The Design Thinking Approach To Innovation - 23.10.09

The Design Thinking Approach
to Innovation
Date: 23 October 2009
BOSTON . LOS ANGELES . MILAN . SEOUL

Our goals for today
Our goals for today:

• To explain Design Thinking and its benefits
• To discuss the elements of Design Thinking and the process we

use at Continuum
• To share some of the tools we use in our process
2 | Design Thinking | ©2009 Design Continuum, Inc. Proprietary & Confidential.

Who we are
Continuum is a design and innovation consultancy. We

study people. We recognize opportunities and identify
breakthrough ideas. We make those ideas real.

What we’ve done
REEBOK
NATIONAL / Pure Innovation
PARKS/ Creating Emotional Affinity SWIFFER / Enabling Aspirations Pampers / Understanding Moms
Doubles
Bringing Sales to $2B
the Parks to the People Creates $1 Billion Category P&G’s First $6 Billion Brand
AMERICAN EXPRESS / Premium

Privilege of Membership
MIT MEDIA LAB / Enabling Education
QUEST DIAGNOSTICS / Building Empathy INSULET / Freedom By Design
Revolution by Design
Reducing Anxiety Creates New Category

Service sector experience
We have partnered with a wide range of educational institutions, government agencies,

professional associations, and for-profit service providers.

Where we are
Americas
Boston, MA
Columbus, OH
Cleveland, OH
Los Angeles, CA Asia
San Francisco, CA
Tokyo, Japan
Kansas City, MO
Yokohama, Japan
Chicago, IL
Europe Shanghai, China
Portland, OR
Paris, France Beijing, China
Cozumel, Mexico
London, UK Hong Kong
Berlin, Germany Bali, Indonesia
Groton, CT Delhi, India*
Tampa, FL Rome, Italy
Milan, Italy Bangalore, India*
Phoenix, AZ
Dearborn, MI Madrid, Spain
Istanbul, Turkey direct
Memphis, TN
Seattle, WA partner
Toronto, ON, Canada
Lima, Peru
Global Research
Sao Paulo, Brazil*
locations of 2007 research conducted in-home, in-store, in plant, or place of work

The role of design thinking in our clients’ organizations
Here are some of the ways we apply Design Thinking principles in our
clients organizations:
• Creating Lighthouse Projects
• Bridging Divisions (Marketing & Operations, for instance)
• Facilitating Brand Understanding
• Encouraging Creativity (No Art Degree needed)
• Fostering Product and Service Innovation
• Developing radical new ideas

The big realization
How we create is as important as what we create.

What is design thinking?
Design Thinking is a strategic approach to solving business challenges

through creative exploration. It’s about generating new ideas based on a
deep understanding of people, and bringing those ideas to life.
Design Thinking is the interaction of different people with different

viewpoints working with a proven and replicable problem-solving and
idea-generating method.
Design Thinking lets us create better things, not simply choose between
existing things. It generates ideas that become the experiences and
products we couldn’t imagine living without.

Types of innovation
How do we make How do we make a What are all the ways What are the attributes
our toasters better, better toaster? to toast bread? of toasted bread?
faster and less
Is there a better way to
expensively?
achieve these
attributes?

Types of innovation
What are the attributes

How do we make How do we make a What are all the of toasted bread?
our toasters better, better toaster? ways to toast Is there a better way to
faster and less bread? achieve these
expensively? attributes?
Remediation Improvement Innovation

Results Fix obvious problems Increase service levels, Step change increase in performance
efficiency or cost
Tools Quality audits Customer surveys, idea New service development process, innovation
submission programs process
Motivations Customer complains, Competitive pressure, cost Customer expectations, strategic initiative
process errors savings
Approach Total Quality Voice of the Customer Design Thinking

Management

What makes for successful design thinking?
Mindset
Skills
Process
Tools

Design thinking mindset
Acknowledge that we do not know the answer. Be open to completely new

ideas that are not even in the framework of our current thinking.
Search for solutions—not inwardly as experts, but through the lens of

consumers and customers and constituents. Conduct our research as if we
are anthropologists.
Explore options by tapping a broad range of people with different skills,

disciplines, and mindsets. Include people who understand well the constraints
we have to work within, but also include people who do not see any constraints.
Prototype and evaluate a range of ideas to learn, iterate and refine until it is
right. Great ideas with small flaws fail. Details matter.

Design Thinking
What is design thinking?

It’s a fluid but definable process involving several key components:
COLLABORATIVE PERSONAL
Working with people who share Realize each problem – and the people
similar and dissimilar experiences to there to solve it – has a unique context
generate richer work.
INTERGRATIVE
ABDUCTIVE Seeing the whole system and its many
Starts from a set of accepted facts connections.
and works back to their most likely
INTERPRETIVE
explanations.
Creating the best way to frame the
EXPERIMENTAL problem and judge the possible solutions.
Build prototypes. Pose hypotheses.
Test them. Iterate. All to manage risk.
risk.
Rodger Martin, Rotman School of Management, University of Toronto

Conventional vs. Design Thinking
Conventional Thinking Design Thinking
Logical Intuitive
Deductive reasoning Abductive reasoning
Inductive reasoning
Requires proof to proceed Asks what if?
Looks for precedents Unconstrained by the past
Quick to decide Holds multiple possibilities
There is right and wrong There is always a better way
Uncomfortable with ambiguity Relishes ambiguity
Wants results Wants meaning

The Continuum process
Alignment Discover Analysis Envision Evaluation
Goal: Insight: IDEA: Innovation: Validation
Setting the Seeing something A well posed The IDEA made real The IDEA proven
challenge new or differently problem
• Sharing the user research • mapping synthesis evaluation

situation • immersion • sorting • exploring • consumer resonance
• team building • observation • triangulating • envisioning • data consistency
• identifying • interviews • segmenting • creating • design inspiration
stakeholders • intercepts • framing • business analogy
• experimentation • envisioning iteration
context research
• client
• competition
• brand
• technology
• trend exploration


context research
• client
• competition
• brand
• technology

Reframing the problem
Casting a wider net to broaden the possibilities
Events
IRAS project example
Partnerships
How do we encourage Letters

taxpayers to file and How can we reduce Advertising
pay on time? enforcement contact?
E-Mail
Phone Calls
Incentives
Education


context research
• client
• competition
• brand
• technology

Discovery
There are many perspectives from which to consider a problem
Trend Research Brand

trend exploration client interviews
cultural analysis channel interviews
communications audits
Industry Technology
client interviews benchmarking
channel interviews cost analysis
client facility visits patent searches
competitive audits
industry reports
People
interviews
focus groups
observation
surveys


context research
• client
• competition
• brand
• technology

Figuring out the “big idea” based on people’s lives
Analysis acts as the foundation and support for the final

product
• Moving from “what happened?” to “what does it mean?”
• Connects the outcome to the intent and inspiration
• Communicates the (often timeless) attributes of the opportunity, separate
from the execution
Seeing similarities and relationships

• Links insights to business, brand, and technology capabilities
• Links problems with values

Analysis - problems and values
Values
Aspirations
Features IDEA Experience
Solutions
Problem

Values, attitudes, & behaviors
Values (often unconscious, unarticulated): Drives what people really

want
• The ideals, customs, institutions, etc., of a society toward which the people of the
group have an affective regard.
• These values may be positive, as cleanliness, freedom, or education, or negative, as
cruelty, crime, or blasphemy.
Attitudes (often conscious, articulated): What people say they want

• Manner, disposition, feeling, position, etc., with regard to a person or thing; tendency
or orientation.
Behaviors (often unconscious, unaware): What people actually do

• Observable activity..


context research
• client
• competition
• brand
• technology

Envisioning bridges the gap between strategy and execution
Envisioning illuminates an opportunity space and defines the criteria for

success

Envisioning helps everyone see to potential of an idea
• It allows people to grasp strategy in a conceptual way
• It communicates an idea, not a final concept
• Presents an idea in a malleable form rather than a brittle one
• An envisioned idea helps others express thoughts

• Team
• Clients
• Stakeholders
• People

Envisioning shows how an idea works in real life
• Envisioning shows an idea in context by demonstrating at the entire consumer

experience at each touch point between the consumer and the experience
• It can express important details within the context of a larger idea
• Envisioning emphasizes the important parts of an idea

Envisioning
It reminds us to assess our ideas as we go. It requires us to frame,

position and present ideas as if they were real, even if they are not.
consumer
consumer envisioning
model
envisioning model
consumer

Experiential modeling
• An experiential model is anything that is built or simulated for the purposes of explaining or
learning something about the experience you are designing.
• Benefits of experiential modeling

• Allows you to experience idea in a low cost scenario
• Lowers risk & allows for failure
• Informs the process
• Helps build consensus in the organization
• Being ‘right’ is defined by the process, not the result

• Behavior is not as predictable as you think
• Model early and often (Don’t wait)
• Build to learn. Fail. Repeat.

The Continuum Process

context research
• client
• competition
• brand
• technology

Many tests put people in the wrong position to evaluate
• Successful testing should be designed to so that people can correctly

evaluate ideas based on how they act
• Using the right measures - asking people to evaluate what matters to

them
• Using the right experience - showing people the experience, not the
concept
• Using the right subjects - asking the right people to evaluate the idea

Evaluation
Many evaluation methods simply ask

people how much they like an idea or
how likely they are to buy/use
IDEA

Evaluation
Instead, evaluation should Values

measure how well an idea
solves the problem
Aspirations
Features IDEA Experience
Solutions
Problem

Design Thinking in Practice / Our Toolkit
Some of our methods:

• Persona Building
• Observed Behavior
• Journey Mapping
• Envisioning Ideal Experiences
• Experiential Modeling
How We Use Them

• Internally - To unify diverse teams, collaborate towards creative solutions
• Externally - To engage clients in the creative process and create alignment

Project Rooms - How We Work

MoM2’s “Project Room”

Persona Building

Persona Building / Overview
Personas are rich, multi-dimensional portraits of customers. We make

them life-size so that they’re hard to forget through the course of a
project. Often based on existing customer segments and demographics,
we use ethnographic research to give abstract statistics color and depth.
Personas remind us that people are at the heart of any meaningful

innovation, they’re the best source of inspiration, and the most important
judge of an idea’s value.

Persona Building / Overview
A persona acts as a focus for the design

• Answers the key question for designing - “who is this for?”
• Demonstrates the emotional and functional needs of users through
humanizing those needs
Illustrates the objectives while creating a sounding board for potential
solutions by creating empathy for the ultimate user
• As design options are created each one can be very rapidly tested
• A scenario is a walk through a design, from the point of view of a
specific persona
• Would the persona understand the design?
• Does the design help the persona achieve their goals?
• Are there parts of the design (excise) which are not moving the
persona towards their goals which might be removed?

Persona Building / Basic Elements
• Personal profile (age, sex, education, job, hobbies, family, socio-

economic group, etc)
• Role (responsibilities, position in organization)
• “Flavouring” (Back-story, what sort of house they live in, how long
they’ve had their job, where their parents live, when they got
married, where they went on their honeymoon, etc )

Persona Building / Examples - Complete Picture

Persona Building / Examples - Central Idea

Persona Building / Examples - Affinities

Persona Building / Ideas
When Building a Persona

1. Make them as big as life. Stick them up on your wall.
2. Look beyond their connection to your interests; consider their whole life.
3. Give them a name; think of them as people, not statistics.
4. Who influences their decisions? Think about their friends and family.
5. Find out what they need, what they want, what they think about.

Journey Mapping

Journey Mapping / Overview
A supply chain brings your product to customers.

A journey map follows customers to your product.
Journey Maps are tools for documenting and understanding

people’s experiences; recording major events and minor
details. We use Journey Maps to identify key touchpoints
that customers encounter as they become engaged with
products or brands. Once you understand a customer’s
journey you can begin to shape and influence it.

Journey Mapping Example / Lipstick Journey

Journey Mapping Example / Mental Health Journey

Journey Mapping Example / Diamond Buyer journey

MoM2’s Strategic Planning Journey Map
Review Preparation for SG Strategy Group Workplans Budget
Allocation
- Shares - Provides - Examine the - Depts to
on the review plans - Use the
direction and current plan &
gaps and in support of funds
potential topics for operating
improve- strategies of allocated to
Senior research and environment
ment areas ministry achieve the
gathering of info
manage- - Participate workplans
ment, - Provides - Gives guidance actively in - Present and attain
Directors support and endorsement discussions to plans for good
on the proposal for refine/re-examine funding performance
SG strategies support
- Conduct - Conduct - Set the broad - Coordinate

- Allocate
AAR research on key context for and facilitate
budget
topics through strategy review workplan according to
- Propose environment scan, sessions strategic
recommen futuring networks - Share the
CPD priorities to
dations to research - Recommend
and reading drive
enhance funding
internal papers - Facilitate and performance
the support for
- Formulate the drive discussions strategic
process
proposal for SG to projects

Journey Mapping / Ideas
When Creating Journey Maps

1. Make them big. Find a nice empty wall and have at it.
2. Make them easy to modify. Post-it’s, Push Pins and Magnets work great.
3. Look at the whole experience; what leads up to their first encounter with
your ministry? What expectations are being set?
4. Consider different dimensions of experience:
1. Functional - What are the mechanics of the experience?
2. Emotional - What is the customer feeling along the way?
3. Social - What part to others play in guiding the journey or influencing decisions?
4. Intellectual - What are people learning, thinking, what expectations are they developing?
5. Mind the gaps. Where do you currently have touchpoints along the
journey? Where are there gaps?

Envisioning the Ideal Experience

Ideal Experience / Overview
Here’s where we ask “What if”, and envision all the

possibilities. What if your organization, all of your brand
touchpoints and your customers were perfectly aligned?
What if you could tailor your product or service to fit neatly
into your customer’s life, inspiring instant adoption? What is
your company’s ideal experience?
We often talk about the ideal experience as a “lighthouse”

project. Something big enough and bright enough to draw
people’s attention, guide teams and inspire collaboration.

Backcasting
Leaping to the ideal versus stepping incrementally
Ideal
innovation
time

Elements of the Ideal Experience
Things to consider when envisioning your ideal experience:

• Your Core Product or Service Offering
• Your Differentiated Brand Positioning
• Your Customer’s Ideal State - How do you want them to feel?
• The Ideal Journey - How do you want them to come into contact with your
brand?
• The Experience Analogy - What’s the story that will knit together your
experience, the story your customer will tell?

MoM1: One-stop service centre analogy
• Analogy: “Private banking”

• Personalised
• One-to-one
• Customised
• Account manager

Envisioning
Envisioning is communicating, in a very obvious and compelling way, what can’t be easily described or even imagined. We
envision so people can fully experience an idea, whether it is visually, audibly, tactilely or olfactory.
Information Cartooning Video / Collage Storyboarding

Design Creating Animation Imaging Creative mapping
Composing words endearing, Building narratives in Associate of usage scenarios
and images in such imagined motion to illuminate visualization helps one step at a time.
order as to snapshots or a moment, describe describe / resolve Enables analysis of
communicate scenarios that a feeling or capture multi-faceted specific sequences
multiple, sometimes reveal the an insight. design directions. in action. Quickly
disparate articles of emotional content Assembling clips to Abstracting the shows system of
information in one, of our insights and communicate a connections usage with
single, layered observations. specific aspect of our between images, products.
space. Posters are Striking universal research to our words, sketches,
often a deliverable. resonance with clients. textures.
people.
1.
2.
3.
4.

Ideal Experience / Ideas
When Envisioning the Ideal Experience…

1. Map out an ideal customer journey that brings them effortlessly into
contact with your brand.
2. Think in metaphors and analogies that will resonate with your customers.
Consider the story you want them to tell.
3. Look outside your industry for best practices and inspiration.
4. Don’t limit yourself to your current channels, technology, supply chain.
There may be something beyond what you know. Ask “What if?”
5. Build a lighthouse project to share your idea with your organization.

Experiential Modeling / Overview
Experiential Modeling does not require an astrophysicist and

a room full of super computers. All it takes is a team of
flexible thinkers, some basic office supplies and a sense of
play. It’s about bringing ideas to life by any means
necessary: creating rough objects, storyboarding out a
communication on post-it’s, acting out a service experience.
The purpose is to make ideas feel tangible so that the

people can experience them, evaluate them and and quickly
evolve them. Experiential Modeling is a low-cost, low-risk
way to foster innovation within an organization.

Enactment

Rapid Prototypes

MoM1 One Stop Service Centre Model

Ideal Experience / Ideas
When Modeling an Experience you should…

1. Work fast. If your models look pretty you took too long. It’s an idea contest,
not a beauty contest.
2. Use everyday objects / office supplies. It levels the creative playing field
and makes the ideas more approachable.
3. Make lots of mistakes. Evolve and iterate your ideas quickly.
4. Pass it around. Get lots of hands and brains working on the same
experience.
5. Act out. Walk through the motions of the experience. Put yourself in the
customer’s shoes and try out your idea.

How we create is as important as what we create.
Design Thinking is a strategic approach to solving business challenges through

creative exploration based on a deep understanding of people
• Being open to completely new ideas that are not even in the framework of
our current thinking
• Searching for solution through the lens of consumers and customers and
constituents
• Collaborating with a broad range of people with different skills, disciplines,
and mindsets
• Modeling ideas to learn, iterate and refine until it is right

Design Thinking is a proven and replicable idea-generating method
The process we use at Continuum
The process helps guide us, but does not define our approach
The tools we use help us understand and communicate, but never limit
us - we create new frameworks and tools in almost every project

Conventional vs. Design Thinking
Conventional Thinking Design Thinking
Logical Intuitive
Deductive reasoning Abductive reasoning
Inductive reasoning
Requires proof to proceed Asks what if?
Looks for precedents Unconstrained by the past
Quick to decide Holds multiple possibilities
There is right and wrong There is always a better way
Uncomfortable with ambiguity Relishes ambiguity
Wants results Wants meaning

thank you
Dan Buchner dbuchner@dcontinuum.com
Craig McCarthy cmccarthy@dcontinuum.com
Date: 23 October 2009
BOSTON . LOS ANGELES . MILAN . SEOUL

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The Design Thinking Approach

Date: 23 October 2009

BOSTON . LOS ANGELES . MILAN . SEOUL

Our goals for today:

• To discuss the elements of Design Thinking and the process we

• To share some of the tools we use in our process

2 | Design Thinking | ©2009 Design Continuum, Inc. Proprietary & Confidential.

Continuum is a design and innovation consultancy. We

3 | Design Thinking | ©2009 Design Continuum, Inc. Proprietary & Confidential.

AMERICAN EXPRESS / Premium

4 | Design Thinking | ©2009 Design Continuum, Inc. Proprietary & Confidential.

We have partnered with a wide range of educational institutions, government agencies,

5 | Design Thinking | ©2009 Design Continuum, Inc. Proprietary & Confidential.

locations of 2007 research conducted in-home, in-store, in plant, or place of work

6 | Design Thinking | ©2009 Design Continuum, Inc. Proprietary & Confidential.

7 | Design Thinking | ©2009 Design Continuum, Inc. Proprietary & Confidential.

How we create is as important as what we create.

8 | Design Thinking | ©2009 Design Continuum, Inc. Proprietary & Confidential.

Design Thinking is a strategic approach to solving business challenges

Design Thinking is the interaction of different people with different

9 | Design Thinking | ©2009 Design Continuum, Inc. Proprietary & Confidential.

10 | Design Thinking | ©2009 Design Continuum, Inc. Proprietary & Confidential.

What are the attributes

Remediation Improvement Innovation

Approach Total Quality Voice of the Customer Design Thinking

11 | Design Thinking | ©2009 Design Continuum, Inc. Proprietary & Confidential.

12 | Design Thinking | ©2009 Design Continuum, Inc. Proprietary & Confidential.

Acknowledge that we do not know the answer. Be open to completely new

Search for solutions—not inwardly as experts, but through the lens of

Explore options by tapping a broad range of people with different skills,

13 | Design Thinking | ©2009 Design Continuum, Inc. Proprietary & Confidential.

What is design thinking?

14 | Design Thinking | ©2009 Design Continuum, Inc. Proprietary & Confidential.

Conventional Thinking Design Thinking

Rodger Martin, Rotman School of Management, University of Toronto

15 | Design Thinking | ©2009 Design Continuum, Inc. Proprietary & Confidential.

Alignment Discover Analysis Envision Evaluation

Goal: Insight: IDEA: Innovation: Validation

• Sharing the user research • mapping synthesis evaluation

16 | Design Thinking | ©2009 Design Continuum, Inc. Proprietary & Confidential.

Alignment Discover Analysis Envision Evaluation

Goal: Insight: IDEA: Innovation: Validation

• Sharing the user research • mapping synthesis evaluation

17 | Design Thinking | ©2009 Design Continuum, Inc. Proprietary & Confidential.

Casting a wider net to broaden the possibilities

How do we encourage Letters

18 | Design Thinking | ©2009 Design Continuum, Inc. Proprietary & Confidential.

Alignment Discover Analysis Envision Evaluation

Goal: Insight: IDEA: Innovation: Validation

• Sharing the user research • mapping synthesis evaluation

19 | Design Thinking | ©2009 Design Continuum, Inc. Proprietary & Confidential.

There are many perspectives from which to consider a problem

Trend Research Brand

20 | Design Thinking | ©2009 Design Continuum, Inc. Proprietary & Confidential.

Alignment Discover Analysis Envision Evaluation

Goal: Insight: IDEA: Innovation: Validation

• Sharing the user research • mapping synthesis evaluation

21 | Design Thinking | ©2009 Design Continuum, Inc. Proprietary & Confidential.

Analysis acts as the foundation and support for the final

Seeing similarities and relationships

22 | Design Thinking | ©2009 Design Continuum, Inc. Proprietary & Confidential.

Features IDEA Experience