Successfully reported this slideshow.
Silence the	                           Voice of the                           Customer 	                           And Cre...
Create growth	                                      plans that work	Accelerate growth – lower risk.
The Goal is to Succeed Nearly All the Time
Think from a Different Perspective	                          2             E=      MC
We Think Differently About …	Markets	       Strategy	   Innovation
What is a Market?
Traditional Definition	“A market is the set of actual and potentialbuyers of a product.”	                                  ...
0% Growth	150 BC	   1670	   1940	      1985	   1999
We Define “Market” Differently	                          “A market is a group                           of job executors   ...
The job of …	“communicating with a select group of people”
Breakthrough	Job map and 50 to 150	    metrics per job
Mapping the Job-to-be-Done	                                              Core Functional                                  ...
Desired Outcome = Customer Need	                    Unit of       Object of	     Direction	                    Measure	   ...
Silence the Voice of the Customer	                    VOC practices fail to                    uncover all the customer’s ...
Possible Growth Opportunities	12 steps and over 100 outcomes …	1. Minimize the time it takes to confirm receipt of a commun...
Opportunity Is …	An important but poorly	   satisfied outcome
Market Opportunity Landscape	   Opportunity = Importance + max (Importance – Satisfaction, 0)	      High	       Satisfacti...
0% to 18% Growth	                                 “Strategyn helped us create two                                 of our b...
Create growth	                                      plans that work	Accelerate growth – lower risk.
We Think Differently About …	Markets	       Strategy	   Innovation
What is Strategy?
Traditional Definition	“Strategy is choosing                                    “Activities, then,     to perform          ...
Doctors who open a  clogged artery
We Define “Strategy” Differently	 “Strategy is choosing                “Customer needs    which unmet                      ...
Breakthrough	  Outcome-based	market segmentation
Segments of Opportunity	Segment 1	       Segment 2	   Segment 3	   65%	             25%	         10%
1. Which Needs Should We Target?	Opportunity = Importance + max (Importance – Satisfaction, 0)	   High	                   ...
2. Which Job Executor?	Cardiac	          Interventional	                                         Patient	Surgeon	         ...
3. Which Platform(s)?	Angioplasty	           40 Projects	                                            Stent	 Balloon	      ...
This is a Growth Strategy	       Needs	             Executor	     Platform(s)	Segment	   1
10x Increase in Market Share	                 “In 12 months, Cordis saw it                 market share grow from just 1% ...
HBR Best Business Idea	        The stent went on to become a        $1 billion business in less than 2        years – the ...
Create growth	                                      plans that work	Accelerate growth – lower risk.
We Think Differently About …	Markets	       Strategy	   Innovation
What is Innovation?
Traditional Definition	  “Innovation is the                                              “Orderly innovation is   creation ...
IT managers whomanage enterprisesoftware licenses
We Define “Innovation” Differently	                             “Innovation is the                            creation of p...
Innovation = Get a Job Done Better	     Step	         Step	   Step	   Step	       1	            2	      3	      4
Innovation = Get a Job Done Better	                                      Step	                                     Step	  ...
Innovation = Get a Job Done Better	                     Step	                        Step	               Step	        NEW	...
How much	will you grow?
Breakthrough	The securable market
The Securable Market	High	                                          Increased Satisfaction	Willingness to Pay	            ...
35% Renewals	80%                  $1 Billion	  Projected  Revenue
Create growth	                                      plans that work	Accelerate growth – lower risk.
®            	This is Outcome-Driven Innovation (ODI) Markets	     Strategy	   Innovation
®                     	       The Outcome-Driven Innovation Process                  Idea	                              Cr...
ODI can help you accelerate growth…	                                       … throughout the product life cycle.	          ...
Learn More …	We’ve authored …	        We’ve published our ideas in …	                           Our ideas are cited in …	 ...
Contact us:	  info@strategyn.com	Toll Free: (866) 729-8400	       Tony Ulwick	  ulwick@strategyn.com
Upcoming SlideShare
Loading in …5
×

Silence the Voice of the Customer (VOC)

7,239 views

Published on

Recorded webinar given by Tony Ulwick, CEO of Strategyn. "Silence the Voice of the Customer" reveals why it's time to breakaway from VOC methodology and try a new approach. Original airdate: 4/20/11

Published in: Business

Silence the Voice of the Customer (VOC)

  1. 1. Silence the Voice of the Customer And Create Growth Plans that Work 4/20/11 © Strategyn Inc. 2011
  2. 2. Create growth plans that work Accelerate growth – lower risk.
  3. 3. The Goal is to Succeed Nearly All the Time
  4. 4. Think from a Different Perspective 2 E= MC
  5. 5. We Think Differently About … Markets Strategy Innovation
  6. 6. What is a Market?
  7. 7. Traditional Definition “A market is the set of actual and potentialbuyers of a product.” Philip Kotler Kellogg, Marketing Management
  8. 8. 0% Growth 150 BC 1670 1940 1985 1999
  9. 9. We Define “Market” Differently “A market is a group of job executors and the job they are trying to get done.”
  10. 10. The job of … “communicating with a select group of people”
  11. 11. Breakthrough Job map and 50 to 150 metrics per job
  12. 12. Mapping the Job-to-be-Done Core Functional Job Job Map •  Outcome 41 •  Outcome 1 •  Outcome 42 •  Outcome 2 •  Outcome 43 Plan Locate Prepare Confirm •  Outcome 44 •  Outcome 3 •  Outcome 4 •  Outcome 45 •  Outcome 5 Conclude Modify Monitor Execute 50 – 150 metrics (needs) per job The Customer-Centered Innovation Map, HBR, May 2008 Giving Customers a Fair Hearing, MIT Sloan, May 2008
  13. 13. Desired Outcome = Customer Need Unit of Object of Direction Measure Control Minimize the time it takes to confirm receipt of a communication
  14. 14. Silence the Voice of the Customer VOC practices fail to uncover all the customer’s needs: •  Focused on the product, not the job the customer is trying to get done •  Assume customers have latent needs and needs they can’t articulate •  Assume customer needs change quickly over time
  15. 15. Possible Growth Opportunities 12 steps and over 100 outcomes … 1. Minimize the time it takes to confirm receipt of a communication 2. Minimize the likelihood that the communication is interrupted 3. Minimize the likelihood of interference when communicating 4. Increase the likelihood that the communication is discreet 5. Minimize the likelihood that a message is misunderstood 6. Minimize the time it takes to establish a record of the communication 7. Minimize the likelihood that a communication is intercepted Complete set of well articulated needs that are stable over time
  16. 16. Opportunity Is … An important but poorly satisfied outcome
  17. 17. Market Opportunity Landscape Opportunity = Importance + max (Importance – Satisfaction, 0) High Satisfaction Over served Under served Low Low Importance High
  18. 18. 0% to 18% Growth “Strategyn helped us create two of our bestselling radios to date.” Dr. Robert Pennisi Director, Advanced Technology Dr. Pennisi is currently an innovation professional with Strategyn
  19. 19. Create growth plans that work Accelerate growth – lower risk.
  20. 20. We Think Differently About … Markets Strategy Innovation
  21. 21. What is Strategy?
  22. 22. Traditional Definition “Strategy is choosing “Activities, then, to perform are the basic unit ofactivities differently competitive than rivals do.” advantage.” Michael Porter Harvard Business School
  23. 23. Doctors who open a clogged artery
  24. 24. We Define “Strategy” Differently “Strategy is choosing “Customer needs which unmet are the basic unit ofcustomer needs to competitive target and how to advantage.” satisfy them.”
  25. 25. Breakthrough Outcome-based market segmentation
  26. 26. Segments of Opportunity Segment 1 Segment 2 Segment 3 65% 25% 10%
  27. 27. 1. Which Needs Should We Target? Opportunity = Importance + max (Importance – Satisfaction, 0) High Segment •  Minimize the time it takes to move 1 through the vessel Satisfaction •  Minimize the amount of damage inadvertently caused to a vessel •  Minimize the amount of force required to cross the lesion •  Minimize the likelihood of restenosis Low Under served (recurrence of the blockage) Low Importance High
  28. 28. 2. Which Job Executor? Cardiac Interventional Patient Surgeon Cardiologist
  29. 29. 3. Which Platform(s)? Angioplasty 40 Projects Stent Balloon in R&D
  30. 30. This is a Growth Strategy Needs Executor Platform(s) Segment 1
  31. 31. 10x Increase in Market Share “In 12 months, Cordis saw it market share grow from just 1% to 10% in the US, 20% in Europe, 30% in Canada and 18% in In Vivo Japan.”
  32. 32. HBR Best Business Idea The stent went on to become a $1 billion business in less than 2 years – the fastest growth in medical device history. Cordis stock increased 5.5x as they were acquired by J&J.
  33. 33. Create growth plans that work Accelerate growth – lower risk.
  34. 34. We Think Differently About … Markets Strategy Innovation
  35. 35. What is Innovation?
  36. 36. Traditional Definition “Innovation is the “Orderly innovation is creation of new an oxymoronic phraseproducts and services.” believed by morons with ox-like brains.” Tom Peters HSM 2007 Author of In Search of Excellence
  37. 37. IT managers whomanage enterprisesoftware licenses
  38. 38. We Define “Innovation” Differently “Innovation is the creation of products that help customers get a job done better and contribute to growth.”
  39. 39. Innovation = Get a Job Done Better Step Step Step Step 1 2 3 4
  40. 40. Innovation = Get a Job Done Better Step Step Step Step 1 2 3 4 Over 150 outcomes… 1.  Minimize the time it takes to determine if users have unlicensed copies of software 2.  Minimize the likelihood that backward compatibility affects other users 3.  Minimize the likelihood that an upgrade will impact previously written code 4.  Minimize the time it takes to troubleshoot problems during deployment 5.  Minimize the likelihood that an upgrade causes problems with existing files 6.  Minimize the overall time it takes to conduct an upgrade 7.  Minimize the time it takes to determine which applications will be impacted by an upgrade 8.  Minimize the time it takes the vendor to fix deployment problems 9.  Minimize the time it get all users on the same version of the software 10.  Minimize the likelihood that a deployment requires a physical visit to the PC
  41. 41. Innovation = Get a Job Done Better Step Step Step NEW Step NEEDS (3 of 150) 1 IMP SAT OPP 2 IDEA 3 4 SAT Minimize the likelihood that backward Application 9.1 3.2 15.0 5.6 compatibility causes problems virtualization Minimize the likelihood that power Centralized 9.1 5.1 13.1 7.1 users can create security violations permissions Minimize the time it takes to Real-time 9.1 3.4 14.8 6.3 troubleshoot deployment problems metering Value Add = %∆ in Satisfaction 60% 75%
  42. 42. How much will you grow?
  43. 43. Breakthrough The securable market
  44. 44. The Securable Market High Increased Satisfaction Willingness to Pay Need Curve™ Premium market Dollar volume of the Securable Low cost market Low Low Underserved Executors High What gain in revenue is expected if we succeed?
  45. 45. 35% Renewals 80% $1 Billion Projected Revenue
  46. 46. Create growth plans that work Accelerate growth – lower risk.
  47. 47. ® This is Outcome-Driven Innovation (ODI) Markets Strategy Innovation
  48. 48. ® The Outcome-Driven Innovation Process Idea Create Testing and Screen Scoping Business Case Development Validation Launch GATE 1 STAGE 1 GATE 2 STAGE 2 GATE 3 STAGE 3 GATE 4 STAGE 4 GATE 5 STAGE 5 = 17% Success Traditional Innovation Process Rate Market Market Concept Testing and Selection Strategy Innovation Development Validation Launch STAGE 1 GATE 1 STAGE 1 GATE 2 STAGE 2 GATE 3 STAGE 3 GATE 4 STAGE 4 GATE 5 STAGE 5 = 86% Success The Outcome-Driven Innovation® (ODI) Process Rate
  49. 49. ODI can help you accelerate growth… … throughout the product life cycle. •  Discover attractive markets and market segments •  Discover “blue oceans” Market Selection •  Validate a big idea •  Define next-gen products •  Define next-gen platforms •  Disrupt a market Market Strategy •  Ideate breakthrough solutions •  Optimize the customer experience •  Adjust the strategy in Development response to a sudden market change •  Position or reposition a product to succeed •  Resolve lingering product and Launch service quality issues
  50. 50. Learn More … We’ve authored … We’ve published our ideas in … Our ideas are cited in … … and over 200 other books and publications
  51. 51. Contact us: info@strategyn.com Toll Free: (866) 729-8400 Tony Ulwick ulwick@strategyn.com

×