ponencia de katty best

8/3/2019 Ponencia de Katty Best

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applied design managementanddesign practice innovation

Kathryn Best27.10.09

Casa Llotja de Mar (Sal de Contractacions)Barcelona


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We live in interesting times.

Because of the particular challenges faced by organisations in lightof the global economic conditions and their local impact, and theincreased sense of responsibility towards the environment andsociety, companies are looking for new ideas and new ways to do

more with less (resources).

The opportunity for design management is to demonstrate howdesign can help link creativity and innovation, in a way that canboth add value and create value. If we think of creativity as

developing new ideas, and innovation as exploiting these newideas, then design becomes the way in which companies can maketangible customer propositions that can be experienced andtouched - that is to say, in forms that can be taken to market.'


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context

the creative economy

creativity, innovation, design

applied design management

design practice innovation


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context

andthe creative economy


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context

socialtechnological

economicenvironmental

political

Shift:Industrial EconomyKnowledge Economy

Creative Economy

The growing powerof ideas

The ecosystemin whichorganisations

exist is changing.In response,organisations willhave to change.


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Arup Foresight & Innovation

Issues which are driving global change and most likely to have a major impactupon society and business.


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The Financial Services IndustryLondons leading role arises from a long history ofopenness, easy access to markets, and a tradition ofwelcoming foreign firms.With changing circumstances, attributes that once madeorganisations ideal could cripple them under newconditions.

The Creative IndustriesOne of the best ways to increase competitive advantage,between commercial companies and even entire countries.

The Creative Economy Programme (2005): move to make

the UK the worlds creative hub.

Creativity is fun. Its also big business.The Creative Economy: How People Make Money from Ideas(Howkins)

The Economy: UK Context

Credit: Patrick Bour/pbo31(Flickr/Creative Commons)


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The creative and

knowledge economy thrivesupon the generation and

exploitation ofinventiveness, innovation

and imagination.

The YCE programme recognises

the centrality of creativeentrepreneurs to the development

of a sustainable and competitivecreative economy, and the bridgethey provide between artists and

the markets, between creativetalent and consumers.

The Economy: UK Context


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The added value of the countrysdesign industry totaled 2.6bn per

year and provided work for about46,000 people, making it a majordomestic employer and aninternational calling card.

Dutch Ministry of Education, Culture and Science Report, 2005

The Economy: The Netherlands


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There is growing demand to take amore holistic approach to the cultural,environmental, political and societalimpact of how commercial businesses

and other organisations operate.Credit: myeralan / Alan Myers(Flickr/Creative Commons)

Design: putting people first

Because design, by its very nature, takes a

people-centred approach to problem-solving, it is well positioned to enable amore integrative, holistic approach tosolving contemporary world challenges.

Credit: Alec @ Taiwan(Flickr/Creative Commons)


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Design Thinking is a process for practical, creativeresolution of problems or issues that looks for animproved future result.

There are no judgments in design thinking. This eliminatesthe fear of failure and encourages maximum input andparticipation. Thinking outside of the box can lead tomore creative solutions.

Wikipedia

Design Thinking: enabling processesand ideas from the bottom up

Since design flavors virtually all of our experiences, from products toservices to spaces, a design thinker must explore a landscape of innovationthat has to do with people, their needs, technology and business.

Innovation through Design Thinking, Tim Brown, IDEO


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Bottom-up thinking:

SustainableIntegrativeHolistic

People-centredInterculturalInterdisciplinary

Social networkingSocial innovationMass-innovation

Collaborative DesignParticipatory DesignUser-centred Design

The Empathy Economy (Bruce Nussbaum)


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The recession is a blessing in disguise asit will force people to work out whatreally matters to them.

valuevalues

new ideasnew ways to do things with fewerresources - doing more with less

add valuecreate value

Compassionate Capitalism

The meaning of a thing becomes ameasure of its value

Robert Hartman


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creativity, innovation, design


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Creativity and Design are tools for innovation and change:in societyin culture

in the environmentin business


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You can do it

PunkZinesDIY

I can do it

ArtThe elite

Monetizingcreativity

We can do it

Crowd sourcingThe wisdom of

crowds

Creative responses to change: context


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them you we

Creative responses to change: context


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applied design

management


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creativity, innovation, design(a useful framework for how to think about them)Creativityis the generation of new ideas - new waysof looking at existing problems or the discovery of new

opportunities.

Innovation is the exploitation of new ideas.

Design is what links creativity and innovation. It

shapes the ideas so they become practical andattractive propositions for users and customers.

Source: The Cox Review 2005


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It promotes understanding of the relationshipbetween things.

Not a book of solutions but a book that opens up

conversation and communication.

It inspires you to take things further yourself.

Design Management: Managing Design Strategy,Process and ImplementationAVA 2006; Parramn Ediciones (Barcelona) 2008


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Design does not operate in isolationto other disciplines and professions.

The interdisciplinarynature of

the creative industries (e.g.marketing, design, finance, law).

The integrated nature of designmanagement.

The relationships between thepeople, the projects, the processes,and the products, services and

environments.

FoDMAVA 2009; Parramn Ediciones (Barcelona) 2009


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Reassessing Value

A fundamental reassessment of the value of every asseteverywhere in the world.

Kevin Warsh, Federal Reserve, December 2008

Fundamental - basic oressential

Fundamentals are what is really important.Anyone who thinks deeply about fundamentals will, by

definition, be a radical. And all actions that stem fromthat kind of thinking will also be radical in the sense thatthey will address and seek to solve lifes most importantproblems.

Peck 1997


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Design

Management

key principles case studies contextual

perspectives

design

management

finance

marketing &

branding

design and

innovation

The management of the people, projects, processes and procedures behindthe design of our every day products, services, environments and experiences.

The management of the relationships between different disciplines (finance,

marketing, design..) and different roles (clients, designers, stakeholders...)


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Applied DM: Assessing value/criteriaPromoting best design management practices

1. Leadership in design innovation

Defining and implementing a vision for the whole organisation integrating designacross a range of activities.

2. Driving change through designIdentifying significant changes within the organisation where design has played amajor role.

3. Excellence in design co-ordination

Demonstrating capabilities, processes and skills and resources in support of theapplication of design.

4. Strategic performance

Demonstrating performance based on objectives, deliverables and overall effect on

the organisation.


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Virgin Atlantic Airways Ltd.(DME Award 2008 for Large Companies: excellence in design coordination)

xx xx

Managing the design of the products, services, behaviours, targets, incentives....


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DME Award2009Small

Companies

(under 10employees)

the Plan

the People part

the Processes

the Products

Repairing, consolidating and growing the

com pany requires high quality, highly

m otivatedpersonnel. D uring the past two

years,Venrooysinternal culture haschanged

with the helpof 7 c lear core values

emphasizing the companysfocusforachieving

abright newfuture. Implementing these new

values andothertransformationshelped to

turn the culture into a focused, positive,

condentandambitious one.

High ambitions also created the need for high

quality people: During the transition in 2007

and 2008, 70% of personnel (11 of 16 FTE) was

changed. This was done in a socially

responsible manner. All leaving personnel

moved into other jobs or reached their

pension.

Whois Venrooy Cable Equipment?

Venrooy oerstechnology solutionsforfourcable handlingprocesses:storing, (un)winding,transporting and layingcable, in three markets: infrastructure, electro andmaritime.

Venrooy startedin 1937 asa family company,and wastaken overtwice:in 1996 andin 2006.The company has16employees.

The company operatesin ahighly traditionalmarket,withlowinnovation levels.Generally speaking,competition isamongstme-too productswith companiescontinuouslyinvolvedin erce price battling.

Mission(startingin 2006):

Venrooy contributesto the successof clientsby deliveringcable-handling solutions with substantial competitiveadvantages:

easier,safer,faster,more ecientto use,betterserviced(functionally better)

more advancedpresentation (strongeron design)

more sustainable whilstcompetitively priced

Design is making

things rightRalph Kaplan

Atthe time of the take-overin 2006,Venrooy

hadbeen m ilkedout forten yearsandthe

company had come to astandstill.The

com pany neededto get back on track. A

growth plan consisting of two phaseswas

designed.The rst phase was to reestablish

Venrooy asa healthy andwell organised

company,enabling Venrooy to enter phase

two:to create rapidgrowth.

Venrooy completedthe rstphase in 2009.The

com pany isnow healthy and growing, asa

result of innovating its organisation, its

processesandproducts. The company isready

to enterphase two now,developing Venrooy

from D utch m arketleadertowardsa top-3

playerin the European market.

Rejuvenating Venrooy ledto a professional,

modern company oering products with

strong competitive advantages,andagreat fun

place to work.

Itresultedinto increasedcustomersatisfaction,higherbrandawareness, and increasedsales

with higherproductmargins.Venrooy moved

into protable growth modeandcreated its

own, greatnew starting pointfor a bright

future!

LTV

ZW

LTH

VEN-L

Functionality Design Sustainability

Upsideopening rearbridge: much

easier drum inser!on

Quicklocks: enabling faster/easier

closing, noloosera"ling machineparts

anymore

Sidebarsonfront/rear end: be"er road

safety, protec!onofmudguards,

easy/safetoreach highfor Operator

Compact, stronglyimprovedspring

system

Keyoperatedbuilt-incylinder inframe:

for safedocument storage

Drawbar lock: the# protec!on

A u to m o!vedesign:

appealing totheusers

Modern/cleanlook:

underlining the

professionalimageof

professional

clients/users

Range of9 ve rsi onsbuil t

ontwomodular

footprints: reduc!onof

materialusage, of

materialstorage

Nouse ofpl as!c sbut

steelworksonly

Si mi lar toL TV-R

Spe c ial spac esonre arbr idge and

side-fenderstostandon during

(de)installa!on.

Op!onfor parking sensors

A u to m o!vedesign:

appealing totheusers

Di$eren!a!on:

Di$eren!ateindesign

too$er clientsmore

choice

Range of4 ve rsi onsbuil t

ononemodular

footprint: reduc!onof

materialusage, of

materialstorage

Nouse ofpl as!c sbut

steelworksonly

Easier cablewinding andbinding

Safer for operator

Spacestolocateworkingdocuments

andstoretools

Easier lengthdetermina!onofcables

Improvedmobilityofthemachine

M odernde si gn:

underlining the

professionalimageof

clients/users, anda

realbreakthroughin

termsofpresenta!on

marketwide

Range of3 mac hi ne sbuil t

ononemodular

footprint: reduc!onof

materialusage, of

materialstorage

future

OwnershipVenrooijfamilyFrom nothing tomarket leadershipinThe Netherlands

withgreat vision, entrepeneurshipand enthusiasm

1937

1996

2006

Companysoldto privateownerSelnterest, declineof moraleand marketshare; milking

leadstostands!l landdeteriora!onofcompany

Company soldtoprivate(current) ownerRejuvenate, redesignandinvest torestoremarket leadership

andul!matelyaim for top3 market posi!onEU

2006

2009

20142020

(Phase3: ProgressintoEU/World)

nowpast

nosharedvalues

nometrics

owninterest

I am theboss.So.

authoritarian

parasi!zing, greed

nojobdescrip !ons

unclear objec!vesandstrategies

wedoeverything ourselves, compe!!veor not

disloyaltyto, thusfrom, people

distrust andconicts

topdown, one-way

peoplestands!ll

energydrain

absenceoffocus

introvert

stands!ll

reac!ve

fear

stress

sharedvalues

clear metrics

peoplesinterest

wearethecompany

par!cipa!ng

symbiosis

clear, sharedjobdescrip!ons

crystalclear objec!vesandstrategies

co-opera!on, connec!ng best competencies

loyaltyto, thusfrom, people

trust andharmony

bo"om up, holis!c

peopledevelopment

energyboost

sharpfocus

extravert

innova!on, co-crea!on

proac!ve

safety

joy

Guardt to mission/values

BriengControl quality/speedof designprocess

Guardsv alue

deliveredatclient end

C hoosingrequiredmixforinternal/external

supplychaining

Checktec hnicalfeasability

CEO

CommercialDirector

OperationsDirector

InternalWorkforce

Suppliers

CriticalClients

IndustrialDesigner

FieldresearchSWOTanalysis

Ideasfor improvementsFunc!onaldevelopment

Designing

Measuring

FeedbackEvalua!onbefore

Evalua!ona #er

Closecollabera !onintheearliest stagetod evelop

thestrongest possibleproduct andsupplychain

internal

exte rnal

LTV-R2007

ZW-R2008

LTV-C2009

VEN-L2010

Eventually,a lotof Venrooyssuccessdepends

on itsproducts.The changesmade within the

com pany with regard to its culture, its

processesandquality output,createdthe basis

forsuccessfulproduct innovation aswell. New

productswere launchedon basis of smarter

functionality,on modern design andhigher

sustainability.New productideaing isnow in

the companysDNA, constantly lling the

pipeline of product innovation towardsthecustomer.These innovation processes take

place continuously,andthe nextrangesof new

productsare already plannedfor the near

future.

Allprocesseswithin Venrooy were subjectedto

acriticalanalysisandactionswere taken to

improve howthe company producesproducts,

howsuppliesare sourced, howsales are

generated et cetera: one, truly integrated

approach.

On another level,the dierentactorstaking

partin each processwere made aware of their

rolesand the way the combination of each of

theircompetenciesmostoptimally contributes

to the progressof the company.Thisnot only

involvedinternalactorsbut also externalactors

like clients,suppliersandindustrial designers.

Venrooy strongly moved away from a

selfmanufacturing company to a head/tail

networking business, owning - building -

protecting its intellectual capital whilst

sourcing the m arket for the required

capabilitiesto translate mostpromising ideas

into strong,tangible products.Ideasare never

rejected because of missing technologies

inhouse;the sequence isto developthe best

ideas, followedby crafting excellentsupply

chainsto get these ideasinto reality in the

fastestandmostpromising way.

Madame Curieweg 4NL - 5482 TL Schijndel

The Netherlands

T:(+31) (0)73 54 92 379F:(+31) (0)73 54 78 641

E:[email protected]:www.venrooy.com

Designing towards Success...

Designing

Designing

Designing

Designing

the Results:Designing

Process Actions Results

Marke!ng

increasedbrand awareness

createdprofessional, leading image

increasedsales

Salesmor e!me-on-market spend(25% ->80%)

stronger customer rela!onships

increasedsalesb y+42% (during recession)

Sourcingachievedlower internalsourcing cost

reducedprices

moreinnova !onwithpr oa c!vesuppliers

Engineeringreducedmanufacturing cost

increasedspeed

loweredfailure cost

Manufacturingloweredinternal stocksdrama!cally

increasedthroughput +50% withlowerheadcount

HRMcreatedONEt eam

improvedperformance personnel

QA reducedfailure cost

Admin/ Financecreatedreliable management informa!on

reduced !mespent onadmin.to 50%

increasedDirect Marke!ng ac!vity

new product andservicesdevelopment

professionalisedmarke!ng team

skippednon-salestasksatrepresenta!ves

addedsalessupport

professionalisedsalesteam

reduc!onofnr.suppliersby80%

selec!onoffewer, professionalsuppliers

professionalisedsourcing team

digitalisedproduct drawings

implementedSolidWorksProfessional

professionalisedEngineering team

modulisedassortment

cra#edexternalsupplychainnetwork

professionalisedproduc!onteam

issuedclear tasks&responsibili!es

startedannualperformancecycles

launchedQAprogram

implementedERP package(Microso#)

professionalisedAdminteam

2006 2009

1. Customerfocus: allwe do, isaimedat making our client successful.

2. Winning!isour passion.

3. Integrity: weonlywant towinifwe candoit honestly.

4. Topquality: wedeliver topqualityinall wedo.

5. Powerfulcompe!!veplussesin product, service, performance:

(func!onality:)easier, safer, faster, moree%cient, (design:)more

modern, (service:)be"er service.

6. Teamwork: wewinasa team, wedoit together.

7. Selfdevelopment: wedevelopourselvesbene!ng theclient, our

company, thecommunitywelive inandourselves.

Core Values

Product Innovations

Roles

Salesindex (1996=100)

200

Phase 1:Repair& Consolidate

Phase 2:Rapidgrowth

Goals:

restoremarketleadershipinNL

createapla&ormtoenablegrowth

Repaired:

trust, faith(cando)

companyvaluesfun!

Created:

one focus, onedes!na!on

clear rolesandresponsibili!es

hire topqualitycompetencies

bo "om-upresponsibili!esanchored

Built:

innova!onintowholecompany

3Ddrawingsofproduct por&olio

scalabilityofbusinessmodel

self-propellingteam

externalvisibilityo'ine/online

great customerrela!onships

Achieved:

high velocityproduc!onprocess

full restoremarketleadershipinNL

+42% salesin2008 (in-21%market)

pla&orm toenterphase2 (rapidgrowth)

Goals:

towardstop3market posi!onEUin2014

8x turnover, 20xprotability

preferredsuppliershipwithEUclientsinInfrastructure,ElectroandMari!memarkets

Create:

interna!onalcommercialnetwork

decentralized,outsourcedmanufacturing withsmall, centralHQ

processuniquevaluesintogreatproducts/services

openinnova!on/crowd-sourcing

Newcompe!!veedges:

sustainabilityasumbrella

economical

ergonomicalecological

cultural

130

170

210

250

'08'07'06'05'04'03'02'01'00'99'98'97'96243171163124121106100146118105120110100

100

'14'12'101486743325

target

ustainability

angeof9 versionsbuilt

ntwomodular

footprints: reduc!onof

materialusage, of

t i l t

7

gement informa!on

a dmin. to50%

200


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design practiceinnovation


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The Innovation Backlash

A chorus of voices is calling for an end to the hypeand a focus on the fundamentals that drive real bottom-line-boosting innovation.

Boston Consulting Groups Howard Sirkin and James Andrews:

"Companies use a lot of innovation platitudes. The question is, how do theyovercome the platitudes? Companies get [innovation] wrong, and so many people

misunderstand the topic.""There's a belief that innovation is about great ideas. But in the business context, it'salso about bringing a great idea to market, and how to maximize the payback on theinvestment made in the idea."

Focus on return on innovation investments, rather than on innovation itself.

BusinessWeek.com, 1/12/07. Reena Jana
http://www.businessweek.com/bios/Reena_Jana.htmhttp://www.businessweek.com/bios/Reena_Jana.htm


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Innovation(the exploitation of new ideas)

Incremental innovation - exploits existing forms ortechnologies (eg small changes, improvements,reconfigurations based on established knowledge and

existing organisational capabilities).Modular innovation - within one or more componentof a system; not radical.Radical innovation - a departure from exiting

knowledge , capabilities or technologies to create somethingnew; often triggered by new opportunities, or capabilitiesthat become obsolete.

Source: HBR 2003 & 2009


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Innovation(the exploitation of new ideas)The internet is opening up new capabilities for design,management and innovation.

Open innovation - collaborative methods, tools andprocessesDisruptive innovation - disrupting existing processesthrough technology

Social innovation - emergence of new organisationalmodelsEco-innovation - centred around environmentallyaware challenges


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Innovation(the exploitation of new ideas)

Management innovation

The implementation of new management practices,processes and structures that represent a significantdeparture from current norms.

It is transforming the way many functions and activitieshave worked in large organisations.

Birkshaw & Mol 2006 1. dissatisfaction 2. invention 3. diffusion


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sharingcollaboration

open innovation

imagination

creativity

innovation

(new) valuesmeaning

create value

sustainability

add value


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Sony. make believe.

Feature Design: Sony Design actively seeks to createvalue in terms of product design, interface design, packagedesign, editorial design and every other design aspect that

enhances the user experience. At Sony we continue to designwith the future in mind, and we actively promote internal andexternal collaboration.

Concept Design is a key process in development thatencourages new value systems for the next generation andshapes future lifestyles.

Sustainable Design: eco-friendly and universal designprinciples. sustainability - an emerging priority in design


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Sony. make believe.

Twirl N' Take is a working design prototype developed from Spin N' Snap, a design mock-upof a digital still camera. As before, the camera is shaped like a magnifying glass. Spinning theroller powers the camera, and users look through a round hole when taking pictures.

Images are stored on Bitty memory cards in the tip of the handle.

sony.net/fun/design

New "odo" models were shown as an example offorward-looking design concepts, and workshops gavechildren a chance to use their own kinetic energy topower working odo prototypes.


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Philips Design: Chuhla stove

Design for a sustainable future

Philanthrophy by designCreating value for peopleImproving quality of lifeOpen innovationDistribution models

Entrepreneurship


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creativity and design are tools forinnovation and change.

design management as a change agent.

design managers as agents of change.


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grcies.

thank you.

[email protected]
mailto:[email protected]:[email protected]

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