Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.

How to Apply Social Technologies to Product Innovation


Published on

Published in: Technology
  • Be the first to comment

How to Apply Social Technologies to Product Innovation

  1. 1. Social Product Innovation How Social Technologies Are Applied to the Product Creation Process Jeanne Bradford @jeannebradford TCGen, Inc Menlo Park, CA May 2011March 28, 2013 1
  2. 2. Discussion Framework • Social Product Innovation – So what? – Benchmark Study Background – Apply social technology through all phases of the PDP • The Landscape • Organizing Principles • Case Studies: 5 Best Practices – Customer Driven Strategy – Time Bounded Innovation – Beyond Crowdsourcing = “Expert Sourcing” drives better results – Customer as Designer: Accelerating TTM & Reducing Cost – 3rd Party Solutions & Dedicated Resources = Rapid Social Implementation • ChallengesMarch 28, 2013 2
  3. 3. TCGen: Innovating New Products Faster• Experienced-based consultancy, based in Menlo Park, CA – Practice Areas: Product creation best practices, product definition, predictive metrics, change management – 25+ years industry experience for each principal – Combine experience with contemporary best practices to create lasting change – Flexible, adaptable approach that respects the client’s corporate culture• Client List (partial) AOL • Abbott • Agilent • Apple • Avaya • Baxter • Becton Dickinson • Bio-Rad • Bose • Cisco• Compaq • Corning • DataCard • Hewlett-Packard • Honeywell • IBM • Keithley • Kodak • Livescribe • Lucent • Medrad • Medtronic • Mentor Graphics • NetApp • Pacific Pulmonary Services • Phoenix Technologies • Portal Software • SGI • Stanley • Teachscape • Tektronix • Texas Instruments • United Parcel Service • Western Digital • Westinghouse • Xerox • 3MMarch 28, 2013 3
  4. 4. Benchmark Study Background• The increasing trend of unusual uses for Social Networking platforms and the complexity and challenge of product development triggered our interest in this timely topic. – We thought there must be innovative ways social networking platforms are used in product development. – Who is leading the charge and what have they learned?• Joined by Santa Clara University Professors who shared our interest and passion, we performed this multi-client benchmark study, and simultaneously launched research on this emerging topic. – Formulated hypotheses for our study – Created an interview guide & identified target companies – Conducted face-to-face or telephone interviews ranging from 1-4 hours each with 2-3 researchers and company experts – Summarized our interviews and identified 10 best practices.• We supplemented benchmarking with best practices from the literature review• Initial study was completed in December 2010, and is continuing to be expanded.March 28, 2013 4
  5. 5. Babson/Mzinga Social Media Usage Report• We found relatively few examples of using Social Technologies/Social Media in our research. It is an emerging practice and although we found companies who had tried it, very few actually had successes.• As can be seen in the Babson/Mzinga study below, there is very little use of Social Technologies in Product Development as of 2010, but we know the investment is increasing.14% investing90% expected 28, 2013 5
  6. 6. Social Media Soup
  7. 7. Social Media Concepts: The Basics• Social Networks: Platforms to engage and interact with clients, customers (users), market, and competitors.• User Communities: • Users of a good or service with a common interest. • Purpose driven to provide focus, engagement • Allows multi-directional communication flow – “cross talk”• Innovation (our context): A new concept with significant business relevance• Social Media Technology: Internet-based tools and applications that facilitate the creation and exchange of user generated content.• Social Innovation: Innovation leveraging Social Media Technology “70% of consumers want to interact via social media, and only 30% of companies are ready for it.” ~ The Yankee Group May 23, 2011 7
  8. 8. Product Development LifecycleSocial technologies throughout the all phases of the product development cycle Concept Design Development Validation Launch IBM Innovation Jams Customer as Designer Social Beta testing Cisco iPrize Netflix ContestCustomer as Product Strategist Social as a Feature (RSS) Feature rating/ranking Innocentive Quirky 3rd Party Platforms: eg Spigit, BrightIdea, Communispace
  9. 9. Social Product Innovation LandscapeAn increasing number of companies – both B2B & B2C - are embracing the social web to drive product innovation We’ve studied over 30 companies and their product innovation methodologies – and from them identified best practices you can begin implementing today.March 28, 2013 9
  10. 10. Product Innovation Organizing Principles ExpertsCommu Closednitie Opens Problem Focus Solution “Cross Talk” is the driving force Not one way to organize, but successful communities are well defined March 28, 2013 10
  11. 11. Social Product Innovation Best Practices Five Case Studies: • Customer Driven Strategy • Time Bounded Innovation • Beyond Crowdsourcing = “Expert Sourcing” drives better results • Customer as Designer: Accelerating TTM & Reducing Cost • 3rd Party Solutions & Dedicated Resources = Rapid Social Implementation Benchmark Study @ 28, 2013 11
  12. 12. Best Practice Customer Driven Strategy & Tactics Practice: Community driven corporate product strategy – with 80% of the priorities aligned with external input • The ‘Brainstorm’ site has ranked development priorities (Top 10), with the list published at the annual user conference. • Feedback and acknowledgement is given to those who have submitted suggestions that were adopted. • This closed community creates a forum for peer review & discussion of ideas which influences corporate strategy. • Not only can participants indicate how strongly they support a priority, but they can indicate that a priority should not be on the list. Goal: Allow users to influence development direction at many levels – strategic and tactical • Besides the strategic example above, users can interact within the customer portal to contribute cutting edge designs at a more tactical level. • For example, special purpose forums allow interaction around a feature being considered by a newly formed team, and many teams have this ability at their disposal. • Users have also contributed in design contests to submit best examples of designs that highlight the use of the software. Results: Up to 80% of user driven priorities are implemented • The company emphasizes a “closed loop” communication, reinforcing that the customers’ voice was heard. • This closed loop approach is used in other areas of social innovation. Allowing customers to set development direction, priorities, and feature definitions via electronic means demonstrates how voice of the customer can be obtained at many levels December 4, 2010 12
  13. 13. Best Practice IBM Jams – Time Bounded Innovation Community Action Report Project Jam preparation: marketing, Post-Jam Analysis Initiation training/recruitment, site preparation Live Event and Implementation Practice: The IBM Jam accelerates innovation & consensus by combining an optimized process for innovation with technology to help with communication, filtering, and idea enhancement • The live Jam duration is typically one week but can be as short as 72 hours. • Real time data analysis tools scan forum comments to identify hot topics and emerging themes. • Lack of anonymity ensures that feedback remains constructive, even if critical. Goal: Increase the front end of the innovation process by reaching out to relevant community voices - and do it quickly • Transcend culture, generation, language, and geographic challenges to harness collective brainpower for a given problem or challenge. • Use online, virtual collaboration to drive increased real world collaboration across the enterprise. Result: Quickly harnessed innovation on new problems with large, distributed organizations • Within seventy two hours hundreds of ideas can be generated. • Technology provided the ability to draw upon experts repeatedly because the responses are traceable. • The Jam process yielded prioritized and manageable solutions with a direct line of sight from idea to execution. Social Media isn’t limited to ongoing communities. Well defined sessions & qualified participants can be leveraged effectively as a time bounded, high impact December 4, 2010 For more information see: 13
  14. 14. Best Practice Customer as Designer: Using Customer’s Photographs Practice: In designing a new cosmetic line, the company asked their target market (busy moms) to photograph and share their empty purses to help design the ideal “mobile” cosmetic solution. • This company used a closed community composed of the target market where they shared photographs and provided input on their biggest challenges with using the product. • The product team included these photographs as part of the design process to help with idea creation and product definition. Specifically, this rich input depicts various cosmetics carried by moms, and the size and space where those items need to fit, and other items (non-cosmetic) that might be also be included in the product. • Photographic input is much richer than a survey, and is much more accurate because it does not rely on memory. • By sharing the photographs the moms can share experiences and provide a more meaningful context for probing and further exploration. Goal: Increase number of products simultaneously delivered and significantly accelerate time-to- market • This organization had a desire to increase revenue from new products. • This technique was also able to reduce the cost of product definition since customer visitation was done via the internet, not in person. Results: Set new standard for production delivery - 12 new products in six months • Inclusion of the photographs from the focused target market enhanced contextual product definition and allowed the company to realize that many cosmetic product could be included in one package. • The process ‘virtualizes’ customer visitation, a best practice for product definition. Capturing specific environments of use allows your customers to make the highest value contributionsMarch 28, 2013 14
  15. 15. Best Practice Rapid Idea Generation & Dedicated Team Practice: Use out-of-box platforms to quickly harness innovation on new problems within large, distributed organizations. • BrightIdea allowed this study participant to quickly construct campaigns and helped them to gather ideas from employees. • The platform also has mechanisms of voting and collaboration, so participants can put concepts out there and employees can contribute to them, and then re-vote on the enhanced ideas. Goal: There is an urgent need for larger companies to innovate, but their size often makes it more difficult. This study participant formed a small group to serve as an innovation management team. They work with all the various software and solutions business units on their specific innovation plans and objectives. • This team is a central group that helps put tools in place, create templates, and guide the teams. • An implementation strategy that allows the flexibility to customize the platform and to share data across business units was instrumental to the success of this organization. Results: The team, formed to drive innovation, was widely tapped to help many of the operating businesses achieve their innovation goals. • Campaigns ramped up and were running in less than a week, and typical campaigns take 5-6 weeks to organize. • In one case, a campaign generated 200-400 ideas in 2 weeks. • Response tracking within the platform gave teams the ability to draw upon experts repeatedly. • These platforms are easy to extend and reuse – did not require the central team to acquire detailed technical expertise. • Features of the software includes aspects of filtering, voting, prioritization and idea management. • This platform is being used by divisions with upwards of several thousand people. Typically innovation programs require a long time to get up and running even if leveraged by technology – but there are rapid deployment solutions available.March 28, 2013 15
  16. 16. Best Practice Optimizing the Crowd: Beyond Crowdsourcing Practice: The best ideas come from the best people. Quality trumps quantity. The best systems start with qualified participants and then track the participation and quality of ideas. • The best communities do not allow anonymous participation. Community members are qualified and invited to join based on a their ability to provide valuable contributions • Tools like BrightIdea’s Switchboard allow communities to identify subject matter experts –– both internal and external to the company. The simplicity of the tool (email based) drives faster decision making by providing a quick view of the idea and a key set of questions to answer. • The more you use the tool, the more valuable it becomes to the community. By tapping previously recognized experts, you can generate credible ideas faster. Goal: Maximize the quality of data generated by a community to drive decision making & execution • Develop the competency to screen participants for true idea generators. • Identify subject matter experts to drive decision making, and establish a talent pool to tap subsequent innovation sessions (or to build on the current session) in an efficient and rapid manner. Results: Qualified participants yield a much higher quality of data. Additionally, with the use of subject matter experts, learning curves for subsequent campaigns are shortened. Below are two examples from IBM. • OESA Jam: Original Equipment Supplier Association and Auto Industry Thought Leaders redefine Supplier OEM Relationships • First ever industry-wide Jam was driven by the economic pressures that required better collaboration in the supply chain. This 77 hour event created 5 change concepts that reshaped how the industry approached collaboration, focused on innovation, and improved the value proposition for both suppliers & OEMs • 2010 Global Security Jam: Re-thinking Modern Global Security • European Union sponsored Jam included 4,000 thought leaders from 20 international agencies. This 5-day brainstorming session resulted in 10 recommendations that were both innovative and pragmatic There is only wisdom of the crowd if there is a focus area and the participants are qualified to contribute in this focus areaMarch 28, 2013 16
  17. 17. Challenges & Emerging Best Practices• Lack of Community purpose and vibrancy is a common reason for failure – Crowd sourcing vs. expert sourcing• Changes in the balance of power and decision making in companies• Managing the quantity & quality of data from the communities• Intellectual property practices are being testing when innovation occurs outside the corporate walls• New learning and skill development will be required – especially with the older workforce.March 28, 2013 17
  18. 18. Questions? Jeanne Bradford @jeannebradford 408.828.5168 TCGen, Inc Menlo Park, CA www.tcgen.comMarch 28, 2013 18