherlands • Special Libelle Academy workshop space • 4 courses, 10 workshops en 3 e-‐ learning modules
• Fric/on: I would like to get a job again. But where do I start? Am I s>ll capable? What do I do with the kids? • Concept: An agency specializing in aTrac>ve jobs that can be combined with caring for the family. And that helps solve prac>cal problems such as childcare. • Partnership with Tempo Team, a regular temp agency and subsidiary of Randstad. • Work4Women has opened begin 2011 with oﬃces in Amsterdam, Den Haag, Eindhoven, Groningen, RoTerdam en Zwolle. • Special Work4Woman ‘shop in the shop’ with employees who match with the target group • Partnerships with large childcare organisa>ons in Every part of the Netherlands
Every phase concrete deliverables A smart innova>on assigment 5 -‐ 10 customer 6 -‐ 10 innova>on fric>ons opportuni>es Best innova>on opportuni>es 12 tested concept descrip>ons Best 3 -‐ 4 chosen 400 -‐ 600 ideas 3 – 4 mini new 12 concept descrip>ons business cases
Five advantages The innova>on assignment gives you focus Discover customer insights yourselves Concepts are approved by your customers Return with mini new business cases Team approach creates internal support
sara pieters -‐ firstname.lastname@example.org -‐www.redzezel.com