design = differentiator #1 design management institute: design-based leadership in the 21 st century...

214
Design = Differentiator #1 Design Management Institute : Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Upload: ellen-melton

Post on 28-Dec-2015

220 views

Category:

Documents


0 download

TRANSCRIPT

Page 1: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Design = Differentiator #1

Design Management Institute: Design-Based Leadership

in the 21st Century

Chatham MA 25October2000 [Version 01.22.01]

Page 2: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

THE BASE CASE: I am a design fanatic. Personally, though not “artistic,” I’m a cool-stuff guy. I love what

I love and I hate what I hate. [Openly.] But it goes [much] further, far beyond the personal. Design has

become a professional obsession. I - SIMPLY – BELIEVE THAT DESIGN PER SE IS

THE PRINCIPAL REASON FOR EMOTIONAL ATTACHMENT [or detachment] RELATIVE TO A

PRODUCT OR SERVICE OR EXPERIENCE. Design, as I see it, is arguably the #1 determinant of

whether a product-service-experience stands out … or doesn’t. Furthermore, it’s “one of those things” …

that damn few companies put – consistently – on the front burner.

Page 3: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

I. Welcome to the Age of

“Ohmygod!”

Page 4: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

NOW THAT’S B-I-G!

“The period 2000-2002 will bring the single greatest change in

worldwide economic and business conditions since we came down from the trees.”

David Schneider & Grady Means, MetaCapitalism

Page 5: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Um … Eduardo Kac and Alba, the glowing*

bunny rabbit!

*You can thank one selfless jellyfish and several French scientists!

Source: Rutland Herald (10.01.00)

Page 6: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“In 25 years, you’ll probably be able to

get the sum total of all human knowledge on a

personal device.”Greg Blonder, VC [was Chief Technical

Adviser for Corporate Strategy @ AT&T] [Barron’s 11.13.2000]

Page 7: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

The [New] Ge Way

DYB.com

Page 8: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“The corporation as we know it, which is now 120 years old, is

not likely to survive the next 25 years. Legally and

financially, yes, but not structurally and economically.”

Peter Drucker, Business 2.0 (08.00)

Page 9: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Message: Everybody’s scrambling. Nobody’s

“got it right.”

Page 10: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

II. The 3B Problem:Better

But Boring!

Page 11: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Quality Not Enough!

“While everything may be better, it is also increasingly the

same.”Paul Goldberger on retail, “The Sameness

of Things,” The New York Times

Page 12: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“We make over three new product announcements a

day. Can you remember them?

Our customers can’t!”

Carly Fiorina, CEO, Hewlett Packard

Page 13: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“The ‘surplus society’ has a surplus of

similar companies, employing

similar people, with similar educational backgrounds, working in

similar jobs, coming up with similar

ideas, producing similar things, with

similar prices and similar quality.”

Kjell Nordstrom and Jonas Ridderstrale, Funky Business

Page 14: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Message: Find an edge. Or else.

Page 15: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

III. We Must Lead: Different

or Doomed!

Page 16: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“If you worship at the throne of the voice of the customer, you’ll get only

incremental advances.”Joseph Morone, President,

Bentley College

Page 17: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“These days, you can’t succeed as a company if you’re consumer led –

because in a world so full of so much constant change, consumers can’t

anticipate the next big thing.

Companies should be idea-led and consumer-

informed.”Doug Atkin, partner, Merkley Newman Harty

Page 18: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“The good 10 percent of American product design comes

out of big-idea companies that don’t believe in talking to the

customer. They're run by passionate maniacs who make everybody’s life miserable until

they get what they want.”

Bran Ferren, Applied Minds/Wired 1-2001

Page 19: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Our strategies must be tied to leading edge

customers on the attack. If we focus on the defensive

customers, we will also become defensive.”

John Roth, CEO, Nortel

Page 20: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Future-defining customers may account for only 2% to 3% of your total, but they represent a crucial window on the

future.”Adrian Slywotzky, Mercer Consultants

Page 21: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Message: You are paid to lead. So … lead!

Page 22: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

IV. Design: The No.1 Source of

Passionate Attachment!

(Or undying despair)

Page 23: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Design “is” … WHAT &

WHY I LOVE. LOVE.

Page 24: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

I LOVE my ZYLISS Garlic Peeler!

Page 25: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Design “is” … WHY I

GET MAD. MAD.

Page 26: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Wanted: Dead [preferably] or Alive: THE DESIGNER OF MY RADIO SHACK

PHONE. Major Reward!

Page 27: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Design is never neutral.

Page 28: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Hypothesis: DESIGN is the principal difference between love and

hate.

Page 29: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“We don’t have a good language to talk about this kind of thing. In most people’s

vocabularies, design means veneer. … But to me, nothing could be further from the

meaning of design. Design is the fundamental soul

of a man-made creation.”Steve Jobs

Page 30: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Message: Engage your Client in an

examination- exploration of why we

care about stuff. Or don’t.

Page 31: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Compare 10 order forms or data fields at a Web site.

Save great and awful junk mail.

Go on a <$10 shopping spree.

Pay attention to signage. (And instruction manuals.)

Start a notebook. NOW.

Page 32: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

V. Design is a Great Story!

Page 33: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Car designers need to create a story. Every car provides an

opportunity to create an adventure. …“The Prowler makes you smile. Why? Because it’s focused. It has a plot, a

reason for being, a passion.”

Freeman Thomas, co-designer VW Beetle; designer Audi TT

Page 34: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Experiences are as distinct from services as services are from

goods.”Joseph Pine & James Gilmore, The

Experience Economy: Work Is Theatre & Every Business a Stage

Page 35: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Hmmmm(?): “Only” Words …

StoryAdventure

Smile Focus

PlotPassion

Page 36: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

PlotWilliams Sonoma = 6 [was 10]

Crate & Barrel = 8Sharper Image = 9+

Smith & Hawken = 8+Garnet Hill = 9

L.L. Bean = 5 [was 9+]Land’s End = 7+

Colonial Williamsburg = ?

Page 37: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Great Design is “Cheeky”

CEO Richard Branson’s stated hurdle for any new Virgin product

or service: best quality, good

value, innovative, challenge existing alternatives, sense

of fun or cheekiness

Page 38: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Message: “What’s the plot?” is a compelling

exercise!

Page 39: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

VI. Design Defined

Page 40: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“I wish more money and time was spent on designing an exceptional product, and

less on trying to psychologically manipulate

perceptions through expensive advertising.” – Phil Kotler

Source: Design Council [UK]

Page 41: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Design is a way of demonstrating how beautiful

something can be. It has a very profound quality. Design is a

way of changing life and influencing the future.” – Sir

Ernest Hall, Dean Clough

Source: Design Council [UK]

Page 42: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“It was a revelation to discover how design could change people’s behaviour. I learnt that simply by

altering the graphic content of an exhibit you could double

the number of people who visited it.”

– Gillian Thomas, The Science Museum

Source: Design Council [UK]

Page 43: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“The future will fascinate. A place where experience

becomes more important than information, truth more

important than technology, and ideas the only global currency.”

- Ralph Ardill, Imagination

Source: Design Council [UK]

Page 44: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“What’s imperative is the creation of a style that

becomes a culture linking you to the community. You

can only do that through good design.” – Anita Roddick

Source: Design Council [UK]

Page 45: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Outstandingly good design in service industries is not an optional extra. It is an

essential part of everything a company does, and what it stands for.” – Richard Dykes,

MD, Royal Mail “Design is one of the few tools that, for every $ you spend, you actually say something about your business. You

have it in your power to use design to further the wealth and prosperity of your

business.” – Raymond Turner, BAA

Source: Design Council [UK]

Page 46: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Designers are people who think with their hearts.” – James, age 10. “If there were no design there would be nothing to do,

and nothing would progress or get better. The world would fall apart.” – Anna,

age 11. “My favourite design is the Nike ‘tick’ because it makes me feel confident, even though I am not so good at sports.”

– Raoul, age 11.

Source: Design Council [UK]

Page 47: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

VII. Great Design

is Respectful

Page 48: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

User …

STOP BLAMING

YOURSELF! (Don

Norman/Design of Everyday Things)

Page 49: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Sometimes I have episodes of wild fury in rental cars. It’s not road

rage. It’s more like design rage.”

Susan Casey, www.ecompany.com

Page 50: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Paradox [?][!]

Great Design = WOW! +

GRACE [usability writ large]

Page 51: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“My favorite word is grace –

whether it’s amazing grace,

saving grace, grace under

fire, Grace Kelly. How we live contributes to beauty – whether it’s how we treat other people or

the environment.”

Celeste Cooper, designer

Page 52: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Lust for beauty and elegance underpins the most important discoveries in computational history.” “The beauty of a proof or a machine

lies in a happy marriage of simplicity and power.” “Beauty is the ultimate defense against

complexity.” “A good programmer can be at least a hundred times more productive than an

average one. The gap has little to do with technical or mathematical or engineering

training – and much to do with taste, good judgment, aesthetic gifts.”

David Gelernter, Machine Beauty: Elegance and the Heart of Technology

Page 53: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Message: Usability

rules! “Grace” is a better word than

usability.

Page 54: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Step No. 1:

NOTEBOOK POWER!

[Start recording the awesome & the awful]

Page 55: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

VIII. Design is not about Expensive

Lumps!

Page 56: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

The I.D. [International Design] Forty*

Airstream … Alfred A. Knopf … Apple Computer … Amazon.com …

Bloomberg … Caterpillar … CNN … Disney … FedEx … Gillette … IBM … Martha Stewart … New Balance …

Nickelodeon … Patagonia … The New York Yankees … 3M … Etc.

* List No. 1, 1999

Page 57: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Lady Sensor, Mach3, and …

$70M on developing the OralB CrossAction toothbrush

23 patents, including 6 for the packaging

Source: www.ecompany.com [06.00]

Page 58: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Design Transforms even the [Biggest] Corporations!

TARGET … “the champion of America’s new design democracy” (Time) “Marketer of the Year 2000”

(Advertising Age)

Page 59: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Message: Design applies to (1) service

companies, (2) departmental affairs,

(3) 79-cent items.

Page 60: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

IX. Design is the Web!

Page 61: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“The Web enables total transparency. People with

access to relevant information are beginning to challenge any type of

authority. The stupid, loyal and humble customer, employee, patient

or citizen is dead.”

Kjell Nordstrom and Jonas Ridderstrale, Funky Business

Page 62: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Shop in your Underwear

Source: SM’d logo for www.ae.comae = American Eagle Outfitters

Page 63: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

The MySimon “Model”

“MySimon renders obsolete the value-added role of the trained salesperson and

goes beyond the role of the typical e-retailer. Rather than selling the product, MySimon acts as a personal advisor to

guide the customer to a source for purchase. The company generates revenue from vendor slotting fees and advertising.”

Richard Wine & David Morrison, “Beyond the Exchange: The Future of B2B” (HBR, 11-12/2000)

Page 64: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Psych 101: Strongest Force on Earth?

My need to be in perceived control of my universe!

Page 65: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Most companies would do more business on the Internet if they

fired their entire marketing department and replaced it with

people who could produce

interactive content that actually made it easier for

users to buy.”Jakob Nielsen, Nielsen Norman Group

Page 66: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Red Herring (01/00)

75% of online shoppers don’t complete their

purchase!

Page 67: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Nielsen/Designing Web Usability

All Web projects are customer-interface projects!

Simplicity rules!

Make it easy for customers to perform useful tasks!

Less “cool,” more useful!

Speed rules!

Page 68: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

SWA

Simple!!!!!!!!!!!! (customers call because the process is so easy they can’t

believe they’re done)

30% of revenues directly from SWA site (vs. 6% for others)

Source: Business Week (09.00)

Page 69: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

One Person’s Opinion [11.2000]

TP to reporter: “Service is MUCH better! Would you go

back to bank tellers and phone operators? Value that I place on a smile: 3 on a scale of 10. Value I place on fast “digital”

response: 11 on a scale of 10!!”

Page 70: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Web = PURE DESIGN MEDIUM

Page 71: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

WEB = A DREAMER’S

MEDIUM!

Page 72: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“There is no use trying,” said Alice. “One can’t believe impossible things.”

“I daresay you haven’t had much practice,” said the Queen. “When I was

your age, I always did it for half an hour a day. Why, sometimes I’ve

believed as many as six impossible things before breakfast.”

Lewis Carroll

Page 73: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

I’net …

… allows you to dream dreams you could never have imagined before!

Page 74: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Message: The Web is the No. 1 entrée for designers into the

mainstream! Ever!

Page 75: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

X. Caution: Beware “Look Alike ‘Cool’ ”

Page 76: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Message: All the “cool stuff” looks [exactly]

like all the other “cool stuff” in this, THE

BRIGHT NEW AGE OF DESIGN.

Page 77: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Against Smoothness”

(Harper’s Magazine 07.2000)

Page 78: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Our innate idiosyncrasies are actually more endearing to

others than our most glorious achievements.” – Veronique Vienne, The

Art of Imperfection. “Glorious imperfections” – Sam Phillips, Sun

Records, on identifying & presenting raw talent

Page 79: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Message: Buy a new CAD package. Or a set

of pencils.

Page 80: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

XI. Design & Work: Piss on

Dilbert!

Page 81: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

N.W.O.: Was Is Is

• Pine-paneled Office• Address: 1 Big Man Plaza• Secretary• Suit • Formal • Rank conscious• Pretense (“Failures are

for fools.”)• I love “Yes men”• Self-contained

• Seat 9B, UA233• Address: [email protected]• Typing: 60 WPM• Casual M-F• Approachable• We are a HOT Team • Screwing up is as normal

as breathing• I love Misfits!• I love partners

Page 82: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

White Collar Revolution!

Page 83: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

So what will be the Basic Building

Block of the New Org?

Page 84: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Answer: PSF![Professional Service Firm]

Department Head

to …

Managing Partner, HR [IS, etc.] Inc.

Page 85: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Credo

“WORK WORTH

PAYING FOR”

Page 86: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

New OrleansApril 2000:

NAPM

Page 87: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

You are the … Rock Stars

of the B2B Age!

Page 88: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“P.S.F.”: Summary

H.V.A. Projects (100%)Pioneer Clients

WOW Work (see below)Hot “Talent” (see below)“Adventurous” “culture”

Point of View (Methodology)W.W.P.F. (100%)

When: Now!

Page 89: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Message: Prove your

worth! [E.g., get outside work.]

Page 90: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

The WOW Project!

Page 91: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Reward excellent failures. Punish

mediocre successes.”

Phil Daniels, Sydney exec

Page 92: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Measures

–WOW!–Beauty!–Raving Fans!–Impact!

Page 93: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

T.T.D./Things To Do: Now!– List all projects– Carefully describe a “WOW Outcome” for you

and the Client– Score (!) all projects on WOW, Beauty, Impact,

Raving Fan-hood– Pick one project with a high combined score– Draft a one-page New Description that

emphasizes WOW, Beauty, etc.– Circulate and edit … for three days – Reduce to 5 [scintillating] “bullet points”

Page 94: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Message: Buy your top management a jillion copies of The

Project50. Teach “WOW.”

Page 95: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

XII. Get Over It Designers: ALL YOU NEED IS

ONE!

Page 96: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Topic: Boss-free

Implementation of STM /Stuff That

MATTERS!

Page 97: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“This is all I ‘know’ in the

world!”Tom Peters

Page 98: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

I. THE IDEA

“4Fs”: Find a

Fellow Freak

Faraway

Page 99: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

World’s Biggest Waste …

Selling “Up”

Page 100: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Recruit [a/a = 1] Friend [in the Boondocks]

Skip [Flip off] the Hierarchy!Recruit [A]nother Friend!Do Some Cool Shit! Fast!

Surround the Bastards [with WOW WINS/ results]!

Page 101: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Heart of the Matter

F2F!*

*Freak to Freak … or K2K [Kook to Kook]

Page 102: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Lead” customers!

K2K redux!

Page 103: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Alliance Skills!

Let the [Freak-Pioneer] Customer Pay Part, Own

[Part], and Lead Us - Push Us!

Page 104: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Great + risky design is always [??] a product of

engaging the Client – from the start – in a

journey to the unknown.

Page 105: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Create a Personal University of Weird!*

*AP to TP: “Make your own McKinsey.”

Page 106: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

II. THE NUGGET

Do Something. Do Anything.

Get Going.Now.

Page 107: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Opportunity ALWAYS Knocks

VFCJ* “Strategy”

*Volunteer For Crappy Jobs

Page 108: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Reframers’ Rules:

Rule 1: Never accept an assignment as given! (Please.)

Rule 2: You’re never so powerful as when you are “powerless”!

Rule 3: Every “small” project contains the entire

enterprise DNA!

Page 109: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

III. THE SOFT STUFF

Show Up!Connect!

Infect!

Page 110: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Message: It’s Community

Organizing, stupid!

See: Saul Alinsky’s Rules for Radicals

Page 111: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“It was much later that I realized Dad’s secret. He gained respect by giving it. He

talked and listened to the fourth-grade kids in Spring Valley who shined shoes the same way he talked and listened to a

bishop or a college president. He was seriously interested in who you were and what you had to say.”

Sara Lawrence-Lightfoot, Respect

Page 112: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

P.S. …

Mark McCormack: 5,000 miles for a 5

min. meeting.

Page 113: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

IV. BOTTOM LINE

The Enemy!

Page 114: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Epitaph from Hell … Epitaph from Hell …

Joe T. Jones Joe T. Jones

1942 - 20001942 - 2000

HE WOULDA DONE SOME HE WOULDA DONE SOME

REALLY COOL STUFF REALLY COOL STUFF

BUT …BUT …

HIS BOSS WOULDN’T LET HIM! HIS BOSS WOULDN’T LET HIM!

Page 115: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Death is only one of many ways to lose your life.”

Alvah Simon, North to the Night

Page 116: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Characteristics of the “Also rans”*

“Minimize risk”“Respect the chain of

command”“Support the boss”

“Make budget”

*Fortune, article on “Most Admired Global Corporations”

Page 117: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

The greatest dangerfor most of us

is not that our aim istoo high

and we miss it,but that it is

too lowand we reach it.

Michelangelo

Page 118: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Message: Find one freak.

Forget selling “up.” Quit bitching about

powerlessness.

Page 119: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

XIII. Design & the Individual: Self-design!

Page 120: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Design is … THE CONSIDERED

PRESENTATION OF …

Me.

Page 121: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

2010 “Demographics”:

By 2010, full-time workers will be in the

minoritySource: MIT study (28August2000)

Page 122: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

New World of Work

< 1 in 10 F500#1: Manpower Inc.

Freelancers/I.C.: 16M-25MTemps: 3M (incl. CEOs & lawyers)

Microbusinesses: 12M-27MTotal: 31M-55M

Source: Daniel Pink, Free Agent Nation

Page 123: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“If there is nothing very special about your work, no matter how hard you apply

yourself, you won’t get noticed, and that

increasingly means you won’t get paid much either.”

Michael Goldhaber, Wired

Page 124: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“You are the storyteller of your own

life, and you can create your own legend or not.”

Isabel Allende

Page 125: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“When was the last time you asked,

‘What do I want to be?’ ” Sara Ann Friedman, Work Matters

Page 126: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“I am an American, Chicago born, and go at things as I have taught myself, free-style, and will make the record in my own way.”

Saul Bellow, The Adventures of Augie March

Page 127: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“The time seems appropriate to rethink the

notions of self and identity in this rapidly

changing age …”

Tara Lemmey, Project LENS, past president Electronic Frontier Foundation

Page 128: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“My work is a series of projects. My life is a series

of moves. What can I connect to? My community.”

Carnegie Mellon student [Fast Company]

Page 129: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“I don’t think there’s anything worse than being

ordinary.”American Beauty

Page 130: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

THE I work for a company called

Me STREET JOURNAL

Adventures in Capitalism

Page 131: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

THE rise up and flee your cubicle STREET JOURNAL

Adventures in Capitalism

Page 132: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Some people enjoy the corporate life.

Then again, some people enjoy nipple clamps.

Source: Ad tag line, FreeAgent.com

Page 133: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Message: This is an impact issue. Designers: Attach

yourself to HR. Enhance the value of the

Talent Pool by helping others with designing …

“Brand You.”

Page 134: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

XIV. Design & The All-Out WAR FOR TALENT!

Page 135: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“When land was the productive resource, nations battled over it. The same is

happening now for talented people.”

Stan Davis & Christopher Meyer, futureWEALTH

Page 136: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Seller’s Market”: Tomorrow’s Headline*

“Molecular biologists are up 3 points, economists

down 1/4, in moderate trading”

*futureWEALTH, Stan Davis and

Christopher Meyer

Page 137: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“The leaders of Great Groups love talent and know where to find it. They revel in

the talent of others.”Warren Bennis & Patricia Ward Biederman,

Organizing Genius

Page 138: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Diversity defines the health and wealth of nations in a new century.

Mighty is the mongrel. … The hybrid is hip. The impure, the mélange, the adulterated, the

blemished, the rough, the black-and-blue, the mix-and-match – these people are inheriting the earth. Mixing is the new norm. Mixing trumps isolation. It spawns creativity,

nourishes the human spirit, spurs economic growth

and empowers nations.”

G. Pascal Zachary, The Global Me: New Cosmopolitans and the Competitive Edge

Page 139: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

The Cracked Ones Let in the Light

“Our business needs a massive transfusion of talent, and talent, I believe, is most likely to be found

among non-conformists, dissenters and rebels.”

David Ogilvy

Page 140: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Message: Design - writ large, as the Mother of Passion – dramatically affects the all important “Great Place to Work”

value proposition.

Page 141: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

XV. Design & The All-Out WAR

FOR TALENT: WOMEN RULE!

Page 142: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Women and new-economy

management …

Page 143: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Women’s Strengths: link [rather than rank] workers; favor interactive-collaborative

leadership style [empowerment > top-down decision making]; sustain fruitful collaborations;

comfortable with sharing information; see redistribution of power as victory, not surrender;

favor multi-dimensional feedback; value interpersonal & technical skills, group &

individual contributions equally; readily accept ambiguity; honor intuition as well as pure

“rationality”; inherently flexible; appreciate cultural diversity

Source: Judy B. Rosener, America’s Competitive Secret

Page 144: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“AS LEADERS, WOMEN RULE: New Studies find that female managers

outshine their male counterparts on almost

every measure”Title, Special Report, Business Week, 11.20.00

Page 145: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Tomorrow belongs to women.”

Helen Fisher, The First Sex: The Natural Talents of Women and How They Are

Changing the World

Page 146: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

S. Estrich, Sex & Power:

The Magic Number 3! [Partners, Tenured Profs, Directors]

Page 147: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Would Congress [the Boardroom] be a different place if half the members

were women?”

From Sex and Power, Susan Estrich

Page 148: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Message: Put women in charge! Watch the newly

important “new economy” stuff rise

to the top of the strategic agenda!

Page 149: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

XVI. Design: WEIRD Wins!

Page 150: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Jane Jacobs: Exuberant Variety vs. the Great Blight of

Dullness. F.A. Hayek: Spontaneous

Discovery. Joseph

Schumpeter: the Gales of Creative Destruction.

Page 151: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Saviors-in-Waiting

Disgruntled CustomersFringe CompetitorsRogue Employees

Edge SuppliersWayne Burkan, Wide Angle Vision: Beat the

Competition by Focusing on Fringe Competitors, Lost Customers, and Rogue

Employees

Page 152: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Enormous sums of money are invested to reduce cycle time, improve quality,

reengineer … Much of this money is simply wasted. The waste is due to companies’

inability to develop wide-angle vision and tap into the … power of the edge.”

Wayne Burkan, Wide Angle Vision: Beat the Competition by Focusing on Fringe

Competitors, Lost Customers, and Rogue Employees

Page 153: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Fighter Pilots … Snipers … Secret Service Agents:

“Splatter Vision” [don’t become too focused]

Wayne Burkan, Wide Angle Vision: Beat the Competition by Focusing on Fringe Competitors,

Lost Customers, and Rogue Employees

Page 154: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Message: (1) Make sure you’re hangin’ with Cool

Dudes. (2) Designers ought to stick their noses [and

every other body part] into everyone’s business!

“Design sensibility” rules … everything!

Page 155: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

XVII. Design: The Most

Beautiful Systems Win!

Page 156: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Design + Beauty is Fred S.’s “mediocre” thesis and Herb K.’s

napkin.

Page 157: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Progressive

“We don’t sell insurance anymore.

We sell speed.” – Peter Lewis

Digital cameras, wireless Net links,

etc.: SOME CLAIMS PAID WITHIN 20 MINUTES!

Source: Business Week (09.00)

Page 158: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Great design = One-page

business plan (Jim Horan)

Page 159: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

First Steps: “Beauty Contest”!

• Select one form/document: invoice, air bill, sick leave policy, customer returns-claim form

• Rate the selected doc on a scale of 1 to 10 [1 = Bureaucratica Obscuranta/ Sucks; 10 = Work of Art] on three dimensions: Beauty, Grace, Clarity

• Re-invent!• Repeat, with a new selection, every 15

working days.

Page 160: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Message: “Systems business” is

design business.

Inject yourself!

Page 161: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Design Rules! [Literally]

Palm Beach County’s U.C.B.* [*Utterly Confusing Ballot]

Page 162: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

XVIII. Design &

Marketing to Women: Opportunity

No.1 ??!!

Page 163: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

?????????

Home Furnishings … 94%Vacations … 92%

Houses … 91%Consumer Electronics … 51%

Cars … 60% (90%) All Consumer Purchases … 83%

Bank Account … 89%Health Care … 80%

Page 164: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

????

80+%

Page 165: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Riding Lawnmowers

Page 166: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

48% working wives > 50%80% checks

61% bills53% stock (mutual fund boom)

43% > $500K95% financial decisions/

29% single handed

Page 167: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Women … 50+%(!!!) of Web users; 6 of 10 new users; 83% of wired women are primary decision makers for family

healthcare, finances, education.

Source: Business Week; Jupiter Communications

Page 168: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

$4.8T > Japan [= #1]

9/27.5/$3.6T > Germany

Page 169: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Yeow!

1970 … 1%

2002 … 50%

Page 170: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Carol Gilligan/ In a Different Voice

Men: Get away from authority, familyWomen: Connect

Men: Self-orientedWomen: Other-oriented

Men: RightsWomen: Responsibilities

Page 171: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

FemaleThink/ Popcorn

“Men and women don’t think the same way, don’t communicate the same

way, don’t buy for the same reasons.”

“He simply wants the transaction to take place. She’s interested in creating a relationship. Every place women go,

they make connections.”

Page 172: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

[“Men seem like loose cannons. Men always move faster through a store’s

aisles. Men spend less time looking. They usually don’t like asking where things are.

You’ll see a man move impatiently through a store to the section he wants,

pick something up, and then, almost abruptly he’s ready to buy. … For a

man, ignoring the price tag is almost a sign of virility.”

Paco Underhill, Why We Buy* (*Buy this book!)]

Page 173: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Women and Healthcare

Women are … more dissatisfied, frustrated by the way they are treated

and spoken down to by physicians, seek more information, are more pressed for time … and make 75% of health care decisions and control 2/3 of health care $

$$$ [and constitute 2/3 of health care employees].

Source: Patricia Braus, Marketing Healthcare to Women

Page 174: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Women and Financial Advisors

Women want … a plan, to be listened to, to be taken seriously, to read about it, to think about it.

Women do not want … an in-your-face sales pitch

Source: Kathleen Boyle, Wheat Boyle Butcher Singer

Page 175: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Women Beat Men at Art of Investing”

Source: Miami Herald, reporting on a study by Profs. Terrance Odean and Brad Barber, UC Davis (Cause: Guys are “in and out” of

stocks more often; women choose carefully and hold on for the long term)

Page 176: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

JBQ: Stop Treating Women Investors Like Idiots!

“Why all this focus on women and our lack of investment guts? A far greater problem, it seems to

me, is trigger-happy speculation, mostly by men. The kind of guys whose family savings went south

with the dot-coms. Imagine a list of their money mistakes: Shoot from the hip. Overtrade their

accounts. Believe they’re smarter than the market. Think with their mouse rather than their brain.

Praise their own genius when stocks go up. Hide their mistakes from their wives.”

Source: Newsweek 01.08.01

Page 177: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Marketing to Women: Help Them Save Time!

80% … work86% … cook

58% … run errands with kids38% … take child to school

21% … go to the gym21% … take outside classes

Page 178: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

E.g.: Genetically Altered Food

Would eat: M, 71%; F, 50%

Give to children: M,59%; F,37%

Pay more for non-altered: M,35%; F, 47%

Source: www.pulse.org & USA Today

Page 179: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Read This Book …

EVEolution: The Eight Truths of Marketing to Women

Faith Popcorn & Lys Marigold

Page 180: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

EVEolution: Truth No. 1

Connecting Your Female Consumers to Each

Other Connects Them to Your Brand

Page 181: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“The ‘Connection Proclivity’ in women starts early. When asked,

‘How was school today?’ a girl usually tells her mother every

detail of what happened, while a boy might grunt, ‘Fine.’ ”

EVEolution

Page 182: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

[“The Hollywood scripts that men write tend to be direct and

linear, while women’s compositions have many

conflicts, many climaxes, and many endings.”

Helen Fisher, The First Sex: The Natural Talents of Women and How They Are

Changing the World]

Page 183: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Women speak and hear a language of connection and intimacy, and men

speak and hear a language of status and independence. Men communicate to obtain information,establish their

status, and show independence. Women communicate to create

relationships, encourage interaction, and exchange feelings.”

Judy Rosener, America’s Competitive Secret

Page 184: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Men & women on ambiguous problem [no answer]: MEN:

quickly arrive at “right answer” WOMEN: longer time, multiple

options in “if, then” form

Source: Judy Rosener,

America’s Competitive Secret

Page 185: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Weight Watchers International “Model”

“What if ExxonMobil or Shell dipped into their credit card database to help commuting women

interview and make a choice of car pool partners?”

“What if American Express made a concerted effort to connect up female empty-nesters

through on-line and off-line programs, geared to help women re-enter the workforce with today’s

skills?”

EVEolution

Page 186: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Women don’t buy

brands. They join them.”

Faith Popcorn, EVEolution

Page 187: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

The New New Jiffy Lube

“In the male mold, Jiffy Lube was going all out to deliver quick, efficient service. But, in the

female mold, women were being turned off by the ‘let’s get it fixed fast, no conversation

required’ experience.”

New JL: “Control over her environment. Comfort in the service setting. Trust that her car

is being serviced properly. Respect for her intelligence and ability.”

EVEolution

Page 188: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

STATEMENT OF PHILOSOPHY: I am a businessperson. An analyst. A pragmatist. The enormous social good of increased women’s

power is clear to me; but it is not my bailiwick. My “game” is haranguing business leaders

about my fact-based conviction that women’s increasing power – leadership skills

and purchasing power – is the strongest and most dynamic force at work in the American

economy today. Dare I say it as a long-time Palo Altan … THIS IS EVEN BIGGER THAN THE

INTERNET!

Tom Peters

Page 189: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

27 March 2000: email to TP from Shelley Rae Norbeck

“I make 1/3rd more money than my husband does. I have as much financial

‘pull’ in the relationship as he does. I’d say this is also true of most of my women

friends. Someone should wake up, smell the coffee and kiss our asses long enough

to sell us something! We have money to

spend and nobody wants it!”

Page 190: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Message: Men cannot design for women’s needs.

Period.

Page 191: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

XIX. Design & the Aging:

Opportunity No. 1A ??!!

Page 192: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Subject: Marketers & Stupidity

It’s 18-44, stupid!

Page 193: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Subject: Marketers & Stupidity

Or is it: 18-44 is stupid, stupid!

Page 194: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

2000-2010 Stats

18-44: -1%55+: +21%

(55-64: +47%)

Page 195: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Aging/“Elderly”

$$$$$$$$$$$$“I’m in charge!”

Page 196: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Priorities: Aging/“Elderly”

Experiences … Convenience … Comfort

… Access … Respect!

Page 197: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Message: Youwanna be relevant? This is a [VERY] Big

Deal. Listen up.

Page 198: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

XX. Design = Cornerstone of the Age of the

Brand

Page 199: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“WHO ARE YOU [these days] ?”

TP to Client

Page 200: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“We are in the twilight of a society based on data. As information and intelligence become the domain of computers, society will place more value on the one human ability that cannot be automated: emotion.

Imagination, myth, ritual - the language of emotion - will affect everything from our purchasing decisions

to how we work with others. Companies will thrive on the basis of their stories and

myths. Companies will need to understand that their products are less important than their stories.”

Rolf Jensen, Copenhagen Institute for Future Studies

Page 201: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Products from the major competing companies around the world will

become increasingly similar. Inevitably this means that the whole

of a company’s personality, its identity will become the most

significant factor in making a choice between one company and its

products and another.”

Wally Olins, Corporate Identity

Page 202: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Young people entering the labor market already have two televisions, the latest mobile phone, a car and a wardrobe full of

clothes. No matter how important material values may be, there is more to life – the employee of the future is seeking meaning and value. I am convinced that this change in attitudes will be the strongest driving force in the markets of the future. Moving from the physical to

the metaphysical world entails moving from the product-oriented economy to a new Value Economy. The most

important thing a company offers will be the Value your products convey to the customer. People will seek out brands that fulfill new and growing needs. We will demand

the unique, because, on the physical level, we can have anything we want. This, for most companies, will demand a

dramatic change in thinking..”

Jesper Kunde, A Unique Moment

Page 203: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Most executives have no idea how to add value to a market in the metaphysical

world. But that is what the market will cry out for in the future. There is no lack of ‘physical’ products to

choose between.”

Jesper Kunde, A Unique Moment [on the excellence of Nokia, Nike, Lego, Virgin et al.]

Page 204: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Most companies tend to equate branding with the company’s marketing. Design a new marketing

campaign and, voila, you’re on course. They are wrong. The task is much bigger. It is about fulfilling our potential … not about a new logo, no matter how

clever. WHAT IS MY MISSION IN LIFE? WHAT DO I WANT TO CONVEY TO PEOPLE? HOW DO

I MAKE SURE THAT WHAT I HAVE TO OFFER THE WORLD IS ACTUALLY UNIQUE? The brand has to give of itself, the company has to give of itself, the management has to give of itself. To

put it bluntly, it is a matter of whether – or not – you want to be … UNIQUE … NOW.”

Jesper Kunde, A Unique Moment

Page 205: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Client: “We’re not like Nike! We sell paper clips , 9mm bolts, who can be bothered?”

JK: “The whole world can be bothered if you brand

them well. Nike does not actually sell shoes. Nike sells the experience of using Nikes, the feeling of being a winner. And they

condense the message into just three words:

Just Do It! It is a question of being the only one, of offering the market

something unique.”

Source: Jesper Kunde, The Unique Moment

Page 206: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“You can’t survive floating on the tide, assessing the competition, conducting surveys to find out what your customers want right now.

What do you want? What do you want to tell the world in the future? What does your company have that will

enrich the world? You must believe in that ‘it’ strongly enough to become unique at

what you do.”

Jesper Kunde, The Unique Moment

Page 207: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Customers will follow the brand

into new product categories … as long as the brand lives up to

its values. That’s why I think value positions will separate the

winners from the losers.”Jesper Kunde, The Unique Moment

Page 208: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Brand = You Must Care!

“Success means never letting the competition

define you. Instead you have to define yourself based on a point of view you care deeply

about.” Tom Chappell, Tom’s of Maine

Page 209: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Message: THIS IS THE BIG ENCHILADA. Case logic: (1) Brand

is it. (2) Brand = Emotional reaction. (3) Design is THE KEY

to emotional reaction. (4) Designers are “the key” to the

strategic success of the enterprise. [If they’d only flick the chip off

their collective shoulders.]

Page 210: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

XXI. Design & Leadership: Passion &

Technicolor Rule!

Page 211: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Brand Leadership!

“A key – perhaps the key – to leadership is the effective

communication of a story.”

Howard Gardner Leading Minds: An Anatomy of Leadership

Page 212: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“Create a Cause, not a ‘business.’ ”Gary Hamel, Fortune (06.00), on re-

inventing a company to survive in the ’00s (Exemplar #1: Charles Schwab)

Page 213: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

“I am a dispenser of enthusiasm.”

Benjamin Zander

Page 214: Design = Differentiator #1 Design Management Institute: Design-Based Leadership in the 21 st Century Chatham MA 25October2000 [Version 01.22.01]

Message: Designers – appropriately considered –

are the script writers for The Compelling Story called

Our Company Matters Because …