Design Thinking 2 What Wows and What Works? Mattias Arvola mattias.arvola@liu.se @mattiasarvola Dept. of Computer and Information Science 1 DESIGN BRIEF 2 What is? DESIGN CRITERIA What if? NAPKIN PITCH What wows? id LEARNING GUIDE Le ar ni ng ea ch -c r un co la er s tio t n en pm tin g ot ot yp in g pr lo te s ve n de pt io to m us ap C R pt m ce su on As C g ng ys i ng al pi an in m to r n ap pi ai m m ap ns d ai Br in M y ch ne ue ur Va l Jo Visualization What works? Concept Development • 200 ideas in brainstorming • Develop 12 concepts • Test 3 with customers • Deploy 1 • Don’t say no too early • Focus on value for customers and business case 3 Just do it • Gather your Legos: people, design criteria and brainstorming results. • Spread your Legos: • Use the room • Eliminate redundancies • Group similar ideas • Missing things and new ideas • Recurring themes • Set priorities using the criteria • Identify must have ideas and themes • Choose 5-12 themes that serves as anchors for distinct concepts • Form initial concepts: • Combine elements for customer value and viable business model • Set up a Chili Table 4 Jeremy Alexis’ Chili Table • Variables: Think of all the things you can put into chili • meat, beans, veggies, spices… • Values: Think of all possible items in each category of things • different kinds of meat or spices • Combinations: Create different combinations of variables and values to make different kinds of • vegetarian chili, meat lover’s chili, Hawaiian chili… 5 Evaluate Against your Design Criteria • Choose multiple compelling concepts and for each of them consider: • What type of product/service are you considering? • How would it work? • What key needs does it meet? • What are the costs and risks? • How would it enrich the relation between the company and the customer? 6 Napkin Pitch or NABC • Concept Name • Need • Why customer wants it? • What unmet needs does it serve? • Approach • What asset or capability does it leverage? • How does it create value? • How do we create a sustainable advantage? 7 • Benefit • How will the customer benefit? • How will our company benefit? • What other parties will benefit? • Competition • Who else serves this need? • How will they respond to our entry? Visualize 8 What Wows? Testing the future in the present 9 Assumption Testing • A business concept is a hypothesis that builds on assumptions about • customers • partners • competitors • What is the simplest way to test an assumption you are unsure of? • Can we test it without implementing it for real? • What are the make-or-break elements of the concepts? 10 Assumption Testing: Vulnerabilities • Worthwhile problem • Novel and compelling solution that isn’t easy to copy • Adoption rates • Market entry timing • Availability of key partners • Price • Cost 11 Assumption Testing: Generic Business Tests • The value test: Customers will buy at a price that works • The execution test: You can create and deliver it at a cost that works • The scale test: You can build a volume that makes it worthwhile • The defensibility test: Competitors can’t easily copy you • Value and executions tests are more important early than scaling and defensibility 12 Assumption Testing: Specific Business Tests • Relates to your organisation/firm and its particular situation • Strategic goals that the concept contributes to • Assumptions on how and why this concept contributes to the strategic goals • Strategic organizational goals in the design brief and in your impact map • Imperatives to meet in the design criteria, based on value chain analysis and ethnography 13 Assumption Testing: Articulate assumptions • Customers: • Why this concept will create superior value to them? • Competitors: • Willingness to pay? • Which competitors will be affected? • How many are they (market size)? • How will they react/ interfere? • Your organization: • How to create and deliver promised value and what capabilities will leverage? • Missing capabilities? 14 • Whom will you partner with? • Choose a handful critical assumptions Identify the data you need to test your assumptions • What you know • What you don’t know and can’t • What you don’t know but could 15 Make thought experiments and check assumptions in impact maps • Look at the data you don’t know but could • What is the easiest way of knowing without necessarily going to the customers or market? • Check with people inhouse? • Online research? 16 • Revise the impact map with stakeholders • Add bulletpoints to the nodes • Rephrase map nodes • Attach additional nodes Rapid Prototyping • Bring concepts to life with details, form and nuance • User scenarios • Faking a new business fast • Business concept illustrations
• Make ideas tangible to share and discuss with stakeholders and in the team • Lots of 2D • Paper prototyping • Storyboarding 17 • Experience journeys • 3D • Built out design language • Working model with more features and details What is the cheapest way to test your assumptions? • Early prototype: • Concept sketch (2D) • Time: 5 minutes • Original design by high-profile design consultancy • Cost $1 • Fully functional • Functional prototype • Retrofitted cooler (3D) • Magnetic door strike attached • Keypad attatched • Time: 3 days • Materials cost: $600
18 • Market test prototype • Required original tooling • Time to create: 3 months • Materials cost <$10,000 (due to tooling cost) http://www.jfarny.com/kohls.php 19 20 21 By Jurgen Leckie http://leckie.nl/portfolio_debibliotheek.html 22 SLUTA RÖKA FÖRSTA DAGARNA GÅR BRA NADINE FÅR OCKSÅ UPPMUNTRANDE MEDDELANDEN OM ATT HON GÖR RÄTT SOM INTE RÖKER. en id Vårdgu NADINE VILL BLI GRAVID OCH HAR BÖRJAT FUNDERA PÅ ATT SLUTA RÖKA, MEN INTE TAGIT FÖRSTA STEGET ÄN. MEN VISSA STUNDER ÄR DET SVÅRT OCH NÄR HON ÄR NÄRA ATT FÅ ÅTERFALL SÖKER HON STÖD OCH MOTIVATION GENOM TJÄNSTEN HON TRÄFFAR EN VÄN PÅ ETT CAFÉ OCH BERÄTTAR OM SIN VILJA ATT BLI GRAVID. VAD ROLIGT ATT NI VILL HA BARN! MEN DÅ MÅSTE DU JU SLUTA RÖKA MED DETSAMMA. HÄR, TESTA DET HÄR, DET ÄR ETT HJÄLPMEDEL FÖR ATT SLUTA SOM JAG BLEV TIPSAD OM PÅ MVC. ÅH, DET SER SJYSST UT, JAG STARTAR NU, ALDRIG MER RÖKA.. P P I BL I BL ETT VERKTYG SOM FUNGERAR BRA FÖR NADINE ÄR ATT ANVÄNDA FORUM. HÄR FÅR HON KONTAKT MED ANDRA OCH KAN ABST INENS DELA TIPS. FORU M Lorem ip sum do lor sit a adipisci met, co ng elit. nsectetu Pe risus te r mpor vo llentesque at mauris lutpat. volutpa ve Mauris t a lacin lorem e l ia mole Ut lacin n im stie ia , bibend massa ut urna , fringilla ac od um sap dictum io. ien , se nibh ut nisi inte vulputate. Inte d rdum o ger quis Fusce u rna ltri Proin p cies magna ve re vel vel lectu orta lore s. l cursus m sed co tristiqu Nam aliq e. m uam m etus rho modo faucib u ncus m s. assa Lorem ip sum do lor sit a adipisci m ng elit. Pellente et, consectetu sque at r mauris vel Pellente sq volutpa ue at mauris ve t!!!!! l ri 23 sus tem po r Video prototype • The Economizer • https://vimeo.com/2523748 24 Learning Guide to Experiments in the Market • Strategic Intent • Goal of project for customers and company • Remaining Key Assumptions to Be Tested • To-do-list • In-Market Test Plan • Assumptions to test in market, and their success metrics 25 • Financial Capital to Be Expended • Budget and people needed to test assumptions in the market place through cocreation and learning launch • Revise as you learn and fail fast to succeed sooner What works? • Invention • doing something in a novel way • Innovation • an invention that create economic value • Envision multiple concepts, choose one to market test • Is your offering really desirable, viable and feasible? • Stay open to insights that could take you in unexpected directions 26 Customer Co-Creation • Getting the voice of the customer • Invite a few potential customers to collaborate with you by playing with rough prototypes • Put them infront of some prototypes • Give them tasks • Observe their reactions and ask for their thought • Analyze the results • Iterate 27 Just do it • Enroll customers who care about you, but not as much as they care about themselves • Test 2-3 options, at least one you think is too extreme • Leave it rough • Diversity = security • Let them change stuff, fill in the blanks, sort out things • Create a no-selling zone. The customer should do 80% of the talking • Leave time for discussion, but let the customer answer their own questions • Engage one customer at the time • Remember: what assumptions are you testing? 28 29 Functional computer prototype • https://www.youtube.com/watch? v=_aVJMMVIwho 30 Impact Mapping in Co-Creation • Impact map with customers, developers and users to jointly define a good solution 31 Learning Launch • Take an improved prototype to the market for an extended experiment to test final assumptions before full commercial development. • Asking what people think is a weak test • Looking at actual behavior over extended time is the real test • What is it worth to them? 32 4D = 3D that persists over time • Build a working prototype • Set tight boundaries: How long is long enough? • Confidentiality may be an issue • Focus on key assumptions that you want to test and set specific metrics • Generate the data you need • Get disconfirming data that can disprove your hypotheses • Make sure the cost of the learning launch match its benefits • Use fast feedback cycles • Make it feel real • Make back-up plans • Test your on-ramp strategy 33 Assignment 2 • Deliverables • Napkin Pitch • Learning Guide • Methods: • Start from your earlier brainstorm • Visualization • Concept Development • Assumption Testing • Rapid Prototyping 34 • Customer Co-Creation • Gather initial thoughts on a Learning Launch • Integrate Impact Mapping in the testing of assumptions and customer co-creation. Muddy Cards online • The following things are good about the course: • The following things are important for the examiner to think about or handle in the second half of the course: 35 www.liu.se 36