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Delivering Balanced Solutions
Daniel Walsh & Erik Simmons
nuCognitive Founders and Principal Consultants
May 2017
Presenta...
Complexity and Market Forces
2 Copyright © 2017 nuCognitive LLC. All rights reserved.
Obvious problems still exist, but mo...
What is a Solution?
Generically, solutions solve problems.
So, in the context of a business or other solution provider,
a ...
Three Fundamental Perspectives
4 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. A...
The Three-Circle Model
5 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All right...
The Three-Circle Model
6 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All right...
Balanced Solution Development
7 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. Al...
Individual Circles
Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rights rese...
Business | Economic Viewpoint
9 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. Al...
Business | Investment Flow
10 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All ...
Usage | Conceptual Viewpoint
11 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. Al...
Usage | Experience Flow
12 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rig...
Technology | Implementation Viewpoint
13 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons ©...
Technology | Workload Flow
14 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All ...
Two-Circle Overlaps
Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rights res...
Discussion
16 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rights reserved....
Two-Circle Overlaps
17 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rights ...
Value | Market Relationships
18 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. Al...
The Three-Circle Model Regions
19 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. ...
Three-Circle Model Applications
• Build a shared vocabulary and taxonomy of terms
• Develop a strategy to address solution...
Exercise
Table Exercise Setup (2min)
• Self-organize into table teams of 4 or 5
• Get flipchart paper (1 piece), sticky no...
Solution Life Cycle Milestones
22 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. ...
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Delivering balanced solutions by nu cognitive for pints with pdx product managers 2017

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Developing solutions to customer problems is complex balancing act. Some products fail due to a flawed business model while others are neither desirable nor useful. This workshop invites teams to shift their thinking toward delivering a holistic solution that balances business, usage, and technology.

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Delivering balanced solutions by nu cognitive for pints with pdx product managers 2017

  1. 1. Delivering Balanced Solutions Daniel Walsh & Erik Simmons nuCognitive Founders and Principal Consultants May 2017 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rights reserved.
  2. 2. Complexity and Market Forces 2 Copyright © 2017 nuCognitive LLC. All rights reserved. Obvious problems still exist, but more and more of our problems are complexProblem Complexity Solution Complexity We’re not finding many obvious solutions to complex problems Design Tool Complexity The tools we’re using to create solutions are getting complex too Organizational Complexity Larger, distributed teams, more cross-domain and cross-company dependencies Development Process Complexity It’s a natural response to increasing solution complexity, but some is avoidable! And, to make matters worse, Time-To-Market pressure and resource constraints are increasing
  3. 3. What is a Solution? Generically, solutions solve problems. So, in the context of a business or other solution provider, a solution is an integrated set of products and services that solves a customer problem Problems present opportunities An opportunity is a set of favorable circumstances. For commercial product development, this translates to favorable conditions in the business, usage, and technology domains. 3 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rights reserved. Solutions are purpose-built systems that solve problems
  4. 4. Three Fundamental Perspectives 4 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rights reserved. The best solutions, platforms, and products are: Marketable, profitable, and affordable : desirable, useful, and usable: Manufacturable, functional, and consumable: Business Usage Technology
  5. 5. The Three-Circle Model 5 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rights reserved. The three circles combine to create seven regions: Compelling solutions are found in the center, balancing all three perspectives A system lacking sufficient coherence in all these areas will not be successful Technology Usage Business
  6. 6. The Three-Circle Model 6 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rights reserved. The Three-Circle Model is much more than just a picture The model also introduces a taxonomy and domain ontology for system design and development that relates the three major perspectives in detail The model is both descriptive and prescriptive, and is derived from practice and experience more than theory The Three-Circle Model provides concepts and vocabulary that aid discussion and description of system design and development
  7. 7. Balanced Solution Development 7 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rights reserved. Each new system presents its own challenges, as does the environment surrounding the system, the experience of the development team, and many other factors Weighting the business, usage, and technology perspectives according to these factors makes sense; ignoring a perspective entirely does not Business Usage Although the three circles in the model are shown at the same size, there is a need for balance, not necessarily equality We need to develop solutions using a balanced, systematic approach
  8. 8. Individual Circles Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rights reserved.8
  9. 9. Business | Economic Viewpoint 9 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rights reserved. Also represented are the economic aspects of interdisciplinary concerns, such as marketing and production The business perspective includes economic success criteria for the system, value network descriptions, and associated business models Profitable • Payback period • ROI1, NPV1 • Business models Marketable • TAM1, ASP1, MSS1 • Ecosystem, value networks • Brand implications • Relationship to other branded products Affordable • Development & manufacturing costs • Resource constraints 1 Total Available Market, Average Selling Price, Market Segment Share, Return on Investment, Net Present Value Example data: Business
  10. 10. Business | Investment Flow 10 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rights reserved. The financial view of the system involves the flow of investment Strategy helps transform the organization’s mission into objectives Objectives guide investment, yielding results The effect of the results is judged by comparison with objectives, and this effect is in turn judged in light of the mission All these activities are governed by financial disciplines, which form the basis of business models Business Finance Objectives Results Strategy Effect Mission
  11. 11. Usage | Conceptual Viewpoint 11 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rights reserved. Also represented are the conceptual aspects of interdisciplinary concerns, such as marketing and design The usage perspective includes a description of the people who will use the solution, their conceptual model of it, and the associated usage models Usage Useful • Goals, needs, and tasks • Fit with mental models and physical abilities • Confidentiality, integrity, availability Usable • Ease of use • Intuitiveness, ease of learning • Reliability Desirable • Connection to human values • Willingness to pay • Aesthetics Example data:
  12. 12. Usage | Experience Flow 12 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rights reserved. Usage Users Goals Satisfaction Human Values Needs & Wants Experience Qualities The users’ view of the system involves the flow of experience Human values shape needs & wants that lead people to set goals for solution use Goals shape experience during use, which yields some level of satisfaction via comparison with goals Experience qualities are key to interpreting satisfaction in terms of the underlying human values All these activities are centered on users and usage models
  13. 13. Technology | Implementation Viewpoint 13 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rights reserved. Also represented are the implementation aspects of interdisciplinary concerns, such as design and production The technology perspective includes implementation architecture, workloads, and performance characteristics Manufacturable • Alignment with production capabilities • Required competencies • Supply chain readiness Functional • Effectiveness • Fitness for use Consumable • Compatibility with current infrastructure and services • Acceptability by community and personal standards Example data: Technology
  14. 14. Technology | Workload Flow 14 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rights reserved. Tolerance is key in judging performance as well as validating the underlying engineering heuristics and parameters All these activities are based on and enabled by engineering disciplines Technology Engineering Performance Targets Tolerance Heuristics Parameters & Assumptions The engineering view of the system is illustrated through the flow of workload Parameters & assumptions help determine appropriate heuristics that lead to targets The workload is applied to the solution, which yields some level of performance via comparison with the targets
  15. 15. Two-Circle Overlaps Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rights reserved.15
  16. 16. Discussion 16 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rights reserved. 1. What concept relates business and usage? It must unite the economic and conceptual views of the system, tying investment to experience. 2. What concept relates usage and technology that unites the conceptual view to the implementation view and ties experience to workload? 3. What concept relates technology and business that unites implementation with economics, and ties workload to investment?
  17. 17. Two-Circle Overlaps 17 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rights reserved. Value relates business and usage This interaction defines how usage contributes to market share, competitive advantage, and positioning Capability relates usage and technology This interaction defines the interplay between usage, system architecture, and supporting technologies Ingredient relates technology and business This interaction defines how technologies drive profitability and marketability
  18. 18. Value | Market Relationships 18 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rights reserved. Value Usage Business Brand The economic and conceptual models of the system are related through value Brand is a combination of physical, functional and emotional attributes Brand includes a name and a symbol, and is a foundation of marketing An offering consists of a product, service, or combination made available for sale by a business to a customer A promise is the anticipation of value created in the mind of a customer by marketing, user experience, and brand The market cycle unites the outside world with the economic and conceptual merits of the product, expressed as value, and focused on brand
  19. 19. The Three-Circle Model Regions 19 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rights reserved. Integrating business, usage, and technology combines ingredients to provide capabilities that deliver value Business Value Ingredient Capability Usage Technology
  20. 20. Three-Circle Model Applications • Build a shared vocabulary and taxonomy of terms • Develop a strategy to address solution development and delivery challenges • Design a diverse portfolio of practices or processes for solution development • Analyze a product or service for completeness and cohesiveness • Inform the design of a product, service, or solution life cycle 20 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rights reserved.
  21. 21. Exercise Table Exercise Setup (2min) • Self-organize into table teams of 4 or 5 • Get flipchart paper (1 piece), sticky notes (1 pack), & markers (1 for each person) Individual Work (3 min) • Brainstorm 3 to 7 tools, methods, or practices that you use as a Product Manager or Service Designer on a regular basis (e.g. wireframes, personas, etc.) As a team (20 min) • Draw the Three Circle Model on the flipchart paper • One at a time, describe each method or practice as you place your sticky notes on the model in the appropriate location Debrief (10 min) • Which areas of the model are covered well, and which are not covered at all? • What tools, methods, or practices could be added to balance the model? • (Time permitting) Evaluate another team’s map. Elect a speaker for the team to report out on the following questions: What’s the same? What’s different? What’s surprising? 21 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rights reserved. Business Value Ingredient Capability Usage Technology
  22. 22. Solution Life Cycle Milestones 22 Presentation Copyright © 2017 nuCognitive LLC & Material Copyright Erik Simmons © 2017. All rights reserved. Opportunity An idea, event, or situation with favorable characteristics in business, usage, and technology Concept One or more abstract initial renderings of the eventual solution suitable to guide additional work Candidate One or more feasible, detailed realizations of the concept with validated value, capability, and ingredients Solution An integrated set of products and services that solves a customer problem and meets the requirements of the opportunity Creating effective solutions requires a consistent vision that pulls the team forward Obsolescence The end of support, with reuse and recycling of the existing solution as appropriate

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