Ethnographic opportunity analysis 2012 (mullooly & delcore))

Ethnographic OpportunityAnalysis 2012 part 1 Hank Delcore & Jim Mullooly aka “TheAnthroGuys” @ www.TheAnthroGuys.com 1

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 Innovation in Business (Schumpeter, 1934) 1. Introduction of a new/improved good 2. Introduction of a new method of production 3. Opening new market or territory 4. Conquest of a new source of raw materials 5. New type of organization 3

 Innovation in Business (Schumpeter, 1934) 1. Introduction of a new/improved good Sweet Chocolate 4

 Innovation in Business (Schumpeter, 1934) 2. Introduction of a new method of productionHenry Ford’sAssembly Line 5

 Innovation in Business (Schumpeter, 1934) 3. Opening new market or territory Shushi in US 6

 Innovation in Business (Schumpeter, 1934) Sugar Beets in 1870s 4. Conquest of a new source of raw materials 7

 Innovation in Business (Schumpeter, 1934) Japanese Automotive Administration 5. New type of organization 8

 Innovation in Business (Schumpeter, 1934) 1. Introduction of a new/improved good Sweet Chocolate 9

Steve Jobs Master ofInnovation asimprovementof an existing good 10

How PersonalComputerswere Used (1984) 11

How Music deviceswere Used (2001) 12

How Smart Phoneswere Used (2007) 13

How TabletComputerswere Used (2010) 14

BUT Apple is a Software Company(Steve Jobs) 15

 Apple is a Software Company (Jobs) The Macintosh Interface 16

Apple is a Software Company (Jobs) The Ipod’s Itunes Store 17

Apple is a Software Company (Jobs) The Iphone’s App Store 18

Apple is a Software Company(Jobs) The Ipad’s App Store 19

How can youfind theseopportunities? 20

Ethnographic (Inductive) Opportunity Analysis Deductive Approaches – Hypothesis  Data Collection  Analysis  from general to specific Inductive Approaches – Data Collection  Analysis  Hypothesis  from specific to general 23

Engineering vs. Reverse Engineering 24

The AnthroGuy Himself Professor Hank Delcore 26

Intel Green Homeowners as Lead Adopters 28

What People Say TheyDoand What They Do AreDifferent 29

The Business Case for User-Driven Innovation Unprecedented specialization and segmentation, multiplied many times over by domestic and international cultural diversity. 30

The Value of the Use Case Entrepreneurs can neither assume that they are socially or culturally close to users nor that they can keep up with consumer trends themselves – unless they seek user-centered insights. 31

Increased Competition Increased competition from emerging economies Companies can no longer rely on the advantages of being the first to introduce new technologies to the market. 32

Democratization ofKnowledge The democratization of knowledge, driven by the internet and information technology in general Armed with lots of information and the ability to buy from companies all over the globe, consumers no longer consider the price/quality trade-off as the sole driver of choice. 33

Democratization ofKnowledge Instead, consumers increasingly consider how a company and its products match their own personal values, behaviors and needs. To get at this, successful companies must include users in the innovation process. 34

Just to Stay Solvent As Squires and Byrne put it: “…companies have to manufacture the right commodities and deliver them in the right way to the right consumers at least four out of ten times every year – just to stay solvent” (Squires and Byrne 2002:xiv). 35

 Traditional R&D departments and entrepreneurs with their own views on “what people want” can no longer keep up with the reality of rapidly evolving needs and desires. 36

THE ASSIGNMENT 1) Conduct some sort of “inductive observation”, 2) analyze your notes, then 3) expand those notes into a brief report about what you found. 37

 DESCRIPTION – Rather than looking into a completely innovative idea (service or product), the goal is to 1) observe something that already works; 2) observe it in great detail; then 3) begin to understand it in such detail that you can 4) make concrete suggestions about improving it. 38

 In Other Words – Rather than looking for how consumers COULD use a NEW service/product, the goal is to observe how consumers DO use a EXISTING service/product with the intention of looking for opportunities to improve or “add value” to that experience. 39

 Steps – 1. Find a routine, taken-for-granted task/service/product, – 2. “Hang out” and “thickly describe” it in a notebook, – 3. In a one page pitch, suggest some sort of innovation that will add value. DUE: next Wednesday March 21 by 3:00pm in class. – The best observations will be published on our blog and presented in class on March 21st. 40

Ethnographic OpportunityAnalysis part 1 Hank Delcore & Jim Mullooly aka “TheAnthroGuys” @ www.TheAnthroGuys.com Thanks for your Time 41

Ethnographic opportunity analysis 2012 (mullooly & delcore))

by James Mullooly

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